如新 (NUS) 2024 Q1 法說會逐字稿

Thank you for standing by, and welcome to the Q1 2024 Nu Skin Enterprises earnings conference call. At this time, all participants are in a listen only mode after the speakers' presentation, there will be a question and answer question. During the session, you will need to press star one one on your telephone. You will then hear an automated message advising your hand is raised your question, please press star one one. We advise that today's conference is being recorded. I would now like to hand the conference over to your speaker today I'm Vice President, Investor Relations. Please go ahead.

感謝您的支持，歡迎參加 Nu Skin Enterprises 2024 年第一季財報電話會議。此時，所有參與者都處於僅聆聽模式，演講者演講結束後，將有一個問答環節。在會話期間，您需要在電話上按下星號 11。然後您將聽到一條自動訊息，告知您已舉手提問，請按星號一一。我們建議今天的會議將被記錄。現在，我想將會議交給今天的發言人，我是投資者關係副總裁。請繼續。

Thanks, Michelle, and good afternoon, everyone. Today on the call with me are Rion appears key President and CEO, and James Thomas, CFO on today's call, comments will be made that include some forward-looking statements. These statements involve risks and uncertainties, and actual results may differ materially from those discussed or anticipated. Please refer to today's earnings release and our SEC filings for a complete discussion of these risks.

謝謝，米歇爾，大家下午好。今天與我一起參加電話會議的還有總裁兼執行長 Rion 和財務長 James Thomas，他們將在今天的電話會議上發表評論，其中包括一些前瞻性的陳述。這些聲明涉及風險和不確定性，實際結果可能與討論或預期的結果有重大差異。請參閱今天的收益報告和我們的美國證券交易委員會文件，以獲得對這些風險的完整討論。

Also during the call, certain financial numbers may be discussed that differ from comparable numbers obtained in our financial statements. We believe these non-GAAP numbers assist in comparing period-to-period results in a more consistent manner. Please refer to our investor website for any required reconciliation of non-GAAP numbers.

另外，在通話過程中，所討論的某些財務數字可能會與我們的財務報表中獲得的可比較數字有所不同。我們相信這些非公認會計準則數字有助於以更一致的方式比較不同時期的結果。有關任何非 GAAP 數據所需的對帳信息，請參閱我們的投資者網站。

And now I'd like to turn the call over to Ryan.

現在我想把電話轉給瑞安。

Thanks, Scott, and hello, everyone. Thanks for joining us today. Having just returned from our top sales leader, alignment and activation, all in event in Abu Dhabi and Dubai.

謝謝，斯科特，大家好。感謝您今天加入我們。我們的頂級銷售領導剛剛回來，協調和激活都在阿布扎比和杜拜的活動中。

I'm eager to provide an update on the state of our business as we enter our 40 year anniversary, pursuing our mission of being a global force for good by empowering people to look feel and live better lives.

在我們即將迎來 40 週年紀念之際，我渴望更新我們的業務狀況，我們將繼續履行我們的使命，即透過讓人們看起來感覺更好、過上更好的生活，成為一支全球向善的力量。

I'll provide a performance summary for Q1 as well as a progress update on our ongoing enterprise transformation vision strategy.

我將提供第一季的業績摘要以及我們正在進行的企業轉型願景策略的進展更新。

And plans. Our results for the first quarter were in line with guidance at a high level.

和計劃。我們第一季的業績符合高水準的預期。

Our business is on track with established expectations, and we are maintaining our full year outlook. Revenue for the quarter was in the middle of our guidance range despite experiencing more FX pressure than we had anticipated. We were also pleased with our progress on expense reduction initiatives, which helped us deliver first quarter non-GAAP earnings per share at the high end of our range.

我們的業務進展順利，符合既定預期，我們維持全年預期。儘管外匯壓力超出我們的預期，但本季的營收仍處於我們預期範圍的中間。我們也對費用削減計劃所取得的進展感到滿意，這幫助我們在第一季實現了非公認會計準則每股收益達到預期範圍的高位。

Our rice business delivered another strong quarter with revenues up 57% to more than $62 million led by both our mobile technology platform and Wasatch manufacturing business. The revenue contribution from rise accounted for approximately 15% of total enterprise revenue in the first quarter. And we continue to expect this segment to account for 20% to 25% of our overall mix by 2025.

我們的大米業務又一個季度表現強勁，在行動技術平台和 Wasatch 製造業務的帶動下，營收成長 57%，達到 6,200 多萬美元。Rise帶來的營收貢獻約佔第一季企業總營收的15%。我們仍預計到 2025 年該部分將占我們整體產品組合的 20% 至 25%。

Looking at the performance of our core Nu Skin business. Our new product innovations delivered solid results, ageLOC wealth bio and reduced bio, the holistic wellness and beauty devices. We launched recently along with ageLOC key Army, our personalized weight management system that also launched in 2023 contributed approximately $42 million to our Q1 revenue, Europe and Africa.

看看我們的核心 Nu Skin 業務的表現。我們的新產品創新取得了顯著的成果，ageLOC 財富生物和減少生物，整體健康和美容設備。我們最近與 ageLOC key Army 一起推出的個人化體重管理系統也於 2023 年推出，為我們第一季、歐洲和非洲的收入貢獻了約 4,200 萬美元。

There was a very favorable response to TRACE during Q1. There were also positive trends in a handful of our Southeast Asia Pacific markets, and we were encouraged by continued improvements in our sales leader trend in Mainland China despite a generally tepid macroeconomic climate in other regions. We continue to battle macroeconomic challenges, including heavy heavy inflationary pressures on consumer spending for premium goods, which together with our aggressive price increases from a year ago have hampered our customer and affiliate acquisition efforts in the Americas region with our subscription business in North America continues to be pressured by these factors, and we're making some adjustments to our model in Latin America to counter macro forces, particularly in Argentina.

第一季對 TRACE 的反應非常好。我們在東南亞太平洋地區的少數市場也呈現出積極的趨勢，儘管其他地區的宏觀經濟環境普遍不景氣，但我們在中國大陸的銷售領先趨勢繼續改善，這令我們感到鼓舞。我們繼續應對宏觀經濟挑戰，包括高端商品消費者支出面臨沉重的通膨壓力，再加上我們一年前大幅提價，阻礙了我們在美洲地區的客戶和附屬公司的獲取工作，我們在北美的訂閱業務繼續受到這些因素的壓力，我們正在對拉丁美洲的模式進行一些調整，以應對宏觀力量，特別是在阿根廷。

In South Korea, consumer sentiment remains negative due to housing the housing market crisis making it difficult to grow because customers and build the channel. Consumer sentiment is also a factor in Japan in addition to significant FX pressure on our results. So to combat these external factors, we are placing more emphasis on product innovation in the affordable luxury space. And we will be introducing several new products at our upcoming West and East live sales conferences in Q3 our first multi-market in-person events since COVID.

在韓國，由於房屋市場危機導致消費者信心持續負面，導致客戶難以成長和通路難以建構。除了外匯對我們的業績造成巨大壓力外，日本的消費者情緒也是一個因素。因此，為了因應這些外在因素，我們更加重視平價奢侈品領域的產品創新。我們將在第三季即將舉行的西方和東方現場銷售會議上推出幾款新產品，這是自 COVID 以來我們首次舉行的多市場面對面活動。

Despite these headwinds, we remain committed to our long-term enterprise vision of transforming our core Nu Skin business while building out rise in our long term beauty, wellness and lifestyle ecosystem. As I mentioned earlier, we just returned from our meetings with our top leaders where there was a palpable level of energy and excitement about the future.

