J&J Snack Foods Corp (JJSF) 2025 Q1 法說會逐字稿

Good day, and welcome to the J&J Snack Foods fiscal 2025 first quarter conference call. As a reminder, this call may be recorded. I would now like to turn the call over to Norberto Aja, Investor Relations. Please go ahead.

大家好，歡迎參加強生零食食品 2025 財年第一季電話會議。提醒一下，本次通話可能會被錄音。現在我想將電話轉給投資者關係部的 Norberto Aja。請繼續。

Thank you, operator, and good morning, everyone. Thank you for joining the J&J Snack Foods fiscal 2025 first quarter conference call. Before getting started, let me take a minute to read the safe harbor language.

謝謝接線員，大家早安。感謝您參加強生零食食品2025財年第一季電話會議。在開始之前，請允許我花一點時間閱讀安全港語言。

This call contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements made on this call that do not relate to matters of historical facts should be considered forward-looking statements including statements regarding management's plans, strategies, goals, expectations and objectives as well as our anticipated financial performance.

本次電話會議包含 1995 年私人證券訴訟改革法案所定義的前瞻性陳述。本次電話會議所作的所有與歷史事實無關的陳述均應被視為前瞻性陳述，包括有關管理層的計劃、戰略、目標、期望和目的以及我們預期的財務業績的陳述。

These statements are neither promises or guarantees and involve known and unknown risks, uncertainties and other important factors that may cause results, performance or achievements to be materially different from any future results performance or achievements expressed or implied by the forward-looking statements.

這些聲明既不是承諾也不是保證，並且涉及已知和未知的風險、不確定性和其他重要因素，這些因素可能導致結果、業績或成就與前瞻性聲明表達或暗示的任何未來結果、業績或成就存在重大差異。

Risk factors and other items discussed in our annual report on Form 10-K for the year ended 28 September 2024, and our other filings with the Securities and Exchange Commission could cause actual results to differ materially from those indicated by forward-looking statements made on the call today.

我們截至 2024 年 9 月 28 日的 10-K 表年度報告以及我們向美國證券交易委員會提交的其他文件中討論的風險因素和其他項目可能會導致實際結果與今天電話會議上所作的前瞻性陳述所示的結果存在重大差異。

Any such forward-looking statements represent management's estimates as of the date of the call today, 04 February 2025. While we may elect to update forward-looking statements at some point in the future, we disclaim any obligation to do so even if subsequent events cause expectations to change.

任何此類前瞻性陳述均代表管理階層截至今天（2025 年 2 月 4 日）電話會議日期的估計。雖然我們可能選擇在未來某個時間點更新前瞻性陳述，但即使後續事件導致預期發生變化，我們也不承擔這樣做的義務。

In addition, we may also reference certain non-GAAP measures on the call today, including adjusted EBITDA, adjusted operating income or adjusted earnings per share, all of which are reconciled to the nearest GAAP measure in the company's earnings press release, which can be found in our Investor Relations section of our website.

此外，我們還可能在今天的電話會議上引用某些非 GAAP 指標，包括調整後的 EBITDA、調整後的營業收入或調整後的每股收益，所有這些指標均與公司收益新聞稿中最近的 GAAP 指標相協調，您可以在我們網站的「投資者關係」部分找到這些指標。

Joining me on the call today is Dan Fachner, our Chief Executive Officer; along with Shawn Munsell, our Chief Financial Officer. Following management's prepared remarks, we will open the call for a question-and-answer session.

今天與我一起參加電話會議的還有我們的執行長 Dan Fachner；以及我們的財務長 Shawn Munsell。在管理階層發表準備好的發言後，我們將開始問答環節。

With that, I would now like to turn the call over to Mr. Fachner. Please go ahead, Dan.

說完這些，我現在想把電話轉給法赫納先生。請繼續，丹。

Thank you, Norberto. Good morning, everyone, and thank you for joining us today to discuss our fiscal Q1 results. Starting with a quick review of our first quarter results. We delivered solid top line growth of 4.1% to $362.6 million, driven by a combination of volume increases and pricing. However, our performance was impacted by a less than favorable sales mix along with the input cost inflation that was not fully covered with price increases.

謝謝你，諾伯托。大家早安，感謝您今天加入我們討論我們的第一季財務表現。首先快速回顧一下我們的第一季業績。在銷量和價格上漲的共同推動下，我們的營業額穩定成長 4.1%，達到 3.626 億美元。然而，我們的業績受到銷售組合不佳以及投入成本上漲（且價格上漲未能完全覆蓋）的影響。

And although we delivered strong earnings improvement in the frozen beverages, foreign exchange headwinds associated with the peso limited the improvement. Overall, gross margin declined to 25.9% from 27.2% compared to the prior year.

儘管我們的冷凍飲料獲利取得了強勁成長，但比索相關的外匯不利因素限制了獲利的成長。整體而言，毛利率從上年的27.2%下降至25.9%。

The gross profit decline along with the higher operating expenses ultimately impacted our bottom line for the quarter. The unfavorable mix impact during the quarter primarily reflects two items. The first is the loss of some seasonal business within bakery, with a declining margin profile that we bid on but did not retain. The second is attributed to lower churros volumes in food service, as we lap the benefit from a limited time offer with a quick-serve restaurant last year. Although we were able to grow volume elsewhere in the portfolio to help compensate for these losses, the mix was less favorable.

毛利的下降以及營業費用的增加最終影響了我們本季的利潤。本季的不利組合影響主要反映了兩項。首先是麵包店失去了一些季節性業務，利潤率下降，我們競標了但未能保留。第二個原因是餐飲服務中油條銷售量下降，因為我們去年享有了速食店限時優惠的福利。儘管我們能夠增加投資組合中其他部分的交易量來彌補這些損失，但組合情況並不理想。

Our cookie volume is up meaningfully versus the prior year, and we've recently invested in new capacity to augment our capabilities. We also added new churros customers in food service and believe this business will continue growing over time.

