Natural Grocers by Vitamin Cottage Inc (NGVC) 2024 Q4 法說會逐字稿

Good day. Ladies and gentlemen, welcome to the Natural Grocers fourth quarter and fiscal year 2024 earnings conference call. (Operator Instructions) As a reminder, today's call is being recorded. I would now like to turn the conference over to Ms. Jessica Thiessen, Vice President, Treasurer for Natural grocers. Ms. Thiessen, you may begin.

再會。女士們，先生們，歡迎參加 Natural Grocers 第四季和 2024 財年財報電話會議。（操作員指示）提醒一下，今天的通話正在錄音。現在，我想將會議交給天然食品雜貨商副總裁兼財務主管傑西卡·蒂森女士。蒂森女士，您可以開始啦。

Good afternoon and thank you for joining us for the Natural Grocers by Vitamin Cottage fourth quarter and fiscal year 2024 earnings conference call. On the call with me today are Kemper Isley, Co-President; Todd Dissinger, Chief Financial Officer; and Richard Halle, our incoming Chief Financial Officer.

下午好，感謝您參加 Natural Grocers by Vitamin Cottage 第四季和 2024 財年財報電話會議。今天與我一起通話的有聯合總裁 Kemper Isley；迪辛格 (Todd Dissinger)，財務長；以及我們即將上任的財務長理查德‧哈勒 (Richard Halle)。

As a reminder, certain information provided during this conference call contains forward-looking statements based on current expectations and assumptions and are subject to risks and uncertainties. Actual results could differ materially from those described in the forward-looking statements due to a variety of factors including the risks and uncertainties detailed in the company's most recently filed forms 10-Q and 10-K, the company undertakes no obligation to update forward-looking statements.

提醒一下，本次電話會議中提供的某些資訊包含基於當前預期和假設的前瞻性陳述，並受風險和不確定性的影響。由於各種因素，包括公司最近提交的10-Q 和10-K 表格中詳述的風險和不確定性，實際結果可能與前瞻性陳述中描述的結果有重大差異，公司不承擔更新前瞻性陳述的義務。

Today's press release is available on the company's website and a recording of this call will be available on the website at investors.naturalgrocers.com.

今天的新聞稿可在公司網站上查閱，本次電話會議的錄音可在網站 investors.naturalgrocers.com 上查閱。

Now, I will turn the call over to Kemper.

現在，我將電話轉給坎珀。

Thank you Jessica and good afternoon everyone. Thank you for joining us for our fourth quarter call. Today. I will highlight our financial results including key drivers of our performance and provide an update on our priorities. Then, Todd will discuss the fourth quarter results in greater detail and introduce our fiscal year 2025 guidance.

謝謝傑西卡，大家下午好。感謝您參加我們的第四季電話會議。今天。我將重點介紹我們的財務業績，包括業績的關鍵驅動因素，並提供我們優先事項的最新資訊。然後，托德將更詳細地討論第四季度的業績並介紹我們 2025 財年的指導。

We are pleased with our strong performance in the fourth quarter, particularly the balanced nature of our growth. We had 7.1% daily average comparable store sales growth and 14% on a two year basis. Sales growth included increases in transaction counts and items per transaction, modest price inflation and sales contribution from the new stores.

我們對第四季的強勁表現感到滿意，特別是我們成長的均衡性。我們的每日平均同店銷售額成長率為 7.1%，兩年成長率為 14%。銷售成長包括交易筆數和每筆交易商品數量的增加、適度的價格上漲以及新店的銷售貢獻。

Additionally, gross margin increased 100 basis points driven by both store occupancy cost leverage and higher product margin. The sales and margin improvements combined with expense management and leverage resulted in a 53% increase in net income.

此外，受店面佔用成本槓桿和產品利潤率提高的推動，毛利率增加了 100 個基點。銷售額和利潤率的提高，加上費用管理和槓桿作用，導致淨收入增加了 53%。

The full fiscal year performance was also balanced including a daily average comparable store sales increase of 7% and gross margin improvement of 70 basis points. Furthermore, we delivered operating margin expansion of 100 basis points and the diluted earnings per share growth of 44%. Our positive comp in fiscal 2024 represented our 21st consecutive year of positive comparable store sales growth.

整個財年的業績表現也較為均衡，日均同店銷售額成長 7%，毛利率提高 70 個基點。此外，我們的營業利潤率擴大了 100 個基點，每股稀釋收益成長了 44%。2024 財年的正同店銷售額代表我們連續第 21 年實現正成長。

Our outstanding fourth quarter and fiscal year results underscore our customers' appreciation for our commitment to the exceptional quality value and convenience provided by our innovative business model. Additionally, we continue to benefit from consumers, increasing prioritization of products that support health and sustainability.

