Oddity Tech Ltd (ODD) 2023 Q4 法說會逐字稿

Good morning, and welcome to Oddity fourth quarter and full year 2023 earnings conference call. Today's call is being recorded, and we have allocated time for prepared remarks and Q&A. Please note, the prepared remarks for this morning's call have been posted to Oddity's Investor Relations website for reference.

早安，歡迎參加 Oddity 第四季和 2023 年全年財報電話會議。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。請注意，為今天上午的電話會議準備的發言稿已發佈到 Oddity 的投資者關係網站上，以供參考。

At this time, I'd like to turn the conference over to Ms. Maria Lycouris, Investor Relations for Oddity. Thank you, you may begin.

這次，我想將會議交給 Oddity 投資者關係部門的 Maria Lycouris 女士。謝謝，你可以開始了。

Thank you, operator. I'm joined by Oran Holtzman, Oddity, Co-Founder and CEO; Dr. Evan Zhao, Oddity, Chief Science Officer; and Lindsay Drucker Mann, Oddity Global CFO. 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.

謝謝你，接線生。Oran Holtzman（Oddity 共同創辦人兼執行長）也加入了我的行列。 Evan Zhao 博士，Oddity 首席科學官；和 Oddity Global 財務長 Lindsay Drucker Mann。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陳述。

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 earnings press release issued yesterday in our annual report on Form 20-F filed with the Securities and Exchange Commission on March 5, 2024.

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收益新聞稿中的前瞻性陳述中進行了描述，該新聞稿載於我們於 2024 年 3 月 5 日向美國證券交易委員會提交的 20-F 表格年度報告中。

We do not undertake any obligation to update forward-looking statements, which speak only as of today. 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 earnings press release, which we issued yesterday. I will now hand the call over to Oran.

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。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收益新聞稿中。我現在將電話轉交給奧蘭。

Thanks, operator, and thanks, everyone, for joining us today. Our fourth quarter was another record-breaking quarter to cap off a record year. We continue to deliver very strong financial results that are ahead of what we promised. In 2023, we reached two important milestones, one, surpassing $500 million of revenue and two, generating over $100 million of adjusted EBITDA.

謝謝操作員，也謝謝大家今天加入我們。我們的第四季又是一個破紀錄的季度，為創紀錄的一年畫下句點。我們持續交付非常強勁的財務業績，超越了我們的承諾。2023 年，我們實現了兩個重要里程碑，一是營收超過 5 億美元，二是調整後 EBITDA 超過 1 億美元。

We did it via our online platform that was launched only five years ago in a category that everyone told me doesn't and cannot work online. The OTT platform has today over 50 million users and over 2 billion data points that fuel our business and are responsible for the strong financial results.

我們透過我們的線上平台做到了這一點，該平台僅在五年前推出，每個人都告訴我不能也不能在網路上工作。OTT 平台目前擁有超過 5,000 萬用戶和超過 20 億個數據點，這些數據點推動了我們的業務發展並帶來了強勁的財務業績。

Our financial results for 2023 were outstanding. We grew net revenue of 57% to $509 million and adjusted EBITDA, 173% to $107 million, achieving 21% adjusted EBITDA margins. Once again beating our guidance across revenue, profit and earnings per share, not just for the full year, but every single quarter.

我們 2023 年的財務表現非常出色。我們的淨收入成長了 57%，達到 5.09 億美元，調整後 EBITDA 成長了 173%，達到 1.07 億美元，調整後 EBITDA 利潤率達到 21%。再次超出了我們在收入、利潤和每股收益方面的指導，不僅是全年，而且是每個季度。

We basically grew way more than I wanted us to grow. In my view, there is no good reason to grow 50% at our scale, but due to both small child's ability to bleed scale and in a much stronger than expect the repeat rate, we landed at 57% growth rate in 2023 full year.

我們的成長基本上超出了我的預期。在我看來，我們的規模沒有充分理由成長 50%，但由於小孩的出血能力和重複率遠高於預期，我們在 2023 年全年的成長率達到了 57%。

Drilling down to the brands either. IL MAKIAGE delivered a very strong year in both color and skin. Skin grew to around 20% of IL MAKIAGE's sales in 2023, which is very high rate of category expansion for any beauty brands. It is a testament to our data-driven platform to the strength of the brand, its enormous potential reach and quality of its products.

也可以深入了解品牌。IL MAKIAGE 在色彩和膚色方面都取得了非常強勁的一年。2023 年，保養品佔 IL MAKIAGE 銷售額的比例成長至 20% 左右，這對任何美容品牌來說都是非常高的品類擴張速度。它證明了我們的數據驅動平台的品牌實力、巨大的潛在影響力和產品品質。

IL MAKIAGE is well on its way to achieving my target of $1 billion of sales within the next five years. SpoiledChild scaled insanely fast in 2023, since it was a one year old brand I wanted to test the brand strengths and its limits and therefore, I allowed the hyper growth. SpoiledChild grew 325% from last year to $110 million of net revenue, and we did it profitably, across multiple categories and with more than half of our sales from repeat customers.

IL MAKIAGE 正在順利實現我在未來五年內銷售額 10 億美元的目標。SpoiledChild 在 2023 年的擴張速度非常快，因為它是一個成立僅一年的品牌，我想測試該品牌的優勢及其局限性，因此，我允許其高速成長。SpoiledChild 的淨收入比去年增長了 325%，達到 1.1 億美元，我們在多個類別中實現了盈利，而且我們一半以上的銷售額來自回頭客。

We believe spoil child's success is unprecedented anywhere in direct-to-consumer, and it just shows again, the strength of ODT and the demand for beauty online. Most importantly for 2023, we built strong foundations to drive our future. The reveal acquisition and establishment of quality lab is a game changer for the industry.

我們相信，在直接面向消費者的領域，寵兒的成功是史無前例的，它再次展示了 ODT 的實力和線上美容的需求。最重要的是，對於 2023 年，我們為推動未來奠定了堅實的基礎。品質實驗室的收購和建立是產業遊戲規則的改變者。

We are all in building the biggest and most advanced platform for new molecule discovery. I believe it will be a huge growth engine for all our brands and therefore, the top priority and for my sister, Shiran. But I'll touch on more shortly. New brands are another massive growth engine for us where we made big investment in '23 and '24, which are on track to be launched in 2025.

我們正在全力打造最大、最先進的新分子發現平台。我相信這將成為我們所有品牌的巨大成長引擎，因此，對我的妹妹 Shiran 來說，這也是重中之重。但我很快就會談到更多內容。新品牌是我們的另一個巨大成長引擎，我們在 '23 和 '24 上進行了大量投資，預計將於 2025 年推出。

Finally, we took Oddity public. Again, we did it to build something huge and because we believe there is unlimited growth potential for us. So to recap 2023 was a very, very strong year for auditing. We delivered 57% growth and 21% EBITDA margin top percentile of public companies out there. We beat every quarter of 2023 with scale growth and profitability.

最後，我們將 Oddity 公諸於世。再說一次，我們這樣做是為了創造一些偉大的東西，因為我們相信我們有無限的成長潛力。因此，回顧 2023 年，對於審計來說是非常非常強勁的一年。我們實現了 57% 的成長和 21% 的 EBITDA 利潤率，在上市公司中名列前茅。我們的規模成長和獲利能力都超過了 2023 年的每個季度。

We crossed the $500 million milestone that revenue, we crossed the $100 million milestone for adjusted EBITDA, we established quality labs as an industry leading molecule discovery platform powered by the acquisition and integration of Revela, we took the company public with an amazing shareholder base, and we finished the year with a very strong balance sheet, including $168 million of cash and short-term investments with zero debt.

我們的收入突破了5 億美元的里程碑，我們的調整後EBITDA 突破了1 億美元的里程碑，我們建立了質量實驗室，作為行業領先的分子發現平台，在收購和整合Revela 的支持下，我們以驚人的股東基礎讓公司上市，我們以非常強勁的資產負債表結束了這一年，其中包括 1.68 億美元的現金和零債務的短期投資。

This is Oddity we work really hard to do more than most other companies out there, the hunger, the startup DNA and our always-on competitive mode are our biggest assets that allow us to keep on delivering. So 2023 was amazing, but it's already the past and what's most important now is our future. Our laser focus in 2024 is on executing opportunities that we believe will drive our business for many years.

這就是奇怪之處，我們非常努力地工作，比大多數其他公司做得更多，飢餓感、創業 DNA 和我們永遠在線的競爭模式是我們最大的資產，使我們能夠繼續交付。所以 2023 年是令人驚奇的，但它已經過去了，現在最重要的是我們的未來。我們 2024 年的重點是抓住機遇，我們相信這些機會將在未來多年推動我們的業務發展。

Let me walk through the biggest priorities forward into 2024. First, continuing to grow IL MAKIAGE and SpoiledChild. As I said before, our goal for both brands is to grow $1 billion revenues for each brand with strong separated leadership team for each brand, which you the addressable market with massive advantage online where the demand is only growing it can and should be done. So many ways to grow, adding new products, expanding to new categories, opening up new markets.

讓我來介紹一下 2024 年最重要的優先事項。首先，繼續發展IL MAKIAGE和SpoiledChild。正如我之前所說，我們對這兩個品牌的目標是為每個品牌增加10 億美元的收入，並為每個品牌建立強大的獨立領導團隊，這是您在網上擁有巨大優勢的潛在市場，而需求只會成長，這是可以而且應該做到的。成長的方式很多，增加新產品、擴展到新類別、開拓新市場。

All growth initiatives are in place and ready for pulling the trigger, so I feel very confident in the ability of my teams to deliver. Both in IL MAKAIGE and SpoiledChild are off to a strong start in 2024 based on our performance in just the first two months of 2024, combined with our outlier repeat rates, we have visibility into delivering our goals in 2024.

所有成長計劃均已到位並準備好扣動扳機，因此我對我的團隊的交付能力非常有信心。根據我們在 2024 年頭兩個月的表現，再加上我們異常的重複率，IL MAKAIGE 和 SpoiledChild 在 2024 年都有了良好的開局，我們有能力在 2024 年實現我們的目標。

So that was about SpoiledChild and IL MAKAIGE. Second, new brands. Brand 3 and brand 4, which we are billing to be our next in-house engine. Both brands have separate leadership teams to ensure they will without distracting the existing brands runway. As a reminder, Brand 3 is medical-grade skin and body brand issues like acne, eczema and other skin issues are huge pain points for our users and the majority of them tell us they are unsatisfied with the current solutions.