我們的餅乾產量與前一年相比有大幅增長，而且我們最近投資了新產能來增強我們的能力。我們還在餐飲服務領域增加了新的油條客戶，並相信這項業務將隨著時間的推移而持續成長。

Regarding pricing, while we realized price increases during the quarter, we were not able to fully offset the net impact of the higher input costs. We experienced significant inflation in chocolates, eggs and proteins that was only partly offset by deflation, primarily in flower and dairy. We have implemented additional pricing action in the second quarter for select categories that will further mitigate input cost inflation.

關於定價，雖然我們在本季實現了價格上漲，但我們無法完全抵消更高投入成本的淨影響。巧克力、雞蛋和蛋白質價格經歷了大幅上漲，但漲幅被通貨緊縮（主要是鮮花和乳製品價格）部分抵消。我們在第二季度針對部分類別實施了額外的定價措施，這將進一步緩解投入成本上漲。

We also had some nice wins across the portfolio that helped to support our results during the quarter. Our Frozen Beverage business achieved record first quarter results on a rebound in theater traffic as the movie lineup recovered from last year. We achieved record results despite an unfavorable year-over-year weakening of the peso that impacted our Frozen Beverage performance in Mexico.

我們的投資組合中也取得了一些不錯的成果，這有助於支持我們本季的表現。隨著電影陣容較去年同期有所恢復，戲院客流量也出現反彈，我們的冷凍飲料業務在第一季取得了創紀錄的業績。儘管比索同比貶值對墨西哥冷凍飲料業務的業績產生了不利影響，我們仍然取得了創紀錄的業績。

We also delivered strong results in frozen novelties across the portfolio, led by the growth in Dogsters and Dippin' Dots. Food service pretzels recovered in the quarter mainly from a rebound in the convenience store channel and elsewhere.

我們的整個冷凍新品組合也取得了強勁的業績，其中 Dogsters 和 Dippin' Dots 的成長最為顯著。本季度，食品服務椒鹽脆餅的復甦主要得益於便利商店通路和其他通路的反彈。

While we're not satisfied with our results, we view the underlying challenges as temporary. As I mentioned, we have implemented incremental pricing that has taken effect early in the second quarter. And as always, we continue to pursue volume growth and mix improvement across the portfolio.

雖然我們對結果並不滿意，但我們認為潛在的挑戰都是暫時的。正如我所提到的，我們已經實施了增量定價，並於第二季初生效。像往常一樣，我們將繼續追求整個產品組合的銷售成長和組合改善。

Encouragingly, Frozen Beverages and Snacks showed sequential improvement during the quarter, supporting confidence in our recovery trajectory. We remain disciplined and focused on the business principles that have driven long-term success and shareholder value. To that end, I am pleased to announce that our Board has approved a new $50 million stock repurchase authorization. This decision reflects our confidence in J&J's long-term value and our financial flexibility.

令人鼓舞的是，冷凍飲料和零食在本季度表現出連續改善，增強了我們對復甦軌蹟的信心。我們繼續嚴守紀律，專注於推動長期成功和股東價值的商業原則。為此，我很高興地宣布，我們的董事會已經批准了新的 5,000 萬美元股票回購授權。這項決定反映了我們對強生長期價值和財務彈性的信心。

With a strong balance sheet and ample liquidity, we are well equipped to execute this plan opportunistically while continuing to invest in organic and inorganic growth opportunities. We remain disciplined and thoughtful in deploying capital, ensuring that any investments we make deliver sustainable value for our shareholders.

憑藉強大的資產負債表和充足的流動性，我們有能力適時執行該計劃，同時繼續投資於有機和無機成長機會。我們在部署資本時保持紀律和深思熟慮，確保我們所做的任何投資都能為股東帶來可持續的價值。

Let me now briefly review highlights from each of our three business segments. Starting with Food Service. This segment continues to grow, driven by innovation and strategic partnerships despite some unfavorable changes to the sales mix. We realized 4.5% sales growth across Food Service, led by a 4.8% increase in soft pretzels as convenience store sales rebounded.

現在，讓我簡要回顧一下我們三個業務部門的亮點。從食品服務開始。儘管銷售組合出現了一些不利的變化，但在創新和策略合作夥伴關係的推動下，該細分市場仍在繼續成長。由於便利商店銷售額反彈，我們在食品服務領域的銷售額實現了 4.5% 的增長，其中軟椒鹽捲餅的銷售額增長了 4.8%。

Frozen novelties increased an impressive 9.8%, which included 8.4% sales growth in Dippin' Dots, driven by the theater and our new vending channels. Churros sales declined 9.2%, reflecting the lapping of a limited time offer volumes that I referenced earlier. Bakery sales growth of 6.6%, largely reflects price increases to offset input cost inflation.

受影院和新售貨管道的推動，冰雪奇緣新品銷量增長了 9.8%，其中 Dippin' Dots 銷量增長了 8.4%。油條銷量下降了 9.2%，反映出我之前提到的限時優惠銷售被抵銷了。烘焙銷售額成長6.6%，很大程度反映了價格上漲抵消了投入成本的上漲。

As for retail, we saw opportunities and challenges that led to a 2.2% increase in sales. Frozen novelty sales increased meaningfully, led primarily by volume gains in Luigi's and Dogsters, which outpaced declines elsewhere in the retail portfolio. The soft pretzel sales decline of 7.4% was partly attributed to an ordering system issue with a large customer that temporarily suppressed volumes. Resolution of this issue in late December positions us for improvement in Q2.

零售方面，我們看到了機會和挑戰，銷售額成長了 2.2%。冰雪奇緣新品銷量大幅成長，主要得益於 Luigi’s 和 Dogsters 的銷售成長，而其他零售產品的銷售下滑幅度則有所收窄。軟椒鹽捲餅銷售量下降 7.4% 的部分原因是大客戶的訂購系統出現問題，導致銷售暫時受到抑制。12 月底解決這個問題為我們第二季的改善奠定了基礎。

Frozen Beverage sales increased 4% and driven by an impressive 10% volume increase. The boost in volume was attributed to 45% growth in theater channels compared to the prior year, thanks to strong content releases in November and December. In addition to volume growth, machine revenue increased by 13%, offsetting a 3.7% drop in maintenance revenue.

