康寶萊 (HLF) 2025 Q2 法說會逐字稿

Good afternoon and thank you for joining the second-quarter 2025 earnings conference call for Herbalife Limited. (Operator Instructions)

下午好，感謝您參加康寶萊有限公司 2025 年第二季財報電話會議。（操作員指示）

As a reminder, today's conference call is being recorded.

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 Erin Banyas，開始今天的電話會議。

Thank you and good morning, good afternoon or good evening to everyone joining us. Joining us today are Stephan Gratziani, our Chief Executive Officer; and John DeSimone, our Chief Financial Officer. 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.

謝謝大家，大家早安、下午好、晚上好。今天與我們一起出席的有我們的執行長 Stephan Gratziani 和我們的財務長 John DeSimone。在我們開始今天的電話會議之前，我想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」部分找到。

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.

本簡報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》所定義的任何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 nonrecurring 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 our CEO, Stephan Gratziani.

現在，我將把電話轉給我們的執行長 Stephan Gratziani。

Thank you, Erin, and good afternoon, everyone. When I stepped into the role of CEO, I shared my belief that Herbalife's next chapter would honor our 45-year legacy while redefining what's possible for health and wellness worldwide. Over the past three months, the progress we've made has only reinforced my conviction that Herbalife is uniquely positioned to lead in this new era of health and wellness. Herbalife is in motion from our roots as a weight management company to becoming the number 1 active and lifestyle nutrition brand in the world, we are now well on our journey to becoming the world's premier health and wellness company, community and platform. This next chapter blends trusted human connection with personalized, data-driven solutions to meet the evolving needs of consumers around the globe.

謝謝你，艾琳，大家下午好。當我擔任執行長時，我堅信康寶萊的下一章將繼承我們 45 年的傳統，同時重新定義全球健康和保健的可能性。在過去的三個月裡，我們所取得的進展更加堅定了我的信念：康寶萊在引領健康和保健新時代方面具有獨特的優勢。康寶萊從最初的體重管理公司發展成為世界第一的運動和生活方式營養品牌，目前，我們正朝著成為世界頂級健康和保健公司、社區和平台的目標邁進。下一章將可信賴的人際關係與個人化、數據驅動的解決方案結合，以滿足全球消費者不斷變化的需求。

Our transformation is underway and gaining momentum. We're taking bold steps, moving with speed and building on the strength of our brand, business model and science to shape the future of Herbalife. While these bold changes take time to fully reflect in sales, we are encouraged by clear signs of accelerating momentum.

我們的轉型正在進行中，並且勢頭強勁。我們正在採取大膽的舉措，快速發展，並利用我們的品牌、商業模式和科學實力來塑造康寶萊的未來。雖然這些大膽的變化需要時間才能完全反映在銷售中，但我們對加速發展勢頭的明顯跡象感到鼓舞。

Since our last earnings call, we've made notable strides in transforming Herbalife into a next-generation data-driven wellness company. Product innovation remains a key focus. We entered into a new category with our first healthy lifespan product, and we launched MultiBurn, a non-pharmaceutical weight loss supplement.

自上次財報電話會議以來，我們在將康寶萊轉變為下一代數據驅動的健康公司方面取得了顯著進展。產品創新仍是重點。我們憑藉首款健康壽命產品進入了一個新的領域，並推出了非藥物減肥補充劑 MultiBurn。

At the same time, we continue to strengthen our core business through market and DMO-specific product launches while also evolving our product launch strategy, integrating real-time education, targeted digital engagement and enhanced consumer accessibility.

同時，我們繼續透過市場和 DMO 特定產品的發布來加強我們的核心業務，同時也改進我們的產品發布策略，整合即時教育、有針對性的數位參與和增強的消費者可近性。

We are also laying the groundwork for long-term differentiation through the integration of Link Biosciences, enabling truly personalized nutritional supplements through advanced algorithmic and goal-specific recommendations.

我們也透過整合 Link Biosciences 為長期差異化奠定基礎，透過先進的演算法和目標的建議實現真正個人化的營養補充。

With Pro2col as the connective thread across these initiatives, we're building a unique health and wellness platform and ecosystem that will define the next era of Herbalife. I'll share more details about all of this in a minute. But first, let's look at our Q2 results.

透過 Pro2col 作為這些舉措的連結線索，我們正在建立一個獨特的健康和保健平台和生態系統，這將定義康寶萊的下一個時代。我將在一分鐘內分享有關這一切的更多細節。但首先，讓我們先看看我們的第二季業績。

Net sales were $1.3 billion, down 1.7% versus Q2 of 2024 and near the midpoint of our guidance range. On a constant currency basis, net sales were flat year-over-year. We delivered a solid adjusted EBITDA result that exceeded guidance, and we paid down $55 million in debt in the quarter, maintaining our total leverage ratio at 3x as of June 30. Occasionally, we provide updates on the subsequent quarter, and I'd like to turn to July's performance. In July, we delivered global year-over-year volume growth.

淨銷售額為 13 億美元，較 2024 年第二季下降 1.7%，接近我們指引範圍的中點。以固定匯率計算，淨銷售額與去年同期持平。我們實現了超出預期的穩健調整後 EBITDA 業績，並且在本季度償還了 5,500 萬美元的債務，截至 6 月 30 日，我們的總槓桿率維持在 3 倍。有時，我們會提供下一季的最新消息，我想談談七月的表現。7月份，我們的全球銷量較去年同期成長。

And more notably, we're excited to report we marked a key milestone in North America. July was the first month of year-over-year volume growth in the region since April 2021, reflecting the region's continued momentum. And with this progress and growing confidence in our outlook, we've raised and narrowed our full year net sales guidance range. John DeSimone will give more details about our financial performance later in the call.

更值得注意的是，我們很高興地報告我們在北美取得了重要的里程碑。7 月是該地區自 2021 年 4 月以來首次出現同比增長的月份，反映出該地區持續的成長勢頭。隨著這一進展以及對我們前景的信心不斷增強，我們提高並縮小了全年淨銷售額預期範圍。John DeSimone 將在稍後的電話會議中提供有關我們財務表現的更多細節。

Our distributor growth initiatives drove strong engagement across the globe in Q2, fueled by the launch of the Herbalife Flex 45 Challenge and successful ongoing programs like the Herbalife Premier League and the Diamond Development Mastermind. Globally, new distributor growth was flat year-over-year, which we expected given the tough comparison due to the initial spike in recruiting from last year's Premier League launch. That said, 4 out of 5 regions saw year-over-year increases, led by 16% growth in Latin America. Distributor engagement and enthusiasm was high in the quarter with nearly 38,000 attendees at Extravaganza training events in Hong Kong, Chile and the US between May and July.

由於「康寶萊 Flex 45 挑戰賽」的推出以及康寶萊超級聯賽和鑽石發展策劃師等持續成功開展的項目，我們的分銷商增長計劃在第二季度推動了全球範圍內的強勁參與。從全球來看，新經銷商的成長與去年同期持平，這是我們預料到的，因為去年英超聯賽推出後，經銷商的招募數量出現了激增，因此比較起來比較困難。儘管如此，5 個地區中有 4 個地區實現了同比增長，其中拉丁美洲的增長最為顯著，達到 16%。本季度，經銷商的參與度和熱情很高，5 月至 7 月期間，有近 38,000 名分銷商參加了在香港、智利和美國舉行的 Extravaganza 培訓活動。

That enthusiasm was especially clear in North America, where distributors are actively embracing the future of Herbalife, one defined by data-driven, personalized and accessible health and wellness solutions.

這種熱情在北美尤其明顯，那裡的分銷商正在積極擁抱康寶萊的未來，即以數據驅動、個性化和可訪問的健康和保健解決方案為特徵的未來。

Attendees at the North America Extravaganza previewed the beta version of the Pro2col app alongside the debut of our first healthy lifespan supplement. This is more than a beta program. It's a signal of what's ahead. By integrating data, personalization, coaching and community, Pro2col gives customers greater insight into their health, empowers distributors with smarter tools and amplifies the connection between them, delivering deeper value in today's evolving health and wellness landscape.

北美盛會的與會者預覽了 Pro2col 應用程式的測試版，同時也首次推出了我們的第一款健康壽命補充劑。這不僅僅是一個測試版程式。這是未來將要發生之事的訊號。透過整合數據、個人化、指導和社區，Pro2col 讓客戶更深入地了解自己的健康狀況，為分銷商提供更聰明的工具，並加強他們之間的聯繫，在當今不斷發展的健康和保健領域提供更深層的價值。

Our Pro2col beta is centered around four key pillars designed to guide users towards personal health outcomes. First, what to measure. Through digital health inputs and assessments, users receive a proprietary Pro2score, which is a personalized wellness baseline, along with the plan for improvements and tools to track progress over time. Second, what to do. AI-assisted daily lifestyle recommendations help shape healthier habits.