我們優秀的第四季和財年業績凸顯了客戶對我們致力於透過創新商業模式提供卓越品質價值和便利性的讚賞。此外，我們繼續從消費者那裡受益，越來越優先考慮支持健康和永續性的產品。

We provide a differentiated merchandizing strategy that delivers affordable high quality natural and organic grocery products and dietary supplements. In the fourth quarter and for the fiscal year, the departments with the highest sales growth were meat, dairy and produce. We believe our high product standards in these departments resonate with consumers. Now, more than ever, our meat product standards prioritize humanely raised and sustainably sourced offerings. For example, our chicken product standard has always prohibited the use of antibiotics, hormones and other growth promotants.

我們提供差異化的行銷策略，提供價格合理、高品質的天然有機雜貨產品和膳食補充劑。第四季和整個財年，銷售額成長最高的部門是肉類、乳製品和農產品。我們相信，這些部門的高產品標準會引起消費者的共鳴。現在，我們的肉類產品標準比以往任何時候都更加重視人道飼養和可持續來源的產品。例如，我們的雞肉產品標準一直禁止使用抗生素、荷爾蒙等生長促進劑。

Our dairy department standards require pasture-raised, non-confinement dairy products, and our minimum egg standard is free range. Our produce offering is 100% certified organic and was organic even before there was an official USDA organic designation.

我們的乳製品部門標準要求使用牧場飼養、非圈養的乳製品，而我們最低的雞蛋標準是放養的。我們提供的農產品 100% 經過有機認證，在美國農業部正式獲得有機認證之前就已經是有機產品了。

Our commitment to offering high-quality products at always affordable prices creates a compelling value proposition that is distinctive within the market. Our marketing initiatives consistently emphasize these key characteristics to drive customer engagement. We believe that communicating and reinforcing our distinct position in the marketplace has been instrumental in generating our strong sales performance over the past several quarters.

我們致力於以始終實惠的價格提供高品質的產品，從而創造出在市場上獨一無二的引人注目的價值主張。我們的行銷措施始終強調這些關鍵特徵，以推動客戶參與。我們相信，傳達和加強我們在市場上的獨特地位對於我們過去幾季的強勁銷售業績至關重要。

As we reflect upon our performance over a longer horizon, we have achieved sustained growth by consistently executing our founding principles and focusing on customer engagement and operational initiatives.

當我們回顧我們的長期表現時，我們會發現我們透過一致地執行我們的創始原則並專注於客戶參與和營運計劃實現了持續成長。

Additionally, we have benefited from favorable category and consumer trends. Over the previous five years, we have grown net sales by 37% and more than tripled diluted earnings per share. Furthermore, during this period, we returned $108 million in capital to our stockholders through $4.76 of cumulative dividends per common share. We take great pride in our sustained and balanced growth. Consistent with our focus on returning capital to our stockholders, today, we announced that our Board of Directors has approved increasing our quarterly cash dividend to $0.12 per common share, representing a 20% increase.

此外，我們也受惠於有利的品類和消費趨勢。在過去五年裡，我們的淨銷售額成長了 37%，每股攤薄收益成長了兩倍多。此外，在此期間，我們透過每股 4.76 美元的累積股息向股東返還了 1.08 億美元的資本。我們對公司持續均衡的成長感到非常自豪。秉持著向股東返還資本的重點，今天，我們宣布董事會已批准將季度現金股利增加至每股普通股 0.12 美元，增幅為 20%。

Turning now to an update on key priorities for our business. We believe that our initiatives drove growth in fiscal 2024 and will continue to provide growth opportunities the future. We continue to leverage our {N}power rewards program as reflected in the fourth quarter net sales penetration of 81%, up from 77% a year ago. {N}power has been an effective tool for increasing customer loyalty and engagement.

現在來更新我們業務的重點優先事項。我們相信，我們的舉措推動了2024財年的成長，並將在未來繼續提供成長機會。我們繼續利用我們的{N}power 獎勵計劃，這反映在第四季度淨銷售滲透率從一年前的 77% 上升至 81%。 {N}power 一直是提高顧客忠誠度和參與度的有效工具。

Our Natural Grocers branded products continue to experience elevated growth in the fourth quarter. Our branded products accounted for 8.4% of total sales, up from 7.8% a year ago. During the quarter, we launched 19 new Natural Grocers brand items, including limited edition flavors of our organic coffee, expanded our household products line, and added new gourmet varieties of frozen pizza. For the year, we launched 80 new products, which like all our Natural Grocers brand products represent premium quality at compelling prices.

