Oddity Tech Ltd (ODD) 2023 Q3 法說會逐字稿

Good morning, and welcome to ODDITY's Preliminary Third Quarter 2023 Results Conference Call. Today's call is being recorded, and we have allocated time for prepared remarks and Q&A.

早安，歡迎參加 ODDITY 2023 年第三季初步業績電話會議。今天的電話會議正在錄音，我們已經分配了時間準備發言和問答。

At this time, I'd like to turn the call over to Maria Lycouris, Investor Relations for ODDITY. Thank you. You may begin.

現在，我想將電話轉給 ODDITY 投資者關係部的 Maria Lycouris。謝謝。你可以開始了。

Thank you, operator. I'm joined by Oran Holtzman, ODDITY Co-Founder and CEO; and Lindsay Drucker Mann, ODDITY's Global CFO.

謝謝你，接線生。 ODDITY 聯合創辦人兼執行長 Oran Holtzman 也加入了我的行列。和 ODDITY 全球財務長 Lindsay Drucker Mann。

As a reminder, management's remarks on this call that do not concern past events are forward-looking statements. These may include predictions, expectations or estimates, including statements about ODDITY's business strategy, market opportunity, future financial performance and potential long-term success.

提醒一下，管理階層在本次電話會議上發表的與過去事件無關的言論均為前瞻性陳述。這些可能包括預測、期望或估計，包括有關 ODDITY 業務策略、市場機會、未來財務表現和潛在長期成功的聲明。

Forward-looking statements involve risks and uncertainties, and actual results could differ materially due to a variety of factors. These factors are described under forward-looking statements in our preliminary earnings press release issued yesterday and in our Prospectus filed with the Securities and Exchange Commission on July 18, 2023.

前瞻性陳述涉及風險和不確定性，實際結果可能因多種因素而有重大差異。這些因素在我們昨天發布的初步收益新聞稿和 2023 年 7 月 18 日向美國證券交易委員會提交的招股說明書中的前瞻性陳述中進行了描述。

We do not undertake any obligation to update forward-looking statements, which speak only as of today.

我們不承擔任何更新前瞻性陳述的義務，這些陳述僅代表今天的情況。

Finally, during this call, we will discuss certain non-GAAP financial measures, which we believe are useful supplemental measures for understanding our business. Additional information about these non-GAAP financial measures, including their definitions are included in our preliminary earnings press release, which we issued yesterday.

最後，在本次電話會議中，我們將討論某些非公認會計準則財務指標，我們認為這些指標對於了解我們的業務是有用的補充指標。有關這些非公認會計準則財務指標的更多資訊（包括其定義）包含在我們昨天發布的初步收益新聞稿中。

I will now hand the call over to Oran.

我現在將電話轉交給奧蘭。

Thank you everyone for joining us today. We are excited to share certain preliminary third-quarter results today, which we expect to beat our guidance issued in August on net revenues and gross margin and beat the midpoint of our guidance on adjusted EBITDA margin.

感謝大家今天加入我們。我們很高興今天分享第三季的某些初步業績，我們預計該業績將超過我們 8 月份發布的淨收入和毛利率指引，並超過我們調整後 EBITDA 利潤率指引的中位數。

Based on this preliminary estimates, revenue is growing faster, gross margins are higher, and adjusted EBITDA is better than we expected. This is despite our real effort to pace our growth and slow down as we totally have done in H2.

根據初步估計，收入成長更快，毛利率更高，調整後的 EBITDA 好於我們的預期。儘管我們確實努力加快成長速度並放慢速度，就像我們在下半年所做的那樣。

With this record-breaking quarter, we expect to deliver net revenue growth of at least 58% and adjusted EBITDA of $89 million for the first 9 months of the year.

在這個破紀錄的季度中，我們預計今年前 9 個月的淨收入將成長至少 58%，調整後 EBITDA 達到 8,900 萬美元。

We are scaling at a speed that beats legacy incumbents, but also the majority of internet and consumer companies, and with profit margins and cash flows that we have not seen in other direct-to-consumer companies.

我們的擴張速度不僅超過了傳統企業，也超過了大多數網路和消費公司，其利潤率和現金流是其他直接面向消費者的公司所沒有的。

Our expected outstanding financial performance reflects the strength of our model, the power of our technology-based platform, the health of our brands and the massive runway we have in front of us. Our business continues to fire on all cylinders. Our large investments in technology and data capabilities over the past 5 years are enabling us to continue to grow fast without damaging our high-margin and rare profitability.

我們預期的出色財務表現反映了我們模式的優勢、基於技術的平台的力量、我們品牌的健康狀況以及我們面前的廣闊跑道。我們的業務繼續全速運轉。過去5年我們對技術和數據能力的大量投資使我們能夠繼續快速成長，同時又不損害我們的高利潤率和罕見的獲利能力。

At my company, we don't just sit and hope that growth will happen. We make it happen. And we do it every single day with strong planning, strict discipline, hard work, innovation, and by taking big swings to enable long-term growth, which we are fully committed to.

在我的公司，我們不會只是坐等成長的發生。我們讓它發生。我們每天都透過強而有力的規劃、嚴格的紀律、勤奮工作、創新來做到這一點，並透過大刀闊斧的舉措來實現長期成長，這是我們完全致力於實現的。

This mindset and discipline have led to our record-breaking success so far, and it is what we believe position us for compounding success in 2024 and beyond.

到目前為止，這種心態和紀律使我們取得了破紀錄的成功，我們相信這將使我們在 2024 年及以後取得更大的成功。

As we speak, our teams are hard at work building the growth engines that we expect will power us for many years to come, driving our current brands, IL MAKIAGE and SpoiledChild both with what we think are enormous runway ahead of them. Both are still very young, with a ton of growth potential to unlock, but we also spend our time on building our future brands.

正如我們所說，我們的團隊正在努力建立成長引擎，我們預計這些引擎將在未來許多年為我們提供動力，推動我們現有的品牌 IL MAKIAGE 和 SpoiledChild 的發展，我們認為它們前面有巨大的跑道。兩者都還很年輕，有巨大的成長潛力有待釋放，但我們也花時間打造我們未來的品牌。

We believe our business is very well positioned for future growth with multiple powerful drivers. First, we operate in a massive and growing global TAM, with a wide range of product categories and pain points for us to go after. We focus on areas that our over 40 million users crave and where our data shows huge potential demand, where there is a consumer pain point that we believe is not solved today by other brands, and with unit economics that can work online.

我們相信，憑藉多種強大的驅動力，我們的業務已為未來的成長做好了充分的準備。首先，我們在一個龐大且不斷增長的全球 TAM 中運營，有廣泛的產品類別和需要我們解決的痛點。我們專注於超過 4000 萬用戶渴望的領域，我們的數據顯示出巨大的潛在需求，存在我們認為其他品牌目前無法解決的消費者痛點，並且具有可以在線發揮作用的單位經濟效益。

Second, we are the market leader in the online channel, which is still super underdeveloped relative to its potential. Online today represents around 25% of the total market, but we expect it to be 50% in the next coming years. We don't need to convince anyone on this call that internet and online is the future of our industry. But if some of you want a similar proof point, take a look at China, where online is already huge.

其次，我們是線上通路的市場領導者，但相對其潛力而言，該通路仍然非常不發達。如今，線上市場約佔整個市場的 25%，但我們預計未來幾年這一比例將達到 50%。我們不需要讓這次電話會議上的任何人相信網路和線上是我們行業的未來。但如果你們中的一些人想要類似的證據，可以看看中國，那裡的網路規模已經很大了。

But although it is crystal clear for me that this is where we go as an industry, I believe that my competitors are still behind and underinvested in technology. In my view, we are 5 to 10 years ahead of them, with a wide open playing field to press our advantage and continue to lead the market.

但是，儘管我很清楚這就是我們作為一個行業的發展方向，但我相信我的競爭對手仍然落後並且在技術方面投資不足。在我看來，我們領先他們5到10年，有廣闊的競爭環境來發揮我們的優勢並繼續領先市場。

Third, the ODDITY platform is a proven brand scaling machine, and we believe there is a massive runway ahead. Our platform capabilities have allowed us to grow faster and more profitably than other direct-to-consumer businesses. It's why SpoiledChild is, to the best of our knowledge, the most successful DTC brand launch in its combined scale and profitability. We proved with SpoiledChild that we have the ability to do it again, and it's a matter of time until we have more brands in our portfolio and platform.

