Perrigo Company PLC (PRGO) 2025 Q2 法說會逐字稿

Good morning, ladies and gentlemen. Welcome to Perrigo Q2 2025 financial results conference call. (Operator Instructions). This call is being recorded on Wednesday, August 6, 2025.

女士們、先生們，早安。歡迎參加 Perrigo 2025 年第二季財務業績電話會議。（操作員指令）。該通話於 2025 年 8 月 6 日星期三錄製。

I would now like to turn the conference over to Bradley Joseph. Please go ahead.

現在我想將會議交給布萊德利·約瑟夫。請繼續。

Good morning and good afternoon, everyone. Welcome to Perrigo's second quarter 2025 earnings conference call. I hope you all had a chance to review our press release issued today. A copy of the release and presentation for today's discussion are available within the Investors section of the perrigo.com website. Joining today's call are President and CEO, Patrick Lockwood-Taylor; and CFO, Eduardo Bezerra.

大家早安，下午好。歡迎參加 Perrigo 2025 年第二季財報電話會議。我希望大家有機會閱讀我們今天發布的新聞稿。今天討論的新聞稿和簡報的副本可在 perrigo.com 網站的「投資者」部分找到。參加今天電話會議的有總裁兼執行長 Patrick Lockwood-Taylor 和財務長 Eduardo Bezerra。

I'd like to remind everyone that during this presentation, participants will make certain forward-looking statements. Please refer to the slides for information regarding these statements, which are subject to important risks and uncertainties. We will reference adjusted financial measures that are non-GAAP in nature, See the appendix to the earnings presentation for additional details and reconciliations of all non-GAAP to GAAP financial measures presented.

我想提醒大家，在本次演講中，參與者將做出一些前瞻性的陳述。有關這些聲明的資訊請參閱投影片，這些聲明受重大風險和不確定性的影響。我們將參考本質上為非 GAAP 的調整後財務指標，請參閱收益報告附錄，以獲取更多詳細資訊以及所有非 GAAP 與 GAAP 財務指標的對帳。

Two quick items before we start. First, unless stated, all financial results discussed and presented are on a continuing operations basis. Second, organic growth excludes acquisitions, divestitures, exited products and foreign currency fluctuations in both comparable periods. And third, Patrick's discussion will focus solely on non-GAAP results, except as otherwise noted.

在我們開始之前，有兩件事要簡單說一下。首先，除非另有說明，所有討論和呈現的財務結果均以持續經營為基礎。其次，有機成長不包括兩個可比較期間的收購、資產剝離、退出產品和外匯波動。第三，除非另有說明，帕特里克的討論將僅集中於非公認會計準則結果。

And with that, I'm pleased to turn the call over to Patrick.

說完這些，我很高興將電話轉給派崔克。

Thank you, Brad. Good morning, good afternoon, everyone, and thank you very much for joining today's call. I'd like to start with a quick overview of the progress that we have made against our Three-S Plan, to Stabilize, Streamline and Strengthen One Perrigo. We've accomplished a tremendous amount of work over the past 18 months to evolve into a more focused, agile and scalable self-care organization. We've aligned our strategy and added top talent where needed. This work sets the foundation for our Three-S Plan, and we have taken significant steps in the second quarter to accelerate our progress.

謝謝你，布拉德。大家早安，下午好，非常感謝大家參加今天的電話會議。首先，我想簡要概述我們在「三S」計畫（穩定、精簡和加強「一個 Perrigo」）方面所取得的進展。在過去的 18 個月裡，我們完成了大量的工作，發展成為一個更專注、靈活和可擴展的自我照護組織。我們調整了策略，並在需要的地方引進頂尖人才。這項工作為我們的「三S」計畫奠定了基礎，我們在第二季採取了重大舉措來加快我們的進展。

In Stabilize, our infant formula business net sales grew 9%, led by store brand formula. In store brand OTC, we continue to see encouraging results as new business awards overtook previously disclosed lost businesses, and our offerings are gaining volume and unit share in the market, enabling us to outpace competition. In Streamline, Project Energize and our Supply Chain Reinvention program remain on track and continue to deliver significant benefits. These accretive initiatives are enabling more investments into our innovation pipeline and our A&P for future growth.

在 Stabilize 中，我們的嬰兒配方奶粉業務淨銷售額增長了 9%，其中以商店品牌配方奶粉為主導。在商店品牌 OTC 領域，我們繼續看到令人鼓舞的業績，因為新業務獎勵超過了先前披露的損失業務，而且我們的產品在市場上的銷售和單位份額不斷增加，使我們能夠超越競爭對手。在精簡方面，專案激勵和我們的供應鏈重塑計劃仍在按計劃進行，並繼續帶來顯著的效益。這些增值舉措使我們能夠對創新管道和 A&P 進行更多投資，以實現未來成長。

Additionally, we recently announced an agreement to sell our Dermacosmetics business for up to EUR 327 million with EUR 300 million in cash upfront. This transaction, which is expected to close in the first quarter of '26, sharpens our strategic focus on our core portfolio, including our high-growth brands, which are expected to deliver $100 million to $200 million in incremental net sales in 2027. Expected proceeds will be prioritized towards strengthening the balance sheet and accelerating our net leverage goals.