我們的 Natural Grocers 品牌產品在第四季度繼續高速成長。我們的品牌產品佔總銷售額的 8.4%，高於一年前的 7.8%。在本季度，我們推出了 19 種新的 Natural Grocers 品牌產品，包括限量版口味的有機咖啡，擴大了我們的家用產品系列，並增加了新的美味冷凍披薩品種。今年，我們推出了 80 種新產品，就像我們所有的 Natural Grocers 品牌產品一樣，這些產品都以極具吸引力的價格體現著優質的品質。

Store unit growth and development continues to be a priority for our company. During the fourth quarter, we opened a store in Incline Village, Nevada, which is in the Lake Tahoe region. During fiscal 2024, we opened a total of four new stores and relocated or remodeled four stores. We are pleased with their early performance. Subsequent to the quarter-end, we relocated two stores and closed one store. Over the next several years, we are targeting a return to opening between six and eight new stores per year, subject to real estate opportunities and improving construction conditions.

門市單位的成長和發展仍然是我們公司的首要任務。第四季度，我們在內華達州太浩湖地區的因克萊恩村開了一家商店。2024 財年期間，我們共開設了 4 家新店，並搬遷或改造了 4 家店。我們對他們早期的表現感到滿意。本季末之後，我們搬遷了兩家商店並關閉了一家商店。未來幾年，根據房地產機會和不斷改善的建築條件，我們的目標是每年開設 6 到 8 家新店。

In closing, I would like to thank our good-for-you crew. Their commitment to operational excellence and exceptional customer service were instrumental in driving our strong results. We are fortunate to have crew who share an affinity for our founding principles and are dedicated to ensuring that our stores, operations and supply chain reflect these values.

最後，我要感謝我們熱心的工作人員。他們對卓越營運和卓越客戶服務的承諾對於我們取得強勁的業績起到了重要作用。我們很幸運擁有與我們創始原則有著相同追求的員工，並致力於確保我們的商店、營運和供應鏈體現這些價值。

Our record earnings in fiscal 2024 supported the award of significant discretionary incentives for our good-for-you crew. Our history of paying discretionary incentives tied to the company's performance unites the organization in driving profitable growth and reflects our commitment to our crew.

我們在 2024 財年的創紀錄收益為我們為您服務的員工提供了大量自由裁量獎勵。我們一貫堅持根據公司業績支付酌情獎勵，這使得整個組織能夠共同推動獲利成長，也反映了我們對員工的承諾。

With that, I will turn our call over to Todd to discuss our financial results and guidance.

說完這些，我將把電話轉給托德，討論我們的財務表現和指導。

Thank you, Kemper, and good afternoon.

謝謝你，坎珀，下午好。

During the fourth quarter, we generated strong financial results, consistent with our trends throughout the year. For the fourth quarter, net sales increased 9.3% from the prior-year period to $322.7 million. Daily average comparable store sales increased 7.1% and increased 14% on a two-year basis. Our daily average comparable transaction count increased 3.6%. This marks our seventh consecutive quarter with positive customer traffic comps.

第四季度，我們取得了強勁的財務業績，與全年趨勢一致。第四季淨銷售額較去年同期成長 9.3% 至 3.227 億美元。日均同店銷售額較去年同期成長7.1%，兩年年增14%。我們的每日平均可比交易筆數增加了3.6%。這是我們連續第七個季度實現客戶流量年增。

Our daily average comparable transaction size increased 3.4%. The transaction size comp included an increase in items per basket of approximately 2 percentage points. Importantly, this was the third consecutive quarter with an increase in items per basket. Every major product category had an increase in items per basket. The transaction size comp also included product cost inflation of approximately 1 percentage point.

我們的每日平均可比交易規模增加了3.4%。交易規模比較顯示每籃子商品數量增加約 2 個百分點。重要的是，這是連續第三個季度每個購物籃的商品數量增加。每個主要產品類別的每個購物籃中的商品數量都有所增加。交易規模比較還包括約 1 個百分點的產品成本通膨。

Sales growth continued to be broad-based across product categories. Our strongest performing departments were meat, dairy and produce. The dietary supplement sales comp was slightly positive. For the fourth quarter, gross margin increased 100 basis points to 29.6%, driven by store occupancy cost leverage and higher product margin.

各產品類別的銷售持續普遍成長。我們表現最強勁的部門是肉類、乳製品和農產品。膳食補充劑的銷售額略有成長。第四季度，毛利率增加 100 個基點至 29.6%，這得益於店面佔用成本槓桿和產品利潤率提高。

Store expenses increased 10.2% in the fourth quarter, primarily driven by higher compensation expenses and long-lived asset impairment charges related to a store closure. Store expenses as a percentage of sales increased 20 basis points, primarily driven by higher long-lived asset impairment charges, partially offset by expense leverage.Administrative expenses as a percentage of sales decreased 10 basis points, reflecting expense leverage.