第三，ODDITY 平台是經過驗證的品牌擴充機器，我們相信前面有一個巨大的跑道。我們的平台能力使我們比其他直接面向消費者的企業成長更快、利潤更高。這就是為什麼據我們所知，從綜合規模和獲利能力來看，SpoiledChild 是最成功的 DTC 品牌。我們與 SpoiledChild 一起證明了我們有能力再次做到這一點，我們的產品組合和平台中擁有更多品牌只是時間問題。

We have the user base of over 40 million users, their data of over 1 billion data points. We have the technology, algorithm and tech team that truly drive the future, and we have the unmatched product development engine with our biotech lab in Boston. It is easier for us today than it was 3 years ago.

我們擁有超過 4,000 萬用戶的用戶群，他們的數據超過 10 億個數據點。我們擁有真正推動未來的技術、演算法和技術團隊，我們在波士頓的生物技術實驗室擁有無與倫比的產品開發引擎。今天對我們來說比三年前容易多了。

I want to spend a few minutes talking about our technology muscle. We have invested early and aggressively in technology since our inception. Our tech team represents over 40% of our talent, and we expect it to remain 40% for the foreseeable future as we continue to invest in new capabilities to drive us forward.

我想花幾分鐘談談我們的技術實力。自成立以來，我們很早就對科技進行了積極的投資。我們的技術團隊占我們人才的 40% 以上，我們預計在可預見的未來，隨著我們繼續投資新能力以推動我們前進，這一比例將保持在 40%。

It's important to remember that although I'm Israeli, technology was never the goal. It was the means to win in an underpenetrated category, to give the best online experience to our user while we hyper grow, a healthy business with strong profitability.

重要的是要記住，雖然我是以色列人，但科技從來都不是目標。這是在滲透不足的類別中獲勝的手段，為我們的用戶提供最佳的線上體驗，同時我們的高速成長是一個具有強大盈利能力的健康業務。

When we say technology internally, we refer to 3 primary areas: artificial intelligence, computer vision and biotech.

當我們在內部談論科技時，我們指的是三個主要領域：人工智慧、電腦視覺和生物技術。

Starting with AI, we use machine learning models across a wide range of use cases that support the user. These models are integrated into everything, from our marketing engines, to our product recommendation engines that give the user a precise match to the user experience itself with hundreds of online funnels.

從人工智慧開始，我們在支援用戶的廣泛用例中使用機器學習模型。這些模型整合到一切中，從我們的行銷引擎到我們的產品推薦引擎，透過數百個線上管道為用戶提供與用戶體驗本身的精確匹配。

AI was our breakthrough in DTC for Beauty. Instead of forcing the customer to decide on a product, our machine learning models decide for the consumer. Instead of relying on rule-based algorithms to determine the user experience, we use machine learning models to deliver an optimal outcome that we have achieved with high conversion and high satisfaction.

人工智慧是我們在美容 DTC 的突破。我們的機器學習模式不是強迫客戶決定產品，而是為消費者做決定。我們不依賴基於規則的演算法來確定使用者體驗，而是使用機器學習模型來提供最佳結果，並以高轉換率和高滿意度實現這一目標。

We have machine learning models in almost every part of the user journey. Those machines are responsible for high user satisfaction, which leads to high repeat rates that drive our strong profitability and high growth. Without it, we would never be able to print these results. Without it, we are just another unprofitable DTC company.

我們在使用者旅程的幾乎每個部分都有機器學習模型。這些機器負責高用戶滿意度，從而帶來高重複率，從而推動我們強勁的獲利能力和高成長。沒有它，我們將永遠無法列印這些結果。沒有它，我們只是另一家無法獲利的 DTC 公司。

Moving on to our computer vision technology, a capability we established with the acquisition of Voyage81 in 2021. Our vision team includes some of the world's awards most talented vision scientists, mostly coming from the Israel defense in forces, including the Voyage81 team that joined ODDITY team to build out our vision capabilities.

接下來是我們的電腦視覺技術，這是我們在2021 年收購Voyage81 時建立的能力。我們的視覺團隊包括一些榮獲世界獎項的最有才華的視覺科學家，大部分來自以色列國防軍，包括加入ODDITY 的Voyage81團隊團隊來增強我們的願景能力。

When we originally developed our product matching technology, we decided to start with basing our algorithms on data we collect from users, massive data. And after basing our AI on over ton of data points, we then added computer vision technology to provide another dimension of information, which allow us to rapidly expand our capabilities with lower amount of data needed for our machine learning models.

當我們最初開發產品匹配技術時，我們決定首先將我們的演算法基於從用戶收集的大量數據。在我們的人工智慧基於大量數據點之後，我們添加了計算機視覺技術來提供另一個維度的信息，這使我們能夠以更少的機器學習模型所需的數據量快速擴展我們的能力。

We believe we are just scratching the surface of how vision can drive our business forward with an expensive road map plan for the next 3 years. For the past 18 months, we invested a lot in using our vision technology for our third brand, which is a medical-grade skin and body brand planned to be launched in 2025.

我們相信，透過未來 3 年昂貴的路線圖計劃，我們只是觸及了願景如何推動我們業務發展的皮毛。在過去的 18 個月裡，我們投入了大量資金，將我們的視覺技術用於我們的第三個品牌，這是一個醫療級皮膚和身體品牌，計劃於 2025 年推出。

Last, technology area is around science-backed products, using AI and biotech to simply develop better physical products. It has always been my dream to leverage the power of technology to really deliver a proprietary inside backed products for our users. I have been hunting it for years, and with the Revela acquisition, their team and their technology, we are finally unleashing this power.

最後，技術領域圍繞著科學支援的產品，利用人工智慧和生物技術開發更好的實體產品。利用科技的力量真正為我們的用戶提供專有的內部支援產品一直是我的夢想。我多年來一直在尋找它，隨著 Revela 的收購、他們的團隊和技術，我們終於釋放了這種力量。

Revela's founding team pioneered advanced biotechnology methods, including artificial intelligence-based molecule discovery to develop ingredients that can transform the beauty and wellness market. The team is taking the same technique that are widely used today in the pharma industry and unleashing them in our category to deliver groundbreaking ingredients to solve real consumer pain points.

Revela 的創始團隊開創了先進的生物技術方法，包括基於人工智慧的分子發現來開發可以改變美容和健康市場的成分。該團隊正在採用當今製藥業廣泛使用的相同技術，並將其運用到我們的類別中，以提供突破性的成分來解決真正的消費者痛點。

We plan to launch 10 products under IL MAKIAGE and SpoiledChild brand in 2024 with ODDITY LABS molecules. And we believe ODDITY LABS molecule will account for at least 30% of our business in 5 years.

我們計劃於 2024 年以 ODDITY LABS 分子推出 IL MAKIAGE 和 SpoiledChild 品牌的 10 種產品。我們相信 ODDITY LABS 分子將在 5 年內占到我們業務的至少 30%。

The Revela integration and expansion of ODDITY LABS is progressing even faster than with what I expected. We are attracting an incredible level of talent, scientist, entrepreneurs, as we are moving to transform the industry.

ODDITY LABS 的 Revela 整合和擴展進展比我預期的還要快。隨著我們正在推動產業轉型，我們正在吸引數量驚人的人才、科學家、企業家。

ODDITY LABS will be one of our main growth engines for all brands. We firmly believe the road map and pipeline is strong, and we are truly building something that has never done before. You don't see its contribution in our current earnings today, just expenses, but I'm more bullish than ever about its future.

ODDITY LABS 將成為我們所有品牌的主要成長引擎之一。我們堅信路線圖和管道是強大的，我們正在真正建立以前從未做過的事情。你看不到它對我們今天當前收益的貢獻，只是支出，但我比以往任何時候都更看好它的未來。

It's the same feeling I had when we started to develop the early technology team in Tel Aviv.

當我們開始在特拉維夫發展早期技術團隊時，我也有同樣的感覺。

So this is a quick overview of the technology. Moving to the brands. Our commitment to building brand equity powerhouses that consumers love is core to our business. Technology is not enough. At the end of the day, we ship products with brand story. And the numbers don't lie. The success and scale of both IL MAKIAGE and SpoiledChild in such a short period of time, we believe, is unprecedented and reflects the brand strength.

這是該技術的快速概述。轉向品牌。我們致力於打造消費者喜愛的品牌資產強國，這是我們業務的核心。技術還不夠。最終，我們交付帶有品牌故事的產品。數字不會說謊。我們相信，IL MAKIAGE 和 SpoiledChild 在如此短的時間內取得的成功和規模是前所未有的，體現了品牌實力。

Let's start from IL MAKIAGE, a brand that grew online from 0 to over $300 million in revenue in less than 5 years, and we are building it to be a $1 billion-plus brand within the next 5 years.