這就是 SpoiledChild 和 IL MAKAIGE 的故事。二是新品牌。品牌 3 和品牌 4，我們宣稱它們將成為我們的下一個內部引擎。兩個品牌都有獨立的領導團隊，以確保他們不會分散現有品牌的注意力。提醒一下，品牌 3 是醫療級皮膚和身體品牌問題，如痤瘡、濕疹和其他皮膚問題是我們用戶的巨大痛點，他們中的大多數人告訴我們他們對當前的解決方案不滿意。

The user experience is bad and the products on the market don't work well, we bring three we are building end-to-end solutions that position us to win. This includes a third of the current mobile platform that uses data, AI and computer vision to deliver diagnosis, a precise protocol and a coaching to ensure the user compliance and success.

使用者體驗很差，市場上的產品效果不佳，我們帶來了三個我們正在建立的端到端解決方案，這些解決方案使我們能夠獲勝。這包括目前行動平台的三分之一，該平台使用數據、人工智慧和電腦視覺來提供診斷、精確的協議和指導，以確保用戶的合規性和成功。

It also leverages ODT labs to develop high-performing products from our proprietary molecule that truly solve consumer skin issues and concerns. Brand 4 we have not yet announced the category, but we are confident in its ability to grow very fast. Last the top priority and potential is Oddity labs, what we are building in labs is full disruption. If we do it right Oddity labs will change our industry and our company.

它還利用 ODT 實驗室利用我們的專有分子開發高性能產品，真正解決消費者的皮膚問題和擔憂。品牌4我們還沒有公佈這個品類，但我們對它快速成長的能力充滿信心。最後一個最優先和最有潛力的是Oddity 實驗室，我們在實驗室中建構的是全面顛覆。如果我們做得正確，Oddity 實驗室將改變我們的產業和我們的公司。

The potential is unlike anything that I saw in the industry, even more that unlocking online five years ago, with my focus always with the company and Oddity labs talent, we have a first mover advantage and we will see the result in two, three years from now Big bet, but huge swings.

這種潛力與我在行業中看到的任何東西都不一樣，更不像五年前在線解鎖的那樣，我的重點始終放在公司和Oddity 實驗室的人才身上，我們擁有先發優勢，我們將在兩三年內看到結果從現在開始，賭注很大，但波動很大。

To summarize, I remain very bullish about what we're building here at Oddity. Beauty & wellness is one of the most attractive market in the world. Huge, growing, profitable with so many categories to drive our business. At the same time, the market is held back by legacy models that are completely stuck in the past. I see two unstoppable pillars of transformation in our industry, and we have positioned Oddity far ahead in order to win in both.

總而言之，我仍然非常看好我們在 Oddity 正在建造的東西。美容與健康是世界上最具吸引力的市場之一。規模龐大、不斷成長、利潤豐厚，有這麼多的品類來推動我們的業務。同時，市場受到完全停留在過去的傳統模式的阻礙。我看到了我們產業轉型的兩個不可阻擋的支柱，我們將 Oddity 置於遙遙領先的地位，以便在這兩個方面都取得勝利。

The first pillar is online. I believe online will be the largest channel in the category at 50% or more. And we made massive investment in technology in data in AI and computer vision in the past six years to ensure we have what we need in order to win. This muscle is what allows us to lead online and to build a portfolio of large DTC brands with very strong financial profile.

第一個支柱是在線。我相信線上管道將成為該類別中最大的管道，佔 50% 或更多。在過去六年裡，我們在人工智慧和電腦視覺數據技術上進行了大量投資，以確保我們擁有獲勝所需的東西。正是這種力量使我們能夠在網路上保持領先地位，並建立財務狀況非常強勁的大型 DTC 品牌組合。

So the shift to online is the third unstoppable trend I see and we are already leading on this front. The second pillar of transformation in our industry is the shift towards science-backed products. The consumer today is smarter than ever, we can see it in how they engage in our platform, the amount of time spent learning about our products and how much they care about our ingredients.

因此，向線上的轉變是我看到的第三個不可阻擋的趨勢，我們已經在這方面處於領先地位。我們產業轉型的第二個支柱是向科學支持的產品的轉變。今天的消費者比以往任何時候都更聰明，我們可以從他們如何參與我們的平台、花在了解我們的產品上的時間以及他們對我們的成分的關心程度中看到這一點。

Although pharma and biotech have been seeing progress in the past two decades, the beauty industry even us falling short, remixing all ingredients in new packaging. This creates an incredible opportunity and this is what we are doing with Oddity labs using digital biology to discover and own the next generation of science backed category killers that consumers love.

儘管製藥和生物技術在過去二十年中取得了長足的進步，但美容行業甚至我們也未能實現這一目標，將所有成分重新混合在新包裝中。這創造了一個令人難以置信的機會，這就是我們正在與 Oddity 實驗室一起使用數位生物學來發現和擁有消費者喜愛的下一代科學支持的品類殺手。

What we are doing with labs in Boston is the same of what we did with our R&D center in Tel Aviv. But this time, instead of transforming experience, we are transforming the products themselves, and I believe it will be huge.

我們在波士頓實驗室所做的事情與我們在特拉維夫研發中心所做的事情是一樣的。但這一次，我們不是在改變體驗，而是在改變產品本身，我相信這將是巨大的。

So with that, let me hand the call over to Dr. Evan Zhao, our Chief Science Officer, to dive deeper into what we are building in that.

因此，讓我將電話轉交給我們的首席科學官 Evan Zhu 博士，以更深入地了解我們正在建立的內容。

Thanks, Oran. I'm Dr. Evan Zhao, our Chief Science Officer, Oddity. And I lead the team at Oddity lab. I joined Oddity with the acquisition of Revela, which is a biotech that my co-founders and I started doing research at Harvard. At a time we were pioneering digital biology for therapeutic development at the Wyss Institute. We saw what we thought was a once-in-a-generation opportunity to close a huge technology gap, really a gating deficiency of science in the beauty and wellness industry.

謝謝，奧蘭。我是 Evan Zhao 博士，Oddity 的首席科學官。我領導 Oddity 實驗室的團隊。我透過收購 Revela 加入了 Oddity，這是一家生物技術公司，我和我的共同創辦人開始在哈佛大學進行研究。當時，我們在 Wyss 研究所開創了用於治療開發的數位生物學。我們看到了我們認為是千載難逢的機會來縮小巨大的技術差距，這確實是美容和健康產業科學的一個門控缺陷。

We are living in the golden age of science, where new technology has allowed pharma and biotech to innovate at an unprecedented pace. Yet the beauty and wellness industry is still living in the dark ages, no molecule innovation, totally commoditized, just old ingredient in new package and not addressing consumer problem.

我們生活在科學的黃金時代，新技術使製藥和生物技術以前所未有的速度創新。然而，美容和健康產業仍然生活在黑暗時代，沒有分子創新，完全商品化，只是新包裝中的舊成分，沒有解決消費者問題。

It doesn't make sense given the size of the beauty industry, a huge TAM with zero real time. So this is the massive opportunity we are running at with labs. Unleashing the full power of technology and digital biology to discover ground-breaking ingredients that really perform, that really solve consumer pain points, and can power the next generation of category killers.

考慮到美容行業的規模，這是一個巨大的 TAM，實時時間為零，這是沒有意義的。所以這是我們與實驗室合作的巨大機會。充分發揮技術和數位生物學的力量，發現真正有效的突破性成分，真正解決消費者的痛點，並為下一代品類殺手提供動力。

This is what consumers want, based on data we Oddity massive user base. The consumer is way smarter than before and less about brand and more about efficacy. We are still in early, the ship will be enormous over the next decade. Few words about the field, so it will be easier to understand what we do at Oddity labs.

這就是消費者想要的，基於我們Oddity龐大的用戶群的數據。消費者比以前更聰明，不再關注品牌，而更專注於功效。我們還處於早期階段，這艘船在未來十年將變得巨大。關於這個領域的介紹很少，所以會更容易理解我們在 Oddity 實驗室所做的事情。

Digital biology is the marriage of breakthrough technology, including AI and synthetic biology. It is widely used across pharma today, but not in our industry. And these technology allow us to do three things that were never before possible one measure data scale, two analyze massive datasets at scale, and three bioengineer solution based on this date.

數位生物學是包括人工智慧和合成生物學在內的突破性技術的結合。如今它在製藥業廣泛使用，但在我們的行業中還沒有使用。這些技術使我們能夠做三件事，這是以前不可能的，一是測量數據規模，二是大規模分析海量數據集，三是基於該日期的生物工程解決方案。

The discovery process in digital biology is revolutionary compared to the status quo. The status quo today is basically the same agent approach used with Chinese herbal medicine trial-and-error. Let me give you an example starting with skin aging, the dominant solution for skin tightness on the market for decades has been retinol.

與現狀相比，數位生物學的發現過程是革命性的。今天的現況基本上與中草藥的試誤法相同。讓我給你一個例子，從皮膚老化開始，幾十年來市場上解決皮膚緊繃問題的主要解決方案是視黃醇。

Retinol discovery was accident, it was originally used to treat blindness, but like so many solutions in our industry, it was meant for something else and repurposed for skin. Along the way I just optimize use chemistry and formulations to make it the best skin tightening solution it could be, which by the way is not a great one.

視黃醇的發現是偶然的，它最初是用來治療失明的，但就像我們行業中的許多解決方案一樣，它原本是用於其他用途，後來被重新用於皮膚。一路走來，我只是優化使用化學物質和配方，使其成為最好的皮膚緊緻解決方案，順便說一句，這並不是一個很好的解決方案。

Which means we are left with an ingredient, it doesn't work that well, that has all kind of side effects and is a bad user experience because it causes skin peeling and purging. You can't even use if you're pregnant, this is what consumers have to settle for.

這意味著我們只剩下一種成分，它的作用不太好，有各種副作用，而且使用者體驗很差，因為它會導致皮膚脫皮和淨化。懷孕了就不能用，這是消費者必須接受的。

So let's compare that discovery process with how we did it at Oddity lab, and how we discovered Fibroquin, our proprietary skin health molecule, which despite being in V1, already outperforms retinol with stronger efficacy, making skin tighter and bound here and higher user satisfaction. Instead of trial-and-error we start with the skin itself. We make biological models, which are essentially gives us genuine addition modified so they can give us measurables.