第四季門市費用增加了 10.2%，主要原因是薪資費用增加以及與門市關閉相關的長期資產減損費用增加。店面費用佔銷售額的百分比增加了 20 個基點，主要原因是長期資產減損費用增加，但部分被費用槓桿所抵銷。

Operating income increased 56% to $12.1 million. Net income was $9 million, with diluted earnings per share of $0.39 in the fourth quarter. This compares to net income of $5.9 million or $0.26 of diluted earnings per share in the fourth quarter of last year. Adjusted EBITDA increased 41% to $22.6 million in the fourth quarter.

營業收入成長56%至1210萬美元。第四季淨收入為 900 萬美元，每股攤薄收益為 0.39 美元。相比之下，去年第四季的淨收入為 590 萬美元，即每股攤薄收益 0.26 美元。第四季調整後 EBITDA 成長 41% 至 2,260 萬美元。

Briefly touching on the full year results, for fiscal 2024, total revenue increased 8.9% to $1.24 billion. Our daily average comparable store sales growth was 7%, resulting in an increase of 10.6% on a two-year basis. Gross margin was 70 basis points higher than the prior year. Store expenses as a percentage of sales were 30 basis points lower than the prior year and primarily reflects expense leverage. For fiscal 2024, diluted earnings per share were $1.47 compared to $1.02 in fiscal 2023. Adjusted EBITDA in fiscal 2024 was $83.3 million.

簡單介紹全年業績，2024 財年總營收成長 8.9% 至 12.4 億美元。我們的每日平均同店銷售額成長率為 7%，兩年內成長了 10.6%。毛利率比上年高出70個基點。店面費用佔銷售額的百分比比前一年低 30 個基點，主要反映了費用槓桿。2024 財年每股攤薄收益為 1.47 美元，而 2023 財年為 1.02 美元。2024 財政年度調整後 EBITDA 為 8,330 萬美元。

Turning to the balance sheet and cash flow. We ended the fourth quarter in a strong liquidity position, including $8.9 million of cash and cash equivalents and no outstanding borrowings on our $75 million revolving credit facility. During fiscal 2024, we generated cash from operations of $73.8 million and invested $38.6 million in net capital expenditures, primarily for new and relocated stores, resulting in free cash flow of $35.2 million.

轉向資產負債表和現金流。我們以強勁的流動性狀況結束了第四季度，包括 890 萬美元的現金和現金等價物，並且 7500 萬美元循環信貸額度中沒有未償還借款。在 2024 財年，我們的經營活動產生了 7,380 萬美元的現金，並投資了 3,860 萬美元的淨資本支出，主要用於新店和搬遷門市，從而產生了 3,520 萬美元的自由現金流。

Today, we announced that our Board of Directors has increased our quarterly cash dividend to $0.12 from $0.10 per common share. The dividend will be paid on December 18, 2024 to all stockholders of record at the close of business on December 2, 2024. This increase reflects our strong operating performance and financial position, confidence in our future, and is consistent with our objective of enhancing stockholder value by returning capital.

今天，我們宣布董事會已將季度現金股利從每股 0.10 美元增加至 0.12 美元。股利將於 2024 年 12 月 18 日支付給 2024 年 12 月 2 日營業結束時登記在冊的所有股東。這一成長反映了我們強勁的經營業績和財務狀況、對未來的信心，並符合我們透過資本回報提高股東價值的目標。

Now, I would like to review the company's outlook, which was developed based upon the current operating momentum we are experiencing, consumer trends, as well as consideration of the uncertainty of the economic environment. For fiscal 2025, we expect to open four to six new stores, relocate or remodel two to four stores, achieve daily average comparable store sales growth between 4% and 6%, achieve diluted earnings per share between $1.52 and $1.60, and direct $36 million to $44 million towards capital expenditures to support our growth initiatives.

現在，我想回顧一下公司的前景，它是根據我們當前的經營勢頭、消費趨勢以及對經濟環境不確定性的考慮而製定的。2025 財年，我們預計開設四至六家新店，搬遷或改造兩至四家店，實現日均同店銷售額增長4% 至6%，實現每股攤薄收益1.52 美元至1.60 美元，並直接投資3600萬美元增加 4,400 萬美元用於資本支出，以支持我們的成長計劃。

In addition, our outlook includes the benefits of our new store growth, targeted marketing focused on our value proposition, differentiation and customer engagement, and operating initiatives focused on driving higher productivity in our stores. Our current expectation is that sales comps will be at the high end of our outlook range in the first half of the year, while moderating somewhat in the second half of the year, as we continue to cycle relatively strong comps in the prior year.

