Lemonade Inc (LMND) 2025 Q1 法說會逐字稿

Hello, and welcome, everyone to the Lemonade Q1 2025 Earnings Call. My name is Maxine, and I'll be coordinating the call today. (Operator Instructions) I will now hand over to the Lemonade team to begin. Please go ahead.

大家好，歡迎參加 Lemonade 2025 年第一季財報電話會議。我叫 Maxine，今天我將負責協調這場電話會議。（操作員指示）現在我將把任務交給 Lemonade 團隊開始。請繼續。

Good morning, and welcome to Lemonade's first quarter 2025 earnings call. Joining us on our call today, we have Daniel Schreiber, CEO and Co-Founder; Michal Langer, Chief Product Officer and Leader of our Car Business; and Tim Bixby, Chief Financial Officer. A letter to shareholders covering the company's first quarter 2025 financial results is available on our Investor Relations website at lemonade.com/investor.

早上好，歡迎參加 Lemonade 2025 年第一季財報電話會議。今天參加我們電話會議的有執行長兼共同創辦人 Daniel Schreiber； Michal Langer，首席產品長兼汽車業務負責人；以及財務長 Tim Bixby。致股東的信函涵蓋公司 2025 年第一季的財務業績，可在我們的投資者關係網站 lemonade.com/investor 上查閱。

I would like to remind you that management's remarks made on this call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors, including those discussed in the risk factors section of our form 10-K filed with the SEC on February 26, 2025, and our other filings with the SEC. Any forward-looking statements made on this call represent our views only as of today, and we undertake no obligation to update them.

我想提醒您，管理階層在本次電話會議上發表的言論可能包含《1995 年私人證券訴訟改革法案》所定義的前瞻性陳述。由於各種重要因素，實際結果可能與這些前瞻性陳述所示的結果有重大差異，包括我們於 2025 年 2 月 26 日向美國證券交易委員會提交的 10-K 表格中的風險因素部分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因素。本次電話會議中所做的任何前瞻性陳述僅代表我們截至今天的觀點，我們不承擔更新這些陳述的義務。

We will be referring to certain non-GAAP financial measures on today's call, including adjusted EBITDA, adjusted free cash flow, and adjusted gross profit, which we believe may be important to investors to assess our operating performance. Reconciliations of our non-GAAP financial measures to the most directly comparable GAAP financial measures are included in our Letter to Shareholders. Letter to Shareholders also includes information about our key performance indicators, including customers, enforced premium, premium per customer, annual retention, gross earned premium, gross loss ratio, gross loss ratio, ex-CAT, trailing 12 months loss ratio, and net loss ratio, and a definition of each metric, why each is useful to investors, and how we use each to monitor and manage our business.

我們將在今天的電話會議上參考某些非 GAAP 財務指標，包括調整後的 EBITDA、調整後的自由現金流和調整後的毛利，我們認為這些指標對於投資者評估我們的經營業績可能很重要。我們的非公認會計準則財務指標與最直接可比較的公認會計準則財務指標的對帳已包含在我們致股東的信中。致股東的信還包括有關我們關鍵績效指標的信息，包括客戶、強制保費、每位客戶保費、年度保留、總已賺保費、總損失率、總損失率、不包括巨災因素、過去 12 個月的損失率和淨損失率，以及每個指標的定義、每個指標對投資者有用的原因以及我們如何使用每個指標來監控和管理我們的業務。

With that, I'll turn the call over to Daniel for some opening remarks.

說完這些，我會把電話交給丹尼爾，請他發表一些開場白。

Good morning, and thank you for joining us to discuss Lemonade's results for Q1 2025. It's a pleasure to report that across all of our key metrics, our financial performance in the first quarter was strong, and that everything in the business is progressing very much to plan. At 27% year-on-year growth, Q1 was a sixth consecutive quarter of accelerating top-line growth.

早安，感謝您加入我們討論 Lemonade 2025 年第一季的業績。我們很高興地報告，從我們所有的關鍵指標來看，第一季的財務表現都很強勁，而且業務的一切都在按計劃順利進行。第一季營收年增 27%，為連續第六個季度加速成長。

Perhaps more notably, with the exception of our growth spend, we've seen no material corresponding rise in our expense base. Quite the contrary, in real terms excluding growth spend in the past 10 quarters we have seen a decline in our expenses, while the book has increased by more than 65%. When you see a top line surging by two-thirds even as fixed costs stay flat or fall, what you're seeing is AI hard at work. For us, AI was never a fashionable acronym to roll out on earning calls. It's always been core to our culture, to our differentiation, and to our strategy, and its power is increasingly apparent in our P&L.

或許更值得注意的是，除了成長支出外，我們的支出基礎並未出現相應的實質成長。恰恰相反，過去 10 個季度中，扣除成長支出後，我們的實際支出有所下降，而帳面收入卻增加了 65% 以上。當你看到營業額飆升三分之二，而固定成本保持不變或下降時，你看到的就是人工智慧在努力工作。對我們來說，「AI」從來都不是一個在財報電話會議上流行的縮寫。它始終是我們文化、差異化和策略的核心，它的力量在我們的損益表中越來越明顯。

We expect this dynamic to persist, with the growth of our gross profit far outpacing the growth of our fixed costs. This is why we're comfortable reiterating our expectation of achieving EBITDA breakeven by the end of next year, now just a few quarters away. We are also reiterating our EBITDA guidance for this year and modestly raising our expectations for gross earned premium and revenue. We also reiterate our expectation of generating positive, adjusted free cash flow in 2025 despite the unfavorable impact of the California wildfires in the first quarter.

我們預計這種動態將持續下去，我們的毛利成長將遠遠超過固定成本的成長。這就是為什麼我們樂意重申我們的預期，在明年年底（現在只剩下幾季）實現 EBITDA 收支平衡。我們也重申了今年的 EBITDA 指導，並適度提高了對總保費和收入的預期。儘管第一季加州野火造成了不利影響，但我們仍重申，預計 2025 年將產生正的調整後自由現金流。

Speaking of the California wildfires, their impact on our Q1 results was notable, contributing 16%age points to our gross loss ratio. Even with that impact, our trailing 12-month gross loss ratio remains stable and in line with our target range at 73%, while adjusted gross profit actually improved 25% year-on-year. That I think speaks both volumes to the quality of our book and resilience of our business.

說到加州山火，它對我們第一季業績的影響是顯著的，導致我們的總損失率上升了 16 個百分點。即使受到這種影響，我們過去 12 個月的毛損率仍然保持穩定，與我們 73% 的目標範圍一致，而調整後的毛利實際上同比增長了 25%。我認為這充分說明了我們書籍的品質和業務的彈性。

We're closely monitoring the evolving tariff environment, particularly for imported auto parts. A headline 25% tariff on auto parts should it endure, would likely increase loss trends in that category by single digit percentage points, which we would endeavor to reflect in our rates as soon as possible in order to maintain stable loss ratios.

我們正在密切關注不斷變化的關稅環境，特別是進口汽車零件的關稅環境。如果對汽車零件徵收 25% 的關稅，則可能使該類別的損失趨勢增加個位數個百分點，我們將努力盡快將這一趨勢反映在我們的費率中，以保持穩定的損失率。

Finally, you may have noticed that we changed the timing of our shareholder letter to align more closely with common practice. We've also refreshed our investor website, so pop over to investor.lemonade.com or lemanet.com/investor and check it out. In the same vein, we're also going to mix things up a little on the call and try to bring in a wider array of voices from the management team. And to kick this off, as Shai is taking a well-earned vacation with his family, he has asked Michal Langer to update you on our car business. Michal is both our Chief Product Officer and the Executive leading our Car Business. And so her contribution and perspective is central to everything that we do at Lemonade. Michal?

最後，您可能已經注意到，我們改變了致股東信函的時間，以便更符合慣例。我們也更新了我們的投資者網站，因此請訪問 investor.lemonade.com 或 lemanet.com/investor 進行查看。同樣，我們也將在電話會議上稍微改變內容，並嘗試引入更多來自管理團隊的聲音。首先，由於 Shai 正在與家人一起享受應得的假期，他要求 Michal Langer 向您報告我們的汽車業務。Michal 既是我們的首席產品官，也是領導我們汽車業務的高階主管。因此，她的貢獻和觀點對於我們在 Lemonade 所做的一切至關重要。米哈爾？

Thanks, Daniel. Lemonade Car continued to build momentum this quarter. And for the first time, its quarter-over-quarter IFP growth outpaced the rest of the business. That's a key milestone and one that signals the engine is starting to rev. There are two elements that we consider are unique differentiators. First, our LTV and telematics models, which give us a unique ability to find and price ideal customers. This is true especially for safe younger drivers, who other insurance routinely overcharge relying on blunt age-based risk buckets. With industry-leading telematics adoption and a continuous lifetime flow of driving data for each customer, we can fine-tune pricing and automate processes with unrivaled precision.

謝謝，丹尼爾。本季度，Lemonade Car 繼續保持強勁勢頭。並且，其季度 IFP 成長首次超過了其他業務。這是一個重要的里程碑，標誌著引擎開始加速運轉。我們認為有兩個因素是獨特的差異因素。首先，我們的 LTV 和遠端資訊處理模型使我們擁有獨特的能力來尋找理想客戶並為其定價。對於安全的年輕駕駛者來說尤其如此，其他保險公司經常依靠基於年齡的風險等級來收取過高的費用。憑藉業界領先的遠端資訊處理技術的應用以及為每位客戶提供的持續終身駕駛資料流，我們可以以無與倫比的精度微調定價並實現流程自動化。

Second, we've got a large untapped growth pool, nearly 2.5 million non-car customers who together spend north of $3 billion annually on auto insurance. We're turning those advantages into impact through product development and geographic expansion. We've been running a series of experiments on what we're calling day zero telematics, and have seen conversion rates jump by over 60% in the past few months. Cross-sell is improving too. We've optimized our bundling flows leading to more than doubling our cross-sales volume year-over-year.