讓我們從 IL MAKIAGE 開始，這個品牌在不到 5 年的時間裡，線上收入從 0 增長到超過 3 億美元，我們正在將其打造為未來 5 年內收入超過 10 億美元的品牌。

IL MAKIAGE is already, based to our knowledge, is the fastest growing online beauty brand in the U.S., yet we haven't grown anywhere near as much as we think we could have. We believe the $1 billion mark is very achievable for the brand, and I'll show why.

據我們所知，IL MAKIAGE 已經是美國成長最快的線上美容品牌，但我們的成長速度遠遠沒有達到我們想像的水平。我們相信該品牌非常有可能實現 10 億美元大關，我將說明原因。

First, in our color cosmetic business, we are a very small fraction of the overall market side, with a significant runway to take further share.

首先，在我們的彩妝業務中，我們只佔整個市場的一小部分，還有很大的空間可以進一步佔領市場份額。

We have consistently done this since we launched 5 years ago and think there is much more room to run, especially as the consumer continues to shift online.

自 5 年前推出以來，我們一直在這樣做，並認為還有更大的運行空間，特別是隨著消費者繼續轉向線上。

Second is category extension for IL MAKIAGE. We already started with skin and proved we can do it. We spent the last 2 years building a solid base for IL MAKIAGE skin to scale quietly in market testing skin in response with strong demand from our users and product, and we have built a profitable winners across products, including moisturizers, serums and exfoliators. IL MAKIAGE SKIN is already bigger than 80% or 90% of online DTC skin brand in the years in terms of revenue, and we have just started.

其次是IL MAKIAGE 的品類擴充。我們已經從皮膚開始，並證明我們可以做到。在過去的兩年裡，我們為IL MAKIAGE 皮膚打下了堅實的基礎，以便在市場測試皮膚中悄悄擴大規模，以滿足用戶和產品的強烈需求，並且我們在保濕霜、精華液和去角質產品等產品中建立了獲利的贏家。從收入來看，IL MAKIAGE SKIN 已經超過了這些年來在線 DTC 皮膚品牌的 80% 或 90%，而我們才剛剛起步。

Third, international is an enormous opportunity where we already have a lot of success in geography expansion. As you know, our competitors generate 2/3 or more of the business outside of the U.S. For us, in IL MAKIAGE, international is less than 30%. We have already proven our model works well overseas. We believe we are #1 or #2 largest online beauty brand in many countries we have launched in, including the U.K., Germany, Canada and Australia, with growing and profitable business in each of these markets that we believe have a lot of room to continue growing.

第三，國際化是一個巨大的機遇，我們在地域擴張方面已經取得了許多成功。如您所知，我們的競爭對手 2/3 或更多的業務來自美國以外的地區。對我們來說，在 IL MAKIAGE，國際業務佔不到 30%。我們已經證明我們的模式在海外運作良好。我們相信，在我們推出的許多國家（包括英國、德國、加拿大和澳洲），我們是排名第一或第二的最大線上美容品牌，在這些市場中，我們的業務不斷增長且盈利，我們相信這些市場還有很大的發展空間。繼續成長。

In the medium term, based on our extensive testing and infrastructure build out, we think we have a good line of sight to expand profitably into new markets.

從中期來看，基於我們廣泛的測試和基礎設施建設，我們認為我們有良好的視野，可以在新市場上實現盈利。

Our second brand, SpoiledChild has been an amazing success. We believe it's the most successful DTC brand launch across any vertical of all time in revenue, and it's already profitable this year, in year 2.

我們的第二個品牌 SpoiledChild 取得了驚人的成功。我們相信，這是有史以​​來所有垂直領域收入最成功的 DTC 品牌推出，而且今年第二年就已經獲利。

We built SpoiledChild to address the strong demand from our users, for next-generation wellness brand that truly solve their pain points. SpoiledChild is scaling even faster than IL MAKIAGE did, beating again and again all my internal projections, with success in both hair and skin, huge categories. We are building engines, we believe will drive SpoiledChild towards $1 billion of revenue and beyond, and I'll explain how.

我們創建 SpoiledChild 是為了滿足用戶的強烈需求，打造真正解決他們痛點的下一代健康品牌。 SpoiledChild 的擴展速度甚至比 IL MAKIAGE 還要快，一次又一次地擊敗了我所有的內部預測，在頭髮和皮膚等巨大類別上都取得了成功。我們正在建立引擎，我們相信這將推動 SpoiledChild 實現 10 億美元甚至更多的收入，我將解釋如何實現。

One, similar to IL MAKIAGE, we have thoughtfully held back growth in this brand, which you can see based on more than 50% of its sales coming from repeat despite being only a year old brand with hyper growth. New categories are in development. We are already winning in both skin and hair, which sets us up well for additional extensions.

其一，與 IL MAKIAGE 類似，我們深思熟慮地抑制了該品牌的成長，您可以看到，儘管該品牌只有一年的歷史，卻實現了高速增長，但其超過 50% 的銷售額來自回頭客。新類別正在開發中。我們已經在皮膚和頭髮方面取得了勝利，這為我們進一步擴展奠定了良好的基礎。

And lastly, international for SpoiledChild is 0. We are still 100% U.S. And although my team is begging me to expand to other countries, we didn't. There is still so much growth available for us for SpoiledChild in the U.S. before even considering moving forward to new geographies. Again, discipline is everything for me.

最後，SpoiledChild 的國際化程度為 0。我們仍然 100% 美國本土，儘管我的團隊懇求我擴展到其他國家，但我們沒有。在考慮進軍新的地區之前，SpoiledChild 在美國還有很大的發展空間。再說一遍，紀律對我來說就是一切。

I recently hired a CEO for the brand. I was ready to get to $100 million gross revenue run rate. And once we hit it, we feel confident to hand it to strong hands. Gil Efrati is one of the most talented leaders out there for online businesses, and it's already building new capabilities to add to SpoiledChild's strong base.

我最近為該品牌聘請了一位執行長。我已經準備好達到 1 億美元的總收入運行率。一旦我們實現了目標，我們就有信心將其交給強手。 Gil Efrati 是線上業務領域最有才華的領導者之一，而且它已經在建立新的功能，以增強 SpoiledChild 的強大基礎。

In both brands, we invest heavily in product development in marketing and in consumer experience to drive strong affinity and repeat. And it shows, more than half of our revenue comes from repeat customers, and this is true for both IL MAKIAGE and SpoiledChild. There is nothing that better reflects product efficacy and brand love than repeat rate. The rest is nice presentations and baseless data.

在這兩個品牌中，我們在行銷和消費者體驗的產品開發上投入了大量資金，以推動強大的親和力和回頭客。它表明，我們一半以上的收入來自回頭客，對於 IL MAKIAGE 和 SpoiledChild 來說都是如此。沒有什麼比重複率更能體現產品功效和品牌喜愛了。剩下的就是漂亮的演示和毫無根據的數據。

Beyond reflecting brand affinity, the large repeat rate is an outcome of us holding our growth back. In any given year, we could have grown 50% to 100% more than what we did. But we are disciplined about growth. We leave a lot of growth on the table for the future, and we are building a machine that we believe will compound sustainably and globally over the long term.

除了反映品牌親和力之外，高重複率也是我們阻礙成長的結果。在任何一年，我們的成長都可以比實際情況多 50% 到 100%。但我們對成長有嚴格的要求。我們為未來留下了很大的成長空間，我們正在建造一台機器，我們相信從長遠來看，它將在全球範圍內實現可持續的複合。

In all my years as CEO of the company, I didn't have 1 month that I felt that we saw our limit, not even close. My strategy is to always have the ability to double and never push our limits. In this way, I feel good sitting with my teams and investors and telling them the future is bright with zero concerns. Some people say I'm crazy, grow as much as you can or run, but this is my way to be able to sleep few hours at night.

在我擔任公司執行長的這些年裡，我沒有一個月感覺到我們看到了我們的極限，甚至還沒有接近。我的策略是始終擁有加倍的能力，並且永遠不要突破我們的極限。透過這種方式，我感覺很高興與我的團隊和投資者坐在一起，告訴他們未來是光明的，零擔憂。有人說我瘋了，盡可能地成長或跑步，但這是我晚上能夠睡幾個小時的方法。

Looking to the future, we will continue to add brands to our platform, where we see large TAM, huge pain point coming from our user base, and where unit economics can support strong profitability and returns on capital.