冷凍飲料銷售額成長了 4%，主要得益於銷量 10% 的驚人成長。由於 11 月和 12 月強勁的內容發布，影院通路的票房收入較上年同期成長了 45%。除了銷售成長之外，機器收入也成長了 13%，抵消了維護收入 3.7% 的下降。

As it relates to our end markets, the outlook for the 2025 North America box office is strong with growth projected at over 10% year-over-year driven by a recovery from last year's strike. The industry has demonstrated remarkable resilience and we remain optimistic about its long-term recovery and growth trajectory. And we're seeing a continuation of growth in overall consumer spending on leisure, entertainment and experiential categories, which are outpacing traditional retail channels.

就我們的終端市場而言，2025 年北美票房前景強勁，預計成長率將超過 10%，這得益於去年罷工後的復甦。該行業已表現出顯著的韌性，我們對其長期復甦和成長軌跡仍持樂觀態度。我們看到休閒、娛樂和體驗類的整體消費者支出持續成長，成長速度超過了傳統零售通路。

Leisure and entertainment segments, in particular, are performing better now than they did prepandemic as consumers prioritize memorable experiences. These trends provide a strong tailwind for our business as we look to align with these evolving preferences. As we've demonstrated, our growing presence in the theater and entertainment channels, especially through ICEE and Dippin' Dots positions us well to take advantage of these trends.

由於消費者優先考慮難忘的體驗，休閒和娛樂領域目前的表現尤其好於疫情前。當我們努力順應這些不斷變化的偏好時，這些趨勢為我們的業務提供了強勁的推動力。正如我們所展示的，我們在劇院和娛樂管道中日益增長的影響力，尤其是透過 ICEE 和 Dippin' Dots，使我們能夠很好地利用這些趨勢。

With regard to our operations and logistics, our supply chain initiatives driven by the addition of 3 new RDCs are delivering as planned by increasing capacity and improving the efficiency of how we move products to customers. With operations now expanding 9 cold storage facilities, we have simplified logistics management across our network and lowered our inventory levels without compromising service. Currently, over 94% of our sales orders are shipped from the new distribution network compared to under 30% a year ago. This has resulted in more than a 12% reduction in average haul length, improved on-time performance and decreased line haul costs 13% per pound in our snack food business compared to the same quarter last year.

就我們的營運和物流而言，透過增加 3 個新的 RDC，我們的供應鏈計劃正在按計劃進行，透過提高產能和提高我們將產品運送給客戶的效率。隨著業務的擴大，目前已有 9 個冷藏設施投入運營，我們簡化了整個網路的物流管理，並在不影響服務的情況下降低了庫存水準。目前，我們 94% 以上的銷售訂單都是透過新的分銷網絡發貨的，而一年前這一比例還不到 30%。與去年同期相比，這導致我們的零食業務的平均運輸距離縮短了 12% 以上，準時性提高，每磅幹線運輸成本降低了 13%。

Moving to the marketing front. We're investing heavily in digital and shopper marketing to drive conversion across key brands like SUPERPRETZEL, Luigi's and Dogsters. In Food Service in particular, we're maintaining strong business-to-business marketing efforts focused on soft pretzels, churros and Funnel Cakes with direct to operator engagements driving leads.

轉向行銷前沿。我們正在大力投資數位和購物者行銷，以推動 SUPERPRETZEL、Luigi's 和 Dogsters 等主要品牌的轉換。特別是在食品服務領域，我們保持著強大的企業對企業行銷力度，重點關注軟椒鹽捲餅、油條和漏斗蛋糕，並透過直接與營運商的互動來吸引潛在客戶。

I want to highlight progress against a couple of our growth initiatives. We have made great progress on the rollout of Dippin' Dots to the theater channel. We increased our presence by 186 locations or about 21% in the first quarter. We're also excited about the recently launched Dippin' Dots Sundaes for retail, which represents a great entry into the retail channel for this iconic brand. The new sundaes hit the shelves in January with a large retailer and will reach other retailers throughout the quarter.

我想強調一下我們的一些成長舉措所取得的進展。我們在《Dippin' Dots》向影院頻道推出方面取得了重大進展。我們在第一季增加了 186 家門市，增幅約 21%。我們也對最近推出的 Dippin' Dots Sundaes 零售版感到非常興奮，這代表著這個標誌性品牌成功進入零售通路。新款聖代於一月份在一家大型零售商上架，並將在本季登陸其他零售商。

As it relates to capital deployment, our strong balance sheet and strong liquidity position provide us with the flexibility to pursue strategic opportunities, including M&A that align with our long-term growth objectives. We remain disciplined and thoughtful in deploying capital, ensuring that any investments we make deliver sustainable value for our shareholders.

就資本配置而言，我們強勁的資產負債表和強大的流動性狀況為我們提供了尋求策略機會的靈活性，包括符合我們長期成長目標的併購。我們在部署資本時保持紀律和深思熟慮，確保我們所做的任何投資都能為股東帶來可持續的價值。

In summary, while Q1 presented challenges, we believe they are short term in nature and remain confident in our ability to leverage the strength of our diversified product portfolio and iconic brands. Looking ahead, we remain focused on driving incremental placements, fostering innovation and expanding partnerships, which will position us well for sustained growth and value creation.

總而言之，雖然第一季面臨挑戰，但我們認為這些挑戰是短期的，我們仍然對我們利用多元化產品組合和標誌性品牌的優勢的能力充滿信心。展望未來，我們將繼續致力於推動增量配置、促進創新和擴大合作夥伴關係，這將為我們實現持續成長和價值創造做好準備。

I'd like to thank all the team members at J&J for their discipline and dedication to our long-term success. Thank you for your continued support. I'd now like to hand the call over to Shawn.