其次，我們擁有龐大的未開發的成長池，近 250 萬非汽車客戶，每年在汽車保險上的花費總計超過 30 億美元。我們正在透過產品開發和地理擴張將這些優勢轉化為影響力。我們對所謂的「零日遠端資訊處理」進行了一系列實驗，並發現過去幾個月的轉換率躍升了 60% 以上。交叉銷售也在改善。我們優化了捆綁流程，使交叉銷售量年增了一倍以上。

Geographically, we launched Colorado this quarter, pushing us past 40% coverage of the US auto market and to nearly 60% of our existing customer base. With more states coming, prioritized by profitability and fit. As always, growth comes with discipline. Cars' gross ratio is still elevated, not unexpected for a young book. But older cohorts are seasoning nicely, which gives us confidence in the model. We typically see a double digit loss ratio improvement as new cohorts pass the renewal date. This dynamic is worth underlining. Short-lived spikes in loss ratios associated with the new business penalty, a well-understood phenomena, can send a false signal about the lifetime profitability of new business. And so, we routinely look past these in preference of the predicted lifetime loss ratio.

從地理上看，我們本季推出了科羅拉多州服務，使我們對美國汽車市場的覆蓋率超過 40%，並涵蓋了現有客戶群的近 60%。隨著更多州的到來，盈利能力和適合度將優先考慮。一如既往，成長伴隨著紀律。《汽車》的毛利率仍然較高，這對一本新書來說並不令人意外。但年齡較大的群體適應得很好，這讓我們對模型充滿信心。隨著新客戶群超過續約日期，我們通常會看到兩位數的損失率改善。這種動態值得強調。與新業務損失相關的損失率短暫飆升是一個眾所周知的現象，可能會對新業務的終身盈利能力發出錯誤信號。因此，我們通常會忽略這些因素，而更傾向於預測終生損失率。

So while we still have a lot of work to do this year and plan significant rollouts and improvements in the coming quarters, Lemonade Car is already gaining speed and boosting our confidence that Car will increasingly drive our growth.

因此，儘管我們今年仍有許多工作要做，並計劃在未來幾季推出重大舉措和改進，但 Lemonade Car 已經加速發展，並增強了我們的信心，我們相信 Car 將日益推動我們的成長。

I'll now hand the call over to Tim, who will speak to our financial performance and outlook. Tim?

我現在將電話交給蒂姆，他將介紹我們的財務表現和前景。提姆？

Great. Thanks, Michal. I'll review highlights of our Q1 results and provide our expectations for Q2 and the full year 2025, and then we'll take some questions.

偉大的。謝謝，Michal。我將回顧我們第一季業績的亮點，並提供我們對第二季和 2025 年全年的預期，然後我們將回答一些問題。

In short, our Q1 financial results were very solid, and our experience with regard to the California wildfires proved out our conservative underwriting approach, a healthy product mix, and the protection afforded by a thoughtful reinsurance strategy.

簡而言之，我們的第一季財務表現非常穩健，我們在加州野火方面的經驗證明了我們保守的承保方式、健康的產品組合以及周到的再保險策略所提供的保護。

In force premium grew 27% to just above $1 billion, while customer count increased by 21% to $2.5 million. Premium per customer increased 4% versus the prior year to $396, driven primarily by rate increases. Annual retention, or ADR, was 84%, a 4% decrease since this time last year, and down slightly versus 86% in the prior quarter. In broad strokes, we saw an unfavorable impact to ADR from our continuing effort to improve the profitability of our home book of about 4 points, about 2 points unfavorable from our pay per-mile car product, and about 2 points favorable from the rest of the book. We expect ADR to normalize and resume improvement over the coming quarters.

有效保費成長 27%，達到略高於 10 億美元，而客戶數量成長 21%，達到 250 萬美元。每位客戶的保費較上年同期增加 4% 至 396 美元，主要受費率上漲的影響。年度保留率（ADR）為 84%，比去年同期下降了 4%，與上一季的 86% 相比略有下降。總體而言，我們看到，我們不斷努力提高家庭書籍的盈利能力，對 ADR 產生了約 4 個百分點的不利影響，按英里付費汽車產品的盈利能力對 ADR 產生了約 2 個百分點的不利影響，而其餘書籍的盈利能力對 ADR 產生了約 2 個百分點的有利影響。我們預計 ADR 將在未來幾季內恢復正常並恢復改善。

Gross earned premium in Q1 increased 24% as compared to the prior year to $234 million, in line with IFP growth. Revenue in Q1 increased 27% from the prior year to $151 million. The growth in revenue was driven by the increase in gross earned premium, a slightly higher effective seating commission rate under our quota share reinsurance, and a 26% increase in investment income.

第一季的總保費收入較上年同期成長 24%，達到 2.34 億美元，與 IFP 成長一致。第一季營收較上年同期成長 27%，達到 1.51 億美元。收入的成長得益於總保費收入的增加、我們的份額再保險下有效座位佣金率的略高以及投資收入的增長26%。

Our gross loss ratio was 78% for Q1, as compared to 79% in Q1, 2024 and 63% in Q4, 2024. Excluding the total impact of CATs in Q1, which was roughly 19 percentage points, our gross loss ratio ex-CAT was 59%. Total gross prior period development had a roughly 8% favorable impact, with a negligible portion of that driven by CAT. We saw this favorable prior period development across all products, with the exception of pet, with the largest impact in our homeowners' multi-apparel business. On a net basis, prior period development had a roughly 10% favorable impact, of which 1% was from CAT. Trailing 12 months or TTM loss ratio was about 73%, or 10 points better year-on-year and stable sequentially.

我們第一季的毛損率為 78%，而 2024 年第一季為 79%，2024 年第四季為 63%。剔除第一季巨災損失的整體影響（約 19 個百分點）後，我們的巨災損失率為 59%。前期總開發量產生了約 8% 的有利影響，其中由 CAT 推動的影響微乎其微。我們看到，除寵物產品外，所有產品在前期都出現了良好的發展，其中對我們的房主多服裝業務影響最大。從淨值來看，前期發展產生了約 10% 的有利影響，其中 1% 來自 CAT。過去 12 個月或 TTM 損失率約為 73%，較去年同期下降 10 個百分點，季減穩定。

All of these insurance metrics and more are included in our insurance supplement that you'll find at the end of our shareholder letter. Gross profit increased 11% as compared to the prior year, driven primarily by premium growth offset by the California FAIR plan impact, while adjusted gross profit increased 25%, driven primarily by premium growth. Operating expenses, excluding loss and loss adjustment expense, increased 29% to $127 million in Q1 as compared to the prior year, driven primarily by an increase in growth spend and the impact of the FAIR plan Assessment.

所有這些保險指標以及更多內容都包含在我們的保險補充文件中，您可以在股東信的末尾找到。毛利較前一年成長 11%，主要原因是保費成長被加州公平計畫的影響所抵消，而調整後的毛利成長 25%，主要原因是保費成長。第一季的營運費用（不包括損失和損失調整費用）與去年同期相比增加了 29%，達到 1.27 億美元，這主要得益於成長支出的增加和 FAIR 計畫評估的影響。

Other insurance expense grew 51% in Q1 versus the prior year, driven primarily by the impact of the FAIR plan assessment. Total sales and marketing expense increased by $13 million or 42% primarily due to increased growth spend of approximately $18 million, offset by a stock compensation benefit related to the Chewy warrant termination. Total growth spend in the quarter was $38 million, nearly double the $20 million in the prior year quarter. We continue to utilize our synthetic agents growth funding program and have continued to finance 80% of our growth spend. As a reminder you'll see a 100% of our growth spend flow through the P&L as always while the impact of the growth mechanism is visible on the cash flow statement and the balance sheet. And the net financing to date is $102 million as of the end of the quarter.

第一季其他保險費用較去年同期成長 51%，主要受 FAIR 計畫評估的影響。總銷售和行銷費用增加了 1,300 萬美元，即 42%，主要是由於成長支出增加了約 1,800 萬美元，但與 Chewy 認股權證終止相關的股票薪資福利抵消了這一影響。本季總成長支出為 3,800 萬美元，幾乎是去年同期 2,000 萬美元的兩倍。我們繼續利用我們的合成劑成長融資計劃，並繼續為我們 80% 的成長支出提供融資。提醒一下，您會看到我們的 100% 成長支出一如既往地流經損益表，而成長機制的影響在現金流量表和資產負債表上是可見的。截至本季末，迄今為止的淨融資額為 1.02 億美元。

Technology development expense was up just 5% year-on-year to $22 million, while G&A expense increased 20% as compared to the prior year to $36 million, primarily due to the growth in interest expense from our financing agreement. Personnel expense and headcount control continue to be a high priority, and total headcount is up just slightly, about 2% as compared to the prior year at $1,260, while the top line IFP, as a reminder, grew fully 27%.