展望未來，我們將繼續在我們的平台上添加品牌，在這裡我們看到大量的TAM，來自我們用戶群的巨大痛點，以及單位經濟效益可以支持強勁的盈利能力和資本回報率。

We have 2 future brands already in development that we plan to launch in 2025, and we are incredibly bullish on that opportunity. I touched briefly earlier on Brand 3, a medical-grade skin and body brand that will include a mix of OTC and prescription products. I believe Brand 3 will transform the dermatology and skin market, with revolutionary skin diagnostic powered by computer vision tools, with the UI that drives a fast peer experience than what is possible in a doctor office or any physical store environment and with high-performing, science-backed products launched out of ODDITY LABS that solve a wide range of skin and body concerns.

我們已經在開發 2 個未來品牌，計劃在 2025 年推出，我們非常看好這個機會。我之前簡單介紹過 Brand 3，這是一個醫療級皮膚和身體品牌，將包括非處方藥和處方產品。我相信 Brand 3 將透過電腦視覺工具支援的革命性皮膚診斷、比醫生辦公室或任何實體店環境更快的用戶體驗以及高性能、 ODDITY LABS 推出的科學產品可解決廣泛的皮膚和身體問題。

As for Brand 4, stay tuned, we'll have more to say in the future, but it's heavily under development.

至於 Brand 4，請繼續關注，我們將來會有更多內容要說，但它正在大力開發中。

Now let me hand it over to Lindsay.

現在讓我把它交給 Lindsay。

Thanks, Oran. We're thrilled with the strong business performance in the third quarter, which is expected to exceed the guidance we provided back in August on net revenues and gross margin and is expected to deliver at the top end of adjusted EBITDA margin guidance.

謝謝，奧蘭。我們對第三季強勁的業務表現感到興奮，預計將超過我們八月份提供的淨收入和毛利率指引，並有望達到調整後 EBITDA 利潤率指引的上限。

We're entering the fourth quarter with great momentum, and are poised to deliver a strong finish to the year. We now expect third quarter net revenue to grow between 29% and 31% year-over-year, ahead of the 18% to 23% initial guidance. The upside is driven by better growth across both brands and importantly, came with good quality and profitability.

我們正以強勁的勢頭進入第四季度，並準備為今年帶來強勁的業績。我們現在預計第三季淨收入將年增 29% 至 31%，高於最初的 18% 至 23% 預期。其上行空間是由兩個品牌更好的成長推動的，更重要的是，良好的品質和獲利能力。

Ultimately, it proved harder to slow the business down than we originally modeled based on strong repeat revenue.

最終，事實證明，與我們最初基於強勁重複收入的模型相比，放慢業務速度更困難。

We expect third quarter gross margin to be 68.5%, which is approximately 100 basis points better than the 67.5% initial guidance we gave for the quarter.

我們預計第三季毛利率為 68.5%，比我們給出的本季 67.5% 的初步指引高出約 100 個基點。

The gross margin upside was driven by better cost efficiency at both brands, which have benefited from specific cost optimization efforts relative to the prior year. 68.5% gross margin represents a 40 basis point improvement from the third quarter of the prior year, driven by gross margin expansion at both IL MAKIAGE and SpoiledChild, offset by negative margin mix from higher SpoiledChild contribution to sales.

毛利率上升是由於兩個品牌更好的成本效率所推動的，這得益於相對於上一年的具體成本優化工作。 68.5% 的毛利率比去年第三季提高了 40 個基點，這得益於 IL MAKIAGE 和 SpoiledChild 毛利率的增長，但被 SpoiledChild 對銷售貢獻增加帶來的負利潤率所抵消。

While SpoiledChild has made good progress in narrowing the gross margin gap relative to IL MAKIAGE, we will see some negative gross margin shift as it becomes a larger proportion of overall sales.

雖然 SpoiledChild 相對於 IL MAKIAGE 在縮小毛利率差距方面取得了良好進展，但隨著它在整體銷售額中所佔的比例越來越大，我們將看到一些負毛利率變化。

We expect third quarter adjusted EBITDA margin will be in a range of 21% to 21.5% at the top end of the initial 20% to 21.5% guidance we gave for the quarter. The EBITDA margin upside was driven by our stronger gross margin performance, and we continue to deliver great efficiency on our marketing and other OpEx spending.

我們預計第三季調整後 EBITDA 利潤率將在 21% 至 21.5% 的範圍內，高於我們本季最初給出的 20% 至 21.5% 指導值的上限。 EBITDA 利潤率的上升是由我們更強勁的毛利率表現推動的，而且我們繼續在行銷和其他營運支出方面保持高效。

This preliminary range represents around a 1,200 basis point improvement year-over-year for the quarter despite a higher contribution from SpoiledChild, which carries a lower EBITDA margin than IL MAKIAGE today. This year-over-year improvement is driven largely by better efficiency in our marketing spending as we throttled back acquisition spend and benefited from very strong repeat sales. This was offset by increased investment to drive future brands and products as well as investment in ODDITY LABS.

儘管 SpoiledChild 的貢獻較高（其 EBITDA 利潤率低於今天的 IL MAKIAGE），但這一初步範圍代表本季同比改善約 1,200 個基點。這種同比改善主要是由於我們的行銷支出效率提高，因為我們減少了收購支出並受益於非常強勁的重複銷售。這被推動未來品牌和產品的投資增加以及對 ODDITY LABS 的投資所抵消。

We exited the quarter with approximately $160 million of cash and 0 debt. Our balance sheet strength is a function of our robust profitability and excellent returns on capital, which yield attractive cash flows at high cash conversion.

本季結束時，我們擁有約 1.6 億美元現金和 0 債務。我們的資產負債表實力取決於我們強勁的獲利能力和出色的資本回報率，這在高現金轉換率下產生了有吸引力的現金流。

We're not providing any updated guidance on the fourth quarter or full year at this time. We do plan to update our outlook in November when we formally report our third quarter results.

目前我們沒有提供任何有關第四季度或全年的最新指導。我們確實計劃在 11 月正式報告第三季業績時更新我們的展望。

Turning to the macro backdrop as it relates to the consumer broadly. There is no indication in our business of a shift or a softening, whether as a result of constrained credit, higher energy prices or other factors. We're just not seeing it. We also believe our model is relatively insulated for the macro because of our idiosyncratic growth drivers and the inherent agility in our go-to-market, as well as our attractive category exposure and broad demographic appeal, although we are, of course, watching closely.

轉向與消費者廣泛相關的宏觀背景。無論是因為信貸緊縮、能源價格上漲或其他因素，我們的業務沒有任何變化或疲軟的跡象。我們只是沒有看到它。我們也認為，由於我們獨特的成長動力和我們進入市場的固有敏捷性，以及我們有吸引力的品類曝光度和廣泛的人口吸引力，我們的模型相對不受宏觀影響，儘管我們當然正在密切關注。

One note about the complexion of our P&L, we believe we are delivering growth and profitability at a level that outstrips the majority of internet and DTC businesses out there, and we're delivering this even as we're actively restraining our growth, which, as Oran said, is the right discipline to ensure sustained durability and compounding in our model for many years.

關於我們損益表的一個註釋是，我們相信我們正在實現超過大多數互聯網和 DTC 業務的增長和盈利能力，即使我們在積極限制我們的增長，我們也在實現這一目標，正如奧蘭所說，這是確保我們的模型多年來持續耐用和複合的正確紀律。

Not only are we actively holding back on the top line, but we're also restraining profitability, and we're doing this by investing today's margin upside against the business opportunities we see for tomorrow.

我們不僅積極抑制營收，而且還限制獲利能力，為此，我們將今天的利潤上升投資於我們看到的明天的商機。

Our base business wants to be more profitable than we're letting it. A function of our high repeat rates, IL MAKIAGE's excellent margin profile and SpoiledChild fast ramp up the profitability curve in only its second year post launch. But with the size of our TAM and the sheer scope of opportunity in front of us, we believe these investments in new brands, products and capabilities create a virtuous cycle of profitable growth at high returns that will compound value for us for many years to come.

我們的基礎業務希望獲得比我們允許的更多的利潤。由於我們的高重複率，IL MAKIAGE 的出色利潤狀況和 SpoiledChild 在推出後僅第二年就迅速提升了盈利曲線。但考慮到我們 TAM 的規模和我們面前的巨大機會，我們相信這些對新品牌、產品和能力的投資會創造一個高回報的盈利增長的良性循環，這將在未來許多年為我們帶來複合價值。

With that said, looking to the future, we remain committed to our long-term plan to sustain revenue growth of at least 20% and EBITDA margins of at least 20%. This is an algorithm we have strong confidence in our ability to consistently achieve, and one that we will strive to exceed.