儘管面臨這些阻力，我們仍然致力於我們的長期企業願景，即轉變我們的核心 Nu Skin 業務，同時建立我們長期的美容、健康和生活方式生態系統。正如我之前提到的，我們剛剛與高層領導人舉行了會議，大家對未來充滿了活力和興奮。

We introduced our next major product innovation, mine 360, a new division targeted at the rapidly growing $10 billion cognitive health market. Mind 360 takes a holistic approach to addressing the interrelated factors of stress sleep and cognitive performance that are impacting the well-being of consumers in today's busy world. We're excited to preview mine 360 at our upcoming live events in Q3 with planned introductions of mine 360 to follow towards the end of the year and into 2025.

我們推出了下一個重大產品創新——mine 360​​，這是一個新部門，目標市場是快速成長的價值 100 億美元的認知健康市場。Mind 360 採用整體方法來解決壓力、睡眠和認知表現等相互關聯的因素，這些因素正在影響當今忙碌世界中消費者的健康。我們很高興能夠在第三季即將舉行的現場活動中預覽 mine 360​​，並計劃在今年年底和 2025 年推出 mine 360​​。

Channel activation within our core Nu Skin business is a top priority for us, and we're pleased to announce the promotion of just in key. So as our new President of Global Sales, Justin has been leading the work to expand our affiliate model across the Americas over the past several years. He has extensive sales leadership experience, both at Nu Skin and in prior roles and is and has demonstrated his commitment to our leader success. Justin is spearheading our efforts to retool our entire global sales organization and bring a much more rigorous lens to the sales performance management and channel activation To this end, we recently launched a new series of incentives, including a new customer acquisition and leadership performance program to re-energize the field. We anticipate these new and initiatives to take root through the remainder of this year.

我們核心 Nu Skin 業務內的通路活化是我們的首要任務，我們很高興地宣布推出 just in key 的推廣。因此，作為我們新任全球銷售總裁，賈斯汀在過去幾年中一直領導著將我們的附屬模式擴展到整個美洲的工作。他在 Nu Skin 以及之前的職位上都擁有豐富的銷售領導經驗，並且已經並已經展示了他對我們領導者成功的承諾。賈斯汀 (Justin) 正帶頭重組我們整個全球銷售組織，並為銷售績效管理和通路激活帶來更嚴格的視角。我們預計這些新措施將在今年剩餘時間內紮根。

Also, let me quickly give an update on last quarter's announcement of our intent to enter India. One of the fastest growing direct selling markets in the world. We are taking a very new approach to this high potential emerging market that will enable us to reach a much wider array of customers and entrepreneurs. Our product offering business model and operational footprint will be synchronized to enable broader market mid-market appeal. We are just beginning to activate our channel towards a targeted marketing opening in 2025 with a digital first approach that is more agile and will enable us to scale more quickly throughout the market. We see India and our emerging market business model as a gateway to many new markets in the future and anticipate these learnings will help us delve deeper into second and third tier markets within Latin America, Southeast Asia and China growing out rise and our RISE business is a critical element of our overall enterprise vision as we seek to build out the world's leading beauty, wellness and lifestyle ecosystem. Over the past several years, we've constructed essential infrastructure consisting of manufacturing, technology and operations to support Nu Skin's core business while enabling other brands to grow. We are now applying this ecosystem to beauty bio to enable it to scale and see additional opportunities to extend our comprehensive suite of services, spanning product R&D, product production, packaging, cutting edge technology and logistics to the indie beauty and wellness industry for influencers and creators. We see great potential for this influencer incubator over the mid to long term, and we are well positioned to capitalize on these opportunities as we lean into the disruption of the beauty and wellness industry due to social influencers and indie brands, we are utilizing our capital to invest in additional manufacturing services capabilities and opportunities to enable future growth.

此外，請容許我快速介紹一下上個季度我們宣布進入印度市場的意圖。世界上成長最快的直銷市場之一。我們正在採取一種全新的方法來應對這個潛力巨大的新興市場，這將使我們能夠接觸到更廣泛的客戶和企業家。我們的產品供應業務模式和營運足跡將同步，以擴大其在中端市場的吸引力。我們剛開始啟動我們的管道，以在 2025 年實現有針對性的行銷開放，採用更靈活的數位優先方法，並使我們能夠在整個市場中更快地擴展。我們將印度和我們的新興市場商業模式視為未來通往眾多新市場的門戶，並預計這些經驗將幫助我們更深入地進入拉丁美洲、東南亞和中國的二三線市場，而我們的 RISE 業務是我們整體企業願景的關鍵要素，因為我們致力於打造世界領先的美容、健康和生活方式生態系統。在過去幾年裡，我們建立了由製造、技術和營運組成的基本基礎設施，以支援 Nu Skin 的核心業務，同時也使其他品牌能夠發展。我們現在將這個生態系統應用於美容生物，使其能夠擴大規模，並看到更多機會來擴展我們的綜合服務套件，涵蓋產品研發、產品生產、包裝、尖端技術和物流，為有影響力的人和創造者的獨立美容和健康行業提供服務。我們看到這個影響力孵化器在中長期內具有巨大的潛力，我們有能力利用這些機會，因為我們傾向於社交影響力人士和獨立品牌對美容和健康行業的顛覆，我們正在利用我們的資本投資於額外的製造服務能力和機會，以實現未來的成長。

So in summary, first quarter results were in line with guidance, and we are maintaining our 2024 outlook. From a top-line perspective, we are acutely focused on channel activation with new incentives and continue to lean into our product strategy, including the upcoming launch of mine 360 as well as affordable luxury.

總而言之，第一季的業績符合預期，我們維持 2024 年的展望。從營收角度來看，我們高度重視透過新的激勵措施來啟動管道，並繼續傾向於我們的產品策略，包括即將推出的 mine 360​​ 以及平價豪華車。

We also continue to invest in our Rides business to accelerate growth and further transform our enterprise to leverage our competitive advantages within the beauty, wellness and lifestyle industries expense prudence remains a critical focus in 2024 and while we made significant progress on these initiatives during the first quarter, there are still opportunities to drive further efficiency, including our SKU optimization plan to eliminate 25% to 30% of our SKUs by the end of 2025.

我們也將繼續投資於我們的乘車業務，以加速成長並進一步轉型我們的企業，以利用我們在美容、健康和生活方式行業的競爭優勢，費用審慎仍然是 2024 年的關鍵重點，雖然我們在第一季度在這些舉措上取得了重大進展，但仍有機會進一步提高效率，包括我們的 SKU 優化計劃，到 2025 年底將消除 25% 的 SKU 25%。

Just about despite the challenging conditions in many of our markets in the near to mid term, we remain focused on executing our long-term vision of becoming the world's leading integrated beauty and wellness ecosystem.

儘管近期至中期我們許多市場都面臨挑戰，但我們仍專注於實現我們的長期願景，即成為世界領先的綜合美容和健康生態系統。

And with that, I'll turn the call over to James to cover the first quarter results in more detail along with our guidance. James?