技術開發費用年增 5% 至 2,200 萬美元，而一般及行政費用較上年增長 20% 至 3,600 萬美元，這主要是由於融資協議的利息費用增長所致。人事費用和員工總數控制仍然是重中之重，總員工總數僅略有增加，與上年的 1,260 美元相比增加了約 2%，而頂線 IFP 則增長了 27%。

Net loss was $62 million in Q1, or a loss of $0.86 per share as compared to a net loss of $47 million or a $0.67 per share loss in the prior year. Adjusted EBITDA loss was $47 million in Q1 versus $34 million EBITDA loss in the prior year. Our total cash, cash equivalents and investments ended the quarter at approximately $996 million, up $69 million versus Q1 of last year, and down $25 million versus the prior quarter, primarily driven by the impact of the wildfires.

第一季淨虧損為 6,200 萬美元，即每股虧損 0.86 美元，去年同期淨虧損為 4,700 萬美元，即每股虧損 0.67 美元。第一季調整後的 EBITDA 虧損為 4,700 萬美元，而去年同期的 EBITDA 虧損為 3,400 萬美元。本季末，我們的現金、現金等價物和投資總額約為 9.96 億美元，比去年第一季增加 6,900 萬美元，比上一季減少 2,500 萬美元，主要原因是受到野火的影響。

With these metrics in mind, I'll outline our specific financial expectations for the second quarter and for the full year 2025. From a growth spend perspective, we expect to invest roughly $45 million in Q2 to generate profitable customers with a healthy lifetime value. This amount will likely increase slightly in Q3 and then may decline somewhat in Q4 to a level similar to the Q1 growth spend rate, totaling roughly $170 million for the year. This expected quarterly spend pattern is fairly similar to prior years.

考慮到這些指標，我將概述我們對第二季和 2025 年全年的具體財務預期。從成長支出的角度來看，我們預計在第二季投資約 4,500 萬美元，以創造具有健康終身價值的獲利客戶。這筆金額可能在第三季略有增加，然後在第四季度有所下降，達到與第一季成長支出率相似的水平，全年總計約為 1.7 億美元。預計的季度支出模式與前幾年非常相似。

For the second quarter of 2025, we expect in force premium at June 30 of between $1.061 billion and $1.064 billion. Gross earned premium between $246 million and $248 million. Revenue between $157 million and $159 million. And an adjusted EBITDA loss of between $44 million and $41 million, stock-based compensation expense of approximately $16 million, and a weighted average share count of approximately 73 million shares.

對於 2025 年第二季度，我們預計 6 月 30 日的有效保費將在 10.61 億美元至 10.64 億美元之間。總保費收入在 2.46 億美元至 2.48 億美元之間。營收在 1.57 億美元至 1.59 億美元之間。調整後的 EBITDA 虧損在 4,400 萬美元至 4,100 萬美元之間，股票薪酬費用約為 1,600 萬美元，加權平均股數約為 7,300 萬股。

For the full year 2025, we expect in force premium at December 31 of between $1.203 billion and $1.208 billion. Gross earned premium of between $1.028 billion and $1.031 billion. Revenue between $661 million and $663 million. And adjusted EBITDA loss of between $140 million and $135 million. Stock-based compensation expense of approximately $60 million, and a weighted average share count of approximately 74 million shares.

對於 2025 年全年而言，我們預計 12 月 31 日的有效保費將在 12.03 億美元至 12.08 億美元之間。毛保費收入在10.28億美元至10.31億美元之間。營收在 6.61 億美元至 6.63 億美元之間。調整後的 EBITDA 虧損在 1.4 億美元至 1.35 億美元之間。股票薪酬費用約 6,000 萬美元，加權平均股數約 7,400 萬股。

And with that, I would like to hand things back over to Daniel to answer some questions from our retail investors. Daniel?

現在，我想將時間交還給丹尼爾，讓他回答散戶投資者的一些問題。丹尼爾？

Thanks Tim and we'll start with questions from the SAY platform, retail investor questions. And Taufik asks about our EBITDA losses, which have been narrowing and asks that we elaborate on the timeline for reaching EBITDA profitability and what levers will drive this.

謝謝蒂姆，我們將從 SAY 平台的問題、散戶投資者的問題開始。陶菲克詢問了我們的 EBITDA 損失情況，該損失一直在縮小，並要求我們詳細說明實現 EBITDA 盈利的時間表以及推動這一目標的槓桿。

So thanks for that question, Taufik, and happy to delay on this for a moment. We've been guiding to adjusted EBITDA breakeven by year's end 2026 since the very first Investor Day, back in 2022. We reiterated that guidance in our 2024 Investor Day and we continue to reiterate our expectation to be adjusted EBITDA positive by Q4 of next year, with 2027 being our first full year of positive adjusted EBITDA.

所以感謝 Taufik 提出這個問題，很高興能暫時擱置這個話題。自 2022 年第一個投資者日以來，我們一直致力於指導 2026 年底實現調整後 EBITDA 收支平衡。我們在 2024 年投資者日重申了這一指導，並繼續重申我們的預期，即到明年第四季度調整後的 EBITDA 將為正值，而 2027 年將是我們實現調整後 EBITDA 正值的第一個全年。

Unchanging message across the years, I think, speaks to the grounded nature of our multi-year plan and to the execution that has consistently delivered a plan. The business is doing exactly what we expected it to do all along. And in important ways you can set your watch to it and that's because the clockwork here is pretty simple. As we continue to grow the business, we generate ever more gross profit. And at the same time, thanks to AI, we're seeing no commensurate increase in our fixed costs. And so, with every turn of the flywheel, gross profit comes closer and closer to eclipsing operating costs. And that means that the business is getting closer and closer to profitability.

我認為，多年來不變的信息說明了我們多年計劃的紮實性質以及始終如一地執行計劃的能力。業務的進展正如我們一直以來所預期的。在一些重要的方面，你可以將你的手錶設定為它，這是因為這裡的鐘錶裝置非常簡單。隨著我們業務的不斷發展，我們產生的毛利也越來越多。同時，由於人工智慧，我們的固定成本並沒有相應增加。因此，隨著飛輪的每一次轉動，毛利越來越接近超過營運成本。這意味著該業務越來越接近獲利。

This progression has proven reasonably predictable, and we have a fairly good handle on its levers, giving us confidence that we're only a few quarters from crossing that all important line. Also remember that our underlying business is already profitable. Last quarter we disclosed that if we had opted not to spend on growth, the quarter would have been EBITDA profitable and as it is 2024 was cash flow positive, a reliable precursor to EBITDA profitability, particularly given the dynamics, the cash flow dynamics in the insurance space.

事實證明，這一進展是可以合理預測的，而且我們對其槓桿有相當好的把握，這讓我們有信心，只需幾個季度就能跨越那條重要的界限。也要記住，我們的基礎業務已經獲利。上個季度我們揭露，如果我們選擇不增加成長支出，那麼該季度的 EBITDA 將實現盈利，而 2024 年的現金流將為正，這是 EBITDA 盈利的可靠先兆，特別是考慮到保險領域的現金流動態。

I encourage you to have a look at Page 4 in our Shareholder Letter. And I think you will see that highlight and give some visuals to the trajectories that I just touched on.

我鼓勵您閱讀我們的股東信第 4 頁。我想你會看到這個亮點，並為我剛才提到的軌跡提供一些視覺效果。

The next question comes from [Paperbag], US who's asking about cross sales, particularly to Car, and what rates we can expect to see in the coming years. So Paperbag, thanks for that. Certainly a central area of focus over the coming months and quarters in years.

下一個問題來自美國的 [Paperbag]，他詢問的是交叉銷售的情況，特別是汽車交叉銷售，以及未來幾年我們可以預期的交叉銷售率。所以 Paperbag，謝謝你。這無疑是未來幾個月和幾季關注的重點領域。

Zooming out to a multi-year view, our ambition is to drive to industry-leading, multi-line customer rates. So large incumbents typically see levels in the 30s and 40s. I think maybe some of the direct players are in the mid-20s. And so, it's a major opportunity for us with our existing customer spending probably over $3 billion on car insurance. We certainly expect to be tapping into that and to continue to do that as our install base of customers grows.

從多年視角來看，我們的目標是推動業界領先的多線客戶率。因此，大型現有企業通常會看到 30 到 40 之間的水平。我認為一些直接參與者的年齡可能在 20 多歲左右。因此，這對我們來說是一個巨大的機遇，我們現有的客戶在汽車保險上的支出可能超過 30 億美元。我們當然希望利用這一點，並且隨著客戶群的成長而繼續這樣做。

I think it's reasonable to assume that we can approach the multi-line customer levels in the teens on a five-year horizon and ultimately to reach parity with the rest of the industry. And you've got the models to show just how impactful that would be in our business. But it's important to clarify that a model is not dependent on this acceleration. And indeed, crosses -- in our modeling, we cross EBITDA and net income breakeven, while multi-line customer rates are expected still to be in the single digits. So we think we'll be profitable in the high single digits, even though we think that in the years following, we'll go into the teens and ultimately into the 20s as well.

我認為，我們可以合理地假設，在五年內，我們可以將多線客戶數量提升到十幾歲，並最終與業內其他公司達到同等水平。而且您有一個模型可以展示這對我們的業務有多大的影響。但需要澄清的是，模型並不依賴這種加速度。確實，在我們的模型中，我們跨越了 EBITDA 和淨收入盈虧平衡，而多線客戶費率預計仍將保持在個位數。因此，我們認為我們的利潤將達到較高的個位數，儘管我們認為在接下來的幾年裡，我們的利潤將進入十幾個百分點，最終也將進入二十幾個百分點。

The biggest driver of cross-sell acceleration are state coverage expansions and leveraging telematics insight offer and beatable prices to the best drivers. If we isolate specific states where we have a full suite of products available, we already see multi-line rates that are nearly double the 5% level that we're seeing across the book at the moment, so closer to 10%. So that gives us confidence that in the coming years we'll be able to replicate that everywhere.