我們的 Pro2col 測試版圍繞著四大支柱，旨在引導使用者實現個人健康結果。首先，要測量什麼。透過數位健康輸入和評估，使用者可以獲得專有的 Pro2score，這是一個個人化的健康基線，以及改進計劃和追蹤進度的工具。第二，做什麼。人工智慧輔助的日常生活方式建議有助於養成更健康的習慣。

Third, what to take. Our adaptive algorithm tracks nutrition and specific product use and provides reminders to encourage following the recommended Pro2col. Finally, who to do it with. Building on our legacy of person-to-person connection and our distributor-driven model, Pro2col strengthens the connection between distributors, customers and community, providing ongoing encouragement and accountability.

第三，要帶什麼。我們的自適應演算法追蹤營養和特定產品的使用情況，並提供提醒以鼓勵遵循建議的 Pro2col。最後，和誰一起做。Pro2col 以我們人與人之間聯繫的傳統和分銷商驅動模式為基礎，加強了分銷商、客戶和社區之間的聯繫，提供持續的鼓勵和問責。

Distributors at the North America Extravaganza were enthusiastic about the potential impact the Pro2col app can have on their businesses. Just over 7,000 distributors signed up to participate in the exclusive Pro2col beta group, which included the purchase of a 60-day supply of our first healthy lifespan supplement.

北美盛會的經銷商對 Pro2col 應用程式對其業務可能產生的影響充滿熱情。超過 7,000 名經銷商報名參加獨家 Pro2col 測試小組，其中包括購買我們首款健康壽命補充劑的 60 天供應量。

Let me say a few words about this product. Knowing that lifelong wellness begins at the cellular level, this supplement supports four key areas of cellular health and function. It includes Niagen, a patented ingredient that's clinically shown to increase levels of NAD, which is important for maintaining cellular energy.

讓我簡單介紹一下這個產品。了解到終身健康始於細胞水平，這種補充劑支持細胞健康和功能的四個關鍵領域。它含有 Niagen，這是一種專利成分，經臨床證明可以提高 NAD 的水平，這對於維持細胞能量很重要。

While the product name will be revealed when it's commercially launched in the US and Puerto Rico in Q4, excitement is already building. That excitement extended beyond our Herbalife distributor base. As we shared last quarter, we acquired certain assets of Pruvit, which we plan to integrate over the next two years. In the meantime, we welcomed approximately 400 Pruvit distributors to our North America Extravaganza, with the majority opting into the Pro2col beta program.

雖然該產品名稱將於第四季在美國和波多黎各商業上市時公佈，但人們的興奮之情已然高漲。這種興奮感不僅限於我們的康寶萊經銷商群。正如我們上個季度所分享的，我們收購了 Pruvit 的部分資產，並計劃在未來兩年內進行整合。同時，我們歡迎約 400 名 Pruvit 經銷商參加我們的北美盛會，其中大多數選擇加入 Pro2col 測試計劃。

Pruvit distributors will have the opportunity to join Herbalife in Q4.

Pruvit 經銷商將有機會在第四季度加入康寶萊。

We believe Pro2col represents a powerful growth opportunity that builds on the strength of our $5 billion business and global distributor network. It enhances our use of technology and data, and we believe it will attract more distributors with a business that's easier to start and scale. For customers, it delivers a more personalized, connected wellness experience, driving higher engagement, increased product usage, greater retention and community expansion, all leading to increased customer lifetime value.

我們相信，Pro2col 代表著一個強大的成長機會，它建立在我們 50 億美元的業務和全球經銷商網路的實力之上。它增強了我們對技術和數據的使用，我們相信它將透過更容易啟動和擴展的業務吸引更多的分銷商。對於客戶而言，它提供了更個人化、更互聯的健康體驗，推動了更高的參與度、更高的產品使用率、更高的保留率和社群的擴展，所有這些都提高了客戶終身價值。

With thousands of distributors as beta participants, we're actively gathering feedback to refine the user experience ahead of our planned Q4 launch in the US and Puerto Rico with additional markets to follow beginning in 2026.

我們有數千家經銷商參與測試，我們正在積極收集回饋，以便在計劃於第四季度在美國和波多黎各推出之前改進用戶體驗，並將於 2026 年開始在其他市場推出。

Distributors who joined us in this first phase of the Pro2col beta aren't just getting early access to an exciting new technology and product. They're stepping into a multiphase innovation journey. Those in the initial beta group will have the opportunity to join the next phase in Q4, which will introduce access to at-home tests that deliver baseline blood biomarkers as an additional health and wellness service.

參與 Pro2col 測試第一階段的經銷商不僅可以提前獲得令人興奮的新技術和新產品。他們正在踏入一個多階段的創新之旅。初始測試組的用戶將有機會在第四季度加入下一階段，該階段將推出可提供基線血液生物標記的家庭測試，作為額外的健康和保健服務。

A subsequent phase launching in the first half of 2026 will take personalization even further with Link Biosciences customized supplement formulations tailored to individual needs and goals. This staged approach reflects our long-term vision for Herbalife to become the world's premier health and wellness platform by offering personalized, accessible wellness solutions, which provides the heart of our company, our distributors, with a front row seat in shaping our future.

2026 年上半年啟動的後續階段將進一步實現個人化，Link Biosciences 將根據個人需求和目標客製化補充劑配方。這種分階段的方法反映了我們對康寶萊的長期願景，即透過提供個人化、可訪問的健康解決方案，成為世界一流的健康和保健平台，這為我們公司的核心——我們的分銷商，在塑造我們的未來方面提供了前排座位。

With the distributor community of more than 2 million and a globally trusted brand, Herbalife is uniquely positioned to reach customers in ways few companies can match. We're amplifying that reach and effectiveness through stronger digital connectivity and by leaning into AI-assisted tools and the introduction of Pro2col is just the beginning. We're leveraging AI marketing to help our distributors deliver custom AI-generated content for social media and offering a new wellness AI chat assistant featuring our own Dr. Luigi Gratton. We're also leveraging AI to support distributors through our key account management program.

康寶萊擁有超過 200 萬的經銷商群體和全球信賴的品牌，以其他公司無法比擬的方式，擁有獨特的優勢來接觸客戶。我們正在透過更強大的數位連結和依賴人工智慧輔助工具來擴大影響力和有效性，而 Pro2col 的推出只是個開始。我們正在利用人工智慧行銷來幫助我們的經銷商為社群媒體提供客製化的人工智慧產生內容，並提供以我們自己的 Luigi Gratton 博士為特色的全新健康人工智慧聊天助理。我們也利用人工智慧透過我們的大客戶管理計畫為經銷商提供支援。

We're processing thousands of data points, including actionable insights from the field about ideas, challenges, best practices and more. This helps us quickly identify knowledge gaps, create targeted content and improve the program's effectiveness in real time.

我們正在處理數千個數據點，包括來自現場的有關想法、挑戰、最佳實踐等的可行見解。這有助於我們快速識別知識差距，創建有針對性的內容並即時提高計劃的有效性。

While we focus on evolving how we work and innovate for the future, we remain committed to delivering products that align with global trends, resonate locally and meet the needs of diverse DMOs and customers. In Q2, we expanded our Nutrition Club offerings in Mexico with the launch of Instant Coffee. We also introduced Sleep Enhance with saffron extract in India. And in certain markets in Latin America, we launched Nutri Muffin, a muffin mix that provides a convenient high-protein snack. In the US, we continue to see strong consumer demand for effective weight loss solutions.

在我們專注於改進工作方式和麵向未來的創新的同時，我們仍然致力於提供符合全球趨勢、引起當地共鳴並滿足不同 DMO 和客戶需求的產品。在第二季度，我們透過推出即溶咖啡擴大了我們在墨西哥的營養俱樂部產品範圍。我們也在印度推出了添加藏紅花萃取物的睡眠增強劑。在拉丁美洲的某些市場，我們推出了 Nutri Muffin，這是一種提供方便的高蛋白零食的鬆餅混合物。在美國，我們持續看到消費者對有效減肥解決方案的強勁需求。

And in July, we introduced MultiBurn, an innovative nonpharmaceutical weight loss supplement designed to support metabolic health with a proprietary blend of clinically studied botanical ingredients. For more information about the science behind MultiBurn, you can refer to the press release we issued on July 7. To support consistency and drive recurring revenue, MultiBurn and other select products are now available to customers and preferred members in the US through automatic monthly subscriptions. While it's still early, the excitement we're seeing from distributors and customers about MultiBurn is encouraging, and the initial sales are outpacing our expectations.