此外，我們最近宣布了一項協議，以高達 3.27 億歐元的價格出售我們的皮膚化妝品業務，其中預付 3 億歐元現金。此交易預計將於 2026 年第一季完成，這將加強我們對核心產品組合的戰略重點，包括我們的高成長品牌，預計這些品牌將在 2027 年實現 1 億至 2 億美元的增量淨銷售額。預期收益將優先用於加強資產負債表和加速實現我們的淨槓桿目標。

In Strengthen, we are scaling our category-led market activation growth model designed to unlock the full potential of our portfolio, and our upgraded brand-building activities are beginning to deliver results. We are moving with speed and purpose. With focused execution and strategic sequencing, we are advancing our Three-S Plan. More on this in a moment. But first, let's discuss our second quarter financial highlights.

在「強化」方面，我們正在擴大以類別為主導的市場活化成長模式，旨在釋放我們產品組合的全部潛力，而我們升級的品牌建立活動也開始取得成果。我們正在快速而有目的地前進。透過重點執行和策略排序，我們正在推進我們的「三S」計劃。稍後將對此進行詳細介紹。但首先，讓我們先討論一下第二季的財務亮點。

Our diversified portfolio continued to provide resilience and stability in a challenging consumer environment. Perrigo organic net sales growth in the second quarter was flat compared to the prior year, including OTC brand growth of 3.6%. Year-to-date, organic growth was also flat, but up nearly 1%, excluding the prior year Opill launch stocking benefit and previously disclosed lost distribution of lower-margin US store brand products.

我們多元化的投資組合在充滿挑戰的消費環境中持續提供彈性和穩定性。Perrigo 第二季有機淨銷售成長與去年同期持平，其中 OTC 品牌成長 3.6%。年初至今，有機成長率也持平，但上漲了近 1%，這不包括上一年 Opill 推出的庫存收益以及先前披露的低利潤美國自有品牌產品分銷損失。

Declining total category consumption in the US and decelerating consumption in the EU, both partially impacted by soft seasonal trends in categories such as allergy, Sun Care and Blister Care, limited our top line growth. However, our store brands continue to gain share on volume and are now gaining unit share as consumers seek greater value amidst the current uncertain macro environment.

美國總體類別消費量下降以及歐盟消費量減速，均部分受到過敏、防曬和水泡護理等類別的疲軟季節性趨勢的影響，限制了我們的營收成長。然而，由於消費者在當前不確定的宏觀環境下尋求更高的價值，我們的自有品牌在銷售上的份額繼續增加，並且單位份額也在增加。

Our key brands also gained share in the quarter, and we're winning in the shelf. All the execution improvements we have made over the past two years are delivering solid results. Gross margin, which Eduardo will detail shortly, declined in the quarter, driven in part by divested businesses.

我們的主要品牌在本季的市佔率也增加了，我們在貨架上取得了勝利。過去兩年我們所做的所有執行改進都取得了實際的成果。毛利率（愛德華多稍後將詳細介紹）在本季有所下降，部分原因是業務剝離。

Organic operating income was flat in the quarter, reflecting isolated production variability in infant formula, leading to an increase in product scrapped, and two, lower plant overhead absorption in OTC. These factors were partially offset by reduced A&P spend as we intentionally pulled back due to softer consumption and Project Energize benefits.

本季有機營業收入持平，反映出嬰兒配方奶粉的單獨生產波動，導致產品報廢增加，二是非處方藥的工廠間接費用吸收降低。由於消費疲軟和「活力計畫」效益的緣故，我們有意削減了廣告和宣傳支出，但這些因素被廣告和宣傳支出的減少部分抵消。

Year-to-date, organic operating income growth was 28.3%. EPS in the quarter grew 7.5%, or 12.5% organically, and is up more than 50% organically year- to-date. Taking a closer look at our organic net sales performance in the quarter. Firstly, Pain and Sleep-Aids grew 8%, adding 1 percentage point of growth to total Perrigo, driven by performance from restored supply of Solpadeine, our leading pain brand in Ireland and the UK.

年初至今，有機營業收入成長率為28.3%。本季每股收益成長 7.5%，有機成長 12.5%，今年迄今有機成長超過 50%。仔細觀察我們本季的有機淨銷售額表現。首先，止痛和助眠產品成長了 8%，為 Perrigo 整體貢獻了 1 個百分點的成長，這得益於我們在愛爾蘭和英國的領先止痛品牌 Solpadeine 的恢復供應。

Next, Nutrition added nearly 1 point of growth, reflecting continued recovery in our infant formula business. More details on that in a few moments. And lastly, Upper Respiratory added 0.7 points, primarily from new distribution and share gains in the US store brand allergy amid softer seasonality in addition to restored supply of our Physiomer brand for cold and allergy-related symptoms.

其次，營養業務成長了近1個百分點，反映出我們嬰兒配方奶粉業務的持續復甦。稍後我們將提供更多詳細資訊。最後，上呼吸道產品成長了 0.7 個百分點，主要得益於在季節性疲軟的時期，美國商店品牌過敏產品有了新的分銷和份額增長，此外，還恢復了我們針對感冒和過敏相關症狀的 Physiomer 品牌的供應。

Our OTC brands delivered organic net sales growth of 3.6% year-over-year, as we continue to invest in our highest ROI assets. Jungle Formula, our leading insect repellent, grew 14% in the quarter and achieved record market share in the UK behind full brand activation during the summer season.