交叉銷售加速的最大驅動力是國家覆蓋範圍的擴大以及利用遠端資訊處理洞察力和可競爭的價格來為最佳駕駛員提供服務。如果我們隔離擁有全套產品的特定州，我們已經看到多線利率幾乎是目前整個帳簿上 5% 水準的兩倍，因此接近 10%。因此，我們有信心在未來幾年內能夠在各地複製這種做法。

Cross-sales have another impact that dovetails nicely to Taufik's question. Overtime, as cross-sales ramp up, CAC-free growth is a powerful lever that benefits our profitability trajectory by allowing us to moderate the growth spend, which would otherwise be required in order to sustain a target of 30 plus on CAGA. Thanks for that question.

交叉銷售還有另一個影響，與陶菲克的問題完美契合。隨著時間的推移，隨著交叉銷售的增加，無 CAC 成長是一個強大的槓桿，它使我們能夠調節成長支出，從而使我們的獲利軌跡受益，否則將需要這些支出來維持 CAGA 30 以上的目標。謝謝你的提問。

[Cyber Cat] asked about the tariffs and the geopolitical tension and whether that will impact on our expectation of being in the 30s in terms of CAGR, how much confidence we have not withstanding that.

[Cyber​​ Cat] 詢問了關稅和地緣政治緊張局勢，以及這些是否會影響我們對 30 年代複合年增長率的預期，我們對此有多大信心。

And I think I touched on this a bit already in my opening remarks, but our business has proven highly resilient in the past few years. So based on everything we know today about shifting microenvironments, I am pleased to reiterate our 30 plus percent growth in 2026 and beyond. Our sector is inherently resilient, fairly recession proof, and not inherently exposed to global trade, certainly much lesser than many, many sectors. So the one thing that we do need to monitor is inflation, and we're keeping a close eye on that because that has, and if it resurge would again impact our business.

我想我在開場白中已經稍微談到了這一點，但我們的業務在過去幾年中已證明具有很強的彈性。因此，基於我們今天所了解的有關不斷變化的微環境的一切，我很高興地重申我們在 2026 年及以後的成長率將超過 30%。我們的產業本質上具有彈性，相當能抵禦經濟衰退，本質上不受全球貿易的影響，當然比許多產業的影響要小得多。因此，我們需要監控的一件事就是通貨膨脹，我們正在密切關注這個問題，因為如果通貨膨脹再次出現，將再次影響我們的業務。

Our business is also though pretty diversified these days, both across products and geographies, not all of which are impacted by tariffs. So auto parts is the obvious place to look, but in pet insurance and renters insurance and home insurance and certainly our European business, which is growing at quite a clip. Those remain largely immune even to that.

如今，我們的業務也相當多樣化，涵蓋產品和地理，並非所有產品和地理都受到關稅的影響。因此，汽車零件是顯而易見的關注點，但寵物保險、租屋保險、家庭保險，當然還有我們的歐洲業務，這些業務都在以相當快的速度成長。而這些國家基本上仍不受這種影響。

Okay. And with that, I'll pass the mic back over to the moderator and we'll take some questions from the street.

好的。說完這些，我將把麥克風交還給主持人，我們將回答一些街頭提問。

(Operator Instructions)

（操作員指示）

Jack Matten from BMO

BMO 的 Jack Matten

Good morning. Just one on the subrogation benefit that you recorded from the California wildfires. Any other code you can provide on that? Did you sell your subrogation rights? Or is there the potential for additional recoveries in common quarters?

早安.關於您從加州野火中記錄的代位求償利益，僅舉一例。能提供其他代碼嗎？您出售了您的代位求償權嗎？或者是否有可能在共同區域進行額外的恢復？

Sure, good morning. So the, the Subro was reasonably interesting. If you look at the general impact of the California fires, there were primarily two events, two major events, the Palisades fire and the Eaton fire. The Subro market and opportunity for us was much more distinct for the Eaton fire as it was for many other fires. And so we did sell those rights at a pretty healthy ratio. And you'll see that in the detailed disclosures, something on the order of $8 million impact there. There is an opportunity to recover more over time. If the losses exceed a certain percent, for example, in the Palisades fire, there is some opportunity. But I would expect that a substantial amount of the subrogation is already represented in the numbers.

當然，早安。所以，Subro 相當有趣。如果你看一下加州火災的整體影響，主要有兩起事件，兩起重大事件，即帕利塞茲火災和伊頓火災。對我們來說，Subro 市場和機會對於伊頓火災來說更加明顯，就像對於許多其他火災一樣。因此，我們確實以相當合理的比例出售了這些權利。您會在詳細披露中看到，這方面的影響力約為 800 萬美元。隨著時間的推移，有機會恢復更多。如果損失超過一定比例，例如帕利塞茲火災，就存在一定的機會。但我預計，代位求償權的很大一部分已經體現在數字中。

Got it. Thank you. And then maybe just one on the FAIR plan assessment in California. It's not made a plan to recoup any of that with rate increases or supplemental fees. I think insurers are able to request to recruit half of the initial assessment. So just wondering how you're thinking about that.

知道了。謝謝。然後也許只有一個關於加州的公平計劃評估。它沒有製定通過提高費率或附加費用來收回任何損失的計劃。我認為保險公司可以要求招募一半的初步評估人員。我只是想知道您對此有何看法。

The plan is yes. We do expect to recoup over time. There are a number of rules and requirements around how you do go about that. And there's also potential customer impact that we're thoughtful about. But we are proceeding as if we'll be able to endeavor to recover as much as is allowed, which is a 50% limit. And some will come in year one, but there's really a two year period over which all of this will be fully resolved. So we will proceed full speed ahead and look to recover all of that.

計劃是的。我們確實希望隨著時間的推移能夠收回成本。關於如何做到這一點，存在許多規則和要求。我們也會認真考慮潛在的客戶影響。但我們正在努力恢復盡可能多的損失，即 50% 的限額。有些問題會在第一年出現，但實際上需要兩年的時間才能完全解決所有問題。因此，我們將全速前進，努力恢復這一切。

Thank you.

謝謝。

Jason Hellstein, Oppenheimer.

傑森·赫爾斯坦，奧本海默。

Thanks, guys. A few questions. One, can you give us the impact on the wildfires on gross profit in the quarter? So it's housekeeping. Then on the tariff question, obviously, I saw your commentary. So just, are you assuming any impact in the full year? God, is there any conservatism or kind of you're just kind of trending the business as is and we'll have to adjust as we go? And then maybe give us a little more detail on Car, which states will be -- you highlighted Colorado, but over the next 12 months, which states will be biggest for you and where should we pay attention? Thank you.

謝謝大家。幾個問題。第一，您能否介紹一下野火對本季毛利的影響？所以這是家務事。然後關於關稅問題，顯然，我看到了你的評論。那麼，您是否認為全年會產生任何影響？天哪，是否存在任何保守主義，或者你只是在按原樣推動業務發展，而我們必須隨時進行調整？然後也許可以給我們一些有關汽車的更多細節，哪些州將是——您重點提到了科羅拉多州，但在接下來的 12 個月裡，哪些州對您來說將是最主要的，我們應該關注哪些方面？謝謝。

Sure, so maybe I'll take the first two California and on the tariff impact and I'll turn it to Daniel maybe on some of the Car thoughts. So there's a nice little table in the letter from today that I would point everyone to that breaks down the California wildfire impact as best we could within the disclosure restrictions. And you'll see a line item there that goes from a top line to a bottom line impact essentially. And it lines up quite nicely with what our estimate was when we gave our prior guidance.

當然，也許我會先談談加州和關稅的影響，然後再向丹尼爾談談一些關於汽車的想法。因此，今天的信中有一張很好的小表格，我想向大家指出，它在披露限制的範圍內盡可能詳細地列出了加州野火的影響。您將看到其中有一項從頂線到底線影響的項目。這與我們之前給出的指導意見的估計非常吻合。

Our initial estimate was about a $45 million gross impact that turned out to be about $44 million. So right in line, we estimated the EBITDA impact, which was also at the time the net loss or net operating loss impact of about $20 million that came in at about $22 million negative impact. And then I've added to that to get to the true eventual net income impact is the California FAIR Plan assessment amount, which is also detailed in that table. We were not aware of that, of course, at the time, because it had not been issued yet.

我們最初估計的總影響約為 4500 萬美元，但實際約為 4400 萬美元。因此，我們估算了 EBITDA 的影響，當時淨虧損或淨營業虧損的影響約為 2,000 萬美元，負面影響約 2,200 萬美元。然後，我將其添加到加州公平計劃評估金額中，以得出真正的最終淨收入影響，該金額也在該表中詳細說明。當然，我們當時並不知道這一點，因為它尚未發布。

So I think from a gross profit impact, I would look at that. Total net income is probably the best proxy, but the detail is there in the letter. From the tariff expectation or impact, we did reiterate our fuller guidance for growth. We actually upped a couple of our key metrics below the top line. Partly to take account of the better than expectation result in Q1. Tariffs are a bit tricky to understate what we're all kind of living through. Good reminder though is that, obviously, the tariff structure has been a little bit volatile and is likely to change or could potentially change. Nevertheless, a tariff for example on car parts or cars in general of say 25%, by the time it kind of works its way through the math, the percent of claims affected, the percent of your business that's domestic versus foreign, and a number of other numbers. You get from a headline number of 25% down to typically single digit impacts, which is not zero.