7 月份，我們推出了 MultiBurn，這是一款創新的非藥物減肥補充劑，旨在透過臨床研究的植物成分專利混合物來支持代謝健康。有關 MultiBurn 背後的科學的更多信息，您可以參考我們於 7 月 7 日發布的新聞稿。為了支持一致性並推動經常性收入，MultiBurn 和其他精選產品現在可以透過自動每月訂閱的方式向美國客戶和優先會員提供。雖然現在還為時過早，但我們從分銷商和客戶那裡看到的對 MultiBurn 的興奮之情令人鼓舞，而且初始銷售額超出了我們的預期。

Before I close, I want to give a brief update on Link Biosciences. We are currently focused on integrating Pro2col with Link Biosciences' proprietary personalization technology and manufacturing capabilities. This positions us to deliver data-driven personalized supplement formulations, which gives us a unique competitive advantage in the US today. We look to expand this competitive advantage globally with regulatory assessments underway in other key markets.

在結束之前，我想先簡單介紹一下 Link Biosciences 的最新情況。我們目前專注於將 Pro2col 與 Link Biosciences 的專有個人化技術和製造能力相結合。這使我們能夠提供數據驅動的個人化補充劑配方，這為我們在當今美國帶來了獨特的競爭優勢。我們希望透過在其他主要市場進行的監管評估來在全球範圍內擴大這一競爭優勢。

We're confident in the long-term differentiation and growth that this new capability will drive. While this capability, along with other developments we've discussed today, spans innovation in products, technology, AI, personalization and distributor engagement, all of it is built on the same foundation that has guided Herbalife from the very beginning.

我們對這項新功能將帶來的長期差異化和成長充滿信心。雖然這種能力以及我們今天討論的其他發展涵蓋了產品、技術、人工智慧、個人化和分銷商參與方面的創新，但所有這些都建立在從一開始就指導康寶萊的同一基礎上。

From day one, our company has been built on trust, one-on-one relationships, community and results. What's different today is the scale and sophistication with which we can build upon that foundation. We are evolving into a technology-enabled data-driven wellness platform, one that empowers our distributors, personalizes the customer experience and uniquely positions us within the global wellness market, which is projected to reach $5.8 trillion by 2028.

從第一天起，我們的公司就建立在信任、一對一關係、社區和成果的基礎上。今天的不同之處在於，我們可以在此基礎上進行規模和複雜程度的建設。我們正在發展成為一個由技術支援、數據驅動的健康平台，該平台將為我們的經銷商提供支援、個人化客戶體驗，並在全球健康市場中佔據獨特地位，預計到 2028 年將達到 5.8 兆美元。

And this is only the beginning. As we roll out Pro2col globally, expand personalized wellness solutions, integrate Link Biosciences and harness AI across our business, we see a powerful and clear path to sustainable growth and long-term shareholder value.

而這只是個開始。隨著我們在全球推出 Pro2col、擴展個人化健康解決方案、整合 Link Biosciences 並在我們的業務中利用人工智慧，我們看到了一條通往可持續成長和長期股東價值的強大而清晰的道路。

Thank you for your continued trust and support.

感謝您一直以來的信任與支持。

I'll now turn it over to John to walk through our Q2 financials.

現在我將把時間交給約翰來介紹我們的第二季財務狀況。

Thank you, Stephan. Turning to our Q2 financial highlights on slide 11. We delivered another solid quarter with adjusted EBITDA exceeding guidance, reflecting our continued focus on operational efficiencies. Operating cash flows for the quarter were also strong at $96 million. Net sales were $1.3 billion, down 1.7% versus Q2 of 2024 and just below the midpoint of our guidance range of down 3.5% to up 0.5% year-over-year. Net sales on a constant currency basis were flat compared to the second quarter of 2024 and near the lower end of our guidance range.

謝謝你，史蒂芬。請看第 11 張投影片上的我們第二季的財務亮點。我們又度過了一個穩健的季度，調整後的 EBITDA 超越預期，反映出我們對營運效率的持續關注。本季的營運現金流也表現強勁，達到 9,600 萬美元。淨銷售額為 13 億美元，比 2024 年第二季下降 1.7%，略低於我們預期的年減 3.5% 至成長 0.5% 的中點。以固定匯率計算的淨銷售額與 2024 年第二季相比持平，接近我們指引範圍的低端。

And while FX headwinds were less severe than expected, they still had a 170-basis point negative impact year-over-year.

儘管外匯逆風沒有預期那麼嚴重，但同比仍產生了 170 個基點的負面影響。

Our Q2 adjusted EBITDA was $174 million, exceeding the high end of our guidance range. Adjusted EBITDA margin of 13.8% was down 30 basis points from last year, driven entirely by unfavorable currency impacts. CapEx for the second quarter was $23 million, slightly below the low end of our guidance range of $25 million to $35 million as we continue to optimize our capital spend, which you will see reflected in our revised full year guidance.

我們第二季的調整後 EBITDA 為 1.74 億美元，超過了我們預期範圍的高端。調整後的 EBITDA 利潤率為 13.8%，較去年下降 30 個基點，完全受不利的貨幣影響。第二季的資本支出為 2300 萬美元，略低於我們 2500 萬至 3500 萬美元指導範圍的低端，因為我們將繼續優化資本支出，您將在我們修訂後的全年指導中看到這一點。

Capitalized SaaS implementation costs were approximately $4 million in the quarter. Gross profit margin improved 10 basis points to 78%, driven by approximately 70 basis points of favorable pricing, approximately 20 basis points of lower inventory write-downs, partially offset by foreign currency headwinds of approximately 60 basis points and input cost inflation of approximately 10 basis points.

本季資本化的 SaaS 實施成本約為 400 萬美元。毛利率提高 10 個基點至 78%，這得益於約 70 個基點的優惠​​定價、約 20 個基點的較低庫存減記，但部分被約 60 個基點的外匯逆風和約 10 個基點的投入成本通膨所抵消。

Following our acquisition of a controlling interest in Link Biosciences, we are now separately reporting net income attributable to Herbalife. Second quarter net income attributable to Herbalife was $49 million with adjusted net income of $61 million.

在我們收購 Link Biosciences 的控股權之後，我們現在單獨報告歸屬於康寶萊的淨收入。第二季康寶萊淨收入為 4,900 萬美元，調整後淨收入為 6,100 萬美元。

Q2 adjusted diluted EPS of $0.59 included an $0.11 FX headwind versus the second quarter of 2024. Our adjusted effective tax rate was 27.7%, down from 32.3% for Q2 of last year, contributing to an approximately $0.04 favorable impact on adjusted diluted EPS. The decrease in the 2025 rate was primarily due to changes in geographic mix of income, partially offset by discrete events in the period.

第二季調整後稀釋每股收益為 0.59 美元，與 2024 年第二季相比，包括 0.11 美元的外匯不利因素。我們的調整後有效稅率為 27.7%，低於去年第二季的 32.3%，對調整後稀釋每股盈餘產生約 0.04 美元的有利影響。2025 年稅率的下降主要是由於所得的地理結構變化，但被該時期的個別事件部分抵銷。

We now expect our full year 2025 adjusted effective tax rate to be in the range of 27% to 28%. During the quarter, we paid $25.5 million in connection with the acquisitions of certain assets of Pro2col, Pruvit and Link BioSciences and repaid $55 million of debt, which included $50 million redemption of the 2025 notes.

我們現在預計 2025 年全年調整後有效稅率將在 27% 至 28% 之間。本季度，我們支付了 2,550 萬美元，用於收購 Pro2col、Pruvit 和 Link BioSciences 的部分資產，並償還了 5,500 萬美元的債務，其中包括 5,000 萬美元的 2025 年票據贖回。

As of the end of the quarter, our revolving credit facility remained undrawn. Credit agreement EBITDA for the second quarter was $192 million. And with our debt repayments during the quarter, we maintained our total leverage ratio of slightly under 3x as of June 30.

截至本季末，我們的循環信貸額度仍未提取。第二季信貸協議 EBITDA 為 1.92 億美元。透過本季償還債務，截至 6 月 30 日，我們的總槓桿率維持在略低於 3 倍的水平。

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 the presentation appendix in the earnings press release.

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 12. We see the drivers of our year-over-year net sales performance. As I stated earlier, reported net sales for the quarter declined 1.7% year-over-year, while constant currency net sales were flat. Overall, volume was down 3.1% or $39 million year-over-year, which was nearly offset by approximately $38 million of favorable pricing. FX impact in the second quarter was approximately $22 million or 170-basis point headwind year-over-year, but this was better than the 300-basis point headwind we anticipated in our Q2 guidance.

翻到第 12 張投影片。我們看到了推動我們淨銷售額同比表現的因素。正如我之前所說，本季報告的淨銷售額年減 1.7%，而以固定匯率計算的淨銷售額持平。總體而言，銷量年減 3.1% 或 3,900 萬美元，但這幾乎被約 3,800 萬美元的優惠定價所抵消。第二季的外匯影響約為 2,200 萬美元，或年減 170 個基點，但這好於我們在第二季指引中預期的 300 個基點的逆風。

The improvement since April was largely due to broad-based weakening of the US dollar. However, even with the dollar weaker than anticipated, it was an overall headwind for the quarter on average. While we are pleased with our performance in Q2, our underlying trends continue to strengthen. As Stephan mentioned, Q3 is off to a strong start, driven by our July sales performance.