由於我們繼續投資於投資回報率最高的資產，我們的非處方藥品牌實現了 3.6% 的有機淨銷售額同比增長。我們的主要驅蟲劑 Jungle Formula 本季成長了 14%，在夏季全面品牌活化的推動下，在英國的市佔率創下了歷史新高。

Additionally, Compeed, our blister and wound care franchise brand, grew 6% and achieved record share in France, Spain and Italy. Both these examples reflect the significant progress we have made in upgrading our brand- building capabilities to deliver our Three-S Plan.

此外，我們的水泡和傷口護理特許經營品牌 Compeed 增長了 6%，並在法國、西班牙和義大利取得了創紀錄的份額。這兩個例子都反映了我們在提升品牌建立能力、實現「三S」計畫方面取得的重大進展。

In contrast, our Digestive Health category was impacted by continued lower consumption of proton pump inhibitors. While the total PPI market was down, national brands accounted for most of the decline. Encouragingly, store brand volume share has steadily increased. Oral Care declined due to lost distribution of lower-margin product as the team continued to balance tariff impact and a competitive landscape while focused on driving profitability.

相較之下，我們的消化健康類別受到質子幫浦抑制劑消費持續下降的影響。雖然整個 PPI 市場出現下滑，但國家品牌佔了下滑的大部分。令人鼓舞的是，自有品牌銷售份額穩定成長。由於團隊持續平衡關稅影響和競爭格局，同時專注於提高獲利能力，口腔護理業務因低利潤產品分銷損失而下滑。

As I mentioned, overall consumption trends continue to soften, partially due to slower seasonality and waning consumer confidence. As a result of lower consumption trends, our stock in trade ticked higher in certain European markets, which we are actively monitoring.

正如我所提到的，整體消費趨勢持續疲軟，部分原因是季節性放緩和消費者信心減弱。由於消費趨勢下降，我們在某些歐洲市場的貿易庫存增加，我們正在積極監控這些市場。

Now turning to detailed progress on our Three-S Plan, starting with the stabilization of infant formula. As mentioned, net sales in the quarter grew 9% year-over-year, driven by performance in our store brand and contract business, which were collectively up more than 30%.

現在來談談我們「三S」計畫的具體進展，首先是嬰兒配方奶粉的穩定性。如上所述，本季淨銷售額年增 9%，這得益於我們自有品牌和合約業務的業績，這兩個部門合計成長了 30% 以上。

However, this momentum was partially offset by a significant decline in the Good Start brand, primarily due to lost distribution. This decline was not entirely unexpected as we actively reset the brand following its relaunch under the Good Start, Dr. Brown's label. This brand remains a unique offering in the market, and we have seen modest share gains in the early stages of this reset.

然而，這一勢頭被 Good Start 品牌的大幅下滑所部分抵消，這主要是由於分銷管道的損失。這種下降並不完全出乎意料，因為在布朗博士品牌 Good Start 下重新推出該品牌後，我們積極地重置了該品牌。該品牌在市場上仍然是獨一無二的，我們在此次重置的早期階段看到了適度的份額成長。

We are making good progress reintroducing store brand SKUs with 80% of our planned 2025 assortment now back on shelves. While store brand volume shares has moderated, total market consumption has increased during the same time frame, diluting our volume share. Importantly, store brand formula consumption continues to grow.

我們在重新推出自有品牌 SKU 方面取得了良好進展，我們計劃在 2025 年推出的 80% 的商品現已重新上架。雖然商店品牌的銷售份額有所放緩，但在同一時間段內，市場總消費量卻有所增加，從而稀釋了我們的銷售份額。重要的是，商店品牌配方奶粉的消費量持續成長。

Looking to the second half of the year, we are pulling on several levers to improve store brand formula growth, such as increasing targeted promotional activity at select retailers, both in-store and online, increasing demand generation activities, including refreshed compared to labels and enhanced in-store marketing for high- volume SKUs, continued consumption ramp-up of recently introduced SKUs and launching the remaining 20% of our planned 2025 assortment. While recovery in this business continues, it is slightly slower than anticipated, so we have more work to do. However, I remain very encouraged by our steady progression.

展望下半年，我們將採取多種手段來改善自有品牌的配方成長，例如增加在特定零售商（包括店內和線上）的針對性促銷活動，增加需求生成活動（包括與標籤相比的更新和針對大容量 SKU 的增強店內營銷），繼續增加最近推出的 SKU 的消費量，並推出我們計劃的 2025 年產品組合的剩餘 20%。雖然該業務的復甦仍在繼續，但速度比預期的要慢一些，因此我們還有很多工作要做。然而，我們穩步的進步仍然讓我深受鼓舞。

Now to US OTC store brand, where we are seeing very encouraging signs that our stabilization efforts are gaining traction. In the second quarter, we reached an important inflection point. New business awards outpaced lost distribution for the first time since the 2024 reset. While there's still work ahead, this progress gives us confidence in the trajectory we're building for the second half of the year.