所以我認為從毛利的影響來看，我會考慮這一點。總淨收入可能是最好的替代指標，但詳細資訊已在信中說明。從關稅預期或影響來看，我們確實重申了對成長的更全面的指導。我們實際上提高了頂線以下的幾個關鍵指標。部分原因是考慮到第一季的結果比預期好。關稅有點難以低估我們所經歷的一切。不過要提醒的是，關稅結構顯然有點不穩定，而且可能會改變或有潛在變化。儘管如此，例如對汽車零件或一般汽車徵收 25% 的關稅，經過計算後，受影響的索賠百分比、國內業務與國外業務的百分比以及其他一些數字都會受到影響。你可以從總體數字 25% 下降到通常的個位數影響，這不是零。

And so we are able to reiterate our growth metrics, assuming that there is a modest headwind but that's an inflation impact that we have typically take into account. We'll adjust that as we go, but we're quite comfortable with where we are now based on what we know now for the full year and we'll come back in three months and update that.

因此，我們可以重申我們的成長指標，假設有適度的逆風，但這是我們通常會考慮的通膨影響。我們隨時會進行調整，但根據我們目前對全年情況的了解，我們對目前的狀況感到很滿意，我們將在三個月後回來進行更新。

I don't know Daniel did you have any maybe some thoughts to add on the car front?

我不知道丹尼爾，你對汽車前端有什麼想法要補充嗎？

Yes, gladly. Hi Jason, good morning. So you asked why to pay attention on car and the geographic expansion. I definitely would encourage you to pay attention, we certainly are paying very close attention to car in the preceding and coming quarters. We've spoken in the past about the kind of, I use the term I think tinkering that we're doing, but in this week's, -- sorry, today's letter, we put some numbers to what that tinkering is yielding, 60% increase in conversion, 100% increase in cross-sales over recent quarters. So we're certainly seeing a very strong ROI from all the experimentation that we're doing.

是的，很高興。嗨，傑森，早安。所以你問為什麼要關注汽車和地理擴張。我絕對鼓勵你關注，我們肯定會密切關注前幾季和未來幾季的汽車。我們過去曾談論過我們正在進行的修補，但在本週——抱歉，是今天的信中，我們給出了一些數字來說明這種修補所產生的效果，最近幾個季度，轉換率增加了 60%，交叉銷售增加了 100%。因此，我們確實從所做的所有實驗中看到了非常強勁的投資報酬率。

And we do want to continue some of these. We've still got quite a few irons in the fire, and we'll work through those in the coming months and quarters in order to continue to refine the proposition. The true growth in car is already growing. It's accelerating. We spoke about how it is now outpacing for the first time the rest of our business this quarter, but I think we will put full pedal to the metal and all the other car related euphemisms and jokes once we complete a few more of the experiments that we have running.

我們確實想繼續其中的一些。我們還有很多事情要做，我們將在未來幾個月和幾個季度內完成這些工作，以繼續完善這一主張。汽車的真正成長已經在成長。它正在加速。我們談到了它在本季度如何首次超過我們其他業務，但我認為，一旦我們完成正在進行的更多實驗，我們就會全力以赴，並講出所有其他與汽車相關的委婉說法和笑話。

We are kind of walking and chewing gum, so in parallel to doing that, we are also expanding geographically. We are still, after the Colorado launch, only available to 40% of the nation's customers. So there's a lot of headroom there and we will do both together. We are not ready to start naming states or dates or announce them as we go. But I think if you ask me about where the focus is, our focus is on the first part of that equation, rather than on the geographic expansion, which will flow naturally after we feel the confidence that we are readily gaining.

我們就像邊走邊嚼口香糖，因此在這樣做的同時，我們也在進行地域擴張。在科羅拉多州推出這項服務後，我們仍然只為全國 40% 的客戶提供服務。因此，還有很大的發展空間，我們會同時做這兩件事。我們尚未準備好開始命名州名或日期，或隨時宣布它們。但我認為，如果你問我重點在哪裡，我們的重點是這個等式的第一部分，而不是地理擴張，在我們感受到我們正在獲得的信心之後，這將自然而然地流動起來。

Thank you.

謝謝。

And Jason, just one clarification on my comments around gross profit were all germane to GAAP gross profit. We also have an adjusted gross profit number which would be slightly different due to its definition. It would exclude the impact of the FARE plan, so that would result in a modest difference in terms of the impact of the fires overall.

傑森，我只需要澄清一下我關於毛利的評論，這些評論都與 GAAP 毛利相關。我們還有一個調整後的毛利數字，由於其定義，它會略有不同。它將排除 FARE 計劃的影響，因此就火災整體影響而言，這將導致適度的差異。

Bob Huang from Morgan Stanley

摩根士丹利的 Bob Huang

Good morning. So maybe the first one is on the Car business. I think one thing you mentioned is that, lifetime loss ratio should be better than the current loss ratio, just given that once they start to renew, the LTV equation really should pick up. Can you maybe help us think about how we should assume a retention rate for your current cohort of business in the Car side? And also, what's kind of the driver for that retention rate?

早安.所以也許第一個是關於汽車業務的。我認為您提到的一件事是，終身損失率應該比當前損失率更好，因為一旦他們開始續約，LTV 方程式確實應該會上升。您能否幫助我們思考一下，我們應該如何假設您目前在汽車領域的業務群體的留存率？此外，保留率的驅動因素是什麼？

So I would think of the retention rate generally as in line with the rest of our business, but adjusted for a couple of nuances. The Car business has gone from basically a flat or no growth suspend approach to flattening and now growing. And so by definition, when you grow at a more rapid pace, it grew more rapid than in the overall book, you're typically going to see what we would call a new business penalty where the short-term retention aspects and the loss ratio experience is going to be slightly worse than you would expect over the lifetime.

因此，我認為留存率總體上與我們的其他業務一致，但進行了一些細微的調整。汽車業務已經從基本持平或無成長狀態轉變為趨於平穩並正在成長。因此，根據定義，當你以更快的速度成長時，它的成長速度比整體速度更快，你通常會看到我們所謂的新業務懲罰，其中短期保留方面和損失率體驗將比你預期的生命週期內略差。

And so for some time as we increase and accelerate the investment there, you'll continue to see somewhat lower or worse short-term retention rates on Car than you might get otherwise. On the other hand, you see a pretty consistent uptick or improvement at renewal. So Car policies renew at six months, as you know, versus 12. And at six months we typically see something on the order of a double digit 10 percentage improvement in terms of the loss ratio, and also some improvement in retention rates.

因此，隨著我們增加並加速在該領域的投資，您將繼續看到汽車領域的短期保留率比其他領域略低或更差。另一方面，您會看到續約率出現相當持續的上升或改善。因此，如您所知，汽車保險的續保期限為 6 個月，而不是 12 個月。六個月後，我們通常會看到損失率出現兩位數 10% 左右的改善，保留率也會提高。

And so, I think you'll see this normalized as we have with our other more mature products as the Car growth acceleration continues into the later part of this year into next year. We don't disclose exact retention rates by product and so I'm kind of unable to go too much further into it there but that's generally how we think about the business.

因此，我認為，隨著汽車成長加速持續到今年下半年和明年，您會看到這種情況像我們的其他更成熟的產品一樣正常化。我們不會揭露每個產品的確切保留率，因此我無法進一步深入探討，但這通常是我們對業務的看法。

Okay, got it. No, that's very helpful. It does sound like once you bundle the product and cross-sell that the retention rate should be relatively higher than industry. At least that's what I thought. So maybe like moving on to the second question, you touched on this a little bit, like regarding full-year guidance, right? Like you beat earnings by higher than what you're moving up the full-year guidance. It does sound like it's because of the tariff unknowns and things of that nature. Is it fair to assume that if tariff comes in below that 25% assumption that you have, your full year adjusted EBITDA should actually be reasonably higher than what you're guiding to? Is the guidance not moving as much as the first quarter beat, it's just purely a function of conservatism?

好的，明白了。不，這非常有幫助。聽起來，一旦你捆綁產品並交叉銷售，保留率應該相對高於行業。至少我是這麼認為的。那麼也許就像轉到第二個問題一樣，您稍微談到了這一點，例如關於全年指導，對嗎？就像您超出全年預期的盈利水平一樣。這聽起來確實是因為關稅未知數和諸如此類的事情。是否可以公平地假設，如果關稅低於您所假設的 25%，那麼您全年調整後的 EBITDA 實際上應該比您預期的水平高得多？該指引是否沒有像第一季那樣大幅波動，而只是純粹的保守主義表現？

I think I would not recommend we isolate tariffs as the sole driver. It's just one of many drivers in terms of things that are more certain or less certain for our trajectory. One quarter into the year doesn't give you too much information about Q3 and Q4. And so, this is a time where if you look back last year and the year before, historically, we've been moderately cautious about what we see in the back half of the year. That fundamentally changes when you report Q2, because you're into Q3 and you've got a majority of the information for the year. So if tariffs disappear, go to zero, certainly that would be a benefit. But it's not a binary thing where that's the only risk in the business.

我認為我不會建議我們將關稅作為唯一的驅動因素。就我們的發展軌跡而言，它只是眾多確定性或不確定因素之一。今年的一個季度並沒有給你太多有關第三季和第四季的資訊。因此，如果你回顧去年和前年，從歷史上看，我們對下半年的情況持適度謹慎的態度。當你報告第二季度時，情況會發生根本性的變化，因為你已經進入第三季度，並且已經掌握了今年的大部分資訊。因此，如果關稅消失，降至零，那肯定是有好處的。但這並不是二元的事情，這不是業務中唯一的風險。

So I'd say we approach our guidance very much as we have in the last several quarters, which is very close to or exactly what we expect to happen with some bit of conservativeness around the things where we have high uncertainty. And there are things that can go the other way. So I'd say it's very balanced as it has been for several quarters.