因此，讓我們將這個發現過程與我們在Oddity 實驗室的發現過程進行比較，以及我們如何發現我們專有的皮膚健康分子Fibroquin，儘管它處於V1 階段，但它的功效已經超過視黃醇，具有更強的功效，使皮膚更緊緻並束縛在這裡，並提高使用者滿意度。我們從皮膚本身開始，而不是反覆試驗。我們製作生物模型，這些模型本質上為我們提供了真實的附加修改，以便它們可以為我們提供可測量的結果。

We take thousands of these pieces of skin and then expose them each 1,000 of different molecules. And we measure and track how each piece interacts with each individual molecule. We then feed that information into an AI that simulate how that same skin would interact with not a 1,000 molecules, so with a 1 billion different molecule.

我們採集了數千塊這樣的皮膚，然後將它們分別暴露在 1,000 個不同的分子中。我們測量並追蹤每個片段如何與每個單獨的分子相互作用。然後，我們將這些資訊輸入人工智慧，模擬同一皮膚如何與 1,000 個分子（即 10 億個不同的分子）相互作用。

We then identified dozens of molecules that make the us better, and from these dozens hits, we test for things like toxicity, efficacy, safety and specificity until we find the absolute win. Different in these two approaches, the industry standard trial-and-error approach versus our digital biology discover platform is revolutionary.

然後，我們確定了數十種使我們變得更好的分子，並從這數十種分子中，我們測試了毒性、功效、安全性和特異性等內容，直到找到絕對的勝利。這兩種方法的不同之處在於，業界標準的試誤方法與我們的數位生物發現平台相比是革命性的。

We are catalyzing a pace of discovery and innovation that our industry has never seen with massive benefits for consumers. Fibroquin not only is twice as good as bad and double blind clinical trials for increasing scale and elasticity. It is also substantially safer than red now in every single test we've run, including how to attack other cells in the body and assays then thinking long term effect.

我們正在推動我們行業前所未有的發現和創新步伐，為消費者帶來巨大利益。Fibroquin 不僅是好是壞的兩倍，而且是雙盲臨床試驗，可增加規模和彈性。在我們進行的每一項測試中，它也比現在的紅色安全得多，包括如何攻擊體內的其他細胞和分析，然後考慮長期影響。

Plugging into all of these massive user platform allows us for the first time we bring consumers in as our design partners. We have a direct dialogue to understand not just their pain points, but also how they want the products work, what the form factor should be, what attributes matter in the formulation in order to make for the best user experience.

連結所有這些龐大的用戶平台使我們能夠第一次將消費者納入我們的設計合作夥伴。我們進行直接對話，不僅了解他們的痛點，還了解他們希望產品如何運作、外形尺寸應該是什麼、配方中哪些屬性很重要，以便獲得最佳使用者體驗。

Over the last year since joining forces with Oddity, we have dramatically scaled our capabilities and a growing a super elite team of PhDs and scientists from top institutions, who empowered by our entrepreneurial culture and the chance that they their ideas make real change for tens of millions of consumers around the globe.

自從與Oddity 合作以來，我們在過去的一年裡極大地擴展了我們的能力，並不斷壯大了一支由來自頂尖機構的博士和科學家組成的超級精英團隊，他們受到我們的創業文化的支持，而有機會讓他們的想法為數十人帶來真正的改變。

We have massively expanded our roadmap to address huge market opportunities we believe we can dominate in hair, we believe we can dominate in skin, face and body. We believe we can create a next generation of high-performance cosmetics, and this is just the beginning. We are making big investments in our team, in our lab, in our product development capabilities, in our tech and an extensive focus groups and trial in order to support this effort. In two to three years, you will see real science-backed products, fourfold disruption to take massive market share.

我們已經大規模擴展了我們的路線圖，以應對巨大的市場機會，我們相信我們可以在頭髮領域佔據主導地位，我們相信我們可以在皮膚、臉部和身體領域佔據主導地位。我們相信我們可以創造下一代高性能化妝品，而這只是一個開始。我們正在對我們的團隊、實驗室、產品開發能力、技術以及廣泛的焦點小組和試驗進行大量投資，以支持這項努力。在兩到三年內，您將看到真正有科學支援的產品，四倍顛覆，佔據巨大的市場份額。

And with that, I'll hand over to Lindsay.

接下來，我將把工作交給 Lindsay。

Thanks, Evan. Let's turn to our 2023 results, which I will refer to on an adjusted basis. You can find the full reconciliation to GAAP in our press release, Oddity delivered a record-breaking year on all account. We grew net revenue by 57% to $509 million. This strength was driven by both IL MAKIAGE and SpoiledChild accros a wide range of product categories.

謝謝，埃文。讓我們來看看 2023 年的業績，我將在調整後的基礎上參考該業績。您可以在我們的新聞稿中找到與 GAAP 的完全一致，Oddity 在所有方面都實現了破紀錄的一年。我們的淨收入成長了 57%，達到 5.09 億美元。這種優勢是由 IL MAKIAGE 和 SpoiledChild 在廣泛的產品類別中推動的。

We grew net revenue 44% in the fourth quarter, driven similarly by growth across products and brands. For the full year, revenue growth was driven mostly by increased quarters, although we continue to see improvements in average order value driven by order size and product mix. More than half of our full year revenue was driven by repeat sales, which is remarkable when considering our scale and the speed at which we're growing.

在產品和品牌成長的推動下，我們第四季的淨收入成長了 44%。就全年而言，收入成長主要是由季度成長推動的，儘管我們繼續看到訂單規模和產品組合推動的平均訂單價值的改善。我們全年收入的一半以上是由重複銷售推動的，考慮到我們的規模和成長速度，這是非常了不起的。

Our revenue mix continued to evolve with the addition of new brands, categories and product. In 2023, new categories like skin and hair increased materially as a percentage of our overall revenue mix. And we continue to see excellent growth and have enormous runway in color, even as we push to scale new categories at a faster pace.

隨著新品牌、類別和產品的增加，我們的收入組合不斷發展。2023 年，皮膚和頭髮等新類別在我們整體收入組合中所佔的百分比大幅增加。儘管我們正在以更快的速度擴大新類別，但我們仍然看到了出色的成長，並在色彩方面擁有巨大的跑道。

Expansion into new products and categories makes us even stronger, it allows us to understand our users better. We now know not just their makeup routines, but also we have a holistic skin, hair, makeup and wellness 360 degree view. We're gaining share and use a wallet and doing it for very attractive incremental costs. This allows our financial model to deliver the kind of outsized returns we see in other land-and-expand model like software.

擴展到新產品和類別使我們變得更加強大，它使我們能夠更好地了解我們的用戶。我們現在不僅了解他們的化妝程序，而且還擁有皮膚、頭髮、化妝和健康的 360 度整體視圖。我們正在獲得份額並使用錢包，並以非常有吸引力的增量成本做到這一點。這使得我們的財務模型能夠提供我們在其他土地和擴張模型（如軟體）中看到的巨額回報。

In addition, we're bringing new users and converting new customers who are now finding the products they want, it's treated before get them from our brands. It's a flywheel that's accelerating as our platform grows, our users grow, our data capabilities and technology grows, brand awareness growth and brand love growth.

此外，我們還帶來了新用戶並轉換了新客戶，他們現在正在尋找他們想要的產品，在從我們的品牌獲得產品之前已經經過了處理。隨著我們平台的發展、用戶的成長、數據能力和技術的發展、品牌知名度的成長和品牌喜愛度的成長，它是一個不斷加速的飛輪。

We're seeing a benefit in increasing basket size, higher average order value and further improving repeat, and of course, it increases the surface area that we operate in and extend our runway for growth. IL MAKIAGE delivered double digit profitable growth in 2023 across cosmetics and skin. And as Oran mentioned, IL MAKIAGE skin is now 20% of the brand's sales.

我們看到了增加購物籃規模、提高平均訂單價值和進一步提高重複次數的好處，當然，它增加了我們經營的表面積並延長了我們的成長跑道。IL MAKIAGE 於 2023 年在化妝品和皮膚領域實現了兩位數的利潤成長。正如 Oran 所提到的，IL MAKIAGE 皮膚現在佔該品牌銷售額的 20%。

For your child came in at $110 million net revenue ahead of our expectation of $100 million of net revenue for the year, increasing more than four times from 2023 and doing it profitably with more than 50% of sales coming from repeat customers, it's an incredible accomplishment for brand growing so quickly and less than two years old.

對於您的孩子而言，其淨收入為1.1 億美元，超出了我們對今年1 億美元淨收入的預期，比2023 年增長了四倍多，並且實現了盈利，超過50% 的銷售額來自回頭客，這真是令人難以置信品牌發展如此迅速且成立不到兩年的成就。

Gross margin expanded 320 basis points for the year and 400 basis points for the quarter, it's better than expected gross margin expansion was driven by that by specific supply chain and logistics efficiency initiatives at both brands. Adjusted operating expense grew 42% for the full year slower than sales growth of 57%. We were able to nicely leverage operating expenses despite stepping up investment in future growth drivers like Oddity labs and new brands, due in large part to the higher proportion of repeat sales in our overall revenue mix, which are more profitable.

毛利率全年成長 320 個基點，本季成長 400 個基點，優於預期，毛利率成長是由兩個品牌的特定供應鏈和物流效率舉措推動的。全年調整後營運費用成長 42%，低於銷售成長 57%。儘管加大了對Oddity 實驗室和新品牌等未來成長動力的投資，但我們仍能夠很好地利用營運費用，這在很大程度上是由於我們整體收入組合中重複銷售的比例較高，利潤更高。

We also made investments to drive increased business efficiency. We expanded our use of generated AI across multiple consumer touch points, including advertising, user experience and customer service. Still very early in implementation here, but are seeing improvements across the P&L and better conversion to operating cost efficiencies and we have not yet implemented generative AID. support coding and development, which we believe will save costs and drive efficiencies in the future.