四月以來的改善主要是由於美元的全面走弱。然而，即使美元弱於預期，但平均而言，這對本季而言仍是一個整體阻力。雖然我們對第二季的表現感到滿意，但我們的潛在趨勢仍在繼續加強。正如 Stephan 所提到的，受 7 月份銷售業績的推動，第三季開局強勁。

This positive trend is reflected in the guidance we shared earlier today, which projects year-over-year net sales growth for the third quarter of 0.5% to 4.5% on both a reported and constant currency basis.

這一正面趨勢反映在我們今天稍早分享的指導中，該指引預測第三季淨銷售額年增 0.5% 至 4.5%（按報告和固定匯率計算）。

Turning to slide 13. We have the regional net sales results for the second quarter. Sequential trends improved across all five regions. For the second quarter, Latin America delivered another strong performance. While reported net sales were down 1% year-over-year, constant currency net sales were up 9% favorable year-over-year net pricing and an approximately 3% increase in volume were more than offset by unfavorable FX headwinds, primarily due to the Mexican peso.

翻到第 13 張投影片。我們有第二季的區域淨銷售額結果。所有五個地區的連續趨勢均有所改善。第二季度，拉丁美洲再次表現強勁。雖然報告的淨銷售額年減 1%，但以固定匯率計算的淨銷售額同比增長 9%，有利的同比淨定價和約 3% 的銷量增長被不利的外匯逆風（主要是由於墨西哥比索）所抵消。

In Mexico specifically, reported net sales were down 4%, but local currency net sales were up 9%, primarily driven by favorable pricing and an approximately 4% increase in volume year-over-year. EMEA net sales were flat on a reported basis and down 1% on a local currency basis. Favorable year-over-year pricing and FX tailwinds were more than offset by approximately 5% decline in volume.

具體來說，在墨西哥，報告的淨銷售額下降了 4%，但當地貨幣淨銷售額增長了 9%，這主要得益於優惠的定價和同比增長約 4% 的銷量。歐洲、中東和非洲地區的淨銷售額按報告基礎持平，以當地貨幣計算下降 1%。有利的同比定價和外匯順風被約 5% 的銷售下降所抵消。

In Asia Pacific, reported net sales were down 2% and constant currency net sales were down 1%. Favorable year-over-year pricing impacts were more than offset by an approximately 3% decline in volume, along with unfavorable sales mix and FX movements.

在亞太地區，報告淨銷售額下降 2%，以固定匯率計算淨銷售額下降 1%。同比定價的有利影響被約 3% 的銷售下降以及不利的銷售組合和外匯變動所抵消。

In India, net sales were down 0.5% on a reported basis, but up 2% on a local currency basis, primarily due to an approximately 1% decline in volumes year-over-year and unfavorable FX headwinds, partially offset by higher pricing.

在印度，淨銷售額按報告基礎計算下降了 0.5%，但以當地貨幣計算則增長了 2%，這主要是由於銷量同比下降約 1% 以及不利的外匯逆風，但價格上漲部分抵消了這一影響。

In North America, net sales were down 4%, primarily driven by approximately 6% declines in year-over-year volumes, partially offset by favorable pricing. On a sequential basis, the year-over-year net sales trend improved by approximately 50 basis points with volume trends improving by about 230 basis points. In July, we saw strong momentum in North America, supported by the recent launch of MultiBurn and the Pro2col beta release at the North America Extravaganza.

在北美，淨銷售額下降 4%，主要原因是銷量年減約 6%，但優惠的定價部分抵消了下降。與上一季相比，淨銷售額較去年同期趨勢改善了約 50 個基點，銷售趨勢改善了約 230 個基點。7 月份，我們看到了北美強勁的發展勢頭，這得益於最近在北美盛會上推出的 MultiBurn 和 Pro2col 測試版。

Based on current trends, we continue to expect sequential quarterly improvement in both North American net sales and volume trends for the remainder of the year. China net sales were down 2% year-over-year on both a reported and local currency basis, primarily due to a 6% decline in volumes year-over-year, partially offset by favorable sales mix.

根據目前的趨勢，我們預計今年剩餘時間內北美淨銷售額和銷售趨勢將逐季改善。中國淨銷售額以報告貨幣和當地貨幣計算年減 2%，主要原因是銷量年減 6%，但被有利的銷售組合部分抵銷。

Moving to slide 14. We see the drivers of the second quarter year-over-year change in our adjusted EBITDA. Adjusted EBITDA was $174 million, slightly below last year, driven entirely by unfavorable foreign exchange. On a constant currency basis, adjusted EBITDA increased to $190 million for the second quarter of 2025, reflecting the continued underlying strength of the business. Looking at the bridge, the impact of gross profit margin improvement can be seen in the pricing benefit, partially offset by lower volumes and input cost inflation, primarily related to manufacturing overhead.

移至投影片 14。我們看到了第二季調整後 EBITDA 同比變化的驅動因素。調整後的 EBITDA 為 1.74 億美元，略低於去年，完全受不利的外匯影響。以固定匯率計算，2025 年第二季調整後的 EBITDA 增至 1.9 億美元，反映出業務持續保持強勁實力。從橋樑來看，毛利率提高的影響可以從定價優勢中看出，但被銷售下降和投入成本上漲（主要與製造費用有關）部分抵銷。

The slight increase in salaries is primarily due to employee merit increases in the first quarter of 2025. Lower employee bonus accruals reflect a reduction in headcount as well as normalized bonus achievement levels expected in 2025 compared to the high levels achieved in 2024. The increase in promotional related spend primarily reflects lower spending in Q2 of 2024 due to restructuring activities at the time as well as a shift in timing of spending from Q1 to Q2 of 2025. Unfavorable year-over-year FX movements resulted in approximately $16 million reduction in adjusted EBITDA.

薪資略有增加主要是由於2025年第一季員工績效加薪。員工獎金應計金額降低反映了員工數量的減少，以及與 2024 年實現的高水準相比，2025 年預期的獎金實現水準將趨於正常化。促銷相關支出的增加主要反映了 2024 年第二季支出的減少，原因是當時的重組活動以及支出時間從 2025 年第一季轉移到第二季。與去年同期相比，不利的外匯變動導致調整後的 EBITDA 減少約 1,600 萬美元。

Moving to slide 15. In April, we paid $25.5 million in connection with the acquisitions of certain assets of Pro2col, Pruvit and Link BioSciences. As Stephan noted in his opening remarks, we achieved a key milestone in July with the release of the beta version of the Pro2col technology platform at our North American Extravaganza. As previously disclosed and in accordance with the terms of the agreement, the related $2 million contingency payment has been earned and will be paid in the third quarter of 2025.

移至投影片 15。4 月份，我們支付了 2,550 萬美元用於收購 Pro2col、Pruvit 和 Link BioSciences 的部分資產。正如史蒂芬在開幕詞中指出的那樣，我們在 7 月的北美盛會上發布了 Pro2col 技術平台的測試版，實現了一個重要的里程碑。如前所述，根據協議條款，相關的 200 萬美元應急付款已到賬，並將於 2025 年第三季支付。

In addition, we remain subject to an incremental contingent payment of $3 million, which could become payable in the fourth quarter upon the commercial release of Pro2col technology platform in the US.

此外，我們仍需支付 300 萬美元的增量或有款項，該款項可能會在第四季度 Pro2col 技術平台在美國商業發布後支付。

Also during the quarter, we paid approximately $55 million of debt, which included the $50 million redemption of the 2025 notes at the end of June and $5 million of the Term Loan B scheduled amortization payment. As I noted earlier, our revolving credit facility remained undrawn as of June 30, and we remain on track to reduce our principal amount of debt outstanding to $1.4 billion by the end of 2028, which is a $1 billion reduction from where we stood at the end of Q2 2024 when we first made the commitment. We plan to repay the $147 million outstanding on the 2025 notes at or prior to the September 2025 maturity, leaving the next meaningful debt maturity not due until 2028.

此外，在本季度，我們償還了約 5,500 萬美元的債務，其中包括 6 月底贖回的 5,000 萬美元 2025 年票據和 500 萬美元的定期貸款 B 的預定攤銷付款。正如我之前提到的，截至 6 月 30 日，我們的循環信貸額度仍未提取，我們仍有望在 2028 年底前將未償還債務本金減少至 14 億美元，這比我們首次做出承諾的 2024 年第二季度末的水平減少了 10 億美元。我們計劃在 2025 年 9 月到期時或之前償還 2025 年票據的 1.47 億美元未償還金額，而下一筆有意義的債務到期日則要到 2028 年。

Moving to slide 16. We will review our outlook for the third quarter and full year 2025. Given FX movements over the past year, we are continuing to provide net sales and adjusted EBITDA guidance, both on a reported and constant currency basis. For the guidance on a reported basis, we use the average daily exchange rates for the first two weeks of July 2025. We expect net sales growth in the third quarter of between 0.5% and 4.5% year-over-year, both on a reported and constant currency basis.