因此我想說，我們制定的指導方針與過去幾季的指導方針非常接近或完全符合我們的預期，但對於高度不確定的事情，我們採取了一些保守的態度。但有些事情也可能朝著相反的方向發展。所以我想說它非常平衡，就像過去幾個季度一樣。

Let me just to add -- just to add that our revenue guide was raised commensurate with our Q1 beat, but Q1 EBITDA came in very much to plan, so we are reiterating there was no significant beat there. So I think you'll see we're being fairly consistent.

我只想補充一點——我們的收入預期與第一季的業績超出預期相稱，但第一季的 EBITDA 基本上符合計劃，因此我們重申，沒有出現顯著超出預期的情況。所以我想你會發現我們的態度相當一致。

Okay, thanks. Really appreciate it.

好的，謝謝。真的很感激。

Andrew Kligerman, TD Securities.

道明證券的安德魯‧克里格曼 (Andrew Kligerman)。

Hey, thank you and good morning. So you talked a little bit on the call about a higher growth spend for customer acquisitions. I'm kind of curious, in the components of that, the change in online ad spending, has pricing gone up? Could you give a little color around how pricing is in your ad spend?

嘿，謝謝你，早安。所以您在電話中談到了有關客戶獲取的更高成長支出的問題。我有點好奇，在這其中，網路廣告支出的變化，價格是否上漲了？您能否稍微介紹一下您的廣告支出是如何定價的？

And then secondly, maybe a little color possibly on where you advertise online. Where do you play most?

其次，也許您在網路上做廣告時會用到一些顏色。你最常去哪裡玩？

Sure. So, a couple thoughts there. I would say broad strokes, no real change in overall costs. So we're seeing a similar level of efficiency compared to the prior quarters or the prior year. And the mix of channels, I would say, changes, but probably in the long tail. So if you rank the distribution channels from high to low, you'd see some of the similar names you've seen for some time that you recognize, TikTok and YouTube and Podcasts and kind of the usual suspects, but that long tail does change quite a bit. And that's really where our growth team, earns their keep in some ways is they're able to find and leverage and manage those channels that are less well known to find the new ones that are much more productive and to maybe beam some of the others that are less so. And so that does tend to change quite a bit.

當然。所以，這裡有一些想法。我想說的是，整體成本並沒有真正的改變。因此，與前幾個季度或前一年相比，我們看到了類似的效率水平。我想說的是，通路組合會發生變化，但這可能是長尾效應。因此，如果你將分銷管道從高到低進行排序，你會看到一些你已經認識一段時間的類似名稱，TikTok、YouTube、Podcasts 以及一些常見的名稱，但長尾確實發生了很大變化。而這正是我們的成長團隊的真正優勢所在，他們能夠找到、利用和管理那些不太知名的管道，從而找到更有成效的新管道，並可能利用一些不太知名的管道。所以這種情況確實會發生很大變化。

That's the human side. I mean, on the flip side, we have an AI LTV model that functions in real time to manage all this and evaluate the expected lifetime value of each of those customers in real time. And so, the combination of those is what gives us a real consistency in the overall efficiency. But yes, if you looked under the hood, you'd see a fair amount of change. We're optimizing the channel, we're optimizing by geography, we're optimizing by product. And so, under the covers, there's a fair amount of change.

這就是人性的一面。我的意思是，另一方面，我們有一個即時運行的 AI LTV 模型來管理所有這些，並即時評估每個客戶的預期終身價值。因此，這些因素的結合使我們的整體效率真正保持一致。但是，是的，如果你仔細觀察，你會看到相當大的變化。我們正在優化管道、按地域進行優化、按產品進行優化。因此，在幕後，發生了相當多的變化。

From an overall perspective, there's a slight change, I would call it, in how we allocate the total. So you've probably -- if you've been out and about a bit in key metro areas in the US primarily, you're going to see Lemonade in the brand spend world in public, whether it's on a billboard or on the subway or public in different places where that's a little more lean in this year, particularly this part of the year, Q1, Q2, Q3, you'll see more of that. That's embedded in our growth spend numbers and that's typically more of a longer term investment. You don't always get a return the next day like you do online, but we believe it's really the right time to push that number. It's relatively modest in dollar terms, but you're going to see more of that in public. So those are kind of the highlights on the brand spend and the ad spend.

從整體來看，我們分配總額的方式略有變化，我稱之為變化。所以，如果你主要在美國的主要大都市地區外出走走，你很可能會看到 Lemonade 在公共場所的品牌支出，無論是在廣告牌上，還是在地鐵上，或者在不同地方的公共場所，今年的支出會比較少，特別是在今年的這個時候，第一季度、第二季度、第三季度，你會看到更多這樣的情況。這體現在我們的成長支出數字中，而且通常是一項長期投資。您並不總是能像在線那樣在第二天獲得回報，但我們相信現在確實是推動這一數字的最佳時機。從美元角度來看，這個數字相對溫和，但你會在公開場合看到更多這樣的情況。這些都是品牌支出和廣告支出的亮點。

Thanks for that. Yes, that was very helpful. And maybe earlier, Daniel was commenting that with AI, there's no commensurate increase in fixed cost. And as I think about AI and Lemonade, and still even with 2.5 million customers, some of these other carriers are dramatically bigger in terms of the data that they have. Do you think, or maybe you could talk a little bit about the playing field and whether your AI has leveled it or maybe you're even ahead of competition in utilizing data and analytics?

謝謝。是的，這非常有幫助。也許早些時候，丹尼爾就評論說，有了人工智慧，固定成本就不會相應增加。當我想到 AI 和 Lemonade 時，即使擁有 250 萬客戶，其他一些營運商所擁有的數據量也大得多。您是否認為，或者您可以稍微談論一下競爭環境，以及您的人工智慧已經達到平衡，或者您是否在利用數據和分析方面領先於競爭對手？

Sure Bob. Companies in our space are not ones to share exactly what they're doing behind the scenes. So there's an element of kind of speculation, if you like, in what I'm going to say. But I have said on multiple occasions that already now, prior to our 10th anniversary, I don't think there is a carrier in the United States that we would trade data sets with. And the others have been around for often times, most times close to or more than a century. So it's not that they don't have more data than we do, they certainly do. But when you have the digital infrastructure that we have, you're able to connect dots in a way that is far more meaningful.

當然可以，鮑伯。我們這個領域的公司不會分享他們在幕後到底在做什麼。所以，如果你願意的話，我要說的話帶有某種猜測的成分。但我已多次表示，在我們成立十週年之前，我認為美國沒有一家業者願意與我們交易資料集。而其他的則已經存在很久了，大多數接近或超過一個世紀。所以，並不是說他們沒有比我們更多的數據，他們一定有。但是當你擁有我們所擁有的數位基礎設施時，你就能以更有意義的方式將各個點連接起來。

I remember one person, one of the incumbent telling me that the number one cause of loss in their system is other. And they suffer from a tremendous kind of garbage in, garbage out kind of situation. Ajit Jain spoke a couple of years ago about Geico having 600 systems that don't talk to one another. So it's not mere tonnage of data or how many years you've been in operation. It's really about what kind of systems you've built in order to collate high quality, actionable data, and then what systems you've built in order to act upon them. And when you are selling insurance using AI, that in real time can use all of the signals that we have. And Tim alluded to this in his answer to your question, right down to do I want this customer? How much am I projecting them to be worth over their lifetime? How much would I invest upon them? To the best of my knowledge, there isn't another carrier in the nation, perhaps in the world that has that kind of capability.

我記得有一個男人，一位現任者告訴我，他們系統中造成損失的首要原因是其他原因。他們遭受「垃圾進，垃圾出」的嚴重困境。幾年前，阿吉特·賈恩 (Ajit Jain) 曾談到 Geico 擁有 600 個無法相互通訊的系統。因此，這不僅僅是數據噸位或運營了多少年的問題。這實際上是關乎您建立了什麼樣的系統來整理高品質、可操作的數據，以及您建立了什麼樣的系統來對這些數據採取行動。當您使用人工智慧銷售保險時，它可以即時使用我們擁有的所有訊號。提姆在回答你的問題時提到了這一點，具體到我想要這個客戶嗎？我預計他們的一生會值多少錢？我願意在它們身上投資多少？據我所知，國內乃至全世界都沒有其他航空公司具備這種能力。

I think going forward, this compounds. Talking just yesterday at the annual general meeting, again, Ajit Jain, who runs insurance over at Berkshire Hathaway, said that they're really going to take a wait and see approach to AI. The direct quote is, individual insurance operations do dabble in AI, but we have not yet made a conscious big time effort in this. And he says that they're going to be in a state of readiness. Warren Buffett added that he wouldn't trade all the AI of the next 10 years for one Ajit. And of course, that perspective is well respected, but it's dramatically different to our own. We are all in on AI and digital systems. We do think that ultimate competitive advantage is rooted in that, in our ability to quantify risk, AI's ability to quantify risk, delight consumers, and crush costs. And that is a pure facet of AI. And it is now moving from being a hypothesis that we've been chatting from the rooftops to something readily visible in our results.