此外，我們的展望還包括新店成長帶來的好處、專注於我們的價值主張、差異化和客戶參與的目標行銷，以及專注於提高門市生產力的營運措施。我們目前的預期是，今年上半年的銷售額將達到我們預期範圍的高端，而下半年將有所放緩，因為我們將繼續延續上一年相對強勁的銷售成長動能。

We expect modest inflation throughout the year in line with current trends. Our outlook anticipates that year-over-year gross margin will be relatively flat. Lastly, we expect that year-over-year store expenses as a percentage of sales will be relatively flat to slightly lower.

我們預計全年通膨率將保持溫和，與當前趨勢一致。我們預計毛利率將比去年同期相對持平。最後，我們預期門市費用佔銷售額的百分比比去年同期將相對持平或略低。

Considering fiscal 2025 and beyond, we believe we have opportunity for growth from our alignment with consumer trends, strong customer engagement through our {N}power Rewards program, expansion of the Natural Grocers branded products, new store development and driving existing store productivity.

考慮到2025 財年及以後，我們相信透過順應消費者趨勢、透過我們的{N}power 獎勵計劃實現強大的客戶參與度、擴大Natural Grocers 品牌產品、開發新店以及提高現有商店的生產力，我們有機會實現成長。

In closing, we had a strong quarter to conclude a record-setting fiscal year. We are confident in our ability to continue to drive profitable growth and enhance value for all stakeholders.

最後，我們以強勁的季度業績結束了創紀錄的財年。我們有信心有能力繼續推動獲利成長並為所有利害關係人提升價值。

With that, I turn our call back to Kemper.

說完這些，我將電話轉回給坎珀。

Thank you, Todd. In late June, Todd announced his intention to retire at the end of the year. Since his appointment as CFO in 2017, Todd has been an invaluable member of our executive team, helping Natural Grocers to execute to our founding principles while achieving record financial performance and enhancing shareholder value.

謝謝你，托德。6 月底，托德宣布他打算在年底退休。自 2017 年被任命為財務長以來，托德一直是我們執行團隊中不可或缺的一員，幫助 Natural Grocers 執行我們的創始原則，同時實現創紀錄的財務表現並提高股東價值。

Stepping into the CFO role on January 1, is Richard Hallé, who served as a member of Natural Grocers' Board of Directors and Audit Committee since 2012. Richard's deep strategic knowledge of our company and strong background as a seasoned finance executive makes him the ideal fit as we continue to execute to our founding principles.

理查德·哈萊 (Richard Hallé) 將於 1 月 1 日出任首席財務官，他自 2012 年起擔任 Natural Grocers 董事會和審計委員會成員。Richard 對我們公司有著深入的策略了解，並且擁有豐富的財務主管經驗，這使他成為我們繼續執行創始原則的理想人選。

I'm thrilled to welcome Rich to our executive team. Todd will continue in the CFO role through year-end to ensure a successful transition. Todd, I want to thank you for your many contributions to our success and wish you well in retirement.

我很高興歡迎 Rich 加入我們的執行團隊。托德將繼續擔任財務長一職直到年底，以確保成功過渡。托德，我想感謝您為我們的成功所做的諸多貢獻，並祝您退休後生活幸福。

Now, I would like to open the lines for questions. Thank you.

現在，我想開始回答大家的提問。謝謝。

We will now begin the question-and-answer session to ask a question. (Operator Instructions)

我們現在開始問答環節來問一個問題。（操作員指令）

Scott Mushkin, R5 Capital.

斯科特·穆甚金（R5 Capital）。

Great. Hey, guys. Todd, congratulations on retirement, and I'm jealous, I think.

偉大的。嘿，大家好。托德，恭喜你退休，我想，我很嫉妒。

Thank you, Scott.

謝謝你，斯科特。

So, I guess, I just wanted to -- I hate talking short term, but I guess I'll start off that way. Since one of your competitors kind of commented that they've seen acceleration September, October, like maybe into November. I mean, are you guys -- I know the comps get tougher, but I mean, are you seeing the same kind of continuous acceleration that they're seeing in the business?