說完這些，我將把電話轉給詹姆斯，讓他更詳細地介紹第一季的業績以及我們的指導。詹姆斯？

Thank you, Ryan, and thanks to all of you for joining today. I'll provide a brief Q1 update and then speak to Q2 and 2024 guidance. For additional details, please visit our Investor Relations website.

謝謝你，瑞安，也謝謝大家今天的參加。我將簡要介紹第一季的最新消息，然後談談第二季和 2024 年的指引。欲了解更多詳細信息，請訪問我們的投資者關係網站。

For the first quarter, we posted revenue of $417.3 million, which was at the midpoint of our previous guidance range and included a negative foreign currency impact of 3.8% or $18.2 million, which created more pressure from our initial guidance.

第一季度，我們公佈的營收為 4.173 億美元，處於我們先前預期範圍的中點，其中包括 3.8% 或 1,820 萬美元的負面外匯影響，這給我們最初的預期帶來了更大壓力。

Reported earnings landed near the top end of our guidance range at negative $0.01 or $0.09. Excluding restructuring charges, our gross margin was 70.5% compared to 72.3% in the prior year quarter. Gross margin for the Nu Skin core business improved 50 basis points to 76.9% compared to 76.4% in the prior year quarter due to our SKU rationalization initiatives and targeted promotions.

報告的收益接近我們預期範圍的最高端，為負 0.01 美元或 0.09 美元。除重組費用外，我們的毛利率為 70.5%，去年同期為 72.3%。由於我們採取了 SKU 合理化措施和有針對性的促銷活動，如新核心業務的毛利率較去年同期的 76.4% 提高了 50 個基點，達到 76.9%。

Selling expense as a percentage of revenue decreased to 36.8% compared to 39.1% in the prior year quarter. For the Nu Skin core business selling expense was 41.7%, flat with the prior year. Feel the lower overall gross margin and selling expense is due in growth due to growth in our rice segment, which now accounts for 15% of our business.

銷售費用佔收入的百分比從去年同期的 39.1% 下降至 36.8%。Nu Skin核心業務銷售費用為41.7%，與前一年持平。我覺得整體毛利率和銷售費用的下降是由於米業務的成長，目前米業務占我們業務的15%。

General and administrative expense declined $9.3 million year over year and as a percentage of revenue was 29.9% compared to 27.8%. The increase percentage can be attributed to lower quarterly revenue levels. As previously discussed, we've been strategically evaluating our new skin core business and better aligning our operating costs to be in line with revenue. In the first quarter, we incurred an additional $7.1 million restructuring charge. And we will continue our cost efficiency plan through next quarter with an anticipated $3 million to $8 million of restructuring charges. We continue to expect this cost efficiency plan to deliver annual savings of between $40 million and $65 million before taxes. We will continue to seek business efficiencies in all areas and believe these actions will help us maximize cash flows, focus on improved margins and enhanced earnings per share going forward.

一般及行政開支年減 930 萬美元，佔營收百分比由去年同期的 27.8% 降至 29.9%。成長百分比可歸因於季度營收水準較低。正如前面所討論的，我們一直在策略性地評估我們的新皮膚核心業務，並更好地調整我們的營運成本以與收入保持一致。第一季度，我們額外產生了 710 萬美元的重組費用。我們將繼續執行成本效率計劃直至下個季度，預計重組費用為 300 萬至 800 萬美元。我們繼續預期這項成本效益計畫將帶來每年 4,000 萬至 6,500 萬美元的稅前節省。我們將繼續在各個領域尋求業務效率，並相信這些舉措將幫助我們最大限度地提高現金流，專注於提高利潤率和提高每股收益。

Our operating margin for the quarter was 2.1% were 3.8%, excluding restructuring charges, compared to 3.3% or 5.4%, excluding restructuring charges in the prior year, our interest expense was $7.3 million for the quarter compared to $4.9 million in the prior year. The other income expense line reflects a $0.4 million expense compared to a $3.4 million gain in the prior year quarter. In the first quarter, our cash flow from operations rose to a positive $3.3 million, driven by a concentrated effort on inventory management in contrast with the $22.1 million cash outflow in the same period last year.

本季我們的營業利潤率為 2.1%，不包括重組費用則為 3.8%，而去年同期為 3.3% 或 5.4%，不包括重組費用，本季我們的利息支出為 730 萬美元，而去年同期為 490 萬美元。其他收入支出項目反映支出 40 萬美元，而去年同期的收入為 340 萬美元。第一季度，我們的營運現金流增至正 330 萬美元，這得益於我們對庫存管理的集中投入，而去年同期的現金流為 2,210 萬美元。

Cash from operations is typically the lowest in the fourth first quarter due to lower revenue levels in what is seasonally our slowest quarter. We paid $3 million in dividends and paid down our outstanding debt, $20 million in the quarter. We did not repurchase any stock and have $162.4 million remaining on the current authorization. Our tax rate for the quarter was 148.4% or 48.5%, excluding restructuring charges compared to 22% for the second quarter, we anticipate an elevated tax rate in the range of 45% to 55% and anticipate a projected 2024 annual tax rate of 25% to 35%. This annual rate reflects an anticipated higher global effective tax rate, primarily due to the expected geographical mix of earnings during the year and the rate impact from our stock awards in Q1.

通常情況下，第一季第四季的營業現金流是最低的，因為第四季是我們季度業務最淡的季度，收入水平較低。我們支付了 300 萬美元的股息，並償還了本季的 2,000 萬美元未償債務。我們沒有回購任何股票，目前授權剩餘金額為 1.624 億美元。我們本季的稅率為 148.4% 或 48.5%，不包括重組費用，而第二季為 22%，我們預計稅率將在 45% 至 55% 之間，預計 2024 年年度稅率為 25% 至 35%。該年稅率反映了預期的全球有效稅率上升，這主要歸因於預期的年內收益的地域組合以及我們第一季股票獎勵的稅率影響。

Shifting focus now to guidance. In light of the continued economic pressures challenges associated with our transforming our business and increased volatility in foreign exchange rates. We are reiterating 2024 revenue in the $1.73 billion to $1.87 billion range. We anticipate earnings per share of $0.77 to $1.16 for adjusted earnings of $0.95 to $1.35. Our guidance now assumes an increased foreign currency headwind of approximately 2% to 3%. We are projecting second quarter revenue of $420 million to $455 million, assuming a foreign currency headwind of approximately 3% to 4%, with reported earnings per share of $0.01 to $0.10 or $0.10 to $0.20, excluding restructuring charges, and with that, operator, we'll now open the call up for questions.

現在將重點轉移到指導。鑑於持續的經濟壓力、我們業務轉型面臨的挑戰以及外匯匯率波動加劇。我們重申 2024 年的營收將在 17.3 億至 18.7 億美元之間。我們預計每股收益為 0.77 美元至 1.16 美元，調整後收益為 0.95 美元至 1.35 美元。我們的指導現在假設外匯逆風將增加約 2% 至 3%。我們預計第二季營收為 4.2 億美元至 4.55 億美元，假設外匯逆風約為 3% 至 4%，每股收益為 0.01 美元至 0.10 美元或 0.10 美元至 0.20 美元，不包括重組費用，接線員，我們現在開始回答問題。

If you have a question at this time, please press star one one on your telephone and wait for your name to be announced. To withdraw your question, please press star one one. Again, one moment while we have our Q&A roster. Our first question comes from the line of Jason Bender with Citi. Your line is open. Please go ahead.