移至投影片 16。我們將回顧 2025 年第三季和全年的展望。鑑於過去一年的外匯走勢，我們將繼續提供淨銷售額和調整後的 EBITDA 指引（以報告和固定匯率計算）。對於報告基礎上的指導，我們使用 2025 年 7 月前兩週的平均每日匯率。我們預計第三季淨銷售額將年增 0.5% 至 4.5%，無論是按報告匯率計算還是按固定匯率計算。

We expect adjusted EBITDA for the third quarter to be in the range of $150 million to $160 million, while in the range of $155 million to $165 million on a constant currency basis. Our planned capital expenditures for the third quarter are in the range of $20 million to $30 million.

我們預計第三季調整後的 EBITDA 將在 1.5 億美元至 1.6 億美元之間，以固定匯率計算將在 1.55 億美元至 1.65 億美元之間。我們第三季的計畫資本支出在 2,000 萬美元至 3,000 萬美元之間。

Shifting to our full year guidance. We have revised our outlook based on our year-to-date performance and updated expectations for the remainder of the year, including updated estimates for tariff impacts and currency movements since we provided guidance in April.

轉向我們的全年指導。我們根據今年迄今為止的表現和對今年剩餘時間的最新預期修改了我們的展望，包括自 4 月份提供指導以來對關稅影響和貨幣變動的最新估計。

Most notably, we've narrowed and raised our full year net sales range to now be in the range of down 1% to up 3% year-over-year, whereas on a constant currency basis, we expect net sales to be flat to up 4% year-over-year. We are also raising our expectations for full year adjusted EBITDA to a range of $640 million to $660 million, while in the range of $685 million to $705 million on a constant currency basis. Regarding tariffs, our 2025 guidance includes a preliminary estimate of the impact from tariffs enacted as of yesterday.

最值得注意的是，我們已將全年淨銷售額預期範圍縮小並上調至同比下降 1% 至增長 3% 之間，而按固定匯率計算，我們預計淨銷售額將同比持平至增長 4%。我們也將全年調整後 EBITDA 預期上調至 6.4 億美元至 6.6 億美元之間，以固定匯率計算則為 6.85 億美元至 7.05 億美元之間。關於關稅，我們的 2025 年指引包括對昨天實施的關稅影響的初步估計。

We do not believe that the impact will be material to our full year 2025 expected results. And looking ahead on an annualized basis, we continue to believe that the enacted tariffs will not have a material impact on our overall results. With respect to capital expenditures, we are reducing our expectations for the year to now be in the range of $75 million to $95 million, primarily due to reductions in our overall projected technology-related spend as we continue to optimize our capital spend plans, as I mentioned earlier.

我們認為，這不會對我們 2025 年全年預期業績產生重大影響。展望未來年度業績，我們仍然相信，實施的關稅不會對我們的整體業績產生重大影響。關於資本支出，我們將今年的預期下調至 7500 萬美元至 9500 萬美元之間，這主要是因為隨著我們繼續優化資本支出計劃，我們預計的整體技術相關支出減少了，正如我之前提到的。

We continue to 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. Depreciation and amortization, including amortization of SaaS implementation costs, is expected to be in the range of $140 million to $150 million.

我們繼續預計全年資本化 SaaS 實施成本將在 2500 萬美元至 3000 萬美元之間，這將是我們計劃的資本支出的增量。折舊和攤銷（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。

For full year 2025, we expect our adjusted effective tax rate to be between 27% and 28%. Now before moving to Q&A, I want to close my opening remarks with one final comment. Over the last year, we've shared many strategies and initiatives that we put in place to strengthen our distributor base and drive engagement.

到 2025 年全年，我們預計調整後的有效稅率將在 27% 至 28% 之間。現在，在進入問答環節之前，我想用最後一句話來結束我的開場白。在過去的一年裡，我們分享了許多為加強經銷商基礎和推動參與而製定的策略和舉措。

With projected net sales growth in Q3 as announced earlier today, we believe those initiatives are starting to inflect on the top line. While we remain grounded in the work still ahead, we're encouraged by the progress and energized by the direction our net sales trends are heading.

正如今天稍早宣布的，隨著第三季淨銷售額預計成長，我們相信這些舉措將開始對營收產生影響。雖然我們仍致力於未來的工作，但我們對所取得的進展感到鼓舞，並對我們的淨銷售趨勢的發展方向感到振奮。

This concludes our opening remarks.

我們的開場白到此結束。

Operator, please open the call for questions.

接線員，請打開電話詢問。

(Operator Instructions)

（操作員指示）

Chasen Bender, Citi.

花旗銀行的 Chasen Bender。

Hi afternoon guys. I wanted to ask about the commercial release of Pro2col planned for later this year. I know you called out that distributors were able to get access to Pro2col at the beta by purchasing that 60-day supply of the healthy lifespan supplement. I was wondering if you could share your latest thoughts on the monetization strategy for the app when it launches. And if you are planning on using the same bundled package with the healthy lifespan supplement, are the unit economics of that product meaningfully different than, call it, the existing portfolio?

大家下午好。我想詢問一下計劃於今年稍後發布的 Pro2col 商業版本。我知道您說過，經銷商可以透過購買 60 天供應的健康壽命補充劑來獲得測試版 Pro2col 的使用權。我想知道您是否可以分享您對該應用程式發佈時的貨幣化策略的最新想法。如果您打算將相同的捆綁包與健康壽命補充劑一起使用，那麼該產品的單位經濟效益與現有產品組合相比是否存在顯著差異？

I'll let John answer the last part of it. Let me just talk to the first part. So as you mentioned, we started with the beta, and I think this is a really important point. Number one, obviously, our business model goes through our distributors. And their input, feedback and how they are going to promote it, how they're going to use it, position it with their customers is really important, which is one of the reasons why doing this through a beta first and foremost is a really important step for the company.

我會讓約翰回答最後一部分。我先只談第一部分。正如您所說，我們從測試版開始，我認為這是非常重要的一點。首先，顯然我們的商業模式是透過經銷商來實現的。他們的意見、回饋以及他們將如何推廣它、如何使用它、如何在客戶中定位它都非常重要，這也是為什麼首先透過測試版來做到這一點對公司來說是非常重要的一步。

So number one, we have a lot of different distributors, different models, as you know, in North America through nutrition clubs to people doing social media, running challenges and different flows within even those particular models.

首先，如你所知，在北美，我們有許多不同的經銷商、不同的模式，透過營養俱樂部，到從事社群媒體的人，開展挑戰，甚至在這些特定的模式中，都有不同的流程。

So working alongside the distributors so that in Q4, when we do the launch, they exactly know how they are going to go to market, position things and start onboarding customers into Pro2col is very important. So number one, that's really the first point of the beta. So we actually have around just over 7,000 distributors that opted in, which, quite honestly, it was beyond the expectations that we had. It was literally 50% more of the distributors that were present at Extravaganza.

因此，與經銷商合作非常重要，這樣當我們在第四季度推出產品時，他們就能確切地知道如何進入市場、定位產品並開始讓客戶加入 Pro2col。所以，首先，這確實是測試版的第一個要點。因此，實際上大約有 7,000 多家經銷商選擇加入，坦白說，這超出了我們的預期。出席 Extravaganza 的經銷商數量實際上增加了 50%。

And over the next three months, we will be working with them on a weekly basis, going through strategies of how they're going to implement this with their customers into their businesses.

在接下來的三個月裡，我們將每週與他們合作，共同研究如何將這個理念與客戶一起融入他們的業務中。

From a monetization standpoint, I think it's important to look at two pieces. One is that Pro2col is designed as a tool, right, to be able to help distributors do more, sell more of what they're currently selling. So it's going across the board. Although we launched this new healthy lifespan product, really, we look at this in two ways: one, supporting the $5 billion business that we currently have, meaning whatever distributors are working with whatever customers and whatever they're selling them, Pro2col, the application will be a value add, okay, to the existing customer into the business.

從貨幣化的角度來看，我認為有兩點很重要。一是 Pro2col 被設計為一種工具，能夠幫助經銷商做更多的事情，銷售更多他們目前正在銷售的產品。所以這是全面性的。雖然我們推出了這款新的健康壽命產品，但實際上，我們從兩個方面來看待這個問題：第一，支持我們目前擁有的 50 億美元業務，這意味著無論分銷商與什麼客戶合作，無論他們向他們銷售什麼，Pro2col，該應用程式都會為現有客戶增加價值。

This second piece is really coming with a new premium, I would say, just from a more digitally enabled brand standpoint, attracting a customer that is probably not for most of our distributors, their main core customers.