我們也進行投資以提高業務效率。我們將產生人工智慧的使用擴展到多個消費者接觸點，包括廣告、使用者體驗和客戶服務。這裡的實施仍處於早期階段，但我們看到損益表有所改善，並且更好地轉換為營運成本效率，而且我們尚未實施生成式 AID。支持編碼和開發，我們相信這將在未來節省成本並提高效率。

We delivered adjusted EBITDA of $107 million for the full year and $16 million for the quarter. Full year adjusted EBITDA margins of 21% expanded 900 basis points from the prior year, driven by gross margin expansion, a higher mix of repeat, offset by increased investment in future growth drivers. We delivered adjusted diluted earnings per share of $1.31 for the full year and $0.17 for the quarter and reported diluted earnings per share of $1 and $0.08 for the same period, respectively.

我們全年調整後 EBITDA 為 1.07 億美元，本季調整後 EBITDA 為 1,600 萬美元。全年調整後 EBITDA 利潤率為 21%，較上年擴大 900 個基點，主要得益於毛利率擴張、更高的重複組合，但被未來成長動力投資增加所抵消。我們全年的調整後稀釋每股收益為 1.31 美元，季度稀釋後每股收益為 0.17 美元，同期稀釋後每股收益分別為 1 美元和 0.08 美元。

Our asset-light model and strong returns on capital once again supported very strong cash generation. We delivered $85 million of free cash flow in 2023, and we exited the year with $168 million of cash equivalents and short-term investments on our balance sheet and zero debt. And we strengthened our capital position early this year with a $100 million credit facility that was used for general corporate purposes, buybacks, acquisitions and other uses.

我們的輕資產模式和強勁的資本回報率再次支持了非常強勁的現金產生。2023 年，我們實現了 8,500 萬美元的自由現金流，當年結束時，我們的資產負債表上有 1.68 億美元的現金等價物和短期投資，債務為零。今年年初，我們透過用於一般企業用途、回購、收購和其他用途的 1 億美元信貸額度加強了我們的資本狀況。

Turning to our outlook. We remain committed to our long-term targets of 20% plus revenue growth at a 20% adjusted EBITDA margin. We reiterate the purpose of our 20-20 strategy for revenue growth, 40%, two to three times faster than what legacy competitors are growing. As a 20% margin the business is more profitable on an underlying basis but in our view, there is no reason to deliver more than 20%.

轉向我們的展望。我們仍致力於實現營收成長 20% 以上、調整後 EBITDA 利潤率 20% 的長期目標。我們重申 20-20 營收成長策略的目的，即營收成長 40%，比傳統競爭對手的成長速度快兩到三倍。20% 的利潤率從根本上來說，該業務的利潤更高，但我們認為，沒有理由提供超過 20% 的利潤。

We're here to build something huge, therefore every extra dollar of margin we have, we invest in things that can change the industry and support our long-term growth. In fact, this is already proving to be a great use of our capital, our track record of reinvestment is very strong, not yet because our business already generates high returns on invested capital, but more specifically recall of the launched coil child with around $20 million of upfront investments.

我們來這裡是為了創造巨大的東西，因此我們擁有的每一美元額外利潤，我們都會投資於能夠改變行業並支持我們長期成長的東西。事實上，這已經證明是對我們資本的充分利用，我們的再投資記錄非常強勁，這還不是因為我們的業務已經產生了高投資資本回報，而是更具體地說，我們回想起了大約20美元推出的線圈產品前期投資萬元。

And as Oran said, we expect SpoiledChild will be a billion dollar brand. In 2024, specifically based on our very strong start to the year we expect to be even better than these long-term targets. We expect net revenue will increase between 22% and 24% for the year driven by robust growth at both brands. In terms of pacing revenue, we plan to deliver relatively consistent low to mid-20s year-over-year growth every quarter across 2024.

正如奧蘭所說，我們預計 SpoiledChild 將成為價值十億美元的品牌。2024 年，特別是基於我們今年強勁的開局，我們預計會比這些長期目標更好。我們預計，在兩個品牌強勁成長的推動下，今年淨收入將成長 22% 至 24%。就營收節奏而言，我們計劃在 2024 年每季實現相對穩定的 20 多歲左右的同比增長。

Turning to profitability, we expect to deliver 70.5% gross margins for the full year, and we expect to deliver adjusted EBITDA for the year between $136 million and $140 million, which will include a step-up in growth investments, including labs and new brands. The timing of these growth investments is skewed to the last nine months of the year with limited impact on the first quarter. We expect adjusted diluted earnings per share to be between $1.49 and $1.54 at full year 2024.

談到獲利能力，我們預計全年毛利率將達到 70.5%，調整後的 EBITDA 預計將在 1.36 億至 1.4 億美元之間，其中包括加大實驗室和新品牌等成長投資。這些成長投資的時間偏向今年的最後九個月，對第一季的影響有限。我們預計 2024 年全年調整後攤薄每股收益將在 1.49 美元至 1.54 美元之間。

Turning to the first quarter, as we discussed last year, we deliberately slowed the business down in the back half of 2023 in order to pace our growth while our teams are focused on huge preparations for 2024. We entered January with incredible strength and delivered a large acceleration in the business, more than doubling the Q4 pace and doing it very profitably.

談到第一季度，正如我們去年討論的那樣，我們在 2023 年下半年故意放慢了業務速度，以加快增長速度，同時我們的團隊專注於為 2024 年做大量準備。我們以令人難以置信的實力進入一月份，業務大幅加速，比第四季度的速度翻了一倍多，並且利潤豐厚。

We quickly began to pace our sales ahead of plan, which because of our strong repeat already puts us in a position to secure a full year objective and also leaves us the flexibility to once again begin holding our revenue growth back to leave more room for the future. The muscle and control our teams have to flex the business that precision is a huge strength for us and something really unique to Oddity. Given a very strong start to the year, we expect Q1 net sales growth between 23% and 25%. You can find more details on our Q1 outlook in our press release.

我們很快就開始提前規劃我們的銷售步伐，由於我們的強勁重複，這已經使我們能夠確保全年目標，也使我們能夠靈活地再次開始抑制我們的收入增長，為我們的收入留出更多空間。我們的團隊必須擁有強大的力量和控制力來推動業務發展，精確性對我們來說是一個巨大的優勢，也是 Oddity 的獨特之處。鑑於今年開局強勁，我們預計第一季淨銷售額將成長 23% 至 25%。您可以在我們的新聞稿中找到有關我們第一季前景的更多詳細資訊。

And with that, operator, we're ready and Thank you.

接線員，我們已經準備好了，謝謝您。

Thank you. We will now be conducting a question and answer session. (Operator Instructions)

謝謝。我們現在將進行問答環節。（操作員說明）

Lorraine Hutchinson, Bank of America.

洛琳‧哈欽森，美國銀行。

Thank you. Good morning, everyone. I wanted to ask about some of the newness that you were planning to rollout this year. I think you had talked about 10 new molecules or products, how many of those are out there already? And is there any initial commentary on how those are performing?

謝謝。大家，早安。我想問一下你們今年計劃推出的一些新產品。我想您已經談到了 10 種新分子或產品，其中有多少已經上市了？對於這些表現有何初步評論？

Thanks for the question. So I'm thinking you're referring to labs. In general, just them from better understanding each brand -- aside from lab, each brand has its own NPD departments and they work constantly on developing new products and new categories with existing brands. So them way more than 10 product launching this year.

謝謝你的提問。所以我認為你指的是實驗室。總的來說，只是他們更了解每個品牌——除了實驗室之外，每個品牌都有自己的NPD部門，他們不斷地與現有品牌一起開發新產品和新類別。今年他們推出了超過 10 款產品。

Aside from that, we have what we have billing labs, which are new molecules and that and we are turning the call labs and in the developed wise, contract can and will be ready for this year. It doesn't mean we launched them this year, we always have engines we keep ready to be launched based on revenue growth needs.

除此之外，我們還有我們的計費實驗室，這些實驗室是新分子，我們正在轉變呼叫實驗室，從開發的角度來看，合約可以而且將會在今年做好準備。這並不意味著我們今年就推出了它們，我們總是準備好根據收入成長需求推出的引擎。

If we see that we need more revenue power than without them that this was always my approach with product categories, geographies and with other growth engines. And those three products are going to be launch and shortly. And again we will announce them with test, we see this inspection and then we go back and decide what scale we want to see from this product and in the quarter or for the rest of the year. So yes, all the 10 products will be ready to be launched. If we launch them, it's up to us.

如果我們發現我們需要比沒有它們更多的收入能力，那麼這始終是我在產品類別、地區和其他成長引擎方面的方法。這三款產品即將推出。我們將再次透過測試來宣布它們，我們將看到這次檢查，然後我們回過頭來決定我們希望在本季度或今年剩餘時間內從該產品中看到什麼規模。所以，是的，所有 10 款產品都將準備推出。如果我們啟動它們，這取決於我們。

Okay, thank you. Lindsay, I wanted to clarify a point that you made on talking about entering January with incredible strength I think you said you doubled the 4Q pace. So can you square that commentary was the revenue guidance, which implies a slower growth than that? I guess how much did you pull back on acquisition spending and any other color you could give on the rest of the quarter after that strong start to January?

好的謝謝。Lindsay，我想澄清一下您在談到以令人難以置信的力量進入一月份時所提出的觀點，我想您說過您將第四季度的步伐提高了一倍。那麼，您能否將這一評論與收入指導一致，這意味著成長速度會比收入指導慢？我猜想在一月份的強勁開局之後，您在收購支出上縮減了多少，以及您可以在本季度剩餘時間裡給出的任何其他顏色嗎？

We're happy to, so I think one important differentiator between our model and many of the sort of legacy consumer models or beauty models that you're familiar with is the sort of requirement as I'm having stores are being brick and mortar to have a constant flow of inventory onto the shelves, which is really matched up to where customer traffic and demand is.

我們很高興這樣做，所以我認為我們的模型與您熟悉的許多傳統消費者模型或美容模型之間的一個重要區別是這種要求，因為我的商店正在實體化貨架上的庫存不斷流動，這確實與客戶流量和需求相符。

For us because we're direct to consumer and because we have full control of our piece of acquisition, we set that pace, we both set spend and so what you've seen us in the past is come out really swinging in the first quarter and then significantly dialing down and really shutting off all new user acquisition into the back half of the year, and that's why our first half has been so front-loaded relative to our second half. It's not because beauty is big in the first quarter. In fact, the opposite if you look at all of our competitors, it's the opposite 4Q is the biggest.