現在談到美國非處方藥商店品牌，我們看到非常令人鼓舞的跡象，表明我們的穩定努力正在取得進展。第二季度，我們到達了一個重要的轉捩點。自 2024 年重置以來，新業務獎勵首次超過損失分配。儘管未來仍有工作要做，但這項進展讓我們對下半年的發展軌跡充滿信心。

We're also continuing to apply our brand-building capabilities to enhance the store brand portfolio, bringing differentiated value to our retail partners. This approach is deepening relationships with retailers who are focused on growing category share and delivering more value to their consumers. A great example was the allergy category where our team executed a tailored demand generation campaign at a top customer. The result was notable. Perrigo allergy product sales at that retailer are up almost 19% year-to- date, while the category has declined by over 2%.

我們也將繼續運用我們的品牌建立能力來增強商店品牌組合，為我們的零售合作夥伴帶來差異化價值。這種方法正在加深與專注於擴大品類份額並為消費者提供更多價值的零售商的關係。一個很好的例子就是過敏類別，我們的團隊針對頂級客戶執行了客製化的需求產生活動。成果顯著。今年迄今為止，Perrigo 過敏產品的銷售額在該零售商處成長了近 19%，而該類別產品的銷售額則下降了 2% 以上。

I am increasingly encouraged by our improving competitiveness, our marketing to consumers and our strengthening retail partnerships. In combination, these delivered a volume growth 6 times faster than the total OTC market and an impressive share gain of 70 basis points for Perrigo over the last 13 weeks.

我們的競爭力不斷提升、面向消費者的行銷活動不斷增加、零售合作關係不斷加強，這些都讓我倍感鼓舞。綜合起來，這些舉措使 Perrigo 的銷售成長速度比整個 OTC 市場快 6 倍，並且在過去 13 週內使 Perrigo 的市場份額獲得了令人印象深刻的 70 個基點的增長。

Turning to Streamline. We have made meaningful progress in simplifying and focusing our business. Our accretive initiatives continue to deliver meaningful benefits. Project Energize is tracking well with annual run rate gross savings now generating $159 million, an increase of $30 million during the first half of this year. And our supply chain reinvention program remains on track to deliver between $150 million to $200 million in benefits by the end of this year. These actions reflect our commitment to building a stronger, more focused Perrigo positioned for sustainable growth.

轉向 Streamline。我們在簡化和集中業務方面取得了有意義的進展。我們的增值措施持續帶來顯著效益。「能源計畫」進展順利，年度總節省金額目前達到 1.59 億美元，比今年上半年增加了 3,000 萬美元。我們的供應鏈重塑計畫仍有望在今年底前帶來 1.5 億至 2 億美元的效益。這些措施體現了我們致力於打造更強大、更專注、永續發展的 Perrigo 的承諾。

As for simplifying our portfolio, we recently announced the sale of our Dermacosmetics business, which sharpens our strategic focus. This move allows us to concentrate resources on the categories that best align with our One Perrigo model and where we see the greatest opportunity for long-term value creation. It will also accelerate our net leverage goals.

至於簡化我們的產品組合，我們最近宣佈出售我們的皮膚化妝品業務，這加強了我們的策略重點。此舉使我們能夠將資源集中在最符合我們的「一個 Perrigo」模式的類別上，以及我們認為最有可能創造長期價值的類別上。這也將加速我們的淨槓桿目標。

Finally, on Strengthen. We continue to make steady progress and are scaling our category-led locally activated growth model across the organization. This model is designed to help us bring more molecules to more consumers with greater speed and precision.

最後，關於強化。我們繼續穩步前進，並在整個組織內擴大以類別為主導的本地激活成長模式。該模型旨在幫助我們以更快的速度和更高的精度將更多的分子帶給更多的消費者。

At its core, it reflects our commitment to operating as one global organization, bringing together and scaling the best of our capabilities to serve consumers and customers more effectively. This structure not only will improve our execution, it will also create more opportunities for innovation, more impactful marketing and a stronger foundation for sustainable growth. This isn't a new direction for us. It's a proven model that we've been building and is already delivering results.

從本質上講，它反映了我們作為一個全球性組織運營的承諾，匯集和擴展我們的最佳能力，以更有效地為消費者和客戶服務。這種結構不僅將提高我們的執行力，還將創造更多的創新機會、更有影響力的行銷和更堅實的永續成長基礎。這對我們來說不是一個新方向。這是我們一直在建造的經過驗證的模型，並且已經產生了效果。

Just a few examples of this model in action include: one, the Opill repeat rate of 55% reflects the team's focused efforts on education, access and retail execution to support trial and drive consumer loyalty. With NiQuitin, our leading nicotine replacement brand, we're seeing strong early results from new claims and a refreshed marketing campaign. NiQuitin is now the fastest-growing smoking cessation brand over the last 4 weeks, expanding our reach and relevance with consumers.

此模型的實際應用範例如下：首先，Opill 的重複率為 55%，這反映了團隊在教育、取得和零售執行方面所做的重點努力，以支持試用並提高消費者忠誠度。憑藉我們領先的尼古丁替代品牌 NiQuitin，我們從新的宣傳和全新的行銷活動中看到了強勁的早期成果。NiQuitin 已成為過去 4 週內成長最快的戒菸品牌，擴大了我們與消費者的影響力和相關性。

Next, the performance of ellaOne. This is our leading emergency contraceptive brand. Driven by commercial prioritization and a new marketing campaign that launched earlier this year has resulted in ellaOne leading category growth and gaining share. In Spain, we launched Broncho 8in1 that relieves discomfort associated with the cold. This launch is outperforming the market by 30 share points, thanks to local market activations that are resonating well with local market consumers.