所以，我想，我只是想——我不喜歡談論短期問題，但我想我會以這種方式開始。由於您的一位競爭對手錶示，他們已經看到了 9 月、10 月甚至 11 月的成長加速。我的意思是，你們——我知道競爭越來越激烈，但我的意思是，你們是否看到了他們在業務中看到的同樣的持續加速？

Well, their acceleration was off of the lower comp in the previous quarter than ours, but our comp for -- we don't really give [good], but we were very similar to how we did throughout the year in October.

嗯，他們的加速度是由於上一季的同比下降，但我們的同比——我們並沒有給出真正的[好]，但我們與 10 月份全年的表現非常相似。

Okay. That's good color. Sticking with this type of theme, you guys overlap in a number of markets, I think, well, at least in the Colorado market, but also down in Texas. Do you see any difference in store performance, whether you're competing with Sprouts or not competing with Sprouts?

好的。這顏色真好。堅持這種主題，我認為你們在多個市場有重疊，至少在科羅拉多市場如此，但在德克薩斯州也是如此。無論您是與 Sprouts 競爭還是不與 Sprouts 競爭，您是否發現商店業績有任何差異？

Not really. They -- our store performance is pretty even throughout wherever we're located. I mean, one of our stronger markets right now is down in Arizona, Tucson and Phoenix area, so that's their headquarters area. So just a actually Texas, Texas is actually pretty strong too right now.

並不真地。無論我們位於何處，我們的商店表現都相當均衡。我的意思是，我們目前較強的市場之一是亞利桑那州、圖森和鳳凰城地區，所以那是他們的總部所在地。所以實際上德克薩斯州現在也相當強大。

Okay. And then, Kemper, I don't know how much you put into the idea that some of the acceleration in the industry has to do with these weight loss drugs, maybe you don't put any credence on that, I'd like to get your input on that. But do you think that, that burns out after a while if you think it's helping propel the industry, or are you thinking it can keep going longer, again if you think that's part of what's going on?

好的。然後，Kemper，我不知道你對減肥藥和該行業增長加速之間關係的看法有多深，也許你不相信這一點，我想獲取你的意見。但是，如果您認為這有助於推動行業發展，那麼您是否認為這種情況會在一段時間後消失，或者您是否認為這種情況可以持續更長時間，如果您認為這是正在發生的事情的一部分？

No. I don't really think the weight loss drugs have -- I mean they might be having somewhat of an effect just from the standpoint that people are more aware of what they're putting into their body. So that's good for our business. But I think that's an overall -- throughout the country sort of thing that people are more worried about what they're consuming rather than just the people that are on the weight loss drug. I actually think people take weight loss drugs probably are less likely to be our customers just because they want something -- they want to solve their problem of weight without actually addressing what the underlying cause of the weight gain is.

不。我並不真的認為減肥藥有——我的意思是，從人們更清楚自己吃進身體裡的東西的角度來看，它們可能會有一定效果。這對我們的業務有好處。但我認為，這是一個整體情況——在全國範圍內，人們更擔心自己吃的東西，而不僅僅是服用減肥藥的人。我實際上認為，人們服用減肥藥可能不太可能只是因為他們想要某些東西而成為我們的客戶——他們想要解決體重問題，但實際上卻沒有解決體重增加的根本原因。

Right. And then, how do you view the -- I don't know if there's anyone else here to ask questions, so I figured I'll just keep throwing them out unless there is, and I'll get off.

正確的。然後，您如何看待——我不知道這裡是否還有其他人可以提問，所以我想我會繼續提問，除非有其他人提出問題，然後我就離開了。

No, we're good.

不，我們很好。

We're good. Okay. So, how do you think about -- obviously, there's health and human services person nominated. He is very against food additives, and kind of some of the stuff that I think is poison, but maybe I shouldn't say that. I'm doing a live conference call. But I mean, how do you think that plays out? If he's successful, does it help you or hurt you?

我們很好。好的。那麼，您怎麼看——顯然，有衛生與公共服務部門的人員獲得提名。他非常反對食品添加劑，有些東西我認為是有毒的，但也許我不應該這麼說。我正在進行現場電話會議。但我的意思是，您認為結果會如何？如果他成功了，這對你有幫助還是有害？

It would be helpful if he succeeds in making people more aware of what they're putting into their bodies, because we have an authentic story of not allowing artificial food additives into the products that we sell in our stores, so that -- it just re-affirms that we're authentic and that we're the original player in the field of actual natural foods.