對我們來說，因為我們直接面向消費者，並且因為我們完全控制我們的收購，所以我們設定了節奏，我們都設定了支出，所以你過去看到我們在第一季度的表現確實搖擺不定然後在下半年大幅減少並真正關閉所有新用戶獲取，這就是為什麼我們的上半年相對於下半年來說如此提前。並不是因為第一季美女大。事實上，相反，如果你看看我們所有的競爭對手，相反的 4Q 是最大的。

And so for us to what I was referring to is in the third quarter we delivered $97 million of -- sorry in the fourth quarter, $97 million of net revenue. And you know what our 1Q guidances we're significantly -- we basically on a dime turn the business back on, which is not easy to do and again something that we have particular strength.

因此，對我們來說，我指的是第三季我們交付了 9,700 萬美元的淨收入——對不起，第四季是 9,700 萬美元的淨收入。你知道我們的第一季指導方針是什麼——我們基本上很快就恢復了業務，這並不容易做到，而且我們有特殊的優勢。

Until that [route] we really ramped up and we saw demand explode, which was amazing, and we had been preparing for it and expected it, but it's always fun to watch the business really rip. And we were so pleased with Jan and Feb, and what we've seen in early March because of all the repeat in our business, we have very high visibility into achieving our full year objectives now, it's 2024 is basically in the bag, which is great.

在那條[路線]之前，我們真正加快了步伐，看到需求爆炸式增長，這真是太棒了，我們一直在為此做好準備並期待著它，但看到業務真正蓬勃發展總是很有趣的。我們對1 月和2 月感到非常滿意，而且我們在3 月初所看到的情況，因為我們業務中的所有重複，我們現在對實現全年目標有非常高的了解，2024 年基本上已成定局，這是很棒的。

And so I wouldn't -- I'm not for you -- I think you may be referring to the year-over-year growth rates, which is not the right way to think about it since we're really managing this in terms of demand pull. So we increased 44% on a year-over-year basis for Q4. It's a much smaller quarter for us, that's almost entirely on repeat sales for us in Q4.

所以我不會——我不適合你——我認為你可能指的是同比增長率，這不是正確的思考方式，因為我們實際上是在管理這個問題需求拉動方面。因此，我們在第四季度同比增長了 44%。對我們來說，這個季度要小得多，第四季幾乎完全依賴重複銷售。

And now we really turn the business on and we're managing to trying to get much closer to that kind of our 20% long-term target for 2024, although we're slightly ahead of that at 22% to 24%, that's the type of growth rate. We think is appropriate for the business to sustain and we plan to deliver in that range every quarter of this year.

現在我們真的開始了業務，我們正在努力接近 2024 年 20% 的長期目標，儘管我們稍微領先於 22% 到 24%，這就是成長率類型。我們認為這對於業務的維持是合適的，我們計劃今年每個季度都在這個範圍內交付。

I would just add one more thing that, again, in Q1, the beginning of every Q1 we start again opening user acquisition and despite the high scale that we had in the past two months, we have seen an improvement in our marketing efficiency [KPIs] in terms of ROS in Q1 of '24 comparing to '23, Greg. So although we'd like we push and we started again and to acquire new users, the results are very strong and we don't do it just because we need we do it when the market allows us and we see massive demand out.

我想再補充一件事，在第一季度，每個第一季度的開始，我們再次開始開放用戶獲取，儘管過去兩個月我們的規模很大，但我們已經看到營銷效率的提高[KPI ] 就ROS 而言，24 年第一季與23 年相比，Greg。因此，儘管我們希望推動並重新開始並獲得新用戶，但結果非常強勁，我們這樣做不僅是因為我們需要在市場允許的情況下這樣做，而且我們看到大量需求。

Thank you.

謝謝。

Scott Schoenhaus, KeyBanc Capital Markets.

Scott Schoenhaus，KeyBanc 資本市場。

Hi, team. Thanks for taking my questions. I wanted to focus on Oddity labs and the expansion of team and the expansion of scope in the projects that you mentioned, it was in the release. Are these expansions more related to products with and current brands IL MAKIAGE, SpoiledChild are they for the new broad Brand 3, launch related to acute skin and Brand 4, just kind of understanding where these investments accelerated investments are going to? Thanks.

大家好。感謝您回答我的問題。我想重點關注 Oddity 實驗室以及團隊的擴展以及您提到的專案範圍的擴展，這些都在發布中。這些擴張是否與現有品牌 IL MAKIAGE、SpoiledChild 的產品更相關？謝謝。

Hi. So it's (inaudible) and for IL MAKIAGE, SpoiledChild and lots of work is being done through in labs now is thought (inaudible) which is a medical skin and body and which we are planning to launch many products from labs for Braintree and in overall labs being built in full power. And as a reminder, like what we do there is exactly as Evan mentioned, (inaudible) absolute number one focus now, then amateurs trying to Boston today after we finish the call.

你好。所以（聽不清楚）對於IL MAKIAGE、SpoiledChild 來說，現在實驗室正在做很多工作（聽不清楚），這是一種醫用皮膚和身體，我們計劃從實驗室為Braintree 推出許多產品，總的來說實驗室正在全力建造。提醒一下，就像我們在那裡所做的正是埃文提到的那樣，（聽不清楚）現在絕對是第一焦點，然後業餘愛好者今天在我們完成電話會議後嘗試前往波士頓。

And in terms of investments, we say, investment, it's about people and I want to double the PhDs (technical difficulty) we are now around 30 people and the target is to be more than 60 people by end of the year. We are putting a lot of investment and in labs today, both (technical difficulty) building the lab to make sure that we have (technical difficulty) it's time it's a long and we've brought that process. And it takes around two years to develop product to slip from idea to molecule discovery, all the way to incorporation them into the high efficacy product that exists in the market.

在投資方面，我們說，投資，是關於人的，我希望將博士（技術難度）增加一倍，我們現在大約有 30 人，目標是到年底超過 60 人。今天，我們在實驗室上投入了大量資金，（技術難度）建造實驗室是為了確保我們有（技術難度），但時間很長，我們已經帶來了這個過程。產品開發從想法到分子發現，一直到將它們納入市場上現有的高效產品，需要大約兩年的時間。

And we are using the best molecule discovery methods for Bio-Generic, synthetic biology, competition chemistry and artificial intelligence. And it starts all the way from the idea from where we've seen the user base, we see a segment that is craving for something better, then we go back to lab. We with them if somebody can be done to create something better in terms of efficacy and then we start developing it and do them and use the power of labs.

我們正在使用生物相似藥、合成生物學、競爭化學和人工智慧的最佳分子發現方法。它從我們看到的用戶群的想法開始，我們看到一個渴望更好的東西的部分，然後我們回到實驗室。如果有人可以在功效方面創造出更好的東西，我們就會與他們合作，然後我們開始開發它並使用實驗室的力量。

So again, multiple projects more than 20 projects that that labs are now working on, and not all of them will be successful but we don't need all of them because each and every one of them can be a category killer.

再說一次，實驗室現在正在研究的多個項目超過 20 個項目，並不是所有項目都會成功，但我們不需要所有項目，因為它們中的每一個都可能成為類別殺手。

Thanks, Oran. And just a follow-up there, can you remind us on average, how long it takes from the initial idea and molecule discovery through any kind of regulatory process and then full commercialization on the molecule side, thanks.

謝謝，奧蘭。後續，您能否提醒我們，從最初的想法和分子發現到任何類型的監管過程，再到分子方面的全面商業化，平均需要多長時間，謝謝。

Sure. So it's around two years, and I can give a bit more back on. So maybe going to help you understand what we do in labs for the future. It starts by developing advanced biological models for specific use of pain points, replicating those and close in a cell-based assay and evaluating specifics is a logical sales response.

當然。大約兩年了，我可以回饋更多。也許會幫助您了解我們未來在實驗室所做的事情。它首先開發針對痛點的特定用途的先進生物模型，複製這些模型並在基於細胞的檢測中關閉，並評估具體細節是合乎邏輯的銷售回應。

We then use a compositional screening to search for molecules that will drive the desired response. We use deep learning models to predict which molecules have the highest the highest chances of 14 with our target, and we then perform a series of (technical difficulty) and then we go to safety and then all identified lead molecules that are evaluated in human trials went show our findings in lab (technical difficulty) result on the people and outperformed all existing maturities in the market.

然後，我們使用成分篩選來尋找能夠驅動所需反應的分子。我們使用深度學習模型來預測哪些分子與我們的目標的可能性最高 14，然後我們執行一系列（技術難度），然後我們進入安全狀態，然後在人體試驗中評估所有已識別的先導分子我們向人們展示了我們在實驗室中的發現（技術難度）結果，並且優於市場上所有現有的成熟產品。

And we have the way that we put, it something takes and 18 months, it can take two and half years. But in average, it's two years from the moment that -- task, we give them the task and to go to market.

我們有這樣的說法，這需要 18 個月，也可能需要兩年半的時間。但平均而言，從我們給他們任務並進入市場的那一刻起，需要兩年的時間。

Thank you.

謝謝。

Youssef Squali, Truist Securities.

優素福‧斯誇裡 (Youssef Squali)，Truist 證券公司。

Great, thank you very much. Lindsay, can you help us since you threw your marketing spend cadence in 2024, overall and across both brands and then Oren, SpoiledChild at $110 million in its first calendar year. It is really impressive and I believe it's actually tracking ahead work of where IL MAKIAGE was back in 2019 and it was launched in 2018, I think. So do you think that kind of ramp for a SpoiledChild in particular can continue at a faster rate than what you've seen with IL MAKIAGE, considering the much more developed platform now that you're running. Thank you, both.

太好了，非常感謝。Lindsay，自從您在 2024 年開始在兩個品牌以及 Oren、SpoiledChild 的整體行銷支出節奏在第一個日曆年達到 1.1 億美元以來，您能為我們提供幫助嗎？這確實令人印象深刻，我相信它實際上正在追蹤 IL MAKIAGE 於 2019 年推出的工作，並於 2018 年推出。那麼，考慮到您現在正在運行的更發達的平台，您是否認為這種針對 SpoiledChild 的斜坡可以比您在 IL MAKIAGE 中看到的更快的速度持續下去。謝謝你們倆。

Okay. I'll start with the marketing question. So we have a market -- we started the year with a significant ramp up in our acquisition spend or user acquisition spend versus the fourth quarter and generated very, very effective returns on that marketing spend. As Oran said, our roll as in the first quarter of '24 improved versus the first quarter of '23.