儘管如此，展望未來，我們仍然致力於我們的長期計劃，以維持至少 20% 的收入成長和至少 20% 的 EBITDA 利潤率。我們對我們能夠持續實現這一目標的能力充滿信心，並且我們將努力超越這個演算法。

With that, I'll hand the call back to Oran.

這樣，我會將電話轉回奧蘭。

Operator, we are now ready to take your questions.

接線員，我們現在準備好回答您的問題。

Thank you. At this time, we'll be conducting a question-and-answer session. (Operator Instructions). Our first question comes from the line of Andrew Boone with JMP Securities.

謝謝。此時，我們將進行問答環節。 （操作員說明）。我們的第一個問題來自 JMP 證券公司的安德魯‧布恩 (Andrew Boone)。

Oran, I want to start with a big picture question that we frequently get from investors. But just help us understand the operational benefits of slowing down the business. I understood the improved revenue visibility. But what do you guys gain from an operating standpoint by slowing down the business?

奧蘭，我想從投資人經常提出的一個宏觀問題開始。但這只是幫助我們了解放慢業務速度所帶來的營運效益。我了解收入可見度的提高。但從營運的角度來看，透過放慢業務速度，你們能得到什麼好處呢？

And then for my second question, Lindsay, it sounded like you guys are choosing to invest more back into the business. Can you guys talk about whether there's any acceleration that we should expect from Brand 3 and Brand 4 or ODDITY LABS as you guys are choosing to reinvest back in the business versus the 2025 timetable?

對於我的第二個問題，林賽，聽起來你們正在選擇對業務進行更多投資。你們能否談談，當你們選擇根據 2025 年時間表對業務進行再投資時，我們是否應該期望品牌 3 和品牌 4 或 ODDITY LABS 會出現任何加速？

Look, guys, I know you are not used to this from other companies, but the same that I also did also in '23, I was pacing ODDITY's revenue growth in H2. This is the right thing to do to create a healthy long-term business.

聽著，夥計們，我知道你們不習慣其他公司的這種做法，但就像我在 23 年所做的那樣，我在下半年調整了 ODDITY 的收入成長速度。這是創造健康的長期業務的正確之舉。

Having said that, no one can tell me that growing 58% in the first 9 months of this year is slow, especially why we are generating over 20% of adjusted EBITDA margin.

話雖如此，沒有人能告訴我今年前 9 個月 58% 的成長是緩慢的，尤其是為什麼我們的調整後 EBITDA 利潤率超過 20%。

2023 is our best year ever, beating 2022 in all parameters. In terms of revenue, we grew 58% in the first 9 months compared to 52% in the first 9 months of 2022, and we are trending to grow by more than 50% in 2023 compared to 46% growth in 2022 with much higher revenue base.

2023 年是我們有史以來最好的一年，所有參數都超過了 2022 年。就收入而言，我們前9 個月增長了58%，而2022 年前9 個月增長了52%；與2022 年增長46% 相比，2023 年我們的增長趨勢將超過50%，收入要高得多根據。

Just to put in perspective, in the first 9 months of 2022, Estee Lauder expect to decline 6% and L'Oreal expect to grow only 9%.

客觀來看，2022 年前 9 個月，雅詩蘭黛預計將下降 6%，歐萊雅預計僅成長 9%。

Second is the repeat rate. 2023 net repeat revenue is trending to be the highest ever, and we didn't have any like expectation to have such a strong number in this year.

其次是重複率。 2023 年淨重複收入預計將達到有史以來最高水平，我們並沒有預期今年會出現如此強勁的數字。

New user acquisition efficiency is trending to be our best ever in 2023, beating 2022, while we are growing, like rate in this year, again, 58%.

新用戶獲取效率將在 2023 年達到有史以來最高水平，超過 2022 年，同時我們的成長率也將再次達到 58%。

And as for profitability, adjusted EBITDA margin, 20% plus, almost doubling 2022 EBITDA margin of 12%.

至於獲利能力，調整後的 EBITDA 利潤率達到 20% 以上，幾乎是 2022 年 EBITDA 利潤率 12% 的兩倍。

So yes, we are growing. We slowed down in H2, like we always did. I just said it on the call. Like for me, I want to feel in every moment that we have the runway. I want to feel in every moment that I can double. That's my way to speak with you now, and to speak with investors, and feel very confident of what we are building. If I grow 20% or 15%, I could say that it's slow. But 58%, it's a very strong growth rate with a very strong run rate. If we could, we could have done 100%. Probably yes, but why.

所以是的，我們正在成長。我們在下半年放慢了速度，就像往常一樣。我剛才在電話裡說過了。就像我一樣，我希望每時每刻都能感受到我們擁有跑道。我想在每一刻都感受到我可以加倍。這就是我現在與你們交談、與投資者交談的方式，並對我們正在建立的東西感到非常有信心。如果我成長20%或15%，我可以說它很慢。但 58%，這是一個非常強勁的成長率，具有非常強勁的運行率。如果可以的話，我們本來可以做到 100%。也許是的，但為什麼呢？

Great. And Andrew, on your second question. So there's a couple -- so as we talked about, we exceeded our revenue forecast for the quarter. The upside was really high quality. It was across both brands. It was a function of the better repeat performance in part, as ultimately, we got stronger repeat than we expected. And as a result, that has attractive flow through to profitability. This has a couple of benefits for us and supports our ability to drive long-term growth.

偉大的。安德魯，關於你的第二個問題。因此，正如我們所討論的，我們超出了本季的收入預測。好處是品質非常高。它橫跨兩個品牌。這在一定程度上是更好的重複性能的函數，因為最終我們得到了比我們預期更強的重複性能。因此，這對盈利能力具有吸引力。這對我們有很多好處，並支持我們推動長期成長的能力。

Number one, it gives us the opportunity to, as you mentioned, redeploy that revenue upside against the many initiatives we see that will allow us to drive growth for the long term. So we have tons of areas that we can invest, given the large TAM and expansive opportunity that we see in the future. So that new products, new brands, new capabilities, again, to allow us to support long-term growth.

第一，正如您所提到的，它使我們有機會重新部署收入成長，以應對我們認為能夠推動長期成長的許多舉措。因此，考慮到未來巨大的 TAM 和廣闊的機會，我們有大量可以投資的領域。讓新產品、新品牌、新能力再次成為我們長期成長的支撐。

In terms of acceleration, Brand 3 is still on track for 2025, Brand 4 is still on track for 2025, but we have the benefit of incremental investment to ensure our success. And as Oran said, as we've been slowing the business down at this part of the year, the teams have been very hard at work, stacking a number of growth engines for 2024, 2025 and beyond, and that includes things that we're working on for our new brands.

在加速方面，品牌 3 仍有望在 2025 年實現，品牌 4 仍有望在 2025 年實現，但我們有增量投資的優勢來確保我們的成功。正如奧蘭所說，由於我們在今年這個時候放慢了業務速度，因此團隊一直在非常努力地工作，為 2024 年、2025 年及以後積累了許多增長引擎，其中包括我們「正在為我們的新品牌而努力。

Our next question comes from the line of Youssef Squali with Truist Securities.

我們的下一個問題來自 Truist Securities 的 Youssef Squali。

Congrats guys on a strong quarter out of the IPO gate. So can you talk a little bit about the momentum in the business as you exited Q3 and entering Q4. Obviously, you're tracking at a higher kind of cadence than we had expected and that you had expected. How sustainable is that cadence going into year-end, considering that Q4 is typically your slowest?

恭喜大家在 IPO 後取得了強勁的季度業績。那麼，您能談談退出第三季並進入第四季度時的業務勢頭嗎？顯然，您的跟踪節奏比我們和您預期的要高。考慮到第四季通常是最慢的，這種節奏到年底的可持續性如何？

And then, Lindsay, maybe, can you talk about the cost efficiencies and just how much more can you take out just as you kind of ramp up the revenues? And maybe, how much higher could gross margins get over time?

然後，Lindsay，也許您能談談成本效率，以及在增加收入的同時您還能多拿多少錢嗎？也許，隨著時間的推移，毛利率會增加多少？

Great. So yes, exiting the third quarter, our business and entering the fourth quarter, we're very pleased by what we're seeing in our business really across the board, across brands, across product categories, across markets. We weren't initially planning when we spoke with you guys in mid-August, and we gave our updates following the second quarter. Obviously, since then, we've exceeded our guidance. So we're pleased to see the tone of the business.