我認為，展望未來，這種情況將會加劇。就在昨天的年度股東大會上，波克夏海瑟威保險業務負責人阿吉特賈恩再次表示，他們對人工智慧確實會採取觀望態度。直接引用是，個人保險業務確實涉足人工智慧，但我們尚未在這方面做出有意識的巨大努力。他說他們將做好一切準備。華倫巴菲特也表示，他不會用未來 10 年內的所有人工智慧來換取一個 Ajit。當然，這種觀點受到尊重，但它與我們的觀點截然不同。我們全心投入人工智慧和數位系統。我們確實認為，最終的競爭優勢根植於我們量化風險的能力，人工智慧量化風險、取悅消費者和降低成本的能力。這是人工智慧的一個純粹的面向。現在，它已經從我們一直在談論的一個假設變成了我們研究結果中顯而易見的東西。

We spoke earlier about 10 quarters during which our real underlying cost structures have declined, even as our book has come close to doubling. And I think that that is already concrete, financially powerful evidence of this AI in practice. That kind of operating leverage is, I believe, impossible without the kind of infrastructure that we have in place, and I believe others do not.

我們之前談到，在過去的 10 個季度裡，我們的實際基礎成本結構有所下降，儘管我們的帳面價值幾乎翻了一番。我認為這已經是人工智慧在實踐中的具體、有經濟實力的證據。我認為，如果沒有我們現有的基礎設施，這種經營槓桿是不可能實現的，而且我相信其他人也沒有。

I think absolutely Ajit AI is an amazing strategy. And if I could sneak one more in, you highlighted 29 rate filings in 2024, and then already 2024 in the first quarter of 2025. What are -- maybe just the part A of it is, where are rates going right now in that book? Like, were they up? Any detail on where rates went in the quarter net would be of interest. And I assume these telematics are on your existing car customers so that you're kind of seeing how they're driving and what's happening and that's why you're able to file so quickly, maybe just a little more color on that.

我認為 Ajit AI 絕對是一個了不起的策略。如果我可以再多說一點的話，您強調了 2024 年的 29 份利率申請，然後在 2025 年第一季就已經是 2024 年了。其中 A 部分可能是什麼？書中的利率現在處於什麼水準？例如，他們起床了嗎？有關本季淨利率走向的任何細節都值得關注。我認為這些遠端資訊處理技術適用於您現有的汽車客戶，因此您可以了解他們的駕駛方式和正在發生的事情，這就是您能夠如此快速地提交文件的原因，也許只是對此有更多的了解。

Sure, and it's very much along the lines that you are outlining there, which is to say, we're not predominantly now focused on rate adequacy. In other words, we've got the rates that we need in order to -- at a book level for everything to make sense and mature customers are at kind of target loss ratio. So we're feeling pretty good about that. The tinkering that I keep talking about earlier is about playing with all the levers and all the data that we get in in order to become ever more precise at matching individual behaviors to rate, and constantly refining those, refining them, seeing the results, acting on those results, filing again. So this is really about refining the precision of our pricing in order to be able to get to the right customer with the right price. That impacts everything, conversion, retention, profitability. That is kind of where the whole thing comes together. We're seeing rapid progress. We spoke about some of those numbers earlier, but those are what those 2024 filings are there to do and we'll be doing a lot more of that in the coming months as well.

當然，這與您所概述的非常一致，也就是說，我們現在主要關注的並不是利率充足性。換句話說，我們已經獲得了所需的利率，以便從帳面層面上讓一切變得合理，成熟客戶的損失率也達到了目標水準。所以我們對此感覺很好。我之前一直提到的修補，就是利用我們得到的所有槓桿和數據，以便更加精確地匹配個人行為和評級，並不斷改進、完善它們，看到結果，根據這些結果採取行動，再次歸檔。因此，這實際上是為了提高我們定價的精確度，以便能夠以合適的價格找到合適的客戶。這會影響一切，轉換率、留任率、獲利能力。這就是整件事的起因。我們正在看到快速的進步。我們之前談到了其中一些數字，但這些是 2024 年申請要做的，我們在接下來的幾個月裡也會做更多這樣的工作。

And in terms of the overall growth -- in terms of the overall growth profile, there's been a fairly consistent trend that while we're adding a very healthy number of customers somewhere on the order of two-thirds of our growth, let's say, in recent quarters and in Q1, growth in IFP comes from adding new customers. That means a substantial minority. The other third comes from primarily rate increases, also upsells and cross-sells, but rate increases, and that's a theme we've seen over time where anywhere from 20% to a third of our growth continues to come from rate increases and cross-sells and upsells. So that's been a fairly consistent team.

就整體成長而言 - 就整體成長概況而言，有一個相當一致的趨勢，即雖然我們增加了非常健康的客戶數量，大約占我們成長的三分之二，但在最近幾個季度和第一季度，IFP 的成長來自於增加新客戶。這意味著相當一部分人是少數。另外三分之一主要來自於價格上漲，也包括追加銷售和交叉銷售，但價格上漲，這是我們長期以來看到的一個主題，我們的成長中有 20% 到三分之一繼續來自於價格上漲、交叉銷售和追加銷售。所以這是一支相當穩定的球隊。

When you see us heading towards 30% plus growth, we would assume that those themes will continue. We'll continue to add a significant number of customers, more than a majority of that growth will come from adding customers, but that the ability to grow over time from our existing customers will continue to increase over time.

當您看到我們實現 30% 以上的成長時，我們會認為這些主題將會持續下去。我們將繼續增加大量客戶，其中大部分成長將來自於新增客戶，但隨著時間的推移，我們現有客戶的成長能力也將持續增強。

Thanks, appreciate it.

謝謝，感激不盡。

Katie Sakys from Autonomous Research

來自自主研究的凱蒂·薩基斯

Thank you. Good morning. I want to circle back to the IFP guide, which for the full year looks like it hasn't changed despite significantly better than expected results this quarter. I was wondering if you guys could walk us through a thinking there and any time in consideration to keep in mind as the year progresses. And then sort of as an addendum, how much of the 28% growth that you guys are guiding to for the full year is expected to come from the Car product?

謝謝。早安.我想回到 IFP 指南，儘管本季的業績明顯好於預期，但就全年而言，該指南看起來並沒有變化。我想知道你們是否可以帶我們思考這個問題，以及隨著時間的推移需要牢記的考慮時間。然後作為補充，你們預計全年 28% 的成長中有多少來自汽車產品？

Sure. So in terms of the overall growth in IFP is really the best measure, most direct measure of that. We grow at a pace of our own choosing. And so, while there's some range around the pace of growth, the amount of dollars we spend and the pace at which we spend it really drives that growth number. So our strategy for the remainder of the year takes into account what happened in Q1. So we've acknowledged the fact that we performed somewhat better on certain metrics. But despite our disclosures around the California wildfires as being separate and different and unique, all of which it was, it's part of the business. And it was a cash use. We have to manage that business. We're managing the top line. We're managing the bottom line. We were able to reiterate that we will be EBITDA break even at the end of next year, which is a date that hasn't moved since we started speaking about it a few years ago.

當然。因此，就整體成長而言，IFP 確實是衡量這一成長的最佳、最直接的指標。我們按照自己選擇的速度成長。因此，雖然成長速度存在一定的範圍，但我們花費的金額和花費的速度真正推動了成長數字。因此，我們今年剩餘時間的策略會考慮到第一季發生的情況。因此，我們承認我們在某些​​指標上的表現確實更好一些。儘管我們對加州野火的披露是獨立的、不同的和獨特的，但它仍然是業務的一部分。而且是現金使用。我們必須管理好那項業務。我們正在管理營收。我們正在管理底線。我們可以重申，我們將在明年年底實現 EBITDA 收支平衡，自從幾年前我們開始談論這個日期以來，這個日期就沒有改變過。

And so we're managing all of those things and still on track to accelerate the top line growth rate. We could grow faster, this has been true for a very long time, but growing faster would change the dynamics of the rest of the P&L. And so we approach it in sort of a balanced way. So we don't just roll forward the first quarter, but we do take into account the results of the first quarter.

因此，我們正在管理所有這些事情，並且仍在加快營收成長率的軌道上。我們可以發展得更快，這在很長一段時間內都是如此，但發展得更快會改變損益表其餘部分的動態。因此我們以一種平衡的方式來處理這個問題。因此，我們不僅推進第一季度，而且我們確實會考慮第一季的結果。

And on the car piece, how much of the full year growth are you guys currently expecting will come from car?

關於汽車部分，你們目前預計全年成長有多少將來自汽車？

So we haven't put out a specific number for good reasons. One is, we're very opportunistic in our LTV models tell us where to go and how fast to go and when to really push the accelerator. But within reason I would expect a similar dynamic as we saw in Q1 to continue, which is that cars expected to grow at a faster pace than the rest of the book. And we expect that to continue for quite some time. And if everything stays on track as we expected, I would expect that pace to even accelerate. But I would expect the themes you saw in Q1 to continue throughout the rest of the year.

因此，出於充分的理由，我們沒有公佈具體的數字。一是，我們在 LTV 模型中非常注重機會，它告訴我們去哪裡、走多快以及何時真正踩下油門。但在合理範圍內，我預計我們在第一季看到的類似動態將會持續下去，即汽車的成長速度預計將超過其他產業。我們預計這種情況將持續相當長的一段時間。如果一切都按照我們預期的那樣順利進行，我預計這一步伐甚至會加快。但我預計第一季看到的主題將在今年剩餘時間內持續下去。

Got it. Okay. And then if I can just sneak in one more. On the retention ratio this quarter, I think that the slip down to 84% makes sense given you guys are still working on remixing out of some of those more CAT exposed geographies, but it is much lower than we've seen for quite some time. And it's the lowest we've seen since you started messaging the non-renewals. So I'm just curious, is this sort of a bottom on the retention ratio, or should we expect that to continue to decline some over the next couple of quarters? And then as we think about retention going forward, how long does it take for you guys to start to see improvements to the bottom line after non-renewing a cohort of customers in a given quarter?