如果您此時有問題，請在電話上按星號 11，然後等待播報您的名字。若要撤回您的問題，請按星號 11。再次，請稍等，我們正在查看問答名單。我們的第一個問題來自花旗的 Jason Bender。您的線路已開通。請繼續。

Great. Thanks, afternoon, guys. And I wanted to first ask about kind of expectations for the remainder of the year. Looking specifically at the implied year-over-year currency growth kind of based on the midpoint of the 2Q and the 2024 guidance, it seems to suggest that you guys want to go from down 9% in the quarter and the first half to about minus 3% in the second half. And if I look at the sales leaders, the customer count and the affiliate numbers, even when adjusting for and that change in qualification for affiliates, the trend looks like it's worsening. So the question is, what's really giving you confidence in confidence in that two, second half improvement? And maybe can you just dimensionalize any of the initiatives that you expect to contribute to that improvement?

偉大的。謝謝大家，下午好。我想先問一下今年剩餘時間的期望。具體來看基於第二季度中點和 2024 年指引的隱含同比貨幣增長，似乎表明你們希望從本季度和上半年的下降 9% 降至下半年的負 3% 左右。如果我查看銷售主管、客戶數量和關聯公司數量，即​​使調整了關聯公司資格的變化，趨勢似乎也在惡化。所以問題是，什麼真正讓你對下半場的進步充滿信心？也許您能否將您期望有助於這項改善的任何舉措具體化？

Yes, Jason, a great question and happy to drive into the high level side of that. And then James, if he has anything to add to it. That's great. So So really, as I mentioned, we have our as we came out of the the top leader sales alignment event in Q2 really got clarity around channel activation plans and incentives built towards the channel, which is exactly what you're highlighting concerns around those KPI.'s leading into Q3 when we have our live events, we're really looking at these activation incentives.

是的，傑森，這是一個很好的問題，我很高興能夠深入探討這個問題的高層次。然後是詹姆斯，如果他還有什麼要補充的話。那太棒了。所以，正如我所提到的那樣，我們在第二季度的最高領導銷售協調活動結束後，真正明確了渠道激活計劃和針對渠道構建的激勵措施，這正是您所強調的圍繞這些 KPI 的關注點。

We're looking at continued build of energy around India in open markets to be clear not in India itself, but in markets where we are open, where there are local Indian populations are what we call India eligible populations. And then our new products are hitting market A. and both mine 360 and affordable luxury, which are both priced and positioned to help combat the inflationary effects that have been had on kind of customer and affiliate acquisition growth. So we've aligned we've really aligned with the sales force to kind of attack at that level, both at the channel activation level and ensuring that we have the product ammunition to strengthen that as well. So that's kind of what we're looking at. I'd also say with rise, we continue to expect to see favorable improvements there as well.

我們正在考慮在印度各地的開放市場上繼續建立能源，明確地說，不是在印度本身，而是在我們開放的市場，在有當地印度人口的地方，也就是我們所說的印度合格人口。然後，我們的新產品將進入市場 A，包括礦山 360 和實惠奢侈品，它們的定價和定位都有助於對抗通膨對客戶和聯盟會員獲取成長的影響。因此，我們與銷售人員進行了協調，以便在這個層面上發動攻擊，無論是在通路啟動層面，還是確保我們擁有產品彈藥來加強這一點。這就是我們正在關注的事情。我還想說，隨著成長，我們將繼續期待看到那裡有有利的改善。

James, anything you'd add?

詹姆斯，您還有什麼要補充嗎？

Yes, I would just call out the similar to what you did in the channel activation that we see that we launched at the sales leader event coming on strong in the back half of the year with the Pro in combination with the product introductions and then seasonally Q3 and Q4 have been stronger on the back half of the year in the beauty and wellness industry overall. And so that's built into our forecast. We're still still showing overall decline in Q3, but on the high end guiding towards year-over-year growth on the high currently.

是的，我只是想說一下您在通路啟動中所做的類似的事情，我們看到我們在銷售領導者活動中推出的產品在下半年與 Pro 結合產品推出後表現強勁，然後從季節性來看，第三季度和第四季度在下半年美容和保健行業整體表現更為強勁。這也已包含在我們的預測中。我們仍然看到第三季整體呈現下滑趨勢，但目前高端預期是年增率。

Got it. That's helpful. And then just Ryan, staying on your commentary about affordable luxury innovation. I wanted to give you an opportunity to kind of expand and elaborate on that perhaps address what categories and how quickly and the products that you're bringing to market are actually going to hit. And I guess also more strategically, can you just give us an update on how you're thinking about the price architecture of the portfolio and whether this makes sense or whether it makes sense to expand the portfolio, you're kind of more meaningfully into this affordable, massive level like you're like you're doing now?

知道了。這很有幫助。然後請 Ryan 繼續談談您對平價奢侈品創新的評論。我想給你一個機會來擴展和闡述這一點，或許可以解決你推向市場的產品類別和上市速度實際上會達到什麼程度的問題。我想從更具策略性的角度來說，您能否向我們介紹一下您對投資組合價格架構的看法，以及這是否有意義，或者擴大投資組合是否有意義，您是否更有意義地進入這種可負擔的、大規模的水平，就像您現在所做的那樣？

Yes. No exact, exactly right. On point there. And maybe I'll start by describing the portfolio architecture, Chase and then go to kind of what we see in the second half coming. We've really been looking at this for quite some time, obviously, with inflation being pressuring consumers around the globe as we've seen it and the effects that that has on channel growth because if you can't get customers, you can't grow the channel.

是的。不完全是，是​​完全正確。說到點子上了。或許我會先描述大通的投資組合架構，然後再談談下半年會發生什麼事。顯然，我們確實已經關注這個問題很長一段時間了，正如我們所看到的，通貨膨脹給全球消費者帶來壓力，以及這對通路成長的影響，因為如果你無法獲得客戶，你就無法發展通路。

I was a new business entrepreneur. And so we've really been looking at this. Our global product team, led by Steve hatchet, has put together a portfolio architecture that really helps us span better from the premium area, which is where we've always been focused from devices and and premium goods down to this with this new tier, which kind of gets to that mass de jour, affordable luxury level, we actually our research and development engine here at Nu Skin and with our manufacturing partners is very robust in this area. We manufacture for hundreds of brands.

我是一位新晉企業家。所以我們一直在關注這個問題。我們的全球產品團隊由 Steve Hatchet 領導，組建了一個產品組合架構，真正幫助我們更好地從高端領域跨越，我們一直專注於從設備和高端商品到這個新的層級，這種層級達到了大眾日常可負擔的奢侈品水平，實際上，我們 Nu Skin 和我們的製造合作夥伴的研發引擎在這個大眾領域非常強大。我們為數百個品牌生產產品。

And so we have we're fairly familiar with the trends that are taking place, what is and isn't selling. And so with utilizing that kind of that expanded data and insights, we've looked at our second half portfolio there are multiple product innovations that fit within that, call it the affordable luxury range, which can range really from that $10 to $30 of price point. And so we really are making intentional effort to expand the portfolio as well as reduce SKUs. So that clearly means we're going after, as we said, that 25% to 30% of overall skews a lot of that is eliminating products that are in that the premium prestige levels that simply aren't selling with today's customers or selling at lower quantities and replacing those with the mass these are the or the what we call affordable luxury.