偉大的。所以，是的，退出第三季度我們的業務並進入第四季度，我們對我們的業務真正全面、跨品牌、跨產品類別、跨市場的情況感到非常高興。當我們在八月中旬與你們交談時，我們最初並沒有計劃，我們在第二季度後提供了更新。顯然，從那時起，我們已經超越了我們的指導。因此，我們很高興看到業務的基調。

As we mentioned, we're not updating 4Q or full year guidance at this time, but we'll talk to you in about a month, and we'll give you an update then.

正如我們所提到的，我們目前不會更新第四季度或全年指導，但我們將在大約一個月後與您交談，然後我們會給您更新。

And then in terms of cost efficiency, look, we're always as an organization, and in particular, as it relates to new product initiatives, new brand initiatives, we really don't focus on the cost side at first, on the cost of goods side at first.

然後就成本效率而言，看，我們始終作為一個組織，特別是當它與新產品計劃、新品牌計劃相關時，我們實際上一開始並不關注成本方面，而是關注成本。首先是貨物方面。

We want to make sure we've got the right product, the right consumer proposition, the right acquisition engines, the right price points, all of those things have lined up appropriately. And then from there, we can back-solve and deliver more cost efficiencies.

我們希望確保我們擁有正確的產品、正確的消費者主張、正確的收購引擎、正確的價格點，所有這些都已適當排列。然後從那裡，我們可以進行反向求解並提供更高的成本效率。

In the case of SpoiledChild, in its first year last year, we were not efficient at all on the cost side. We were, for example, air freighting a ton of product to make sure that we have the right inventory, and we were really getting our legs underneath us.

就 SpoiledChild 而言，在去年推出的第一年，我們在成本方面根本沒有效率。例如，我們空運了大量產品，以確保我們擁有正確的庫存，我們確實在全力以赴。

This year, we made some progress shipping away to improve the cost efficiency of that brand more than we had expected, candidly, when we delivered our initial outlook. And I would say, for IL MAKIAGE. Also, we haven't been extraordinarily focused on cost of goods efficiency there. That's something over time that we believe we can get better at. We had some initiatives that we put into place this year around really blocking and tackling type of stuff that we're just doing better from a supply chain, from a logistics standpoint.

今年，我們在提高品牌的成本效率方面取得了一些進展，坦白說，超出了我們在交付最初展望時的預期。我想說，對於IL MAKIAGE。此外，我們也沒有特別關注那裡的商品成本效率。隨著時間的推移，我們相信我們可以做得更好。我們今年實施了一些舉措，圍繞著真正阻止和解決的問題，從供應鏈和物流的角度來看，我們只是做得更好。

And so those things came into play to benefit us. I think, we're not looking for any material gross margin improvement as we think about what's in store for us next year. In fact, SpoiledChild still operates at a lower gross margin versus IL MAKIAGE. So as that becomes a bigger portion of our mix, that's something that we'll need to offset. But we feel very good about the level of our gross margins today and how that translates.

因此，這些事情開始發揮作用，使我們受益。我認為，當我們考慮明年的情況時，我們並不尋求任何實質的毛利率改善。事實上，與 IL MAKIAGE 相比，SpoiledChild 的毛利率仍然較低。因此，隨著這成為我們組合中更大的一部分，我們需要抵消這一點。但我們對今天的毛利率水準及其轉換方式感到非常滿意。

Ultimately, most importantly, we really think about this on a total unit economics perspective. So we're working towards EBITDA margins, and we're feeling really great about how both IL MAKIAGE and SpoiledChild are set up for that for the long term.

最終，最重要的是，我們真正從整體單位經濟的角度來思考這個問題。因此，我們正在努力實現 EBITDA 利潤率，並且我們對 IL MAKIAGE 和 SpoiledChild 的長期發展感到非常滿意。

Our next question comes from the line of Scott Schoenhaus with KeyBanc Capital Markets.

我們的下一個問題來自 KeyBanc Capital Markets 的 Scott Schoenhaus。

This is Steve Dechert on for Scott. How should we think about the product and technology stack you mentioned in your release to drive growth in the next year and -- sorry, and beyond.

我是史蒂夫·德克特（Steve Dechert）替斯科特發言。我們應該如何考慮您在新聞稿中提到的產品和技術堆疊，以推動明年以及以後的成長——抱歉，以及以後的成長。

Can you repeat the question, please? Sorry.

請您重複一下這個問題好嗎？對不起。

How should we think about the product and technology stack you mentioned in your release to drive growth into next year and beyond?

我們應該如何考慮您在新聞稿中提到的產品和技術堆疊，以推動明年及以後的成長？

Yes. So look, we are -- as for -- first of all, we start with ODDITY LABS, we are thrilled with the integration of Revela, and the progress at ODDITY LABS, which is coming together even faster than I hope. It is not easy integration. It's not easy to add so many scientists to a consumer company, but we did it in a very short period of time.

是的。所以看，我們——至於——首先，我們從 ODDITY LABS 開始，我們對 Revela 的整合以及 ODDITY LABS 的進展感到非常興奮，它的整合速度比我希望的還要快。整合並不容易。向消費品公司增加這麼多科學家並不容易，但我們在很短的時間內就做到了。

ODDITY LABS is a core part of ODDITY in the future. And the progress is outperforming our expectation based on 3 things. Number one, the molecule road map itself is bigger and stronger than what we believe can be done. Number two, the speed at which the team is progressing is even faster. And number three, the talent that we are able to attract is unprecedented to our industry, very strong talent, already close to 20 people in our lab in Boston. Mostly, PhDs coming from Best Labs, as it relates to the road map itself like the areas that we are hunting, have like the following criteria. Always huge TAM, big pain points we see coming from our users, and were signs like that we see the (inaudible) allow the success.

ODDITY LABS是ODDITY未來的核心部分。基於三件事，進展超出了我們的預期。第一，分子路線圖本身比我們認為可以做到的更大、更強。第二，團隊進步的速度更快。第三，我們能夠吸引到的人才在我們的行業中是前所未有的，非常強大的人才，我們波士頓的實驗室已經有近 20 人。大多數情況下，來自最佳實驗室的博士，因為它與路線圖本身有關，就像我們正在尋找的領域一樣，具有以下標準。總是巨大的 TAM，我們看到來自用戶的巨大痛點，並且是這樣的跡象，我們看到（聽不清楚）允許成功。

And for example, in Brand 3, we are working on new and proprietary ingredients that sold a number of skin issues and body issues for a population that is currently underserved. This is just one example.

例如，在品牌 3 中，我們正在研究新的專有成分，為目前服務不足的人解決許多皮膚問題和身體問題。這只是一個例子。

Other than that, we have -- in the clinical product side, we have 2 very strong departments in IL MAKIAGE and SpoiledChild. If in the past, we are working on first developing product, and then trying to find the audience today, will work vice versa.

除此之外，在臨床產品方面，我們有兩個非常強大的部門：IL MAKIAGE 和 SpoiledChild。如果在過去，我們首先致力於開發產品，然後今天再努力尋找受眾，那麼反之亦然。

We have the user base. We are listening to them. We are building segments on those user base. Then we go back to the teams. They develop the products, and then we launch it back to the user. That's why it's so efficient. And that's why with the DTC model, it allows us to test and test before launching with high success rate.

我們有用戶基礎。我們正在傾聽他們的意見。我們正在這些用戶群的基礎上建立細分市場。然後我們回到團隊。他們開發產品，然後我們將其重新推出給用戶。這就是為什麼它如此有效率。這就是為什麼使用 DTC 模型，它允許我們在發布之前進行反覆測試，成功率很高。

Tech product side, again, that's like -- that's what we do. And we need to make sure that we -- like the technology can allow us, first of all, to match new products and new categories that we are launching. So machine learning is a big part of that.

再次，在科技產品方面，這就是我們所做的。我們需要確保我們——首先，科技可以讓我們匹配我們正在推出的新產品和新類別。因此，機器學習是其中的重要組成部分。

In addition, in every, like, part of the journey, we are trying to improve the product, the tech product, and that's why it's the largest team in the company.

此外，在旅程的每個部分，我們都在努力改進產品、技術產品，這就是為什麼它是公司最大的團隊。

Overall, both tech and science product like -- that's the core of the business, and that's the core of them, like that should be the main driver for the future in terms of the growth with very decent margins.