如果他能成功地讓人們更加了解他們吃進身體裡的東西，那將會很有幫助，因為我們有一個真實的故事，不允許在我們商店出售的產品中添加人工食品添加劑，所以——這只是再次證明我們是貨真價實的，並且是真正的天然食品領域的原創者。

Yeah. Okay. Yeah, that makes sense. I was trying to frame it. I think that helps. I mean, I think to the degree he draws more and more attention to it, it obviously helps. I agree with you --

是的。好的。是的，這很有道理。我試著將它框起來。我認為那有幫助。我的意思是，我認為，隨著他對此的關注度不斷提高，這顯然會有所幫助。我同意你的看法--

I mean, it's going to be -- I mean, even if he is nominated, it's going to be a big struggle for him to get a lot of stuff taken care of that probably should be taken care of in this country. I mean, the way we grow food and the way we manufacture food, et cetera, is quite problematic. I mean, it's part of the reason why so many people have weight issues and have to take the weight loss drugs.

我的意思是，即使他被提名，他仍將面臨巨大的困難，需要處理好這個國家許多本應由他處理的問題。我的意思是，我們種植食物的方式、生產食物的方式等等都存在著很大問題。我的意思是，這也是為什麼這麼多人有體重問題並且必須服用減肥藥的原因之一。

Yeah, it's amazing, some of the stuff. When I first was a young analyst, I did a lot of work around the chemicals and additives just back in 2000s, early 2000s. And it just amazed me as I did the research on some of the stuffs in our food and the fact that a lot of it is known carcinogens and it's still there.

是的，有些東西確實令人驚奇。當我還是年輕分析師時，我在 21 世紀初做了很多與化學品和添加劑相關的工作。當我對食物中的某些成分進行研究時，我發現其中許多都是已知的致癌物質，而且仍然存在，這讓我感到非常驚訝。

Yeah. And then, you have the artificial colors and flavors that they put into the candies for the kids and they sound super hyperactive.

是的。然後，他們還在兒童糖果中添加了人工色素和香料，聽起來讓人覺得非常興奮。

And the plastics.

還有塑膠。

And the plastics, yeah. All in.

是的，還有塑膠。全部。

You guys have plastic? I don't think so, right? Or you -- or do you have -- or do you allow plastics in?

你們有塑膠嗎？我不這麼認為，對吧？或者你 — — 或者你有 — — 或者你允許塑料進入嗎？

No. We don't allow plastics into the foods.

不。我們不允許食物中含有塑膠。

All right. We digress just a little bit. So, if you're going to look at '25, you went over -- Kemper, you went over some of the initiatives that you're excited about, but if you're looking at the top things for '25, especially on the revenue drive side, but I guess also maybe the efficiency side, like, if I was going to look at something for '25, like, hey, this is really a focus for the company.

好的。我們稍微離題了一點。所以，如果你要看 25 年，你已經看過了——Kemper，你看過了一些讓你興奮的舉措，但如果你看 25 年最重要的事情，尤其是收入驅動方面，但我想也許還有效率面，例如，如果我要看25 年的東西，比如，嘿，這確實是公司的重點。

Well, we're really focused -- as far as revenue driving is just marketing to our {N}power customers because that's the most cost effective way for us to market. So, getting even a higher percentage of our sales people -- higher percentage of our customer base signed up as {N}power members is super effective in driving the top-line of sales. And so, if we can drive that from 81% -- so we went from 78% to 81%, so we can go from 81% to 84% this year, that would be a tremendous driver of sales.

嗯，我們非常專注——就收入驅動而言，我們只是向我們的{N}power 客戶進行行銷，因為這是我們行銷最具成本效益的方式。因此，讓更高比例的銷售人員 - 更高比例的客戶群註冊成為{N}power 會員，對於推動銷售額的成長非常有效。因此，如果我們能夠將這一比例從 81% 提高到 78% 至 81%，那麼今年我們就可以從 81% 提高到 84%，這將會大大促進銷售。

And it's just --

這只是--

Because I mean, the {N}power members just spend a lot more for transaction than other customers do, because we're marketing to them and telling them about all of their good benefits, 5 times a week.

因為我的意思是，{N}power 會員在交易上花費的錢比其他客戶多得多，因為我們每週 5 次向他們行銷並告訴他們所有的好處。

And is the sign --

並且是標誌--

Sorry. Go ahead.

對不起。前進。

So, are the efforts to get people to sign up like we just had the most tremendous, my partner and I, who -- she does a lot of the consulting for R5, we were actually in Keller, Texas. We were in your store, and we just had the most positive interaction with the -- actually, it was the cashier who actually had to sign up. And is that how you're getting it done? Is it just -- is that how you get from 79% to 81%? Is it just like associates engaging with people? Anyway --

所以，我們為讓人們註冊所做的努力就像我們剛才所做的那樣，我和我的合夥人——她為 R5 做了很多諮詢工作，我們實際上在德克薩斯州凱勒。我們在你的商店裡，我們與——實際上是收銀員——進行了最積極的互動。這就是你完成任務的方法嗎？這只是——你是如何從 79% 提高到 81% 的嗎？這就像同事與人交往一樣嗎？反正--

Exactly. And then, we're running -- we have in-store friendly contests in each region. So, the stores -- once a quarter we run a contest to see which store can sign up the most, in our -- within a quarter and just things like that just to drive the sign ups.