接下來是ellaOne的表現。這是我們領先的緊急避孕品牌。在商業優先和今年稍早推出的新行銷活動的推動下，ellaOne 引領了品類成長並獲得了份額。在西班牙，我們推出了 Broncho 8in1，可以緩解感冒引起的不適。由於本地市場活動與本地市場消費者產生了良好共鳴，此次發布的產品比市場表現高出 30 個百分點。

Also, Jungle Formula has achieved market leadership in Italy for the first time, reaching a record high seasonal market share following local media activation. What's enabling the success is a clear cultural shift, one that embraces a growth mindset is grounded in strong category strategies and with a deep collaboration across markets to drive more meaningful execution with local consumers. These examples embody the strength of operating as one unified global organization, aligned, empowered and focused on delivering meaningful results.

此外，Jungle Formula 首次在義大利取得市場領先地位，在當地媒體的宣傳下，其季節性市場份額創下歷史新高。成功的關鍵在於明顯的文化轉變，這種轉變擁抱成長心態，以強大的品類策略為基礎，並透過跨市場的深度合作，為當地消費者帶來更有意義的執行。這些例子體現了作為一個統一的全球組織運作的力量，協調一致、授權並專注於提供有意義的成果。

In summary, despite a challenging consumer environment marked by soft seasonal trends and slower consumption, we continue to execute with discipline and focus. The executional improvements we have made over the past two years are delivering strong benefits, and our year-to-date results reflect the resilience of our diversified portfolio and the early benefits of our Three-S Plan. We have stabilized US store brand and are on track to grow net sales in the second half of this year. We are stabilizing the infant formula business, but as I said, we have more work to do here.

總而言之，儘管消費環境充滿挑戰，季節性趨勢疲軟，消費放緩，但我們仍將繼續嚴格執行並專注執行。我們在過去兩年中所做的執行改進正在帶來巨大的效益，而我們今年迄今為止的業績反映了我們多元化投資組合的彈性以及我們的「三S」計畫的早期效益。我們已經穩定了美國自有品牌，並預計在今年下半年實現淨銷售額的成長。我們正在穩定嬰兒配方奶粉業務，但正如我所說，我們還有更多的工作要做。

Efforts to streamline Perrigo are moving at pace as we sharpen our focus on the portfolio and on our operating model. We are strengthening the organization through consumer-led innovation and key brand-building activities that are beginning to deliver very strong results. As a result, we remain confident in reaffirming our full year EPS outlook.

隨著我們更加關注產品組合和營運模式，精簡 Perrigo 的努力正在快速推進。我們正在透過消費者主導的創新和關鍵的品牌建立活動來加強組織，這些活動已開始取得非常強勁的成果。因此，我們仍然有信心重申我們的全年每股收益展望。

With that, I'll now turn the call over to Eduardo to walk through the financials. Eduardo?

說完這些，我現在將電話轉給愛德華多 (Eduardo)，讓他介紹一下財務狀況。愛德華多？

Thank you, Patrick. Hello, everyone. Looking at the second quarter financials, starting with the GAAP to non-GAAP summary. Primary adjustments to our non-GAAP financial results were: one, amortization expense of $57 million; two, unusual litigation of $50 million; and three, restructuring charges of $9 million, primarily related to Project Energize and Supply Chain Reinvention. Full details can be found in the non-GAAP reconciliation tables attached to today's press release. From this point forward, all financial results discussed will be on an adjusted basis unless otherwise noted.

謝謝你，派崔克。大家好。回顧第二季的財務狀況，從 GAAP 到非 GAAP 的總結開始。對我們的非 GAAP 財務結果的主要調整是：一、攤銷費用 5700 萬美元；二、非常訴訟 5000 萬美元；三、重組費用 900 萬美元，主要與「活力項目」和「供應鏈重塑」有關。完整詳情請參閱今天新聞稿所附的非公認會計準則對帳表。從現在開始，除非另有說明，所有討論的財務結果都將以調整後的基礎為基礎。

Second quarter gross profit of $403 million declined $30 million year-over-year, primarily due to an $18 million impact from divestitures and exited businesses, partially offset by favorable currency translation. Organic gross profit declined $23 million, largely due to the previously mentioned isolated production variability in infant formula. This production issue led to scrapping of approximately $11 million of inventory. Additionally, we experienced lower plant overhead absorption in OTC and Oral Care. These factors more than offset benefits from our accretive initiatives, Project Energize and Supply Chain Reinvention, which continue to deliver meaningful efficiencies.

第二季毛利為 4.03 億美元，年減 3,000 萬美元，主要由於資產剝離和退出業務的影響為 1,800 萬美元，但有利的貨幣換算部分抵消了這一影響。有機毛利潤下降了 2300 萬美元，主要是由於前面提到的嬰兒配方奶粉生產的單獨差異。這項生產問題導致約 1,100 萬美元的庫存報廢。此外，我們在非處方藥和口腔護理領域的工廠間接費用吸收也較低。這些因素遠遠抵消了我們的增值舉措、「活力項目」和「供應鏈重塑」的好處，這些舉措繼續帶來顯著的效率提升。

Second quarter gross margin was down 250 basis points, stemming from: one, 70 basis points from divested businesses and exited products; two, an unfavorable impact of 110 basis points from the isolated infant formula scrap I just mentioned; and three, a net unfavorable impact of 70 basis points from the rest of the business, mainly due to overhead absorption, which was partially offset by accretive initiatives and favorable store brand mix.