總的來說，科技和科學產品都是業務的核心，也是它們的核心，這應該是未來成長的主要驅動力，利潤率非常可觀。

(Operator Instructions) Our next question comes from the line of Lauren Lieberman with Barclays.

（操作員說明）我們的下一個問題來自巴克萊銀行的勞倫·利伯曼（Lauren Lieberman）。

First thing I wanted to ask about was just as you've walked through plans to launch 10 new -- or 10 products in 2024, with the new molecules from ODDITY LABS. Anything you can share with us on how you are planning on marketing these products? Any kind of new or different approach, something that might go broader than your typical targeting online because I think it's a very interesting inflection point where the quality, dare I say it, the differentiation of the product set, it seems like it's about to change. So I was curious if your marketing approach will it change at all along with that.

我想問的第一件事是，正如您已經了解的那樣，計劃在 2024 年推出 10 種新產品，即 10 種產品，其中使用的是 ODDITY LABS 的新分子。您可以與我們分享您計劃如何行銷這些產品嗎？任何一種新的或不同的方法，可能比典型的線上定位更廣泛，因為我認為這是一個非常有趣的轉折點，我敢說，產品集的差異化似乎即將發生變化。所以我很好奇你的行銷方式是否會隨之改變。

Look, it was always my dream before -- like before acquiring Revela before, launching ODDITY LABS, we are working like the rest of the industry, very strong product teams in both IL MAKIAGE and SpoiledChild. Massive testing before launching. But in the end of the day, we use the same ingredients like the rest of the industry.

看，這一直是我以前的夢想——就像之前收購 Revela、推出 ODDITY LABS 之前一樣，我們像行業其他公司一樣工作，IL MAKIAGE 和 SpoiledChild 都有非常強大的產品團隊。發布前進行大量測試。但最終，我們使用與業界其他公司相同的成分。

My dream was to add technology around physical products. I think that we met dozens of start-ups in Tel Aviv and in Boston before closing the deal with Revela, and like the idea was that today, we have so much data around users and about their pain points, and what works and doesn't work.

我的夢想是圍繞實體產品添加技術。我認為在與 Revela 達成交易之前，我們在特拉維夫和波士頓會見了數十家新創企業，就像今天的想法一樣，我們擁有大量關於用戶及其痛點的數據，以及哪些有效、哪些無效。不工作。

But at the end of the day, when you use the same molecules and the same ingredients, it makes it very tough to create something better.

但歸根結底，當你使用相同的分子和相同的成分時，就很難創造出更好的東西。

So what we are doing with them now, all 3 founders came from drug discovery and cancer and decided to use their background and knowledge of an AI-based molecule discovery in beauty. And it was my missing part of the puzzle.

所以我們現在正在和他們一起做的事情，三位創辦人都來自藥物發現和癌症領域，並決定利用他們在美容領域基於人工智慧的分子發現的背景和知識。這就是我所缺少的部分。

We built a machine that has the ability to collect the data from millions of users. We built a technology that makes beauty work online. We just needed a strong engine for science-based product based on data we collect, and this is ODDITY LABS.

我們建造了一台能夠從數百萬用戶收集資料的機器。我們開發了一項使美容在線工作的技術。我們只需要一個強大的引擎來開發基於我們收集的數據的科學產品，這就是 ODDITY LABS。

In terms of how we market it, like that's the magic. Like since it's coming from a user base with the data, we just need to go back to this segment and marketing the product that what makes this model so strong. We just need to add more scientists and extend ODDITY LABS like we already do today. And that's why like that -- why I believe it's a massive part of our future.

就我們如何行銷它而言，這就是魔力。就像它來自擁有數據的用戶群一樣，我們只需要回到這個細分市場並行銷使該模型如此強大的產品。我們只需要像今天一樣增加更多的科學家並擴展 ODDITY LABS。這就是為什麼我相信它是我們未來的重要組成部分。

As for next year, 10 new molecules coming from ODDITY LABS, again, after so much testing, when you work with scientists, they want to test in lab, they want to test also with consumer, and we are running a very extensive testing and it looks very promising.

至於明年，來自ODDITY LABS 的10 種新分子，再次經過如此多的測試，當你與科學家合作時，他們想在實驗室進行測試，他們也想與消費者一起測試，我們正在進行非常廣泛的測試和看起來很有前途。

I mean, I guess the root of the question is that while, for sure, you are not in need of growth, to say the least, right. You have talked several times that you intentionally slow down the business.

我的意思是，我想問題的根源是，雖然可以肯定的是，至少可以說，你不需要成長，對吧。您曾多次表示您故意放慢業務速度。

But I think what's interesting also is to think about expanding the user base or expanding your reach when the product quality changes as it's set to. So that's kind of what I'm getting at. Or maybe that's something you don't need to think about for a long time, but it feels like there's an even bigger market out there when the product quality steps up as it's about to.

但我認為有趣的是，當產品品質改變時，考慮擴大用戶群或擴大影響力。這就是我的意思。或者也許這是你不需要考慮很長時間的事情，但當產品品質即將提高時，感覺那裡有一個更大的市場。

Yes, it's a great question. Like you have two ways to expand and to grow. Number one is to extend your user base, and number two is just to offer and to extend your product line to the same user base. We are doing both. In H2, by the way, we acquire like -- we acquire less users than we ever had before because we didn't need more growth. But it doesn't mean that I don't want to use the user base to launch more products for them just because it doesn't like -- there is no cost for that just because of development.

是的，這是一個很好的問題。就像你有兩種擴展和成長的方式。第一是擴大您的用戶群，第二是向同一用戶群提供和擴展您的產品線。我們兩者都在做。順便說一句，在下半年，我們獲得的用戶數量比以往任何時候都少，因為我們不需要更多的成長。但這並不意味著我不想利用用戶群為他們推出更多產品，只是因為他們不喜歡——僅僅因為開發就沒有成本。

So we do both. If we need to grow more, we'll continue to acquire more users specifically and primarily for those pain points. But if not, we continue to work hard, just launching new products to the same user base, like two ways to grow, basically.

所以我們兩者都做。如果我們需要成長更多，我們將繼續專門針對這些痛點獲取更多用戶。但如果沒有，我們會繼續努力，只是向相同的用戶群推出新產品，基本上有兩種成長方式。

Yes. Okay. And do you think about at what point you start adding more infrastructure, whether it's probably people, but be able to -- you're already managing the growth very well that you have, obviously. But yes, I mean, to get to a point where, let's say, word of mouth on these products is stronger than you anticipate.

是的。好的。你是否考慮過在什麼時候開始添加更多基礎設施，無論是人員，但能夠——顯然，你已經很好地管理了你所擁有的成長。但是，是的，我的意思是，可以說，這些產品的口碑比您預期的要強。

Do you need to add resources internally to manage that even higher level of sales growth, right, rather than you controlling, if you will, the level of sales growth that it kind of accelerates beyond intention? Do you have the infrastructure you need to handle that?

您是否需要在內部添加資源來管理更高水準的銷售成長，對吧，而不是您控制（如果您願意的話）超出預期的加速銷售成長水準？您是否擁有處理該問題所需的基礎設施？

So first of all, it's a good problem to have. And I hope that we will have this problem for a long time. Look, the way that we run the business, each brand has its own CEO, its own leadership team. By the way, Brand 3 already has its own CEO that work with Revela team, for example, on new molecules for Brand 3. So we try to run it very independently in terms of brand just to ensure that we have a strong infrastructure for growth for each and every brand.

首先，這是一個好問題。我希望我們會長期存在這個問題。看，我們經營業務的方式，每個品牌都有自己的首席執行官，自己的領導團隊。順便說一句，品牌 3 已經有自己的首席執行官，與 Revela 團隊合作，例如，為品牌 3 開發新分子。因此，我們嘗試在品牌方面非常獨立地運營它，以確保我們擁有強大的成長基礎設施對於每個品牌。

And as for ODDITY LABS, like I'm obviously seeing, personally with them, our Chief Science Officer, the founder of Revela. I talk to them almost every day. I'm very involved in what they do. And we built it to around -- like to allow, like, high scale and, like, I think that we know how to do it.

至於 ODDITY LABS，就像我親自見到的那樣，我們的首席科學官、Revela 的創始人。我幾乎每天都和他們說話。我非常參與他們所做的事情。我們建造它的目的是——喜歡允許，喜歡，高規模，喜歡，我認為我們知道如何做。

Lauren, I'll just jump in. The model I think is what you're alluding to, has built in a lot of leverage. And number one, that's one of the beauties about being a technology-based company, is that it gives us the opportunity to scale without a lot of incremental cost per se.