確切地。然後，我們正在進行——我們在每個地區都有店內友好競賽。所以，我們每季都會在商店舉行一次競賽，看看哪家商店可以在一個季度內註冊最多，諸如此類的事情只是為了推動註冊人數。

And you need to be in the program to take advantage of promotions.

您需要加入該計劃才能享受促銷優惠。

Yeah. Right. I mean you can't get your eggs at the really good price unless you're in {N}power program. So -- and eggs seem to be a driver again because there's an egg shortage again.

是的。正確的。我的意思是，除非你參加{N}power 計劃，否則你不可能以真正優惠的價格買到雞蛋。所以——雞蛋似乎再次成為驅動因素，因為再次出現了雞蛋短缺。

It's amazing. I got to tell you I was definitely impressed with that interaction. We both were to see how engaged the employee was, and unfortunately, this was a bit ago, but you guys are running a big -- I think it was your annual sale or something like that. I forget what it was. It was -- we were kind of bummed that we weren't going to be there for it, but we weren't. I think that's what I told you. You can never ever open a Natural Grocers down here in Florida, but you said no.

這太神奇了。我得告訴你，那次互動確實給我留下了深刻的印象。我們都想看看員工的敬業度如何，不幸的是，這已經過去很久了，但你們正在舉辦一個大型活動——我想那是你們的年度促銷活動或類似的活動。我忘了那是什麼了。是的——我們有點沮喪，因為我們不能去那裡，但我們確實沒有去。我想這就是我告訴你的。你永遠也不可能在佛羅裡達開一家天然雜貨店，但你卻說不。

Not right now.

現在還不行。

Not right now.

現在還不行。

So, we still have a lot to do [west] of the Mississippi.

所以，在密西西比河以西我們還有很多事情要做。

Yeah. There is a competitor down here, but not nearly as good as you or someone that does the same thing, but they're not nearly as good. All right. I think that's it. I think that's it for me. I appreciate it. And I see the company doing so well. Thanks for the dividend. I own the stock, so I appreciate it.

是的。這裡有一個競爭對手，但他們遠不如你或做同樣事情的人，但他們遠不如你。好的。我認為就是這樣。我想對我來說就這樣了。我很感激。我看到公司發展得非常好。謝謝分紅。我擁有該股票，因此我很感激。

No, you're welcome. I mean, we've -- I mean quite a bit of -- quite a few dollars given back in dividends over the last few years. So, yeah.

不，別客氣。我的意思是，在過去幾年裡，我們已經以股息的形式返還了相當多的美元。是的。

Yeah. That's the one good thing about having a smaller company. We can actually -- it's in our disclosures because this will probably be in print, but we can actually put our money where our mouth is. So yeah, appreciate it.

是的。這就是小公司的一個好處。我們實際上可以 — — 這在我們的披露中，因為這可能會被印刷出來，但我們實際上可以做到言出必行。是的，非常感謝。

And we appreciate, appreciate your coverage. Thank you.

我們非常感謝您的報道。謝謝。

Thanks. Thanks guys. Bye.

謝謝。謝謝大家。再見。

Bye.

再見。

This concludes our question and answer session. I would like to turn the conference back over to Kempler Oley for any closing remarks.

我們的問答環節到此結束。我想將會議交還給 Kempler Oley 並請他作最後發言。

I never had been called Kempler Isely. Anyway, thank you for joining us to discuss our fourth quarter results. We take great pride in our sustained and balanced growth in fiscal 2024 and over the past several years. We are committed to maximizing value for our stockholders.

我從來沒人叫過我凱普勒‧艾斯利 (Kempler Isely)。無論如何，感謝您加入我們討論我們的第四季業績。我們對 2024 財年以及過去幾年的持續均衡成長感到非常自豪。我們致力於為股東實現價值最大化。

As we look forward to fiscal year 2025, we expect to build upon our momentum by executing through our founding principles, leveraging our differentiated models and emphasizing operational excellence to drive profitable growth at an authentic company.

展望 2025 財年，我們希望透過執行我們的創始原則、利用我們的差異化模式並強調卓越營運來推動一家真正公司的獲利成長，從而鞏固我們的發展勢頭。

Thank you, and have a great day. Bye.

謝謝您，祝您有愉快的一天。再見。