我要感謝強生公司所有團隊成員的紀律性和為我們的長期成功所做的奉獻。感謝您一直以來的支持。現在我想把電話交給肖恩。

Thank you, Dan, and good morning, everyone. Looking at our fiscal first quarter results, revenue increased 4.1% to $362.6 million, marking a Q1 record. As Dan mentioned, we experienced increased sales across the portfolio from a combination of volume and price increases. Food service revenue increased 4.5%, Retail was up 2.2% and Frozen Beverage grew 4%.

謝謝你，丹，大家早安。查看我們的第一財季業績，營收成長 4.1% 至 3.626 億美元，創下第一季的最高紀錄。正如丹所提到的，由於銷售量和價格的共同上漲，我們整個產品組合的銷售額都實現了成長。食品服務收入成長 4.5%，零售成長 2.2%，冷凍飲料成長 4%。

Cost of goods sold increased 5.9% to $268.7 million, leading to a gross profit of $93.9 million compared to $94.6 million in the year ago period, while gross margin declined to 25.9% from 27.2%. As Dan mentioned, despite the top line growth compared to the prior year, price increases lagged input cost inflation, and we also experienced some unfavorable mix changes associated with our bakery business as well as the loss of limited time offer churros volumes from last year.

銷售成本增加 5.9% 至 2.687 億美元，導致毛利為 9,390 萬美元，而去年同期的毛利為 9,460 萬美元，毛利率從 27.2% 下降至 25.9%。正如丹所提到的，儘管與前一年相比，營收有所增長，但價格上漲落後於投入成本上漲，而且我們的烘焙業務也經歷了一些不利的產品組合變化，以及去年限時優惠油條銷量的損失。

Record Q1 Frozen Beverage performance supported results despite headwinds from a weaker peso related to our Mexico business. Additionally, hurricane impacts contributed to an estimated $600,000 of lost gross profit.

儘管受到墨西哥業務相關的比索貶值的不利影響，但第一季冷凍飲料的創紀錄表現仍為業績提供了支撐。此外，颶風影響還造成約 60 萬美元的毛利損失。

Moving down the income statement. Total operating expenses were 24.2% of sales as compared to 24.4% last year. Overall, operating expenses increased 3.3%. Marketing expenses were 7.9% of sales in line with last year's percentage of sales. Overall, marketing and selling expenses increased 4.4%. Almost half of the year-over-year increase was related to increased brand amortization expenses associated with the legacy Churros brand that is being phased out for the Hola! Churros brand.

降低損益表。總營業費用佔銷售額的24.2％，去年為24.4％。整體而言，營業費用增加了3.3%。行銷費用佔銷售額的 7.9%，與去年的銷售額百分比一致。整體而言，行銷和銷售費用增加了4.4%。年成長的近一半與傳統 Churros 品牌的品牌攤銷費用增加有關，該品牌正在逐步淘汰，以迎合 Hola！油條品牌。

Distribution costs were 10.9% of sales, down from 11.6% in the prior year. The decline primarily reflects the impact of start-up costs at our regional distribution centers last year. Absent those impacts in the prior year, distribution costs would have been approximately in line with last year's percentage of sales. As volume ramps up over time, we expect the distribution cost rate to decline.

分銷成本佔銷售額的 10.9%，低於去年的 11.6%。下降主要反映了去年我們區域配送中心的啟動成本的影響。如果不考慮上一年度的影響，分銷成本將與去年的銷售額百分比大致相同。隨著銷售逐漸增加，我們預期分銷成本率將會下降。

Administrative expenses were 5.2% of sales in line with the prior year. Other general expense increased $1.6 million year-over-year, primarily reflecting favorable impacts in the prior year period. Operating income for the quarter declined to $6.2 million from $9.7 million, reflecting the near-term pressures on profitability. Adjusted operating income was $8.2 million compared to $13.5 million last year.

管理費用佔銷售額的5.2%，與前一年持平。其他一般費用比去年同期增加了 160 萬美元，主要反映了去年同期的有利影響。本季營業收入從 970 萬美元下降至 620 萬美元，反映出短期獲利能力面臨壓力。調整後的營業收入為 820 萬美元，而去年同期為 1,350 萬美元。

The effective tax rate was 27.2% for the quarter compared to 26.6% in the prior year. This resulted in net earnings of $5.1 million compared to $7.3 million in the first quarter of fiscal 2024 and earnings per diluted share of $0.26 versus $0.37 in the prior year period. Adjusted earnings per diluted share were $0.33 versus $0.52 in the prior year quarter. Adjusted EBITDA declined to $25.3 million from $30.2 million in the first quarter last year.

本季有效稅率為 27.2%，去年同期為 26.6%。這導致淨利潤為 510 萬美元，而 2024 財年第一季為 730 萬美元，每股攤薄收益為 0.26 美元，去年同期為 0.37 美元。調整後每股攤薄收益為 0.33 美元，去年同期為 0.52 美元。調整後 EBITDA 從去年第一季的 3,020 萬美元下降至 2,530 萬美元。

Taking a look at our balance sheet and cash flow. We continue to have a healthy balance sheet and liquidity position with $74 million in cash and no long-term debt at quarter end. During the quarter, we generated approximately $16 million of free cash flow, and we had approximately $213 million of borrowing capacity under our revolving credit agreement.

看看我們的資產負債表和現金流量。我們的資產負債表和流動性狀況依然健康，季末現金為 7,400 萬美元，沒有長期債務。在本季度，我們產生了約 1,600 萬美元的自由現金流，根據循環信貸協議，我們擁有約 2.13 億美元的借貸能力。

In closing, although the quarter presented some challenges that we're navigating, we're encouraged by some of the positives we've seen this quarter, particularly with the recovery in theater traffic given our presence in that channel. Our top line continues to grow from a combination of price and volume growth. Our bakery business has experienced some challenges, but it does provide some contractual protection from input cost volatility.