勞倫，我就插話吧。我認為你所提到的模型已經建立了很多槓桿作用。第一，作為一家以技術為基礎的公司的優點之一是，它使我們有機會在本身不增加大量成本的情況下擴展。

One of the ways that you can see that actually play out is the SpoiledChild itself, right? It achieved profitability in about a year. It's going to be a nice profit contributor to us this year. And I think, as you look across like typically to see any new brand launch that has scaled this materially and this profitably, it doesn't exist.

你可以看到實際發揮作用的方式之一就是 SpoiledChild 本身，對吧？大約一年時間就實現了盈利。今年這將為我們帶來不錯的利潤貢獻。我認為，當你像通常看到的那樣看到任何新品牌的推出，在物質和利潤上達到如此規模時，它並不存在。

And as you look at some of the large sort of legacy analog, CPG platforms, every time you launch a new brand, well, first of all, they struggle to launch or grow anything organically, but you have to spend the same amount to reacquire the same customer every single time versus us, we have this user base of over 40 million, where we're just going deeper and deeper with low incremental costs, which delivers high margin.

當你看到一些大型傳統模擬、CPG 平台時，每次你推出一個新品牌時，首先，他們很難有機地推出或發展任何東西，但你必須花費相同的金額來重新獲得每次與我們相同的客戶，我們擁有超過4000 萬的用戶群，我們只是以較低的增量成本越來越深入，從而帶來高利潤。

That being said, we've talked about the model that we've committed to sustaining over the foreseeable future at this 20% plus revenue, 20% plus EBITDA margins, that has embedded in it, a lot of reinvestment for the future. But you could see our individual brands operating at a level that's far more profitable just based on the inherent leverage in the model.

話雖這麼說，我們已經討論了我們承諾在可預見的未來以 20% 以上的收入、20% 以上的 EBITDA 利潤率維持的模式，其中嵌入了對未來的大量再投資。但您可以看到，僅基於模型中固有的槓桿作用，我們各個品牌的營運利潤就高得多。

Our next question is a follow-up from the line of Youssef Squali with Truist Securities.

我們的下一個問題是來自 Truist Securities 的 Youssef Squali 的後續問題。

So one question we've been getting from clients is around billings and some customer reviews. I guess, on certain sites like Better Business Bureau, et cetera, there are a number of kind of unhappy customers. But it seems like it has more to do with billings and people may be charged wrongly than the quality of the product. That's something that's clearly very important that we haven't seen, so which is great.

因此，我們從客戶那裡收到的一個問題是關於帳單和一些客戶評論的。我猜想，在商業改進局等某些網站上，有很多不滿意的客戶。但這似乎與帳單更多有關，人們可能會被錯誤地收費，而不是產品的品質。這顯然是非常重要的事情，但我們還沒有看到，所以這很棒。

But can you maybe just address what the issues there are? If there are any issues at scale, maybe there aren't. But if you can just address this topic, it would be really helpful.

但你能解決一下存在的問題嗎？如果規模上有任何問題，也許根本就沒有。但如果你能解決這個話題，那將會非常有幫助。

First and foremost, it's important to understand the magnitude of the claim, and we are talking about fraction of a percent. We are running online only at a huge scale, millions of orders every month, 100% DTC.

首先也是最重要的是，了解索賠的規模很重要，我們談論的是百分之幾的一小部分。我們只在網路上大規模運行，每月數百萬個訂單，100% DTC。

This means millions of customers to whom we are shipping physical products globally, even if it's 0.01% of all customers say, 10 out of 100,000 customers, have an issue because of our insane volume, the absolute number like of complaint, we can see like it's very low.

這意味著我們在全球範圍內向數以百萬計的客戶運送實體產品，即使只有0.01% 的客戶表示，100,000 名客戶中有10 名，因為我們瘋狂的數量而遇到問題，投訴的絕對數量，我們可以看到這是非常低的。

Any online company that operate even close to our sales will experience this, like there will always be a certain percentage who are unhappy and issues with their advert shipping or just got confused with for some reason.

任何與我們的銷售業務密切相關的線上公司都會遇到這種情況，就像總會有一定比例的人對他們的廣告運輸不滿意並出現問題，或者只是出於某種原因感到困惑。

But our customers are happy. We track it every day. Like this is my job to make sure that our customers are happy because if they are not happy, you don't have repeat rate. And if you don't have repeat, you don't have a profitable business.

但我們的客戶很高興。我們每天都會追蹤它。就像這是我的工作，確保我們的客戶滿意，因為如果他們不滿意，你就沒有重複率。如果你沒有回頭客，你就沒有獲利的業務。

So I stand by 100%, we have very strong customer review. Not only that, if you look at like the third-party review like, Trustpilot or Google reviews, or even BBB itself, you will see tens of thousands of reviews at an average of 4.5 stars.

所以我百分之百支持，我們有非常強烈的客戶評價。不僅如此，如果你查看像 Trustpilot 或 Google 評論這樣的第三方評論，甚至 BBB 本身，你會看到數以萬計的平均 4.5 顆星的評論。

And again, with this scale, it's very tough. There are two areas where we see a bit more issues. Obviously, we work hard with technology because everything that we build around auto replenishment and about payments, we've built like internally. But specific to auto replenishment, I'm not aware of any other large online company who is more transparent than us and require like every single customer to actively opt in.

再說一遍，在這樣的規模下，這是非常困難的。我們在兩個領域看到了更多問題。顯然，我們在技術方面努力工作，因為我們圍繞自動補貨和支付構建的所有內容都是我們內部構建的。但具體到自動補貨，我不知道有任何其他大型線上公司比我們更透明，並且要求每個客戶都積極選擇加入。

Again, unlike most order replenishment models out there in both IL MAKIAGE and SpoiledChild, the default is a onetime purchase and not all those subscription or auto replenishment, rather opt out during the onetime purchase. This is a huge difference.

同樣，與 IL MAKIAGE 和 SpoiledChild 中的大多數訂單補貨模型不同，預設是一次性購買，而不是所有這些訂閱或自動補貨，而是在一次性購買期間選擇退出。這是一個巨大的差異。

And if I care less about user satisfaction and happiness, I would have changed it and make the business even more profitable way, more profitable. But of course, I'm not planning to do it.

如果我不太關心用戶的滿意度和幸福感，我就會改變它，讓業務變得更有利可圖，更有利可圖。但當然，我不打算這麼做。

And specific to billing, for a small portion of our customers, there can be a confusing with preauthorization on their cards, which is the same thing that you can get when you order Uber. It mostly relates to our try before you buy program, which, again, we do for the better shopping experience, and it costs us in margins. But we believe that in some beauty products, it is essential.

在具體到計費方面，對於我們的一小部分客戶來說，他們的卡上的預授權可能會令人困惑，這與您在訂購 Uber 時獲得的東西是一樣的。這主要與我們的「先試後買」計畫有關，我們這樣做是為了提供更好的購物體驗，但它會增加我們的利潤。但我們相信，在一些美容產品中，它是必不可少的。

Now I don't think that it makes sense to cancel this massive customer benefit because a super small fraction of users who didn't fully readout like how it works, and were confused, we'll continue to work out to educate those users, and we have invested a lot in technology around it.

現在我認為取消這項龐大的客戶福利是沒有意義的，因為有一小部分用戶沒有完全了解它的工作原理，並且感到困惑，我們將繼續努力教育這些用戶，我們在相關技術上投入了大量資金。

And again, we built funnels, and we built, like, machine models to try to, like, to better predict who is going to get more confused, and we are trying to change the messages for them.

再說一遍，我們建立了漏斗，我們建立了機器模型，試圖更好地預測誰會變得更加困惑，我們正在努力改變他們的訊息。

Again, we all work around it, but I say it, and I'm still 100% sure about it. Our customers are happy. Otherwise, we would never have this repeat rate.

再說一次，我們都在努力解決這個問題，但我說了，而且我仍然百分之百確定。我們的客戶很高興。否則，我們永遠不會有這樣的重複率。

Ladies and gentlemen, that concludes our question-and-answer session. I'll turn the floor back to Mr. Holtzman for any final comments.

女士們先生們，我們的問答環節到此結束。我將把最後的意見轉回給霍爾茲曼先生。

Thank you very much, guys, for joining us today. Looking forward to speaking to you soon in our Q3 report. Thank you.

非常感謝你們今天加入我們。期待很快在我們的第三季報告中與您交談。謝謝。

This concludes today's conference call. You may disconnect your lines at this time. Thank you for your participation.

今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與。