因此，我們非常熟悉正在發生的趨勢，知道什麼好賣，什麼不好賣。因此，透過利用這種擴展的數據和見解，我們研究了我們下半年的產品組合，發現其中有多個符合這一範圍的產品創新，我們稱之為可負擔的奢侈品系列，其價格範圍實際上從 10 美元到 30 美元不等。因此，我們確實在刻意努力擴大產品組合併減少 SKU。所以這顯然意味著，正如我們所說的，我們要追求的是整體偏差的 25% 到 30%，其中很大一部分是淘汰那些高端產品，這些產品根本無法在當今的客戶中銷售，或者銷售數量較少，並用大眾產品取而代之，這些是我們所謂的負擔得起的奢侈品。

So that's kind of how we're approaching the portfolio side. It's a much more robust approach. We think it has much better appeal for the next three or four years. I mean, inflation, while that stabilized, clearly the pressure on the consumer wallet is still high. And so we need to play much better in that area. And that's that's what we're looking at now for second half.

這就是我們處理投資組合的方式。這是一種更強大的方法。我們認為在未來三、四年內它的吸引力會更大。我的意思是，儘管通貨膨脹已經穩定下來，但消費者的錢包顯然仍然承受著很大的壓力。因此我們需要在這方面做得更好。這就是我們現在對下半場的展望。

Again, the good news is that up from and from an R&D perspective, our teams have been cranking on product innovations and they have dozens of products.

再次，好消息是，從研發的角度來看，我們的團隊一直在努力進行產品創新，他們擁有數十種產品。

And at any time that we're able to launch the challenge is really getting alignment with our sales force so that when we launch a new product that it actually gets the right stage time that it needs for an understanding of how to sell it, the USP.s, all of that. And so forth. This is important for our live events in both east and west at those events where we'll have those opportunities, explain these products, how they work, why they were, why they work the way they work out what the quality rationality is because clearly, while we go to a pre at a more of a at an affordable luxury level, we do not sacrifice on quality. We're taking more of an elements level approach to innovation rather than having comprehensive innovations that might do six or eight different customer benefits, really focusing on the one or two benefits that matter most so that we can sustain high quality, sustain innovation, but at a more targeted and price conscious level. And so those those products are coming out in Q3.

並且在任何時候，我們都能真正地與銷售人員協調一致，以便當我們推出新產品時，它實際上獲得了正確的階段時間，需要了解如何銷售它，USP，等等。等等。這對於我們在東西方舉辦的現場活動非常重要，在這些活動中，我們將有機會解釋這些產品、它們是如何工作的、為什麼它們是那樣的、它們的工作方式以及它們制定質量合理性的方式，因為很明顯，雖然我們以更實惠的奢華水平進行預生產，但我們不會犧牲質量。我們更採取元素層面的創新方法，而不是進行可能為客戶帶來六種或八種不同好處的綜合創新，而是真正專注於最重要的一兩種好處，這樣我們才能保持高質量，持續創新，但同時更具針對性和價格意識。這些產品將在第三季推出。

Got it. That's that's really helpful color. And then if I can just sneak in one more on on the cost saving side. It seems like that's one area where you're making some really good progress. And I know you mentioned the SKU rationalization, but I was hoping you could and on that and maybe contextualize and dimensionalize for us, the other areas where you're seeing the biggest savings opportunities? And I guess related to that, and again, you mentioned rise as an area of focus, but perhaps expand on how you're thinking about reinvestment and the level of reinvestment in the business as those savings are realized?

知道了。這確實是很有用的顏色。然後，如果我可以在節省成本方面再偷偷地做一點的話。看起來這是你們確實有良好進展的一個領域。我知道您提到了 SKU 合理化，但我希望您能在此基礎上為我們具體闡述和說明您認為最大的節約機會的其他領域？我想與此相關的是，您再次提到了成長是一個關注的領域，但也許可以擴展一下您對再投資的看法，以及在實現這些節省後對業務的再投資水平？

Yes. Yes. So really two questions there that will approach on cost savings of SKU rationalization is really really important, obviously, operating in in nearly 50 countries around the globe. There's there it's fairly easy to get, you know, skew proliferation. And so that again, the same team, the global product team as they do this portfolio analysis, it's going literally product by product skew by skew market by market to determine which contributions are acceptable and which are not I'm looking at R & D and I should be clear on this. Our model are because of this manufacturing entity and Steve hatchet coming from that world. He has an extremely in-depth view on total cost of fulfillment going all the way to raw goods and leveraging manufacturing capabilities to span not only the Nu Skin business, but drive down raw materials across businesses and so this is a very comprehensive A. to Z approach and a lot of the cost savings that you saw, the gross margin improvement of 50 basis points. Most of that actually has is coming through a more rigorous approach on discounts and promotions and in the SKU optimization will be future forward savings. And so I think it's really important to note that the benefits on gross margin are related to SKU optimization. But there those benefits, I think, are forthcoming at a better level as as the SKU elimination then rolls through the actual purchasing at purchasing cycle to inventory if that makes sense. So we do see skew reduction again, 25% to 30% as our focus, including adding new products in the affordable luxury space in the mine 360 lines and then be very aggressive on effective or less effective discounts and promotions, which, by the way, don't always work well for the sales force anyways, right? If there's too many promotions, they don't know what to focus on so that that's kind of cost saving side of James, anything you would add to that.

是的。是的。因此，實際上有兩個問題需要解決，即如何透過 SKU 合理化來節省成本，這顯然非常重要，因為我們的業務遍及全球近 50 個國家。您知道，在那裡很容易發生傾斜擴散。因此，同樣的團隊，即全球產品團隊，在進行產品組合分析時，會逐個產品、逐個市場地進行分析，以確定哪些貢獻是可以接受的，哪些是不可接受的。我們的模型源自於這個製造實體和來自那個世界的史蒂夫·哈切特。他對整個履行成本有著極其深入的了解，一直到原材料，並利用製造能力不僅涵蓋了 Nu Skin 業務，還降低了整個業務的原材料成本，所以這是一個非常全面的從 A 到 Z 的方法，而且您看到了很多成本節省，毛利率提高了 50 個基點。實際上，大部分是透過更嚴格的折扣和促銷方式實現的，而 SKU 優化將帶來未來的節省。因此，我認為需要特別注意的是，毛利率的提高與 SKU 優化有關。但我認為，這些好處將在更好的層面上實現，因為 SKU 消除會在採購週期中透過實際採購轉入庫存，如果這有意義的話。因此，我們確實再次看到了偏差的減少，我們重點關注的是 25% 到 30%，包括在 Mine 360​​ 系列的平價奢侈品領域添加新產品，然後積極進行有效或不太有效的折扣和促銷，順便說一句，這對銷售人員來說並不總是很有效，對吧？如果促銷活動太多，他們就不知道該關注什麼，所以這對詹姆斯來說是一種節省成本的做法，您可以為此添加任何內容。

And I would you touched on the one, Jason, for you that the savings from SKU rationalization really as a forward savings because we're trying to mitigate the off the offset of the inventory levels that we currently have on hand of those existing products and making sure that we have runway for those products. But as we work through them, that's when we'll start to see those additional savings, which we're already starting to see in several of the products that have gone through in the quarter, but more savings to come out passed out in through 2025.