最後，儘管本季我們面臨一些挑戰，但我們對本季看到的一些積極因素感到鼓舞，特別是考慮到我們在該管道的存在，影院客流量有所恢復。我們的營業額持續因價格和銷量的共同成長而成長。我們的烘焙業務遇到了一些挑戰，但它確實提供了一些合約保護，以防止投入成本波動。

The Dippin' Dots rollout to theaters is progressing smoothly, and new product launches are poised to drive further growth, positioning us well for the year ahead. Additionally, a strong balance sheet and cash generation continue to provide us with the flexibility to invest in the business.

《Dippin' Dots》在戲院的推廣進展順利，新產品的推出有望推動進一步成長，為我們來年做好充分準備。此外，強勁的資產負債表和現金產生能力繼續為我們投資業務提供靈活性。

Before I turn the call over to the operator, I want to thank Dan, our Board of Directors and every member of the J&J team for their warm welcome. I would now like to turn the call over to the operator for questions and answers.

在我將電話轉給接線員之前，我要感謝丹、我們的董事會以及強生團隊的每一位成員的熱烈歡迎。現在我想將電話轉給接線員來進行問答。

(Operator Instructions)

（操作員指令）

Todd Brooks, Benchmark Company.

布魯克斯（Todd Brooks），Benchmark Company。

Welcome aboard, Shawn. Good to have you. Is there a way that you could provide kind of a gross margin bridge for the decline year-over-year kind of parsing out for us? How much was commodity related, (technical difficulty) related and mix related? I think that would be helpful.

歡迎加入，肖恩。很高興有你。您能給我們一個方法來分析毛利率年減的情況嗎？與商品、技術難度和混合相關的程度有多少？我認為那將會很有幫助。

Yes. Yes. So in simple terms, Todd, if you look at the decline from where we were last year to this year in gross margin, you've got about 80 basis points that we associate with what I would call the gap in pricing relative to input costs. The balance of that is really coming through a mix with the loss in our bakery business. That's just simple broad strokes.

是的。是的。所以簡單來說，托德，如果你看一下我們去年到今年的毛利率下降情況，你會發現大約有 80 個基點，這與我所說的相對於投入成本的定價差距有關。其中的差額實際上是透過與我們的烘焙業務的損失相結合而實現的。這只是簡單的概括。

When you think about the foreign exchange impact relative to last year, keep in mind that we have a relatively large Frozen Beverage business in Mexico, had a really solid quarter, but there was a headwind associated with the peso so the peso has weakened about 20% versus prior year. And that amount is -- that's almost $1 million.

當您考慮與去年相比的外匯影響時，請記住，我們在墨西哥擁有相對較大的冷凍飲料業務，本季度業績非常穩健，但比索面臨阻力，因此比索較上年貶值約 20%。這筆金額是 — — 差不多有 100 萬美元。

Okay. Great. And just a more structural question. How does this kind of creep up in such a dramatic fashion over the course of a quarter? And as we're taking additional price actions in the current quarter, I think the comment in the release was that those actions would help to further mitigate some of these pressures that you just highlighted, but it doesn't necessarily imply that it's being fully mitigated.

好的。偉大的。這是一個更結構化的問題。這種情況是如何在一個季度內以如此戲劇性的方式加劇的？由於我們在本季度採取了額外的價格行動，我認為新聞稿中的評論是，這些行動將有助於進一步緩解您剛才強調的一些壓力，但這並不一定意味著這些壓力已完全緩解。

So just kind of the thoughts on taking pricing. How much of these kind of, especially commodity pressures, you think you can mitigate and maybe tie that into a view for gross margin potential for the full year?

這只是關於定價的一些想法。您認為您可以緩解多少此類壓力，尤其是商品壓力，並將其與全年毛利率潛力聯繫起來？

Yes, sure. So again, going back to my earlier point, if you take the price increases and keep in mind, these price increases have already been implemented in the quarter. Most of those were implemented in January, some roll through in February. But that is behind us.

是的，當然。所以，回到我之前的觀點，如果你接受價格上漲並記住，這些價格上漲已經在本季實施了。大部分措施已於一月實施，部分措施將於二月實施。但那已經是過去式了。

And the magnitude of the pricing that we've taken, had it been, say, retroactive to Q1, that would have closed right around 80 basis points of that gross margin contraction. So again, not to imply that, that's going to cover all of the ingredient cost inflation, but it's going to help to cover a fair bit of that gap that we experienced in Q1.

而我們採取的定價幅度，比如說，追溯到第一季度，將會使毛利率下降約 80 個基點。所以，再次強調，這並不是說這將涵蓋所有原料成本上漲，但它將有助於彌補我們在第一季遇到的相當一部分缺口。

And just as it relates to the ingredient cost inflation, the input cost inflation year-over-year, we did have some relief in flour, we had relief in dairy and some other items. But when you look at chocolates and you look at eggs, just the unit cost of both of those products have nearly doubled on a year-over-year basis. Surely, we would have liked to have had that pricing implemented in Q1, that didn't happen, but we're confident that we're getting it here in Q2.

正如它與原料成本通膨、投入成本同比通膨有關一樣，麵粉成本、乳製品和其他一些產品的成本確實有所緩解。但是，當你看到巧克力和雞蛋時，這兩種產品的單位成本幾乎比去年同期翻了一番。當然，我們希望在第一季就實施這項定價，但這並沒有發生，但我們有信心在第二季實現這項定價。

And that pricing that I was just referencing, that's really kind of the snack side pricing. We expect that we're going to have about -- we've already implemented another 4%, approximately 4% in price increases associated with the Frozen Beverage business, another 3% in Dippin' Dots. But the sales team has worked through this with our customers, and it will make a difference.

我剛才提到的定價其實是一種零食定價。我們預計——我們已經實施了另外 4% 的漲價，與冷凍飲料業務相關的價格上漲了大約 4%，與 Dippin' Dots 相關的價格上漲了 3%。但銷售團隊已經與我們的客戶一起解決了這個問題，這將帶來改變。

That's good to hear. And then finally, is there any worry that with the consumer in eggs, maybe let's call it a fragile, but stable place right now that you get the pricing through, but what are you watching and where are you most worried about potential volume response, the downside that would offset some of this benefit?