第二季毛利率下降了 250 個基點，原因如下：第一，業務剝離和產品退出帶來了 70 個基點的不利影響；第二，我剛才提到的嬰兒配方奶粉廢品帶來了 110 個基點的不利影響；第三，其餘業務帶來了 70 個基點的淨不利影響，主要是由於計劃間接，但計劃和有利的品牌

Looking at the gross margin on a sequential basis, we were expecting a decline of approximately 250 basis points related to lower plant overhead absorption. Said differently, our first half gross margin of 39.5% is in line with our plan, and we remain on track to deliver full year gross margin of approximately 40%, in line with our 2025 outlook. I'll speak to operating income and earnings per share in a few minutes.

從連續角度來看，我們預期毛利率將下降約 250 個基點，原因是工廠間接費用吸收率較低。換句話說，我們上半年的毛利率為 39.5%，符合我們的計劃，我們仍有望實現全年約 40% 的毛利率，符合我們 2025 年的展望。幾分鐘後我將談談營業收入和每股盈餘。

Moving to year-to-date. Organic net sales were flat as we lapped the prior year opioid stocking benefit from its late first quarter 2024 launch in addition to the impact from previously disclosed lost distribution in US store brands. These factors more than offset growth of plus 0.7% in the rest of the business. Year-to-date gross profit of $831 million increased $3 million year-over-year, including a $32 million impact from divestitures and exited products. Organic gross profit increased $30 million or 3.8%, primarily due to business recovery of infant formula.

轉到年初至今。有機淨銷售額持平，因為我們將上年阿片類藥物於 2024 年第一季末推出所帶來的庫存效益以及先前披露的美國商店品牌分銷損失的影響考慮在內。這些因素抵消了其餘業務 0.7% 的成長。年初至今的毛利為 8.31 億美元，比去年同期增加了 300 萬美元，其中包括資產剝離和退出產品的影響 3,200 萬美元。有機毛利增加 3,000 萬美元，增幅 3.8%，主要由於嬰兒配方奶粉業務復甦。

Year-to-date, organic gross and operating margins meaningfully expanded up 150 and 300 basis points, respectively. Margin expansion was driven by infant formula in addition to benefits from accretive initiatives, which were partially offset by lower plant overhead absorption and OTC volumes.

年初至今，有機毛利率和營業利益率分別大幅擴大了 150 個基點和 300 個基點。利潤率的擴大除了得益於增值舉措的推動外，還得益於嬰兒配方奶粉的推動，但工廠間接費用吸收和非處方藥銷量的下降部分抵消了這一增長。

Turning to net sales performance by segment, starting with CSCI. Reported net sales were up plus 0.7%. Organic net sales growth of 2.7% was led by supply recovery of key products, growth in our highly profitable products, including Jungle Formula and Compeed, and share gains in ellaOne that Patrick just mentioned. In CSCA, net sales declined 1.9% as growth in the Nutrition business, Healthy Lifestyle and Upper Respiratory categories were more than offset by lower net sales in Digestive Health and Oral Care. As Patrick highlighted, we have now lapped the prior year distribution losses in store brand OTC and realized net new business growth in the quarter, which we expect to benefit growth in the second half of the year.

轉向按部門劃分的淨銷售額表現，首先從 CSCI 開始。報告淨銷售額成長了 0.7%。有機淨銷售額成長 2.7%，主要得益於關鍵產品供應的恢復、包括 Jungle Formula 和 Compeed 在內的高利潤產品的增長，以及 Patrick 剛才提到的 ellaOne 的份額增長。在 CSCA，淨銷售額下降了 1.9%，因為營養業務、健康生活方式和上呼吸道類別的成長被消化健康和口腔護理的淨銷售額下降所抵消。正如帕特里克所強調的，我們現在已經彌補了去年商店品牌 OTC 分銷的損失，並在本季度實現了淨新業務增長，我們預計這將有利於下半年的增長。

Second quarter operating income of $135 million decreased $4 million, including a $9 million impact from divested businesses and exited products. Organic operating income was flat year-over-year as lower advertising and promotion spend in reaction to softer seasonal demand, combined with our accretive initiatives, offset the higher scrap in infant formula and lower plant overhead absorption I just discussed. Year-to-date, operating income of $282 million, increased $50 million, including a $50 million impact from divested businesses and exited products. Organic operating income grew 28.3%, driven by infant formula and our accretive initiatives.

第二季營業收入為 1.35 億美元，減少了 400 萬美元，其中包括剝離業務和退出產品的影響 900 萬美元。有機營業收入與去年同期持平，因為由於季節性需求疲軟，廣告和促銷支出減少，再加上我們的增值舉措，抵消了我剛才討論的嬰兒配方奶粉廢品率上升和工廠間接費用吸收率下降的影響。年初至今，營業收入為 2.82 億美元，增加了 5,000 萬美元，其中包括剝離業務和退出產品的影響 5,000 萬美元。在嬰兒配方奶粉和我們的增值舉措的推動下，有機營業收入增加了 28.3%。

Second quarter earnings per share of $0.57 increased 7.5% or 12.5% organically versus the prior year, driven primarily by lower interest expense. Year-to-date earnings per share of $1.17 grew 41% or 53.3% organically, driven by infant formula recovery, accretive initiatives and lower interest expense.