傑森，我想讓你談談這一點，對你來說，SKU 合理化帶來的節省實際上是一種前瞻性節省，因為我們正試圖減輕我們目前手頭上現有產品的庫存水平的抵消，並確保我們有足夠的空間來生產這些產品。但隨著我們努力解決這些問題，我們將開始看到額外的節省，我們已經在本季度推出的幾種產品中看到了這一點，但到 2025 年將會出現更多的節省。

And I think on the right side, you had asked about what do we do with the savings. This is the and this is probably James's Forte in how we how we scrutinize every dollar that we're spending. And James always goes through the philosophy on cash management, but it's the same for the ability to reinvest in growth. So wherever we need to grow. That's our top priority right now. Clearly, as we talk about additional infrastructure capability services to build out there, we're clearly focusing on investment there. We continue to focus on product innovation at the heart, but here in the heart of the Nu Skin core business, it's also the heart of what we're doing on rises. It's all around innovation and new technology. So a lot of the cost savings go back to that. And then of course, as we continue to be very focused on shareholder value, we recognize that the stock price is being challenged and pressured as earnings have come down. We're very focused on returning to shareholders as we do in accordance as we invest in the business and make that happen. So now, James, any additional color you put on?

我認為在右邊，你問的是，我們如何處理節省下來的錢。這就是，這也許就是詹姆斯的長處，讓我們能夠仔細審查所花的每一美元。詹姆斯總是遵循現金管理的理念，但對於再投資成長的能力，他也遵循同樣的理念。所以無論我們在哪裡都需要成長。這是我們現在的首要任務。顯然，當我們談論在那裡建立額外的基礎設施能力服務時，我們顯然將重點放在那裡的投資上。我們持續將產品創新放在核心位置，但這是 Nu Skin 核心業務的核心，也是我們不斷提升的核心。一切都圍繞著創新和新技術。因此，許多成本節省都歸因於此。當然，由於我們繼續高度關注股東價值，我們意識到隨著收益下降，股價正面臨挑戰和壓力。我們非常注重回報股東，就像我們對業務進行投資並實現這一目標一樣。那麼現在，詹姆斯，你還添加了什麼顏色嗎？

Yes, I think the only other addition that I would add to that, Ryan, is just international market expansion through NdPr. We are starting to know that, yes, we should have called that out for the core to get the core of the core, some some legs to respond in terms of where we're currently at. That's a big part of that go forward with the incentive programs that are in place.

是的，Ryan，我想我要補充的唯一一點就是透過 NdPr 進行國際市場擴張。我們開始知道，是的，我們應該已經呼籲核心獲得核心的核心，一些腿根據我們目前所處的位置做出反應。這是現行激勵計畫得以推進的重要一環。

Yet and Chase and I will I will tag on James's point about India because I said that earlier. But truly Nu Skin has always played in a premium and developed market arena, right? Our biggest markets tend to be those that are more developed economically. We are, as I said, we are putting intensive focus with our partners locally in India. We manage the emphasis, the deep partnership we have that we announced last quarter further going there. They're obviously digital experts in the field. We're taking a very a very intentional approach there to be able to to hit the right point in that market, which is grow.

然而，蔡斯和我會關注詹姆斯關於印度的觀點，因為我之前就說過。但事實上，如新一直在高端和發達的市場領域發力，對嗎？我們最大的市場往往是經濟較為發達的市場。正如我所說，我們正密切關注印度當地的合作夥伴。我們管理重點，我們在上個季度宣布的深度合作夥伴關係將進一步推進。他們顯然是該領域的數位專家。我們採取非常有針對性的方法，以便在該市場達到正確的點，即成長。

Obviously, a very large market, 1.4 billion people growing middle class, very astute, very educated, strong technology prowess. And as we do that, we see those benefits going into developing markets where to date, we haven't been as successful. Latin America is a great case in point where there's an enormous opportunity there in our core business. And we've yet to tap that. And so how do we expand there?

顯然，這是一個非常大的市場，14 億人口正在不斷壯大的中產階級，他們非常精明，受教育程度很高，技術實力強大。當我們這樣做時，我們看到這些好處進入了發展中市場，而迄今為止我們在這些市場還沒有那麼大的成功。拉丁美洲就是一個很好的例子，那裡為我們的核心業務提供了巨大的機會。但我們還沒有利用這一點。那我們如何在那裡擴張呢？

Southeast Asia, when you look at Indonesia, Malaysia, when we look at East Europe, when we look at future, you know, Africa Middle East, et cetera. There's just a lot we'll be learning. So we see India as being a very much a learning opportunity for us, of course, in the mid to long term, this is something that we're we're very focused on, but we're doing the work now that we believe will benefit even in our in our current markets developing markets. So yes, big investment there.

東南亞，當你看看印尼、馬來西亞，當我們看看東歐，當我們展望未來，你知道，非洲、中東等等。我們將學到很多東西。因此，我們認為印度對我們來說是一個很好的學習機會，當然，從中期到長期來看，這是我們非常關注的事情，但我們現在所做的工作，我們相信即使是在我們目前的市場中，發展中市場也會受益。是的，那裡確實有很大投資。

Got you. Really helpful color. Thanks so much, guys. I'll pass it on from there.

明白了。確實很有幫助的顏色。非常感謝大家。我會把它從那裡傳遞下去。

Thank you. Thanks, Jason

謝謝。謝謝，傑森

One moment. As we move on to our next question. Our next question is going to come from the line of Sidney Wagner with Jefferies. Your line is open. Please go ahead.

請稍等。我們繼續討論下一個問題。我們的下一個問題來自傑富瑞（Jefferies）的 Sidney Wagner。您的線路已開通。請繼續。

Hi, this is Sidney on for Ashley and you noted macro pressure weighing on customer and affiliate growth, but also called out strength in some of your higher price point connected products. Can you maybe just give more color on that dynamic and kind of what you're seeing in terms of macro-related spending behavior from your consumers?

大家好，我是 Sidney，代表 Ashley 發言，您提到宏觀壓力影響著客戶和附屬公司的成長，但同時也指出了一些價格較高的關聯產品的優勢。您能否更詳細地介紹一下這種動態，以及您所看到的消費者宏觀相關的支出行為？

Yes. It's a really interesting market, as you as you know, right, luxury goods continue to move in certain certain regards in automobiles and bags, handbags and the like.

是的。如你所知，這是一個非常有趣的市場，奢侈品在汽車、箱包、手袋等某些領域持續成長。

Our Connected Device business continues to do well, continues to be the number one sided social media eyeball attraction on social media, obviously, for the the appeal of the LumiSpa and now reduced upon the US well spot, we get a lot of attraction to that and people really aspire to purchase those, but nobody can really deny as we look around the globe pressures in China, pressures in Korea, pressures in Japan, even in the US as we see that, that real CPI. These reports that are coming out of that.

我們的連網設備業務繼續表現良好，繼續成為社交媒體上最吸引眼球的領域，顯然，LumiSpa 的吸引力已經縮小到美國市場，我們對此產生了很大的吸引力，人們真的渴望購買這些產品，但沒有人能否認，當我們環顧全球，看到中國、韓國、日本，甚至美國的壓力，我們看到了真實的 CPI。這些報告就是由此得出的。

No one can deny. The inflation has been well beyond probably what's reported in in some of these reports and we see that floating through our business as people have to make trade-off decisions around utility bills versus the next Nu Skin innovation. And so we're very focused on the affordable luxury place. We've also, by the way, built mine 360 to be very price conscious. So this is I'm excited about that because these are innovations that are needed by the mass markets stress and that the needs there at the customer level.