我想說，從更數位化的品牌角度來看，第二部分確實帶來了新的溢價，吸引了可能不是我們大多數經銷商的主要核心客戶的客戶。

So it's getting us into a new segment and an opportunity to bring a new story, a new narrative to the market. So these 2 focuses are really important. There's going to be options for the distributors. I'm sorry for taking a long time at this, but it's something that is new, and it's important to understand.

因此，它使我們進入了一個新的領域，並有機會為市場帶來新的故事、新的敘事。所以這兩個重點非常重要。分銷商將有多種選擇。很抱歉花了這麼長時間，但這是一件新的事情，理解它很重要。

There are going to be some distributors that simply are going to want to use it as a tool to engage with their customers and to add value. Others are going to want to build a business and a model and flow, and I'll just kind of talk about this because one of our main business models in the United States is our nutrition clubs. And it is more of a daily consumption transactional business, and we've been talking about over the last 1.5 years, wanting to shift from a transactional business to a transformational business.

有些分銷商只是想將其用作與客戶互動並增加價值的工具。其他人會想要建立一個企業、一個模型和流程，我只是想談論這一點，因為我們在美國的主要商業模式之一是營養俱樂部。它更像是一種日常消費交易業務，在過去的一年半里，我們一直在談論從交易業務轉向轉型業務。

Having Pro2col as an opportunity to simply get someone engaged in a conversation to be able to start -- to do something, download an app, answer some questions, some wellness assessment and to get into a conversation about the benefits of Herbalife products and having a digital support tool to help them make positive lifestyle behaviors, it is going to add a new model and a new opportunity to our business that we currently do not have. And so I shared this kind of high level of the '' things.

Pro2col 是一個讓用戶參與對話的機會，用戶可以開始做一些事情，下載應用程序，回答一些問題，進行一些健康評估，並參與關於康寶萊產品益處的對話，並擁有一個數字支持工具來幫助他們養成積極的生活方式行為，這將為我們目前沒有的業務增加一個新模式和新機會。所以我分享了這種高水準的東西。

John, maybe you want to talk about a little bit the different monetization strategies.

約翰，也許你想談談不同的貨幣化策略。

Yes. I'll talk about -- I mean, the economic model is not materially different, but it is slightly different. And it's different in two ways. So one, we have a concept called earn-based, which is what percent of retail our distributors earn on, and that will be a little different for this product. And that's one, again, not materially different, but a little different.

是的。我會談論——我的意思是，經濟模式並沒有實質的不同，但略有不同。它有兩點不同。首先，我們有一個概念叫做基於收益，也就是我們的經銷商從零售中獲得的收益百分比，而對於這個產品來說，這會有點不同。再說一遍，這並不是實質的不同，只是有一點點不同。

The second concept is this is a subscription-based model and that first shipment, the cost of that first shipment is more expensive than the second, third and fourth, which are refill shipments. And so there are certain assumptions we made on the life of the subscription to get a blended rate that meets our hurdle. And if that ends up changing a little, then it could have an impact on the economics for us.

第二個概念是，這是一種基於訂閱的模式，第一批貨物的成本比第二批、第三批和第四批補充貨物的成本更高。因此，我們對訂閱期限做出了某些假設，以獲得符合我們要求的混合費率。如果這種情況最終發生一點變化，那麼它可能會對我們的經濟產生影響。

Having said that none of that will be material, certainly not in the near term because it's been launched in one country. But as we go globally, we'll have a lot more data for which to base that -- those assumptions on.

話雖如此，但這些都不會成為現實，至少在短期內不會，因為它只是在一個國家推出的。但隨著我們走向全球，我們將擁有更多的數據作為這些假設的基礎。

Got it. And just one point of clarification on that. What, if anything, have you assumed in guidance in terms of sales contribution in 4Q from the Pro2col commercial release?

知道了。對此我只想澄清一點。您對 Pro2col 商業版本在第四季的銷售貢獻有何預期？

Very little at this point. Mostly it's just mostly upside. That's our -- you'll get a little in Q3. That's included because we launched it in July. There will not likely be much incremental beyond July in Q3 because the commercial launch is not until Q4, but there'll be a slight benefit in Q3.

目前還很少。大部分情況下這只是好處而已。這就是我們的——你會在第三季得到一點。因為我們在七月推出了它，所以包含這個功能。由於商業發布要到第四季度，所以第三季 7 月以後可能不會有太大增量，但第三季會有輕微的好處。

Okay, got it. That's helpful. And then my second main question is just on pricing. You've continued to take prices here in several markets around the world. And I was hoping you could just offer some perspective on your price gaps versus competitors and how you're thinking about that and the competitive environment into the second half of the year, particularly in context of a pressured consumer who, frankly, we've heard from a number of CPG companies are exhibiting value-seeking behavior and in some cases, trading down.

好的，明白了。這很有幫助。我的第二個主要問題是關於定價。您繼續在世界各地的多個市場中獲取價格。我希望您能就您與競爭對手的價格差距提供一些看法，以及您如何看待這一點以及下半年的競爭環境，特別是在消費者面臨壓力的情況下，坦率地說，我們從許多 CPG 公司聽說，他們表現出追求價值的行為，在某些情況下，還會降低消費水平。

Yeah. So our strategy on pricing hasn't changed, which is to take pricing commensurate with what we're seeing in the marketplace. So when we talk about our products versus the competitors, that differential should not be meaningful. And we're not seeing a lot of pressure from that end. We are taking much lower price this year in many of the countries than we took last year.

是的。因此，我們的定價策略沒有改變，即根據市場狀況制定相應的定價。因此，當我們談論我們的產品與競爭對手的產品時，這種差異並不重要。我們沒有看到這方面的巨大壓力。今年我們在許多國家採取的價格比去年低得多。

That's one of the reasons why the delta between volume and net sales was much greater in Q1 than Q2 because this year, the price increases have been lower. But we'll continue to take price, but we'll take it at a level that's limited risk, consistent with what's going on in the marketplace. And we have not seen a negative impact from that because, again, our volume trends have been heading in the right direction in most of our markets, and we've got a lot of momentum. especially in the US.

這就是第一季銷售與淨銷售額之間的差額遠大於第二季的原因之一，因為今年價格漲幅較低。但我們將繼續控制價格，但我們會將其控制在有限風險的水平，並與市場情況保持一致。我們並未看到由此產生的負面影響，因為在大多數市場中，我們的銷售趨勢一直朝著正確的方向發展，而且我們擁有很大的發展勢頭，尤其是在美國。

Chasen, just on this one, there is a value add to the products and someone can offer a digital application that is going to help them to be more compliant, use their products more seriously, more consistency, help them get better results. And so I think this is an important piece because the core offer gets elevated just with the simple fact of now having something that can be a digital support tool and can connect the distributor with the customer. So again, from a pricing standpoint, not directly, but definitely from a value proposition.

Chasen，就這一點而言，產品有附加價值，有人可以提供數位應用程序，幫助他們更加合規，更認真地使用他們的產品，更加一致，幫助他們獲得更好的結果。所以我認為這是一個重要的部分，因為現在有了可以作為數位支援工具並將分銷商與客戶聯繫起來的東西，核心報價就得到了提升。所以，再次強調，從定價的角度來看，不是直接的，但絕對是從價值主張的角度來看。

Got it appreciate. That color thanks so much guys.

明白了，謝謝。那個顏色非常感謝大家。

(Operator Instructions)

（操作員指示）

Doug Lane, Water Tower Research.

道格·萊恩（Doug Lane），水塔研究公司。

Hi everybody. Just on the Pro2col and at Extravaganza, the distributors did buy the 60-day supply of the supplement and got to beta test the app. So I guess my question is, when you commercialize this in the fourth quarter, are they going to continue to be connected? Will you buy the supplement and the app? And will you buy both on subscription? Or can you do one or the other?

大家好。就在 Pro2col 和 Extravaganza 上，分銷商確實購買了 60 天供應量的補充劑並對該應用程式進行了 beta 測試。所以我想我的問題是，當你在第四季度將其商業化時，它們會繼續保持聯繫嗎？您會購買該補充劑和應用程式嗎？您會訂閱購買這兩款產品嗎？或者你可以做其中一個嗎？

Yeah, thanks for the questions. So there'll be options. As I mentioned earlier, some distributors, they're already selling certain products and programs to customers. They will have an option just to offer the app as a support tool. Others will have an option to offer the product that we're going to launch the name and everything in October. And I almost want to tell you now, but first, we need to tell our distributors and actually, it's not going to take until October.

是的，謝謝你的提問。所以會有選擇。正如我之前提到的，一些分銷商已經在向客戶銷售某些產品和計劃。他們可以選擇將該應用程式僅作為支援工具提供。其他人可以選擇提供我們將在十月推出的產品名稱和所有內容。我現在就想告訴你，但首先，我們需要告訴我們的經銷商，實際上，這要到十月才會發生。

So -- but that will be an option also. So it is fitting current models, and it's going to also create a new model. So the answer is both. And I think what's important is just to -- we are supporting the $5 billion business, and we're also entering into a new category, and as John mentioned, new models for monetization as well.