第二季每股收益為 0.57 美元，較上年同期成長 7.5% 或有機成長 12.5%，主要原因是利息支出減少。年初至今每股收益為 1.17 美元，成長 41% 或有機成長 53.3%，這得益於嬰兒配方奶粉的恢復、增值舉措和較低的利息支出。

Turning now to the balance sheet. Second quarter operating cash flow was $76 million, bringing year-to-date operating cash flow to $11 million. As a reminder, first quarter operating cash outflow included the rebuild of infant formula inventories and a securities litigation settlement. Year-to-date, we invested $45 million in capital expenditures and returned $80 million to shareholders through dividends.

現在來看資產負債表。第二季的經營現金流為 7,600 萬美元，年初至今的經營現金流達到 1,100 萬美元。提醒一下，第一季的營運現金流出包括嬰兒配方奶粉庫存的重建和證券訴訟的和解。年初至今，我們已投資 4,500 萬美元用於資本支出，並透過股利向股東返還 8,000 萬美元。

Cash on the balance sheet at the end of the second quarter was $454 million. We remain on track to deliver our 2025 operating cash flow conversion target of approximately 100% to adjusted net income. Net leverage to adjusted EBITDA is 3.9 times over the trailing 12 months, on our way to achieving our target of approximately 3.5 times by year-end.

第二季末資產負債表上的現金為4.54億美元。我們仍有望實現 2025 年經營現金流轉換為調整後淨收入約 100% 的目標。過去 12 個月，調整後 EBITDA 的淨槓桿率為 3.9 倍，我們預計將實現年底前約 3.5 倍的目標。

To build on Patrick's comments regarding the announced sale of our Dermacosmetics business, the proposed sale multiple reflects a premium of approximately 20% to 30% to Perrigo's currently enterprise value to adjusted EBITDA multiple. So while the transaction sharpens our strategic focus, it's also value enhancing for shareholders. As noted, we anticipate the transaction closing in the first quarter of 2026 with expected proceeds prioritized to strengthening our balance sheet and advancing our net leverage goals.

基於 Patrick 對於宣佈出售我們的皮膚化妝品業務的評論，擬議的出售倍數反映了 Perrigo 當前企業價值與調整後 EBITDA 倍數約 20% 至 30% 的溢價。因此，這筆交易不僅加強了我們的策略重點，也為股東帶來了價值提升。如上所述，我們預計交易將於 2026 年第一季完成，預期收益將優先用於加強我們的資產負債表和推進我們的淨槓桿目標。

While we are operating in markets with challenging short-term consumption trends, our business model of hundreds of OTC molecules across multiple price points has propelled share gains across our store brand and key brands. These gains have insulated our performance this year. Recovery in our infant formula business is progressing.

雖然我們所處的市場短期消費趨勢充滿挑戰，但我們涵蓋多個價位的數百種非處方藥分子的商業模式推動了我們的自有品牌和主要品牌的市場份額成長。這些收益保證了我們今年的業績。我們的嬰兒配方奶粉業務正在復甦。

However, it is lower than initially anticipated with net sales now projected to be below prior year levels. Given this update and prudence from ongoing softness in OTC market consumption trends, reported and organic net sales growth are expected towards the lower end of our previously communicated ranges.

然而，該數字低於最初的預期，目前預期淨銷售額將低於去年同期水準。鑑於此更新以及非處方藥市場消費趨勢持續疲軟的謹慎態度，預計報告和有機淨銷售額增長將接近我們先前公佈的範圍的低端。

Despite this top line adjustment, expectations for operating income growth remained largely unchanged as the infant formula scrap issue is not expected to repeat, plant absorption expected to cease as a headwind in the second half as our production volumes improve, and operating expenses come down.

儘管進行了營收調整，但對營業收入成長的預期基本上保持不變，因為預計嬰兒配方奶粉廢品問題不會重演，隨著產量提高，工廠吸收的阻力預計在下半年將不再存在，而且營業費用也將下降。

As a result, we are also reaffirming our outlook for gross and operating margins for the full year. These same second half drivers give us the confidence to reaffirm the rest of our 2025 outlook, including our EPS target range of $2.90 to $3.10 per share, equating to strong double-digit growth.

因此，我們也重申對全年毛利率和營業利潤率的展望。這些相同的下半年驅動因素使我們有信心重申我們對 2025 年其餘前景的預測，包括每股收益目標範圍 2.90 美元至 3.10 美元，相當於強勁的兩位數增長。

As for phasing, top line is expected to be heavily weighted to the fourth quarter due primarily to timing of benefits from already secured new business in US store brand OTC and later than prior year selling activities for the cough and cold season in the European Union. Operating expenses are expected to be higher in the third quarter versus fourth quarter as we amplify advertising and promotion investments to support our winter brands and work to gain share in infant formula.