沒人能否認。通貨膨脹率可能已經遠遠超出了某些報告中披露的水平，我們看到這種影響在我們的業務中蔓延，因為人們必須在水電費和下一個 Nu Skin 創新之間做出權衡。因此，我們非常關注價格實惠的奢華場所。順便說一句，我們也非常注重價格。所以我對此感到很興奮，因為這些創新是大眾市場壓力和客戶層面的需求所需要的。

So we're being very intentional. We're being very deliberate. You our as we look out to the future, obviously, inflation doesn't increase prices generally don't roll off, right?

因此我們是非常有意圖的。我們非常謹慎。當我們展望未來時，顯然，通貨膨脹不會增加，價格通常不會下降，對嗎？

You see very few companies that roll back pricing as like Walmart, for instance, right, do as a retailer, most most markets once the pricing of raw goods is in the system that it typically is hard to pull back out. So it's really upon us to figure out how to innovate new solutions to market that still the customer need at the right price point. And so we see as where as our ability to impact consumers at a more price appropriate level with new product innovations, we see that alleviating. And then at the macro level, obviously as wages, the increase of overtime, which are which we we see that that's continuously going on, we see purchasing capabilities are improving around the globe.

你會發現，很少有公司像沃爾瑪一樣降低價格，作為零售商，大多數市場一旦原材料的定價進入體系，通常很難再撤回。因此，我們真正需要做的是弄清楚如何創新新的解決方案來推向市場，並以合適的價格滿足客戶的需求。因此，我們看到，隨著我們利用新產品創新以更合適的價格影響消費者的能力不斷增強，這種情況正在緩解。然後在宏觀層面，顯然隨著薪資、加班時間的增加，我們看到這些情況不斷發生，我們看到全球的購買能力正在提高。

So our approach right now control what we can control, what we can control is product innovation, and that's where we're focused on new products coming to market at the right price points ticket, give consumers what they need and do it at a better level. All the while I think devices will continue to be a strong appeal because people, the demand for those are high and the interest on social media is continues to be very strong brand.

所以我們現在的方法是控制我們能夠控制的事情，我們能夠控制的就是產品創新，這就是我們專注於以合適的價格將新產品推向市場，為消費者提供他們所需要的東西並以更好的水平做到這一點。一直以來，我認為這些設備將繼續具有強大的吸引力，因為人們對這些設備的需求很高，而且社群媒體對品牌的興趣仍然非常強烈。

I mean, I just I was going to say I would I would just add one point to that on the devices. When we look into the current quarter quarter results, quarter over quarter, we went from devices made up 14% of our revenue to this quarter, 17% of our revenue, so continues to have strong demand for our devices. And what we look forward to in the back half of the year is that in combination with affordable luxury to Ryan's point of playing in both market spaces. We hope to we garner some traction through that.

我的意思是，我只是想說，我只想在設備上添加一點。當我們查看本季的業績時，與上一季相比，設備在我們收入中的比例從 14% 上升到本季的 17%，因此我們的設備需求持續強勁。我們期待在今年下半年，瑞安能夠將平價奢侈品與這兩個市場領域的產品結合。我們希望透過此舉獲得一些支持。

Thanks, Sidney.

謝謝，西德尼。

Thank you. And one moment as we move on to our.

謝謝。稍後我們繼續我們的。

Yes. Our next question comes from the line of Linda in Weiser with DA Davidson. Your line is Please go ahead.

是的。我們的下一個問題來自 Weiser 的 DA Davidson 的 Linda。您的線路是“請繼續”。

Yes, hi. So I was wondering if you could maybe remind in terms of the beauty device business that you bought, the one that's distributed at retail, I think it's an offer from how is that informing your rest of your business, your core business kind of need a refresher here on what your intent was like. Is it to get the technology or the marketing know-how? Just what was the intent there and how is that going? Are you getting out of it what you wanted in terms of that acquisition?

是的，你好。所以我想知道您是否可以提醒一下您購買的美容設備業務，即在零售店分銷的業務，我認為這是一個提議，它如何告知您其餘的業務，您的核心業務需要在這裡重新回顧一下您的意圖。是為了獲得技術還是行銷訣竅？那裡的意圖到底是什麼以及進展如何？就此次收購而言，您得到了想要的東西嗎？

Yes, great. Great question, Linda, good to hear from you as well. Thanks for joining.

是的，太棒了。很好的問題，琳達，我也很高興收到你的來信。感謝您的加入。

Yes. So beauty bio is the name of the company that we acquired last year, and it's we're now in our third quarter with the team. So we're still we're still kind of learning and learning that business. It's a really interesting business for a lot of reasons.

是的。Beauty Bio 是我們去年收購的公司名稱，我們與該團隊現在正處於第三季。所以我們仍然在不斷學習這項業務。由於很多原因，這確實是一項有趣的業務。

One, as you mentioned, they have they have unique IP that we that we don't have or patents that we don't we didn't have previously. And we continue to aspire to be the beauty device leader across the board. So we want that capability.

首先，正如您所說，他們擁有我們所沒有的獨特智慧財產權或專利。我們將繼續立志成為美容設備的全面領導者。所以我們想要這種能力。

That's great. They also have very good insight into the on the approach, Jamie of Banyan and team are there a small and agile, but well-informed team across the Omni space which we believe is very helpful across the RISE ecosystem. And so that's really helpful.

那太棒了。他們對於該方法也有非常深入的了解，Banyan 的 Jamie 和他的團隊是一支小型、敏捷但消息靈通的團隊，遍布 Omni 領域，我們相信這對整個 RISE 生態系統非常有幫助。這確實很有幫助。

And the third part of that, and maybe it's a subset of this is, is it is an influencer led brand. So Jamie herself, the brand was born out of kind of her own views of beauty. And this, as you know, in the beauty and wellness space for the largest beauty companies is quite quite an interesting disruption of how influencers are disrupting these traditional beauty brands. We've often felt for a long time if we could take the best of Nu Skin, which is a bunch of affiliates out there, marketing, beauty and wellness products and then find indie brands that are founded by influencers themselves to learn how to play across those worlds over time. I think it's the greatest opportunity in beauty and wellness periods. So for us, beauty bio, it's very much we're learning the business. We're learning a lot of things around on me and you know the Ulta this before have relationships other great retailer partners that are important for me. The most important part of it is, is this influencer and creator of disruption that's happening in beauty and leveraging the insights and the know-how there as we continue to build out this that I alluded to it or mentioned it in my in my comments, but this influencer incubator, we think this is a real opportunity for the mid term. And I think beauty brands and wellness brands around the globe need to be paying very particular attention to the influencer segment and how do you help brands stand up and in a very competitive red ocean space when they have a captured audience because they're an influencer themselves and all the influencers looking to monetize those brands, how do you institutionalize it and or a mechanism to do that? That's what we're calling the RISE influencer incubator business.