所以——但這也是一種選擇。因此它適合當前的模型，並且還將創建一個新的模型。所以答案是兩者皆有。我認為重要的是——我們正在支持這項價值 50 億美元的業務，我們也正在進入一個新的類別，正如約翰所提到的，還有新的貨幣化模式。

Fair enough. That makes sense. I guess I'd like to also follow up on the whole idea of subscription, which is a very attractive model in which the new product, the healthy lifespan product is suited for. How have you dealt with subscriptions in the past? And what do you think -- how do you think that will change going forward?

很公平。這很有道理。我想我也想跟進訂閱的整體理念，這是一個非常有吸引力的模式，新產品、健康壽命產品就適合這種模式。您過去是如何處理訂閱的？您認為未來這種情況會發生怎樣的變化？

I think it's going to change a lot. I think it's going to take a bit of time. We have had a subscription model in the past, which was, I would say, not very consumer friendly. And a very small percentage of our business comes from subscription. When we look at other companies and especially not only just in our industry, but just in general, the subscription model business is huge.

我認為它會發生很大的變化。我認為這需要一些時間。我們過去曾採用訂閱模式，但我認為，這種模式對消費者來說不是很友善。我們的業務中只有很小一部分來自訂閱。當我們觀察其他公司時，特別是不僅在我們的產業，而是在整個產業中，訂閱模式業務規模龐大。

And I think you're right. I think this product, in particular, lends itself very well to a subscription model. I think we have other products as well. Multi-brand, for example, lends itself very well to a subscription model as well. So without giving you projections, we believe that adding this element is going to be an important element for the future for us.

我認為你是對的。我認為這個產品特別適合訂閱模式。我想我們還有其他產品。例如，多品牌也非常適合訂閱模式。因此，即使不給出預測，我們相信添加這一元素對我們未來來說也將是一個重要因素。

And it's new. So it's going to take time, and we're going to work with our distributors through the process. As I mentioned, they are the best ones to position this within the market. So -- but yes, you're absolutely right.

而且它是新的。所以這需要時間，我們將與我們的經銷商合作完成這個過程。正如我所提到的，他們是市場上最適合定位這個品牌的人。所以——但是是的，你完全正確。

And you've been consistent talking about the Pro2col beta test in North America and then the commercialization in the fourth quarter, and then it just sort of drops off from there. So I don't want to talk about 2026 and guidance or anything. But what -- how do you envision Pro2col assuming everything continues to go well rolling out in the rest of the world? Is that something that could take a quarter or two, a year or two? Just what are you thinking from a high level?

您一直在談論 Pro2col 在北美的 beta 測試以及第四季度的商業化，但之後一切就開始停滯了。所以我不想談論 2026 年和指導或任何事情。但是—假設一切繼續順利進行，您如何設想 Pro2col 在世界其他地區推廣？這是否需要一兩個季度，或一年或兩年的時間？你從高層到底在想什麼？

Well, we have plans for expansion in 2026. So I can tell you that we are looking at different markets, regulatory environments and what it would take to launch. Our goal is to globalize this as quickly as possible, and you're going to see in 2026 that we're already entering other markets.

嗯，我們有 2026 年擴張的計畫。因此我可以告訴你，我們正在研究不同的市場、監管環境以及推出產品所需的條件。我們的目標是盡快實現全球化，到 2026 年你會看到我們已經進入其他市場。

Okay, that's helpful. And then, John, on the balance sheet, where you're deleveraged at that 3.0 and you reiterated your 2028 target. What -- and you don't have maturities due much until a couple of years out, but you have some high-cost debt out there. What are your plans for the high-cost debt in the meantime?

好的，這很有幫助。然後，約翰，在資產負債表上，你的去槓桿率為 3.0，你重申了 2028 年的目標。什麼——而且你直到幾年後才到期，但你有一些高成本的債務。同時，您對高成本債務有什麼計劃？

Yeah, that's a great question. So we closed the new debt deal last April, a good chunk of that. The bond had a 2-year no-call protection, which means you really can't redo that part of the debt deal until April of next year. But at that point, we'll actively consider refinancing if the conditions are right because we went to market at a time where there wasn't a lot of visibility into what was going on here, we come off a tough 2023 year. Our leverage ratio in the prior public quarter was 3.9. Now we're under 3.

是的，這是一個很好的問題。因此，我們在去年四月完成了新債務交易，其中很大一部分。該債券有兩年的不可贖回保護期，這意味著您實際上不能在明年四月之前重新進行該部分債務交易。但到那時，如果條件合適，我們會積極考慮再融資，因為我們進入市場的時候，對這裡發生的事情還沒有太多的了解，我們剛剛度過了艱難的 2023 年。上一季我們的槓桿率為3.9，現在已低於3。

We're in a much different financial position than we were 1.5 years ago with much more visibility and trending entirely in the correct direction. So our margins -- our EBITDA margins were 11.3% in 2023 and 13.8% this quarter on an adjusted basis. So things are just in a much better spot. So we'll look at the economics and do it as soon as it makes sense. That's our objective.

與一年半前相比，我們的財務狀況有了很大的不同，透明度更高，而且完全朝著正確的方向發展。因此，我們的利潤率－2023 年的 EBITDA 利潤率經調整後為 11.3%，本季為 13.8%。所以現在情況好多了。因此，我們會考慮經濟因素，並在情況合理時立即採取行動。這就是我們的目標。

Okay, that's helpful. That's it for me. Thank you.

好的，這很有幫助。對我來說就是這樣。謝謝。

(Operator Instructions)

（操作員指示）

Christina, Mizuho.

克里斯蒂娜，瑞穗。

So on the particle, if I understand it correctly, so there are going to be some benefit and started in 3Q and then more in 4Q, but the constant currency guidance for fiscal '25, the midpoint of it is slightly reduced. Can you talk about like what's driving that?

因此，如果我理解正確的話，那麼在粒子上會有一些好處，從第三季度開始，然後在第四季度會有更多好處，但 25 財年的恆定貨幣指導的中點會略有降低。你能談談是什麼原因導致這種情況的嗎？

Yes, that's a great question. So our trends are good, but we did come in below our constant currency midpoint for Q2. that's the majority of the reason why the year -- the midpoint for the year has come down. But again, we've got net sales growth projected in Q3. We actually have net sales growth.

是的，這是一個很好的問題。因此，我們的趨勢是好的，但第二季我們的固定貨幣中點確實低於這一水平。這就是今年中點下降的主要原因。但我們再次預期第三季淨銷售額將會成長。我們的淨銷售額確實有所成長。

If you do the math. We're not directly projecting Q4 in guidance, but Q1 and Q2 are in the books, Q3, we're not giving you guidance. If you do the math, Q4 also has growth. So we narrowed the range a little bit. It got moved a little bit to the left because of what happened in Q2, but still expecting strong performance.

如果你做一下計算。我們不會在指引中直接預測第四季度，但第一季和第二季已經記錄在案，至於第三季度，我們不會給你指導。如果你計算一下，你會發現第四季也有成長。因此我們稍微縮小了範圍。由於第二季發生的事情，它稍微向左移動了一點，但仍然期待強勁的表現。

And on the EBITDA guidance, so you have a beat and then you're going to have a beneficial currency tailwind for the year. But I guess the raise was not as much as the currency tailwind and the beat in the quarter. So can you talk a little bit about that as well?

就 EBITDA 指引而言，您將獲得一定的優勢，並且今年您將獲得有利的貨幣順風。但我猜測，漲幅不如貨幣順風和本季表現強勁。那你能稍微談談這個嗎？

Well, it was as much as the beat in the quarter. It wasn't -- the tailwind doesn't hit the bottom line until about next year, hit the very end of the year. I think that needs a little explanation. So currency impacts top line right away because that's all translation. On the gross profit line, we have a lot of transactions that are denominated in dollars.

嗯，這與本季的業績一樣好。事實並非如此——順風直到明年，也就是年底才會影響到底線。我認為這需要一點解釋。因此貨幣會立即影響營業收入，因為這一切都是翻譯。在毛利方面，我們有很多以美元計價的交易。

And like we saw last year when the dollar strengthened, we get a onetime one inventory turn benefit at COGS. When the dollar weakens, we actually get hurt from currency on the gross profit line for one inventory turn. And so the actual impact from currency year-over-year for Q3 and Q4 are still slightly negative. And maybe there needs to be just a little more description on that.

正如我們去年看到的那樣，當美元走強時，我們獲得了一次性的庫存週轉收益。當美元走弱時，我們的一次庫存週轉的毛利實際上會因貨幣而受到損害。因此，第三季和第四季的貨幣年比實際影響仍然略微為負面。也許需要對此進行更多的描述。

So -- and I'm going to give you just a hypothetical example that I hope you can describe the situation. And I'm going to use -- let's use the Mexican peso, and I'm going to use inventory that was purchased at a rate of 20:1. So it was purchased at a rate of 20:1 a few months ago. Let's just say the rate dropped to 10:1. I know that's extreme, but that makes the math easy.