好的。我將從行銷問題開始。因此，我們有一個市場——今年伊始，我們的收購支出或用戶收購支出與第四季度相比大幅增加，並在行銷支出上產生了非常非常有效的回報。正如奧蘭所說，我們在 24 年第一季的表現比 23 年第一季有所改善。

In general for the year, we expect marketing will grow generally in line with sales. And in terms of pacing -- what I would say is we typically have more repeat in the back of the year than in the early part of the year. And as a result, that is sort of how the cadence of marketing spend across the year flows. More comment by brand, but very big expectations for both brands this year, expect a very strong performance driven in part by the excellent execution on marketing, among other things.

總體而言，今年，我們預計行銷將整體與銷售額同步成長。就節奏而言，我想說的是，我們通常在年底比年初有更多的重複。因此，這就是全年行銷支出的節奏。更多品牌評論，但今年對這兩個品牌都抱有很大的期望，預計會有非常強勁的業績，部分原因是行銷等方面的出色執行。

Sure. I will touch IL MAKIAGE and then we'll connect you to SpoiledChild. In Q1 '23, I did a mistake and grew too much. We grew 83%, which led to an insane growth of 57% for the full year, and we decided not to do it again, although I strongly believe we could. The goal for the long-term is again, as we mentioned before, (technical difficulty) and 20% EBITDA margin.

當然。我會聯絡 IL MAKIAGE，然後我們會將您連接到 SpoiledChild。在 23 年第一季度，我犯了一個錯誤並且成長了太多。我們成長了 83%，這導致全年成長 57%，我們決定不再這樣做，儘管我堅信我們可以。正如我們之前提到的，長期目標再次是（技術難度）和 20% 的 EBITDA 利潤率。

And by pacing the growth, I'm assuming it will happen and we continue to be in weeks. And for Q1, we built the model and managed to grow to support them at 22% to 24% year-over-year. And I will say it again, extend patient growth is what is my decision. But even when we are facing the grow to 20% plus, we are going way more than my legacy competitors which are like single digits and we are still securing the business early in the year and H1. It's still the most important period for us.

透過調整成長速度，我假設這將會發生，而且我們將在幾週內繼續發生。對於第一季度，我們建立了該模型並成功實現了同比 22% 至 24% 的成長以支持他們。我再說一遍，延長患者的成長是我的決定。但即使我們面臨 20% 以上的成長，我們的進步也遠遠超過了我的傳統競爭對手，他們的表現就像個位數，而且我們仍在確保今年年初和上半年的業務。對我們來說，這仍然是最重要的時期。

In 2023, 60% of our revenue were and was captured in H1 and '24, we expect H1 to represent a very similar number to 60%. And we don't need to increase Q1 or the first half as a percentage of total year to do so. And as SpoiledChild, am I believe SpoiledChild in 2023 to see what the brand potential was, and it's a new brand, you don't know like and what like what are the limits and we wanted to get more data.

2023 年，我們 60% 的收入是在上半年和 24 年實現的，我們預計上半年的收入與 60% 非常相似。我們不需要增加第一季或上半年佔全年的百分比來做到這一點。身為 SpoiledChild，我相信 SpoiledChild 在 2023 年會看到品牌潛力是什麼，它是一個新品牌，你不知道限制是什麼，我們希望獲得更多數據。

So I allowed the reason for the bit came from above the 300% growth it was clearly my decision, so I let them grow and no plan and no need to blit scale again 2024. So if you ask about them comparison between IL MAKIAGE and SpoiledChild it's grew IL MAKIAGE because that I love it grow faster, than IL MAKIAGE early days I limit the growth and -- but for that reason, it was very consistent to for $25 million of revenue to $400 million, -- around 400 million of revenue this year.

因此，我承認這一點的原因來自於 300% 以上的成長，這顯然是我的決定，所以我讓它們成長，沒有計劃，也不需要在 2024 年再次進行 blit 規模。因此，如果你問IL MAKIAGE 和SpoiledChild 之間的比較，IL MAKIAGE 的增長是因為我喜歡它增長得更快，比IL MAKIAGE 早期我限制了增長——但出於這個原因，它與2500 萬美元的成長非常一致。

And the plan is to continue to do the same with SpoiledChild. So arguably scaling now and we go back to normal growth rate with the brand to make sure that everything is supporting the growth of the Oddity.

我們計劃繼續對 SpoiledChild 做同樣的事情。因此，可以說現在我們正在擴大規模，我們的品牌將恢復正常的成長率，以確保一切都支持 Oddity 的成長。

Okay. Thank you both.

好的。謝謝你們倆。

Andrew Boone, JMP Securities.

安德魯·布恩，JMP 證券。

Good morning. Thanks much for taking my questions. On international grew 13% year over year and 2023, this below IL MAKIAGE its total growth 33%. Is there anything to call out there? Or is that one example, if you guys holding back on growth initiatives and then Lindsay, stepping back, you guys have beaten the guidance by about $10 million each quarter. Is there something unique in 2023? Or is there a way that we should be thinking about the conservatism that you're setting out in the guide and how we set expectations for 2024? Thanks, so much.

早安.非常感謝您回答我的問題。到 2023 年，國際業務年增 13%，低於 IL MAKIAGE 的總成長 33%。那裡有什麼好喊的嗎？或者是一個例子，如果你們推遲增長計劃，然後 Lindsay 退後一步，你們每個季度就比指導方針多出約 1000 萬美元。2023年有什麼獨特的事嗎？或者我們應該考慮您在指南中提出的保守主義以及我們如何設定 2024 年的期望？非常感謝。

Sure. I will start with them international and then Lindsay, you can refer to the guidance. And we see a massive opportunity internationally, certainly before for other competitors because it is less than two-third of their business. But we have not finished growing in North America yet either we are building out very strong localized experience and for each market we enter, which gives us strong and profitable performance from day one, when we launch new markets.

當然。我將從他們的國際開始，然後是 Lindsay，你可以參考指南。我們在國際上看到了巨大的機會，對其他競爭對手來說當然是更早的，因為這還不到他們業務的三分之二。但我們在北美的成長尚未完成，我們正在為我們進入的每個市場建立非常強大的本地化經驗，這從我們推出新市場的第一天起就為我們帶來了強勁且盈利的業績。

And this is a big lever for us and we want to continue to use it. Again, it's my decision as quickly as we want to pay growth and (technical difficulty) due to the fact that we are fully that consumer, I can decide at any given moment where I want to spend the next dollar, meaning and which brand, in which brand, and which plan against which category, product and geography, all is being measured daily and we allocate based on that.

這對我們來說是一個很大的槓桿，我們希望繼續使用它。再說一遍，這是我的決定，因為我們想要支付成長和（技術難度），因為我們完全是消費者，我可以在任何特定時刻決定我想在哪里花下一美元，意義和品牌，哪個品牌，哪個計劃針對哪個類別、產品和地理位置，所有這些都每天都會進行衡量，並據此進行分配。

And we have more than 10, I want to say more than 10 countries that are already and tested that we know as effect that we have we saw very strong results, very strong unit economics, very strong scale. And we ripples in order to ensure that we have a significant runway ahead. And that's it when we need those markets, we're going to open.

我們有超過 10 個國家，我想說的是，超過 10 個國家已經進行了測試，我們知道我們看到了非常強勁的結果，非常強勁的單位經濟效益，非常強大的規模。我們會產生漣漪，以確保我們前面有一條重要的跑道。當我們需要這些市場時，我們就會開放。

Great. I'll then continue on the question about our guidance. So you're right, as a public company and every time we've spoken to you we've overperformed on every metric achieved or mostly excuse exceeded on every single metric, and we committed to delivering. This is one of the favorite things about when I first met Oran, he told me I've never missed a budget and I never plan to and obviously, as a CFO and for us and our team, that's really important in terms of building confidence.

偉大的。然後我將繼續討論有關我們指導的問題。所以你是對的，作為一家上市公司，每次我們與你交談時，我們在所達到的每一項指標上都表現出色，或者在每一項指標上都超過了大部分藉口，並且我們致力於實現目標。這是我第一次見到奧蘭時最喜歡的事情之一，他告訴我我從來沒有錯過預算，我也從來沒有計劃這樣做，顯然，作為首席財務官，對於我們和我們的團隊來說，這對於建立信心來說非常重要。

We've sat with some our investors that we do, we say we're going to do, and that's 100% on how we think about the business. We set out a very, very big goals internally we ensure everything possible that we achieve them. And then we also make sure that we're delivering to our investors a framework that we know we can always make good on, and that's why we have so much conviction in our guidance for 2024 and our long term guidance because on an underlying basis, if we wanted to we could be delivering faster top line growth we can see it.

我們已經與一些投資者坐在一起，我們所做的、我們說我們要做的，這100%取決於我們對業務的看法。我們在內部設定了非常非常大的目標，我們確保盡一切可能實現這些目標。然後，我們也確保向投資者提供一個我們知道始終可以兌現的框架，這就是為什麼我們對 2024 年指導和長期指導充滿信心，因為從根本上來說，如果我們願意，我們可以實現更快的收入成長，我們可以看到這一點。

We I mean, it's very obvious to us based on how the first quarter has come together that we could do on nicely ahead of the numbers that we're laying out for you today, how we could also be a lot more profitable, but that's not the right way for us to approach us if we want many, many years of steady, durable compounding.

我的意思是，根據第一季的情況，我們很明顯可以比我們今天為您列出的數字做得更好，我們也可以實現更多的利潤，但那就是如果我們想要很多很多年的穩定、持久的複利，這對我們來說不是正確的方式。

As it relates to 2023, we did over-deliver by a pretty wide margin. And some of that is because we ramped so much in the first quarter and the first half of last year, and we had a sort of a big wave of first orders that came in, and we got a big wave of repeat in the back half of the year. And we always tried to take a conservative approach to modeling but we were overly conservative in modeling repeat, and so ultimately, that and repeat is quite profitable.