第三部分，也許是其中的一個子集，就是它是一個有影響力的品牌。所以對 Jamie 本人而言，這個品牌誕生於她自己對美的看法。如你所知，對於最大的美容公司來說，在美容和保健領域，有影響力的人正在顛覆這些傳統美容品牌，這是一個相當有趣的顛覆。長期以來，我們常常想，我們能否汲取 Nu Skin 的優勢，它擁有一大批分支機構，行銷美容和保健產品，然後找到由有影響力的人士創立的獨立品牌，學習如何在這些領域長期運作。我認為這是美麗和健康時期最大的機會。因此對我們來說，美容生物是我們最重要的業務學習領域。我們正在學習很多關於我的事情，你知道，Ulta 之前與其他優秀的零售商合作夥伴建立了關係，這對我來說很重要。其中最重要的部分是，這位影響者和美容領域顛覆性的創造者，利用那裡的洞察力和專業知識，繼續構建我在我的評論中提到的這個影響者和創造者孵化器，我們認為這是中期的一個真正機會。我認為全球的美容品牌和健康品牌需要特別關注影響力人士細分市場，以及如何幫助品牌在競爭激烈的紅海領域中站穩腳跟，當他們擁有固定的受眾時，因為他們自己就是影響力人士，而所有影響力人士都希望透過這些品牌獲利，您如何使其製度化或建立機制來實現這一目標？這就是我們所說的 RISE 影響力孵化器業務。

Okay. And then I just have a question on the mine 360 product line. So I'm just wondering, I mean, on your supplement side of your business, I believe you have a product set sort of addressing those needs. I mean, maybe I'm mistaken, but maybe you can describe like how this launch is different. Does it put together several different products and a suite of products that people will buy or like are these actual in injectable form, you know, products, like what made you maybe just give a little more color on what they are.

好的。然後我對 Mine 360​​ 產品線有一個疑問。所以我只是想知道，我的意思是，在您業務的補充方面，我相信您有一套產品可以滿足這些需求。我的意思是，也許我錯了，但也許你可以描述一下這次發布有何不同。它是否將幾種不同的產品和一套人們會購買的產品組合在一起，或者這些產品是否是實際的注射形式，你知道，產品是什麼，也許只是對它們有更多的了解。

You know, you hit you hit the nail on the head wind. In fact, by the way, I should mention anyone if you are interested in attending our live event.

你知道，你擊中了迎面而來的風。事實上，順便說一句，如果您有興趣參加我們的現場活動，我應該提到任何人。

Again, it's a West live. So it's not our traditional global event because we have challenges with visas now post COVID.

再說一遍，這是西方的現場表演。因此，這不是我們傳統的全球性活動，因為在新冠疫情之後，我們在簽證方面面臨挑戰。

But it's a West live event. And you're all welcome to come just contact Scott Pond and he can get you information. And that will certainly help out the mind 360 itself.

但這是西方的現場活動。歡迎大家前來，只需聯絡 Scott Pond，他就可以為您提供資訊。這肯定會對 Mind 360 本身有所幫助。

Yes, very much what is different. We do have Pharmanex R & D and Pharmanex products that address specific concerns in the cognitive health space, sleep stress, et cetera. We've never had a holistic approach that really an interrelated approach to developing this this space. And what we mean by that is if you think through the Consumer Lifestyle, a lack of sleep impacts, stress levels, it implant impacts cognitive performance memory recognition, et cetera.

是的，有很大不同。我們確實有 Pharmanex 研發部門和 Pharmanex 產品，可以解決認知健康領域、睡眠壓力等方面的特定問題。我們從來沒有採取整體的方法，一種真正相互關聯的方法來發展這個領域。我們的意思是，如果你仔細思考消費者的生活方式，你會發現睡眠不足會影響壓力水平，影響認知表現、記憶辨識等等。

So if you're not sleeping well, it has effects on your cognitive performance. If your cognitive performance isn't were up working well, it impacts your stress, which impacts your sleep. So these products have been developed in a holistic approach form so that they all interrelate and attack the broader lifestyle and comprehensively in terms of delivery form, we're pretty excited about that, the, um, they're taking multiple forms. So not only will there be in supplement form, but there will be gummies as part of this, which we know for the 20s and 30 year old segments are much more popular.

所以如果你睡不好，它就會影響你的認知能力。如果您的認知表現不佳，它就會影響您的壓力，進而影響您的睡眠。因此，這些產品都是以整體方式開發的，以便它們相互關聯並全面地適應更廣泛的生活方式，在交付形式方面，我們對此感到非常興奮，嗯，它們採用多種形式。因此，不僅會有補充劑形式，還會有軟糖形式，我們知道這在 20 多歲和 30 歲年齡層的人群中更受歡迎。

We even have drinkable key type mix ends up. And so it's a pretty our customized approach that we're taking and the last thing I'll say about mine 360 is we're taking sustainability to a very new to the next level across our our business with the packaging, our taking a wholly new approach packaging much more sustainable. The economic the implant imprint on the planet is going to be so much better with these products. And so we're excited about that approach as well.

我們甚至有可飲用的關鍵類型混合品。因此，我們採取的是一種非常客製化的方法，關於 Mine 360​​，我要說的最後一件事是，我們將永續性提升到一個全新的水平，透過包裝，我們採取了一種全新的方法，使包裝更加可持續。有了這些產品，地球上的植入物經濟印象將會大大改善。因此我們也對這種方法感到興奮。

Okay. Thank you very much.

好的。非常感謝。

Thanks, Linda. Appreciate it. It looks like it looks like we are through the questions and I appreciate that additional both those questions are helpful for us.

謝謝，琳達。非常感謝。看起來我們已經回答完了這些問題，而且我很感激這兩個問題對我們也很有幫助。

As well that to fine tune what we present on the call.

這也對我們在電話會議上所展示的內容進行了微調。

So thank you for the questions. Let me just wrap up by saying that it's, you know, it's been interesting I've been on this journey with Nu Skin now 29 years, but we've been in business for 40 years, and we've been in the business of being a global force for good by empowering people to look feel and live better lives. I can tell you coming out of Dubai with our sales leader team, the energy, I'm feeling a new sense of energy in the market. The macros are still not great, not favorable, but our sales force is very much aligned and committed to this vision or this mission of the company and our vision of becoming the world's leading beauty, wellness and lifestyle ecosystem.

感謝您的提問。最後，我想說的是，你知道，這很有趣，我與 Nu Skin 一起走過了 29 年的旅程，但我們已經在這個行業工作了 40 年，我們一直致力於成為全球向善的力量，讓人們看起來感覺更好、過上更好的生活。我可以告訴你，當我們和我們的銷售領導團隊走出杜拜時，我感受到了市場的新活力。宏觀經濟仍然不是很好，不太有利，但我們的銷售團隊非常一致並致力於公司的這一願景或使命以及我們成為世界領先的美容、健康和生活方式生態系統的願景。

As we continue to evolve our Nu Skin core business and expand our capabilities through RISE, we see the world coming together in this ecosystem doing much brighter.

隨著我們不斷發展 Nu Skin 核心業務並透過 RISE 擴展我們的能力，我們看到世界在這個生態系統中變得更加光明。

So I just appreciate your time and attention to Nu Skin, and we look forward to providing better and better results and greater shareholder value return as we realize the benefits of this vision. So thank you all.

因此，我非常感謝您花時間和精力關注 Nu Skin，我們期待在實現這一願景的益處時，提供越來越好的業績和更大的股東價值回報。謝謝大家。

We look forward to updating you next month or next quarter on the call.

我們期待在下個月或下個季度的電話會議上向您通報最新情況。

Concludes today's conference call.

今天的電話會議結束。

Thank you for participating, and you may now disconnect.

感謝您的參與，您現在可以斷開連接。