我很高興聽到這個消息。最後，是否有擔心雞蛋消費者目前面臨的一個脆弱但穩定的局面，定價問題擺在眼前，但您在關注什麼？

Yes, Todd, that's a great question. Good talking with you. We're watching that really closely and we will continue to watch it closely. But as you know, some of these increases that we've received from things like chocolates and eggs are pretty standard wide across the industry. And so we're going to have to pass some of those on, and then just watch what happens at the end user.

是的，托德，這是一個很好的問題。很高興與您交談。我們正在密切關注此事並將繼續密切關注。但正如你所知，我們從巧克力和雞蛋等產品中獲得的一些增長在整個行業中是相當標準的。因此我們必須傳遞其中的一些，然後觀察最終用戶會發生什麼。

We've been fortunate enough to be able to grow volume across the organization and even this quarter, having a 4.1% increase. So we'll watch it closely, but we do feel like we need to pass those increases on.

我們很幸運能夠實現整個組織的銷售成長，本季的銷售量甚至成長了 4.1%。因此我們會密切關注，但我們確實覺得我們需要將這些增長轉嫁出去。

Just to build on that, I mean, we've been selective in terms of where the pricing is being implemented, what products. So it's not as if it's just across the board.

為了在此基礎上再接再厲，我的意思是，我們在定價實施地點和產品方面進行了選擇。所以這並不是普遍現象。

Andrew Wolf, CL King.

安德魯沃爾夫、CL金。

Great. Sort of going to start with a follow-up on what Todd was -- some of the -- where he was sort of going at. So this is like, if you adjust for the hurricane, the second quarter in a row where the gross margin contracted roughly 100 basis points or a little more.

偉大的。首先要跟進一下托德的情況──一些──他要去的地方。因此，如果考慮颶風的影響，連續第二季毛利率將下降約 100 個基點或更多。

So I mean, is there any systems issues with regard to tracking costs and being time picking them up in a timely enough manner or are there contractual issues where you just can't bump the price up that immediate because you're stuck in a contract or is it more trade relations where certain price increases only come through with certain customers kind of on a fixed schedule? Can you help us just understand why the -- from the outside, why it's sort of half a year of price increases and of cost increases or the amount? And now we're seeing price realization, a little bit.

所以我的意思是，在追蹤成本和及時獲取成本方面是否存在系統問題，或​​者是否存在合約問題，即你受困於合約而無法立即提高價格，或者是否更多的是貿易關係，即某些價格上漲只能按照固定的時間表對某些客戶實現？您能否幫助我們從外部理解為什麼價格和成本會在半年內上漲，或者金額會上漲？現在我們稍微看到了價格實現。

Yes, sure. Great question. And this, I would describe this as not being a matter of visibility. This was predominantly a function of just the time that it took to get these price increases through to our customers. There's been a lot of price increases in the industry for sure, given what we've seen in those inputs. And so it just -- it took a little bit more time than we were planning for to get that pushed through.

是的，當然。好問題。而我認為這與可見性無關。這主要取決於我們將價格上漲傳達給客戶所需的時間。從我們看到的投入情況來看，產業價格肯定已經大幅上漲。所以，我們只是花了比計畫多一點的時間來實現這個目標。

Andrew, this is Dan. Shawn is spot on there. Todd just asked the question about the customer and what happens to the end user as these prices go up. Whenever you're raising prices, it's a touchy subject to go after. And sometimes during the contracts, sometimes there's a lag of time that it takes to get there. We believe that we have that covered as we go into the second quarter, but yes, there's a lag going into it.

安德魯，這是丹。肖恩 (Shawn) 就在那裡。托德剛才問了一個關於客戶的問題，以及當價格上漲時最終用戶會發生什麼。無論何時提高價格，這都是一個敏感話題。有時在合約期間，有時需要一段時間才能實現。我們相信，在進入第二季度時我們已經涵蓋了這一點，但是確實存在滯後現象。

Okay. And so roughly, again, taking out the hurricane impact, the 20 basis points to 30 basis points that isn't yet covered. Is that pretty much all mix?

好的。因此，粗略地講，再次消除颶風的影響，還有 20 個基點到 30 個基點尚未覆蓋。這幾乎就是所有的混合物嗎？

Yes, that's right.

是的，沒錯。

To the extent it is, can you kind of -- is it more to do with losing the high-margin churros? Or is it -- or is it within the bakery business? Any specificity and how you -- how that sort of gets better going forward is helpful.

從某種程度上來說，您是否可以——這是否與失去高利潤的油條有關？還是——或者是在烘焙業務範圍內？任何具體細節以及你如何——如何在未來使這種情況變得更好都是有幫助的。

We really had two things that happened in the quarter. One is, as you mentioned, the high-volume churros business from a QSR that was really promoting it strongly. And we'll do that in the second quarter. We still have to face that a little bit as well. The other is we lost some pie business at a major retailer that is really seasonal. T

本季確實發生了兩件事。一是，如你所提到的，QSR 的大批量油條業務正在大力推廣。我們將在第二季度實現這一目標。我們仍然必須面對這一點。另一個原因是，我們失去了一家大型零售商的一些季節性餡餅生意。電視

he only impact that it has is in that first quarter, but that also had an impact on us. We retained the no sugar added piece of the pie business that we lost the other as it became more competitive, and we've been on it and just did not retain the bit.

它唯一的影響是在第一季度，但這也對我們產生了影響。我們保留了無糖業務的份額，隨著競爭的加劇，我們失去了另一部分，我們一直在做這件事，只是沒有保留這一部分。

And I would describe that as being pretty attractive margin profile last year on the pies. but that margin wasn't going to hold this year given some of the competitive pressure. And we bid on it at a lower price, ultimately didn't -- weren't awarded it, but it was -- in the prior year, it was a healthy margin, same with the churros.