就 2023 年而言，我們確實大幅超額交付。其中部分原因是我們在第一季和去年上半年的成長幅度很大，我們收到了一波第一批訂單，而下半年我們又收到了一波重複訂單今年的。我們總是試圖採取保守的建模方法，但我們在重複建模方面過於保守，因此最終，重複建模是相當有利可圖的。

So we ended up delivering ahead of plan. Our objective for 2024 honors our 2nd year as a public company is to trying to land the plane much more closely to our targets. And so as you guys think about your models, number one from a revenue perspective, we plan to land to find much more in line with the guidance that we set out. In addition, every incremental dollar of revenue upside we plan to reinvest in the business, I talked about in my prepared remarks, we think that's the amazing use of our capital for future value creation.

所以我們最終提前完成了計劃。2024 年是我們作為上市公司的第二年，我們的目標是努力讓飛機更接近我們的目標。因此，當你們考慮你們的模型時，首先從收入的角度來看，我們計劃找到更多符合我們所製定的指導的模型。此外，我在準備好的演講中談到，我們計劃將每一美元的收入增量再投資於業務，我們認為這是我們資本用於未來價值創造的驚人用途。

Thank you.

謝謝。

Dara Mohsenian, Morgan Stanley.

達拉莫森尼安，摩根士丹利。

Hey, guys, good morning. So we spent a lot of time on Oddity labs, but obviously you guys are very excited about it. Can you just give us an update on how much of a revenue driver you expect that to be along with Vision technology in 2024, and just what's embedded in the revenue guidance? And then as you think about the commercial development of the business over time, looking out beyond 2024, how important each of those areas might be conceptually, I know you probably won't want to give us exact numbers, but how do you think about it looking out over the next few years, each of those areas.

嘿，夥計們，早安。所以我們在 Oddity 實驗室上花了很多時間，但顯然你們對此感到非常興奮。您能否向我們介紹一下您預計 2024 年 Vision 技術將帶來多少收入驅動力的最新情況，以及收入指導中包含哪些內容？然後，當您考慮隨著時間的推移業務的商業發展，展望 2024 年之後，每個領域在概念上可能有多重要，我知道您可能不想給我們確切的數字，但您如何考慮它展望了未來幾年的每一個領域。

Yes, I can start and maybe Evan Zhao, you can join me. Look, we can deliver the results or the guidance for this year without any product commodity labs and we are the teams are ready, the product, the data and the market, everything is ready to deliver everything without lab. Having said that, we will go to Tesla labs for problems and it will be public and some of the revenue was helpful.

是的，我可以開始，也許趙伊文，你可以加入我。看，我們可以在沒有任何產品商品實驗室的情況下提供今年的結果或指導，我們的團隊已經準備好，產品、數據和市場，一切都準備好了，可以在沒有實驗室的情況下提供一切。話雖如此，我們會去特斯拉實驗室解決問題，並且會公開，其中一些收入是有幫助的。

Yep. Hi. I just wanted to reemphasize one point, which is all of the projects that lab is working on we think are very high-impact. We have an amazing commercial team that works with the lab crew to decide what projects we want to work on. And we really only target the markets we think could be huge revenue drivers. So think about things that could replace entire sections of business. And so it gives you an idea of what we that's the impact of what we're working on [today].

是的。你好。我只是想再次強調一點，即我們認為實驗室正在進行的所有專案都具有非常高的影響力。我們擁有一支出色的商業團隊，他們與實驗室人員合作來決定我們想要開展哪些專案。我們實際上只針對我們認為可能成為巨大收入驅動因素的市場。因此，請考慮一下可以取代整個業務部門的事物。因此，它可以讓您了解我們正在進行的工作所產生的影響[今天]。

Great. And then can you touch on Vision technology a bit? Sorry, my phone cut out for a second, but just cover how important that might be as you look out over the next few years?

偉大的。那麼您能談談視覺科技嗎？抱歉，我的手機暫時斷電了，但請說明一下，在您未來幾年的展望中，這可能有多重要？

Great. I'll take this one because I think around having trouble with the line. So on Vision technology, is the capability that we established with the acquisition of we did one in 2021. There are so many applications for this technology. We really have the team prioritizing two objectives, the first is to make our existing matching capabilities stronger, and the second is to build really new diagnostic tools.

偉大的。我會選擇這個，因為我考慮線路有問題。因此，在視覺技術方面，我們是透過收購我們在 2021 年完成的一項業務而建立的能力。這項技術有很多應用。我們的團隊確實優先考慮兩個目標，第一個是使我們現有的匹配能力更強，第二個是建立真正新的診斷工具。

As it relates to making our existing matching capabilities stronger, right now for example, in our power match engine, we're making product recommendations based on data alone, what the user tells us about themselves. But of course, there's information that on that we can glean above and beyond that, sometimes things that they don't know about using vision untill incorporating vision into power match was something that we really have been working on from the beginning, last year we had some more implementation this year we're going to take it even further.

因為它涉及到使我們現有的匹配能力變得更強，例如，現在在我們的功率匹配引擎中，我們僅根據數據（用戶告訴我們的關於他們自己的信息）來進行產品推薦。但當然，我們可以收集到除此之外的信息，有時他們不知道如何使用視覺，直到將視覺納入力量匹配中，這是我們從一開始就一直在努力的事情，去年我們今年有更多的實施，我們將進一步推進。

We're still in pretty early days as far as how much vision we can use, and to do better, better matching. But we're already seeing the benefits for sure. And even though we've got 90% accuracy already in shade matching every incremental 50 basis points, 100 basis points effectively flows through for us to the bottom line. So that's already in process you're already seeing in our products today, you're already seeing it in our results for existing brands, but we expect more of that in the future.

就我們可以使用多少視覺以及進行更好、更好的配對而言，我們仍處於相當早期的階段。但我們已經確實看到了好處。儘管每增加 50 個基點，我們的陰影匹配準確度已經達到 90%，但 100 個基點實際上會流向我們的底線。因此，您已經在我們今天的產品中看到了這一點，您已經在我們現有品牌的結果中看到了這一點，但我們預計未來會出現更多這樣的情況。

The next really big and transformational innovation for Vision is how we implemented in Brand 3 and as Oran, talked about it with brands we were really on creating a first of its kind mobile platform that will number one support full diagnostic. So what are your skin issues and concerns using machine models, data and AI and computer vision to do it.

Vision 的下一個真正重大的變革性創新是我們如何在 Brand 3 中實施，作為 Oran，與我們真正致力於創建第一個支持全面診斷的同類行動平台的品牌進行了討論。那麼，使用機器模型、數據、人工智慧和電腦視覺來解決您的皮膚問題和擔憂是什麼。

Number two, what's the right treatment protocol, so what do you use to 60 issue and again, using our machine learning models for those product recommendations. And then finally, coaching and upkeep, which will support compliance. So oftentimes, for example, with an issue like acne, your problem might get worse before it gets better.

第二，什麼是正確的治療方案，那麼您在 60 個問題中使用什麼，並再次使用我們的機器學習模型來推薦這些產品。最後是指導和維護，這將支援合規性。通常，例如，對於痤瘡等問題，您的問題在好轉之前可能會變得更糟。

And so that coaching component is really important for churn and vision is, of course, an integral part in helping people understand how they're progressing and their improvement. So those are three applications for Brand 3 envision that we think are truly groundbreaking, and you'll hear us talk a lot more about that in when we launch Brand 3 and have it on the ground running.

因此，輔導部分對於客戶流失非常重要，而願景當然是幫助人們了解他們如何進步和改進的一個組成部分。因此，這些是我們認為真正具有開創性的 Brand 3 設想的三個應用程序，當我們推出 Brand 3 並讓它投入運行時，您會聽到我們更多地談論這一點。

Guys, can you hear me.

夥計們，你聽得到我說話嗎？

Yeah.

是的。

Yes, cool. I would just add to that, that we have around 30 people on the on the computer vision side and around 20 out of the 30 are working on Brand 3, for diagnosis and for the mobile application that we are building there. And the rest of the people are working for brand 1 and Brand 2 which is in IL MAKIAGE, SpoiledChild and we already see results better matching and better unit economics just and based on the addition of that we had with them, with their computer vision.

是的，很酷。我想補充一點，我們在電腦視覺方面有大約 30 名員工，其中 30 名員工中有大約 20 名在 Brand 3 工作，用於診斷和我們正在那裡建立的行動應用程式。其餘的人正在為品牌 1 和品牌 2 工作，即 IL MAKIAGE、SpoiledChild，我們已經看到結果更好的匹配和更好的單位經濟效益，並且基於我們與他們的計算機視覺的添加。

Great. And then if I could slip one more in. You talked about managing the pace of revenue growth to a bit more manageable level this upcoming year versus 2023 when you obviously have very outsized growth. Can you just talk about sort of how you think about that conceptually in terms of what level of growth is healthy for the business from a top-line standpoint and how that impacts the long-term revenue opportunity of the company and how you think about that relative to profitability?

偉大的。然後如果我能再塞進去一張的話。您談到了將明年的收入成長速度控制在比 2023 年更容易管理的水平，當時您的成長顯然非常巨大。您能否從概念上談談您如何看待這個問題，從頂線的角度來看，什麼水平的增長對企業來說是健康的，以及這如何影響公司的長期收入機會，以及您如何看待這一點相對於獲利能力？

Yes. So the way that we measure everything is based on contribution, meaning EBITDA level based on the brand and we don't spend -- media and dollars against product that we don't see, very strong results in terms of 12 months, 24 months and the contribution margins. So every dollar that we spend is more or less equal, otherwise we would spend against something else.

是的。因此，我們衡量一切的方式都是基於貢獻，這意味著 EBITDA 水平基於品牌，我們不花費媒體和美元來對抗我們看不到的產品，就 12 個月、24 個月而言，結果非常強勁和邊際貢獻。所以我們花的每一塊錢或多或少都是平等的，否則我們就會花在別的東西上。

In terms of visibility and managing the growth, again with less deal was something unique for them. The 1st year of full scale or of full-scale that I allowed for it for SpoiledChild, and again, it's something that we didn't have -- because we didn't know the repeat numbers that you're going to see from this brand and the results were very, very strong that the main reason for and for them additional dollars that we had them against our guidance.

在可見性和管理成長方面，減少交易對他們來說也是獨一無二的。這是我為《SpoiledChild》允許的第一年的全面規模，再說一次，這是我們沒有的——因為我們不知道你將從中看到的重複數字品牌和結果非常非常強勁，這是我們向他們提供額外資金的主要原因，而我們違背了我們的指導。

And we hope that we our model is now better. Again, it's a good problem to have. And but the repeat rates are the main driver and for them for our bid. And it's less about new acquisition because in Q4 even into Q3 last year, we almost like we cut and spent way less than what we probably are going to spend. So it's purely about with it.