知道了。好的。然後如果我能再偷偷溜進去一次。就本季的留存率而言，我認為下滑至 84% 是有道理的，因為你們仍在努力從一些受 CAT 影響較大的地區中分拆出來，但這比我們相當長一段時間以來看到的要低得多。這是自您開始發送不續約訊息以來我們所見過的最低水準。所以我很好奇，這是留存率的底線嗎，還是我們預計它會在接下來的幾季繼續下降？然後，當我們考慮未來的保留時，在特定季度內不續約一批客戶後，需要多長時間才能開始看到底線的改善？

So on the ADR, annual dollar retention is a good metric, but it is a double-edged sword. It takes into account the entire business. And we feel it's better to have that metric, to share the metric that we look at internally, publicly, and that metric can move for a number of reasons. Our efforts to improve the profitability of the overall book had a significant impact on that number and that's a strategy that we've followed for some time and taken into account. Part of the reason we broke that out is so you can see that absent those efforts, the underlying rest -- remaining parts of the book of business show that continuing positive trend which is what we would expect.

因此，就 ADR 而言，年度美元保留率是一個很好的指標，但它是一把雙面刃。它考慮到了整個業務。我們認為最好有這個指標，在內部和公開場合分享我們關注的指標，而這個指標可能會因為多種原因而改變。我們為提高整體盈利能力所做的努力對這一數字產生了重大影響，這是我們一段時間以來一直遵循並考慮到的策略。我們之所以將其單獨列出，是因為您可以看到，如果沒有這些努力，其餘的——業務賬簿的剩餘部分將顯示持續的積極趨勢，這正是我們所期望的。

As to whether at the bottom, it's hard to project that number with exact precision. But I would expect that it could be flat. It wouldn't surprise me if it were flat at this level for some time as we continue these efforts. I wouldn't expect it to show a significant additional deterioration, but it is a tougher one to project out too far with precision.

至於是否處於底部，很難準確預測出這個數字。但我預計它會持平。隨著我們繼續努力，如果它在這個水平上保持一段時間的平穩，我不會感到驚訝。我不會期望它表現出明顯的額外惡化，但要精確地預測出它惡化的程度則比較困難。

And on the other side of the coin, our clean the book efforts really kind of came home in a great way in the California wildfire example. Several millions of dollars, double-digit millions of dollars of benefit that we would otherwise seen as losses did not occur because of our efforts over time to clean the book. It's something you kind of track and make sure that the efforts we're making to improve profitability are actually resulting in dollars. And this was a hard example in the first quarter where we saw that actually came true. So, balancing a lot of things, but ADR should over time continue its trajectory.

另一方面，我們的清理記錄工作在加州野火事件中確實取得了很好的效果。由於我們長期以來努力清理帳目，我們原本會認為是損失的幾百萬美元、幾千萬美金的收益並沒有出現。你可以對其進行跟踪，以確保我們為提高盈利能力所做的努力確實能夠帶來收益。這是第一季的一個艱難例子，我們看到它確實實現了。因此，需要平衡很多事情，但隨著時間的推移，ADR 應該會繼續其軌跡。

Got it. Thank you.

知道了。謝謝。

Matthew O'Neill, FT Partners.

馬修·奧尼爾（Matthew O'Neill），FT Partners。

Hey there, this is Zach on form. Thanks for taking the question. I just wanted to ask quickly about, you talked about incorporating telematics earlier at near point of sale and now when you've done this you've seen the 60% boost in conversion rates. I guess my question is, how widely rolled out is this and what's the kind of gate limiting factor right now and pushing that out more broadly? Thanks.

嘿，我是 Zach。感謝您回答這個問題。我只是想快速問一下，您之前談到在銷售點附近加入遠端資訊處理技術，現在當您這樣做時，您已經看到轉換率提高了 60%。我想我的問題是，這項服務的推廣範圍有多廣，目前的門檻限制因素是什麼，如何更廣泛地推廣這項服務？謝謝。

Hey Zach. Yes, it's not very broadly rolled out and we -- the trajectory that we're seeing, we kind of gave you a snapshot of that 60% number, we're not done with that. We think with every experiment we're learning more things, and then we move on to the next AP test. So I think there's quite a lot of leg still in a lot of those experiments. So we're not yet focused on massive rollout. I kind of alluded to this in an earlier question as well. We're much more focused on fine-tuning and getting this all right and ready for what we perceive to be prime time and the opportunity that's ahead.

嘿，扎克。是的，它還沒有廣泛推廣，而且我們 - 我們看到的軌跡，我們為你提供了 60％ 這個數字的快照，我們還沒有完成這個目標。我們認為透過每次實驗我們都會學到更多的東西，然後我們繼續進行下一次 AP 測試。所以我認為很多這樣的實驗還有很大的發展空間。所以我們還沒有集中精力進行大規模推廣。我在之前的問題中也提到過這一點。我們更加重視微調，確保一切順利，為我們認為的黃金時段和未來的機會做好準備。

So it's in a few states where we can iterate relatively quickly, file in new states where regulators are favorably disposed to quick turns of filings and experimentation. It will roll out more uniformly across all of our states once we feel we've reached a certain stable point. We're not quite there yet.

因此，我們可以在幾個州相對快速地進行迭代，並在監管機構傾向於快速進行申請和實驗的新州提交申請。一旦我們感覺已經達到某個穩定點，它將在我們所有的州更統一地推廣。我們還沒有到達那裡。

Matthew, your line is still open.

馬修，你的線路仍然暢通。

That's all for me. Thank you.

對我來說就這些了。謝謝。

Tommy McJoynt, KBW.

湯米·麥克喬伊特，KBW。

Hey, good morning, guys. It definitely sounds like the cross-sale opportunities is very important to gain some operating leverage around the growth spend. Perhaps one data point you could share is what percentage of the new car sales that you guys are generating are cross-sales from existing Lemonade customers versus new customers?

嘿，大家早安。這聽起來確實像是交叉銷售機會對於獲得成長支出方面的一些經營槓桿非常重要。也許您可以分享一個數據點：您的新車銷售中有多少比例是來自現有 Lemonade 客戶的交叉銷售，有多少比例是來自新客戶的交叉銷售？

Yes, so I think, in terms of trends in the quarter, we saw more of our growth coming from cross-sells, more of our growth coming from Car. I think if you look at a couple of the metrics, you can see this dynamic. One is our multi-policy rate is increasing, and that's a dynamic that's not solely related to Car, but we're now heading toward almost 5% of our customers having multi-policy.

是的，所以我認為，就本季的趨勢而言，我們的成長更多來自交叉銷售，我們的成長更多來自汽車。我認為如果你看幾個指標，你就能看到這種動態。一是我們的多重保單比率正在上升，這種動態不僅與汽車有關，而且我們現在正朝著幾乎 5% 的客戶擁有多重保單的目標邁進。

In terms of the cross-sell aspect, something like half of our new sales are now coming of Car coming from existing customers, that's up. If you look back over a longer period of time, that would have looked more like a third. So still plenty of room to grow, but definitely an upward theme. So something on the order of half of those across those coming from existing customers. And 2.5 million to go, 2.5 and a half million less than the ones we have already. So it's a pretty deep pool and a much more efficient way to acquire new business.

就交叉銷售方面而言，我們現在大約有一半的新車銷售來自現有客戶，這一數字有所上升。如果回顧更長的時間，看起來更像是第三次。因此仍有很大的成長空間，但肯定是一個上升趨勢。因此，其中大約一半來自現有客戶。還剩下 250 萬，比我們現有的少了 255 萬。因此，這是一個相當深的市場，也是獲取新業務的更有效的方式。

Okay, got it. And then just the second one, the changes to the Chewy partnership, was that just the expiration of the warrants? Was that separate from what's going on with the business relationship? Just to clarify what happened there?

好的，明白了。然後第二個問題，Chewy 合作關係的變化，僅僅是認股權證的到期嗎？這與業務關係有什麼不同嗎？只是想澄清一下那裡發生了什麼事？

Sure. Yes, Chewy is all good news. The Chewy folks are terrific. We love everything they're doing and the partnership is humming along and generating tons of policies for us. We don't break it out for our reasons and their reasons in specific metrics, but it's going well. The contract that was terminated was a warrant structure. And so, we had going into the partnership with Chewy, we had a structure where we had the opportunity to pay commissions in cash for equity. Initially, we chose almost entirely equity for cash preservation reasons and optionality. And we determined over time, as we headed into the year, the end of year two of the agreement to switch that back to a cash structure. So we terminated just the warrant agreement. Everything else from a commercial perspective is steady and strong and continues.

當然。是的，Chewy 帶來的全是好消息。Chewy 的人都很棒。我們喜歡他們所做的一切，合作關係進展順利，並為我們制定了大量政策。我們不會用具體的指標來說明我們的原因和他們的原因，但一切都很順利。終止的合約是一種認股權證結構。因此，我們與 Chewy 建立了合作關係，我們有一個結構，我們有機會以現金支付股權佣金。最初，我們幾乎完全選擇股權，以保留現金並具有選擇性。隨著我們進入新的一年，也就是協議的第二年結束時，我們決定將其轉換回現金結構。因此我們終止了認股權證協議。從商業角度來看，其他一切都穩定、強勁且持續。

Cash for equity.

現金換股權。

Got it. Thank you.

知道了。謝謝。

Thank you. That does conclude our Q&A session for today and that does complete today's call. Thank you all for joining. You may now disconnect your lines.

謝謝。今天的問答環節到此結束，今天的電話會議也圓滿結束。感謝大家的加入。現在您可以斷開線路了。