我認為去年餡餅的利潤率相當有吸引力。但考慮到競爭壓力，今年這一差距將不會維持。我們以較低的價格競標，但最終沒有得標，但在前一年，它的利潤率還是比較高的，油條也是一樣。

So last thing, if we wanted to build back your operating profit by segment, I guess we would take most of the 80 basis points into the profit in Food Service and most of the 20 basis points for mix, the profit for food retail?

所以最後一件事，如果我們想按部門重建您的營業利潤，我想我們會將 80 個基點中的大部分用於食品服務利潤，將 20 個基點中的大部分用於混合利潤，即食品零售利潤？

Yes, that's right. Yes.

是的，沒錯。是的。

And did you -- how much did the peso impact profitability for the beverage, gross beverage?

並且－比索對飲料的獲利能力，飲料總收入的影響有多大？

Yes. It was -- look, it was close to $1 million impact for the quarter. It's a pretty substantial business down there. And keep in mind, it's just we've reached that period where you're lapping, the peso was trading around 17% last year at this time and now we're up around 20%. So it was close to a 20% impact.

是的。你看，這對本季的影響接近 100 萬美元。這是那裡的一項相當可觀的生意。請記住，我們只是到達了那個時期，去年此時比索的交易價格約為 17％，而現在上漲了 20％ 左右。因此影響接近20%。

Robert Dickerson, Jefferies.

羅伯特·迪克森（Robert Dickerson），傑富瑞（Jefferies）。

I guess just a couple of questions, hopefully, not too hard. Dan, maybe first question. I know you had a comment in the prepared remarks around just kind of recovery in the convenience store channel? And maybe if you could just spend a little time trying to provide a little bit more color as to kind of what you're seeing actually in that channel, maybe more broadly speaking? And then also just kind of specific to kind of what's working for you more within the channel? That's the first question.

我想這只是幾個問題，希望不是太難。丹，也許是第一個問題。我知道您在準備好的評論中對便利商店管道的復甦發表了評論？也許您可以花一點時間嘗試提供更多細節來說明您在該頻道上實際看到的內容，或者更廣泛地說？然後還能具體說明什麼在該頻道內對您最有幫助嗎？這是第一個問題。

Yes. The reference there was our pretzel business growing inside the convenience store channel. And we have a really strong team associated with that today, and they've gone out there and found some good new business over the last six months or so, and we're seeing a nice recovery where maybe some of that business has lagged over the last year. I like what our team is doing, and I see a good recovery in that portion of our business.

是的。這裡提到的是我們的椒鹽捲餅業務在便利商店通路內不斷成長。如今，我們擁有一支非常強大的團隊，他們在過去六個月左右的時間裡發現了一些不錯的新業務，我們看到了良好的復甦跡象，而去年部分業務可能有所滯後。我喜歡我們團隊所做的事情，而且我看到我們這部分業務正在很好地復甦。

Okay. Cool. Super. And then maybe just kind of, again, broadly on the gross margin side. I clearly understand everything said so far around kind of the cost price differential in the near term, there's some contractual protections and probably certain products or commodities.

好的。涼爽的。極好的。然後可能只是再次大致了解毛利率方面。我清楚地了解目前關於短期成本價格差異所說的一切，存在一些合約保護，可能還有某些產品或商品。

And then -- but then I also hear you kind of like ongoing growth potential such that movie channel traffic can improve, the lineup looks good, et cetera, et cetera, with maybe still a little bit of kind of margin pressure in Q2. I mean it didn't sound like it would be as much, let's say, just given some of the pricing catch up. But as we kind of think about like first half, back half. I feel like we talk about J&J a lot first half, back half just because of the seasonality of the business.

然後 — — 但隨後我還聽說您喜歡持續的成長潛力，例如電影頻道流量可以改善，陣容看起來不錯，等等，等等，第二季度可能仍然會有一點利潤壓力。我的意思是，聽起來好像不會那麼多，只是考慮到一些價格上漲。但正如我們思考上半場和下半場時那樣。我覺得我們上半年和下半年談論強生很多，只是因為業務的季節性。

As we sit here today, like could we be in a situation such that as we're in the back half of the year that, that gross margin could actually wind up being at least flattish, let's just like argument's sake, right? Pricing comes through, some of the one-offs kind of go away, maybe traffic, movie channel picks up. Just trying to gauge how you're kind of thinking about that one line item as we look through the year?

我們今天坐在這裡，我們是否會處於這樣的情況：當我們處於今年下半年時，毛利率實際上可能至少持平，讓我們爭論一下，對嗎？定價機制出台後，一些一次性活動可能會消失，但流量、電影頻道可能會增加。只是想了解一下，當我們回顧這一年時，您對這項專案有何看法？

Yes, Rob, great question. I'm going to let Shawn answer some of it, and then I'll add some color to it. But thank you for that question.

是的，羅布，這個問題問得很好。我打算讓肖恩回答其中的一些問題，然後我會添加一些說明。但感謝您的提問。

Yes. Good question. So the way I would portray that is when we think about the second half, we're -- the goal here, our expectation is that we're going to get back to that low 30% gross margin level. This quarter, the second quarter, I would describe that as being sort of transitional between Q1 and the back half. The one headwind that we really face in the second quarter is the churros volumes that we had last year.

是的。好問題。所以我會這樣描述：當我們考慮下半年時，我們的目標是，我們的預期是回到 30% 的低毛利率水準。本季度，也就是第二季度，我將其描述為第一季和下半年之間的過渡。我們在第二季真正面臨的一個阻力是去年的油條銷售量。

So we had pretty significant QSR churros volumes for the Super Bowl. We've added new churros customers, but we don't expect to see the same volume in churros this second quarter that we did last year. That was a relatively attractive business.

因此，我們在超級盃期間的 QSR 油條銷售量相當可觀。我們增加了新的油條客戶，但我們預計第二季油條的銷售不會與去年一樣。這是一項相對有吸引力的業務。

But when you look at the second half of the year, the expectation is that we still get back in that low 30% gross margin range. And keep in mind that just the seasonality of the business, that's where you're going to start to see more help from the Frozen Beverage and the Dippin' Dots in the portfolio.