我們希望我們的模型現在更好。再說一遍，這是一個好問題。但重複率是我們出價的主要動力。這與新的收購無關，因為在第四季度甚至去年第三季度，我們幾乎喜歡我們的削減和支出比我們可能要支出的要少得多。所以這純粹是關於它。

Great. Thank you.

偉大的。謝謝。

Lauren Lieberman, Barclays.

勞倫·利伯曼，巴克萊銀行。

Great. Hey, thanks, and good morning. And so I know you in the prepared remarks and through the conversations, since you talked a lot about where you're reinvesting and proactive reinvestment and any incremental dollar goes back into reinvesting for future growth. But we have gotten asked by people prior to the call just about sort of cost of growth and thinking back when they to your mentioned earlier of like the high return model of the software business.

偉大的。嘿，謝謝，早安。因此，我在準備好的演講和對話中認識了您，因為您談到了很多關於再投資和主動再投資的內容，以及任何增量資金都會重新用於未來成長的再投資。但在電話會議之前，有人問我們有關成長成本的問題，並回想一下您之前提到的軟體業務的高回報模式。

So if we look out over, let's call it the next five years, maybe you guys tell me what the right time frame is when should we think about that sort of high incremental returns business model being more apparent externally. Again, I understand the notion of investing for future growth, but just putting together the high return model and that being complete completely visible externally versus the continuing to invest for future growth?

因此，如果我們放眼望去，讓我們稱之為未來五年，也許你們告訴我正確的時間框架是什麼時候，我們應該考慮這種高增量回報的商業模式在外部更加明顯。再說一次，我理解為未來成長進行投資的概念，但只是將高回報模型和外部完全可見的模型結合起來，而不是繼續為未來成長進行投資？

Yes, I could just say that, look, we even now for this year, and if you ask me few months back, I would say that I want to guide for 20% EBITDA margin, but we sort of the business is way more profitable. And there is a limit of how much we can invest in future and initiatives this year. And therefore, we guided for around 22%.

是的，我可以這麼說，看，我們今年甚至現在，如果你幾個月前問我，我會說我希望指導 20% 的 EBITDA 利潤率，但我們的業務利潤更高。今年我們對未來和措施的投資是有限的。因此，我們的指導價約為 22%。

So the business is already with [us]. Even with the all the investments that we are doing is already way more profitable. And -- but again, if you ask me what they want to do, I want to stick with this number, I want to continue to invest in the future. There is so much to be done. Again, there are two massive transformations in the industry that we see. One of them is online, which is technology that's all we need to continue to invest in our tech team to ensure that we and that we are way higher in terms of our competitors.

所以業務已經有了[我們]。即使我們正在進行的所有投資已經獲得了更多的利潤。而且——但是，如果你問我他們想做什麼，我想堅持這個數字，我想繼續投資未來。還有很多事情要做。我們再次看到該行業發生了兩次巨大的轉變。其中之一是在線技術，這是我們繼續投資我們的技術團隊所需的技術，以確保我們和我們比競爭對手更高。

And the second was already lab, I believe that there is opportunity, there is massive adding to that Brand 3 brand for every new brand that we launch and the 1st year to and we need to invest. And therefore, as we continue to invest around tech, as we continue to invest around Oddity lab as we continue to build more brands, this is the future of the company, and this is why I'm still here.

第二個已經是實驗室了，我相信有機會，對於我們推出的每個新品牌和第一年的品牌 3 品牌都有大量的增加，我們需要投資。因此，當我們繼續圍繞技術進行投資，當我們繼續圍繞 Oddity 實驗室進行投資，當我們繼續打造更多品牌時，這就是公司的未來，這就是我還在這裡的原因。

This is like we are here to build something otherwise, I would sell the business. So the plan is 100% to continue to invest, and there is no reason in my view to deliver more than 20%. The business is already generating so much cash with zero debt, and I don't see a reason to deliver 30% EBITDA margin.

這就像我們來這裡是為了建造一些東西，否則我會賣掉公司。所以計劃是100%繼續投資，我認為沒有理由交付超過20%。該業務已經在零債務的情況下產生瞭如此多的現金，而且我認為沒有理由提供 30% 的 EBITDA 利潤率。

Let me just add I'll just add one thing more into that. So and as you think about again, the return the returns on our business, one important differentiator versus and any big due to your consumer conglomerate is our ability to build brands organically and as I mentioned, we launched spoiled with $20 million of upfront investment. Spoiled is over $100 million of net revenue today for us, if you were to apply a beauty M&A multiple of 5 to 10 times revenue, you'd have to pay $500 million to $1 billion to acquire that.

讓我補充一下，我將再添加一件事。因此，當您再次思考時，我們業務的回報，與您的消費集團相比，一個重要的區別因素是我們有機地建立品牌的能力，正如我所提到的，我們以2000 萬美元的前期投資而被寵壞了。如今，我們的淨收入已超過 1 億美元，如果您要以收入的 5 至 10 倍進行美容併購，則必須支付 5 億至 10 億美元才能收購。

And so we are without opining specifically on spoil, but just to kind of measure the return on capital for us building brands organically versus a big legacy conglomerate, you can see there's just a sort of step function change on the type of ROI you can deliver with our model as a land-and-expand type model as we're gaining new share of existing wallets at very, very high incremental margins.

因此，我們不會專門對破壞發表意見，但只是為了衡量我們有機地建立品牌與大型傳統企業集團相比的資本回報率，您可以看到，您可以提供的投資回報率類型只是一種階躍函數變化我們的模型是土地擴張模型，因為我們正在以非常非常高的增量利潤獲得現有錢包的新份額。

So sort of at maturity, we believe our model lends itself to higher return profile versus the legacy model. That being said, we are a fraction of market share of a massive on global market. And there are so many ways for us to grow. I feel we could be growing like this for many, many years before we even close to hitting a wall.

因此，在成熟階段，我們相信我們的模型比傳統模型具有更高的回報率。話雖這麼說，我們只佔全球龐大市場的一小部分。我們成長的方式有很多。我覺得在我們接近碰壁之前，我們可能會像這樣成長很多很多年。

So it's really hard to say at any point in the forecast horizon, you're going to see us actually deliver those types of returns because we are at the higher run, margin profile for specifically because we have so many ways to grow that just -- I don't see it anywhere in the forecast horizon where we're going to actually be delivering that because we have so many ways to invest for growth.

因此，很難說在預測範圍內的任何時候，你都會看到我們實際上提供了這些類型的回報，因為我們處於較高的運行水平，特別是因為我們有很多方法來增長—— - 我認為在預測範圍內我們不會真正實現這一目標，因為我們有很多方法來投資成長。

I just want to add one more regarding margins. When we launched SpoiledChild, although it was an amazing success, the 1st year 2022, it had a single-digit EBITDA margin. And second year it was already double digit, but it was less than IL MAKIAGE, now they're running very strong EBITDA margin. But again, it takes time.

我只想補充一點關於利潤的問題。當我們推出 SpoiledChild 時，儘管取得了驚人的成功，但在 2022 年第一年，它的 EBITDA 利潤率僅為個位數。第二年就已經是兩位數了，但低於 IL MAKIAGE，現在他們的 EBITDA 利潤率非常強勁。但同樣，這需要時間。

So when we launch Brand 3, for example, like it will cost us in terms of margins and therefore, every brand that we launched and it damages short term, our margins but long term, and it's both high growth and with very healthy margin. Otherwise it will not spend against it.

例如，當我們推出品牌3 時，它會降低我們的利潤率，因此，我們推出的每個品牌都會在短期內損害我們的利潤率，但從長遠來看，它既具有高成長又具有非常健康的利潤率。否則它不會花它。

Okay. That's really helpful. One more quick thing on Brand 3 on the acne. I think at one point you talked about having sort of a pharmacy element to this and now you're seeing medical-grade. So I just wanted to check in on that, Is there still sort of an online pharmacy function that's going to be part of this? Or is it a medical-grade something different?

好的。這真的很有幫助。品牌3關於痤瘡的另一件事是快速的。我想你曾經談到其中有某種藥學元素，現在你看到的是醫療級的。所以我只是想檢查一下，是否還有線上藥局功能將成為其中的一部分？還是它是醫療級的不同的東西？

Yes, we're going to be both OTC and RX, and we are not going to start with our own pharmacy will start with third party, and just wanted because of the regulation because we want to see what works and what doesn't before we invest so much against it, but it's going to be both.

是的，我們將同時成為 OTC 和 RX，我們不會從我們自己的藥房開始，而是從第三方開始，只是因為監管而想要，因為我們想看看之前什麼有效，什麼無效。投入了大量資金，但兩者都會。

Okay. And then when can we expect to hear more about Brand 4 just set where in beginning of March 2024? I'm just curious how to think about when you'll give us an update on what category or anything more specific about what brand four will look like?

好的。那麼我們什麼時候可以聽到更多關於 2024 年 3 月剛成立的 Brand 4 的消息？我只是好奇如何考慮您何時向我們提供有關哪個類別的更新或有關品牌四個的更具體資訊？

Well, the first thing to tell my team, my team don't know yet, and but I'm again, and there is a reason why we are working on those things quietly and three brand now, Brand 4 in the making. And both my sister and I are involved there is already a team there. And once we have something to share, we will.

好吧，首先要告訴我的團隊，我的團隊還不知道，但我又知道了，我們正在悄悄地做這些事情，現在有三個品牌，第四個品牌正在製作中，這是有原因的。我和我姐姐都參與其中，那裡已經有一個團隊了。一旦我們有東西可以分享，我們就會分享。

Okay, sounds good. Thank you.

好的聽起來不錯。謝謝。

Thank you. There are no further questions at this time. I would like to turn the floor back over to Oran Holtzman for closing comments.

謝謝。目前沒有其他問題。我想請奧蘭·霍爾茨曼（Oran Holtzman）發表結束評論。

Thank you very much, guys, for joining and we'll talk with you when we report at the first quarter. Have a great day. Bye-bye.

非常感謝你們的加入，我們將在第一季報告時與你們討論。祝你有美好的一天。再見。

This concludes today's teleconference. 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。