所以——我將給你一個假設的例子，希望你能描述一下情況。我將使用——讓我們使用墨西哥比索，我將使用以 20:1 的比例購買的庫存。所以幾個月前就以20：1的價格買了。假設比率下降到 10:1。我知道這很極端，但這讓數學變得簡單。

If the inventory cost a dollar because it's priced in dollars, when it was purchased, it was paid for at MXN 20. Today, it would have been paid for at MXN 10, but it's on the books at MXN 20, and that's what hits the P&L. So what hits gross profit on any transaction is the translation rate when the inventory was purchased. So there is a lag to the effect of translation on the bottom line, which is why you don't see it as much in Q3 and Q4 as you might expect without building in that lag. The good news is, if it stays this way, we will see it in Qs one and two of next year in the whole year.

如果庫存以美元計價，則其成本為 1 美元，購買時則以墨西哥比索支付20.今天，它本來應該以 10 墨西哥比索的價格購買，但帳面上卻顯示為 20 墨西哥比索，這就是損益表中的金額。因此，任何交易中影響毛利的因素都是購買庫存時的轉換率。因此，翻譯對底線的影響存在滯後，這就是為什麼在第三季和第四季你不會看到它像你預期的那樣多，除非考慮到這種滯後。好消息是，如果保持這種狀態，我們將在明年全年的第一季和第二季看到它。

All right, thank you. Ladies and gentlemen, at this time, I would now like to turn the call back over to Stephan for closing remarks.

好的，謝謝。女士們、先生們，現在，我想將發言權交還給史蒂芬，請他作最後發言。

First of all, I want to thank everyone for attending today. As I approach 100 days as CEO and just celebrated two years as part of the executive team and before that 32.5 years as a distributor, I've been reflecting a lot on the current situation and basically my life and the choices that I've made and what drives me to do what I do.

首先，我要感謝大家今天的出席。我擔任執行長已近 100 天，剛剛慶祝了作為執行團隊成員的兩週年，在此之前，我作為分銷商已有 32.5 年，我一直在反思當前的形勢，基本上我的生活、我所做的選擇以及驅使我做我所做的事情的動力。

I can share with you that for 32.5 years from starting as a distributor in 1991, I had the opportunity face-to-face every single day of my life for 32.5 years to be in front of people that I saw the impact that Herbalife made in their lives, whether that was a customer that was looking to lose weight or looking to improve some aspect of their well-being, whether it was a distributor that was in need of an opportunity, looking for something part-time to improve their personal situation, to improve something for their family, to believe in something that they could invest their life into to build a career, to have certain limits that's outside of our business and our industry were created for them that they found and especially with Herbalife an opportunity that they wanted to invest themselves into.

我可以告訴你們，從 1991 年成為經銷商開始的 32.5 年裡，我每天都有機會面對面地與人們交流，親眼見證康寶萊對他們生活的影響，無論是想要減肥還是想要改善某些方面健康的顧客，還是需要機會的經銷商，尋找兼職來改善個人狀況、改善家庭狀況，相信自己可以投入一生去建立一生去建立業務的事物，我們是什麼？

And for 32.5 years, I built friendships family and community and was part of something and it was extraordinary for me. And for 32.5 years over time, one of the things that became clear was that Herbalife in my role in my life and my every single day, there was a reason why and a purpose behind what we were doing and who we were. It's a purpose that I believe that not everyone understands. And I'll just share this with you because when we talk about becoming the premier health and wellness company, community and platform, it's not just words. I understand that there's a big paradigm shift.

32.5 年來，我與家人、社區建立了友誼，並成為其中的一部分，這對我來說意義非凡。32.5 年來，我逐漸明白的一點是，康寶萊在我的生活中扮演著重要的角色，我的每一天，我們所做的事情以及我們的存在都有其原因和目的。我相信並不是所有人都能理解這個目的。我只想與你們分享這一點，因為當我們談論成為首屈一指的健康和保健公司、社區和平台時，這不僅僅是說說而已。我明白這是一個巨大的典範轉移。

Herbalife, 45 years, public direct seller, the largest in the world, nutritional products sold through a multilevel marketing distribution channel. I understand that there's a paradigm shift. When you think about, when consumers think about -- when people think about becoming and what it means to be the world's premier health and wellness company community and platform, I can see that they would have a little bit of difficulty sometimes in understanding because it is a big paradigm shift.

康寶萊，45 年歷史，全球最大的公共直銷商，透過多層次行銷通路銷售營養產品。我明白這是一種典範轉移。當你思考時，當消費者思考時——當人們思考成為世界頂級健康和保健公司社區和平台意味著什麼時，我可以看到他們有時會有點難以理解，因為這是一個巨大的範式轉變。

What I will tell you is that as someone that was 32.5 years as a distributor, two years as an executive and part of the executive team and now 100 days in the seat of CEO that everything that we are thinking about and working towards every single day is about becoming that company community and platform. And one of the things that I can tell you that the acquisitions that we made that we announced in March, on March 12 that we acquired on the 11, and then at Extravaganza just a couple of weeks ago, launched and onboarded over 7,000 distributors into a platform.

我想告訴你的是，作為一個擁有 32.5 年經銷商經驗、兩年高階主管和執行團隊成員經驗、現在擔任執行長 100 天的人，我們每天思考和努力的一切都是為了建立公司社群和平台。我可以告訴你們的一件事是，我們在 3 月宣布的收購，3 月 12 日宣布的收購，以及 3 月 11 日宣布的收購，以及幾週前在 Extravaganza 宣布的收購，這些收購將超過 7,000 家分銷商納入平台。

This is something that I'm very proud about. I'm proud from a distributor lens and how quickly and how they see the opportunity and how willing they are to venture with us into this future. And I'm very proud as an executive of the team internally and the 9,600 or 8,600 employees that we have that all live for the same mission and purpose.

這是我感到非常自豪的事。從經銷商的角度來看，我為他們如此迅速地發現機會並願意與我們一起開拓未來而感到自豪。身為我們團隊的高階主管，以及我們 9,600 或 8,600 名員工，我感到非常自豪，大家都為同一個使命和目標而努力。

I'll tell you that personally, I don't think there's anything that's going to stop us from becoming the company that we're talking about for the future. I think with 2 million distributors that live the same purpose every single day that operate out of some of them over 60,000 nutrition clubs that makes us very unique in the marketplace that now when we talk about platform and the launch of protocol, just in a very short amount of time with approximately 4,600 distributors, we have over 140,000 data points on health and wellness of these individuals. And these are the distributors. We have 31,000 products that they've scheduled into the application in 146 instances of how and when they're using the products.

我會告訴你，就我個人而言，我認為沒有什麼能阻止我們成為我們談論的未來公司。我認為，我們有 200 萬分銷商，他們每天都過著同樣的生活，其中一些人經營著 60,000 多個營養俱樂部，這使我們在市場上非常獨特，現在當我們談論平台和協議的推出時，在很短的時間內，我們與大約 4,600 個分銷商合作，獲得了超過 140,000 個這些人的健康和保健數據的人。這些是分銷商。我們有 31,000 種產品，他們已將這些產品安排到 146 個實例中，用於說明他們使用這些產品的方式和時間。

We have 8,200 different things that they do outside of that we would call wellness hacks that they do, whether it's cold plunging or meditation or breath work, stretching for 68,000 instances of when they are going to do it. Not only that, we have a lot of data as a company that for the first time only in 45 years, we now have access to, and we can track the improvements in their lifestyle, in their wellness and in their health.

我們有 8,200 種不同的活動供他們進行，我們稱之為健康秘訣，無論是冷水浴、冥想還是呼吸練習，他們都會對伸展運動進行 68,000 次練習。不僅如此，作為一家公司，我們擁有大量數據，這是 45 年來我們第一次能夠存取這些數據，並且可以追蹤他們的生活方式、健康狀況的改善。

This is going to empower us in a way, and it's just one clear sign and something that we have very quickly executed on of how we will become that company and platform for the future. So we look forward to quarterly giving you the updates. We thank you for being on this journey with us.

這會在某種程度上增強我們的力量，這只是一個明確的訊號，也是我們很快執行的一項舉措，表明我們將成為未來的公司和平台。因此，我們期待每季向您提供更新資訊。我們感謝您與我們一起踏上這段旅程。

And -- we believe you're also part of this purpose. So we thank you for your support, and we'll talk to you next quarter.

並且—我們相信您也是這目標的一部分。因此，我們感謝您的支持，我們將在下個季度與您聯繫。

Ladies and gentlemen, that concludes today's conference call. Thank you for your participation. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。