但展望下半年，我們預期毛利率仍將回到 30% 左右的區間。請記住，這只是業務的季節性，這就是您將開始從投資組合中的冷凍飲料和 Dippin' Dots 看到更多幫助的地方。

Yes. And you mentioned in that -- in your conversation that the theaters and the theaters do anticipate being up 10% year-over-year. As you know, we've continued to grow inside the theaters with Dippin' Dots and with ICEE and really on our snack food side, too. And then there's some good wins across the business as we enter into the second half of the year. We feel pretty confident that we'll be back into that range that we were last year, if not better, by the time the year is done.

是的。您在談話中提到，影院和劇院的票房預計將年增 10%。如您所知，我們透過 Dippin' Dots 和 ICEE 在影院內不斷發展，並且在零食方面也是如此。進入下半年，整個業務都取得了一些良好的進展。我們非常有信心，到今年年底，我們的業績將恢復到去年的水平，甚至更好。

Okay. Okay. Super. That's very helpful. And then I guess, just quickly on Dippin' Dots. Again, Dan, I thought I heard you -- I just missed it a little bit from the detail. So I'm sorry, but I thought I heard you speak to kind of a new retailer you're entering or have entered with Dippin' Dots and you clearly were sitting here early February.

好的。好的。極好的。這非常有幫助。然後我想，就快速地談談 Dippin' Dots。丹，我以為我聽到了你的聲音，只是有點忽略了細節。很抱歉，但我以為我聽到您在談論一家您正在進入或已經進入的 Dippin' Dots 新零售商，而且您顯然是在二月初坐在這裡。

I mean that is a product that, again, probably would have some seasonal lift. So maybe just kind of spend two seconds on kind of the magnitude of that retailer. Is that like a large national retailer? A lot of units, the majority of their locations. Just trying to get some sense as to how material that is.

我的意思是，這款產品可能也會受到季節性的影響。因此，也許我們只需要花兩秒鐘來了解該零售商的規模。這就像一個大型的全國性零售商嗎？很多單位，大部分都是他們的所在地。只是想了解這有多重要。

Yes. We're really excited about the release of the Dippin' Dots in the retail, and we've had great acceptance really all across the board. We did kick off with a major retailer that's nationwide in January. And then it will be in the market really in all of them by the time we get into mid-February.

是的。我們對 Dippin' Dots 在零售市場的發布感到非常興奮，而且我們確實得到了各方面的一致好評。我們確實於一月份與全國一家大型零售商開始了合作。到二月中旬，它就會真正進入所有市場。

And then you'll see it grow across retailers all throughout the quarter, really great acceptance to the new product. And so far, the early readings of the sell-through have been really good. So we're watching it closely, but we have a lot of really high hopes on that particular product.

然後你會看到它在整個季度中在各個零售商中都實現成長，新產品的接受度非常高。到目前為止，早期的銷售情況非常好。因此我們正在密切關注，但我們對該產品寄予厚望。

All right. Super. And then just last quick one for me is just the retail authorization. We don't see that every day come from you while at the same time, also speaking to always actively looking for kind of the next attractive acquisition opportunity. Should it just be assumed at this point that like, well, absent an acquisition opportunity that yes, we will look to repurchase at least some of our stock and especially just kind of given where valuation is today relative to history? That's all.

好的。極好的。對我來說最後一個是零售授權。我們不會每天都看到你們這麼做，同時，你們也在積極尋找下一個有吸引力的收購機會。此時是否應該假設，如果沒有收購機會，我們將考慮回購至少部分股票，特別是考慮到今天的估值相對於歷史的估值？就這樣。

Yes, I'll take that one. Yes. So I described this as just being consistent with the company's capital deployment strategy. Our objective, of course, is to deploy capital that we think generates value for shareholders over time. And we see compelling value in the shares.

是的，我要那個。是的。所以我將其描述為僅與公司的資本配置策略一致。當然，我們的目標是部署我們認為能夠隨著時間的推移為股東創造價值的資本。我們看到該股票具有引人注目的價值。

I will say that our plan is to be opportunistic in terms of the pace and the timing, but I would view this as being complementary to the rest of the capital deployment strategy. This isn't something that is kind of an and/or with -- that's an or with respect to M&A. So yes, it's just a consistent approach is the best way to describe it.

我想說的是，我們的計劃在速度和時間方面是機會主義的，但我認為這是其他資本配置策略的補充。這不是一種「與/或」關係，而是一種與併購​​有關的「或」關係。所以是的，一致的方法是描述它的最佳方式。

I'm showing no further questions at this time. I'd now like to turn it back to Dan for closing remarks.

我目前沒有其他問題。現在我想請丹作最後發言。

Thank you, operator. In closing, we are executing our strategy effectively in a dynamic operating environment, and we remain confident in our ability to achieve our goals, both in 2025 and over the long term. I'd also like to take a moment to commend Shawn on his smooth transition and ability to quickly take a leadership role within our organization.

謝謝您，接線生。最後，我們正在動態的營運環境中有效地執行我們的策略，並且我們對實現 2025 年及長期目標的能力充滿信心。我還想花點時間讚揚肖恩的順利過渡以及在我們組織內迅速擔任領導角色的能力。

We look forward to sharing our fiscal 2025 second quarter results with you. And in the meantime, if you have any questions or would like to connect with us, please reach out to our Investor Relations team at JCIR at 2122 835-8500. Thank you, and have a wonderful day.

我們期待與您分享 2025 財年第二季的業績。同時，如果您有任何疑問或希望與我們聯繫，請聯繫 JCIR 的投資者關係團隊，電話：2122 835-8500。謝謝您，祝您有美好的一天。

Thank you for your participation in today's conference. This does conclude the program. You may now disconnect.

感謝您參加今天的會議。該計劃確實結束了。您現在可以斷開連線。