至於分階段，預計營收將在很大程度上集中在第四季度，這主要是因為已經獲得的美國商店品牌 OTC 新業務的收益時機以及歐盟咳嗽和感冒季節的銷售活動晚於去年同期。由於我們增加廣告和促銷投入以支持我們的冬季品牌並努力爭取嬰兒配方奶粉的份額，預計第三季的營運費用將高於第四季度。

Before I wrap up, just a few quick comments on tariffs. Based on our latest assessments, excluding any potential impact from pharmaceutical tariffs that make over ingredients used in the manufacturing of OTC products, we estimate a gross increase to global cost of goods sold in the fourth quarter of approximately $10 million to $20 million and approximately $50 million to $60 million on a full year basis, equating to approximately 2% of our global COGS. These estimated impacts are much lower than our first quarter update. As previously highlighted, we plan to offset these impacts through a combination of strategic pricing actions, in-sourcing to our US-based manufacturing facilities and other supply chain actions.

在結束之前，我只想對關稅發表幾點簡短的評論。根據我們的最新評估，排除藥品關稅對非處方藥製造原料的潛在影響，我們估計第四季度全球銷售成本將增加約 1,000 萬至 2,000 萬美元，全年將增加約 5,000 萬至 6,000 萬美元，相當於我們全球銷售成本的約 2%。這些估計的影響比我們第一季的更新要低得多。如前所述，我們計劃透過策略性定價行動、向美國製造工廠內部採購以及其他供應鏈行動來抵銷這些影響。

In summary, we are executing well in a challenging consumer environment and believe we have an edge in the marketplace with our unique offerings across the value spectrum. We continue to gain share in many categories and brands, and we remain confident in our ability to deliver strong double-digit EPS growth for the full year.

總而言之，我們在充滿挑戰的消費環境中表現良好，並相信憑藉我們在整個價值範圍內提供的獨特產品，我們在市場上佔據優勢。我們在許多類別和品牌中的份額持續成長，我們仍然有信心在全年實現強勁的兩位數每股收益成長。

Thank you for your time today, and I'll now turn back the call to Bradley.

感謝您今天抽出時間，現在我將把電話轉回給布拉德利。

Thanks, Eduardo. Operator, can we please open the line for questions?

謝謝，愛德華多。接線員，我們可以開通熱線來回答問題嗎？

(Operator Instructions)

（操作員指示）

Keith Devas - Jefferies - Analyst

基思·德瓦斯 (Keith Devas) - Jefferies - 分析師

Great, good morning. Thank you. Maybe just starting with what you're seeing on the infant formula side. Any context you can add maybe just from what you're hearing from retailers as well as how competitors are responding? I think on the last call, you mentioned competitors also engaging in promo activity and some pricing. So how have your second half expectations changed? And how should we expect kind of the recovery to play out for the balance of the year?

太好了，早安。謝謝。也許只是從您在嬰兒配方奶粉方面看到的情況開始。您能否補充一些背景信息，例如您從零售商那裡聽到的消息以及競爭對手的反應？我認為在上次通話中，您提到競爭對手也參與了促銷活動和一些定價。那麼您對下半年的預期有何變化？那麼，我們該如何預期今年剩下的復甦進程呢？

Good morning, Keith, I'll take the first part of that question and then for the more detailed financials, hand over to Eduardo. The market is, I would describe, quite fluid, quite volatile. Brands are promoting quite heavily to gain share. We've seen a number of new products being launched. And I would say that our placement at the shelf is not optimal at certain retailers. There's also probably opportunity in some of our packaging claims as well.

早上好，基思，我將回答這個問題的第一部分，然後將更詳細的財務數據交給愛德華多。我想說，市場非常不穩定，波動很大。各大品牌都在大力推廣以搶佔市場份額。我們看到許多新產品被推出。我想說的是，在某些零售商那裡，我們的貨架擺放位置並不是最佳的。我們的一些包裝聲明中也可能存在機會。

Store brand infant formula volume, it does continue to grow. But as I mentioned, new volume has entered the category, and that has dampened our share growth versus our expectations a few months ago. I'm confident that we're putting into place the right steps to grow value share above our historical norms.

商店品牌嬰兒配方奶粉的銷售量確實持續成長。但正如我所提到的，新的銷量進入了該類別，這抑制了我們幾個月前預期的市佔率成長。我相信，我們正在採取正確的措施，使價值份額超越歷史標準。

And we really expect to continue to ramp up in the second half. We still have 20% of our SKUs that we were launching this year to be placed in the market, but we are stepping up our demand activation activities, our new mom targeting programs, et cetera. So slower than expected, but largely on track in a market that's really been more dynamic than we've seen probably previously. Eduardo?

我們確實希望下半年能夠繼續成長。我們今年推出的 SKU 仍有 20% 需要推出市場，但我們正在加強需求活化活動、新手媽媽定位計畫等。因此，雖然速度比預期要慢，但總體而言，市場比我們以前見過的更加活躍，並且發展勢頭良好。愛德華多？

Yeah. Hey, Keith, good morning, Eduardo here. So a couple of comments there. So first, starting with the second quarter, right? So we saw an important increase in our revenue, about 9%. That's mainly driven by store brands. We're seeing, not unexpected, Good Start having a low pickup, a slower pickup versus we originally expected because of the relaunch of the brand that we had at the beginning of the year go under the Good Start, Dr. Brown's, right.

是的。嘿，基思，早上好，我是愛德華多。這裡有幾則評論。那麼首先，從第二季開始，對嗎？因此，我們的收入顯著增加，約為 9%。這主要由商店品牌推動。我們看到，這並不意外，Good Start 的回升幅度較低，比我們最初預期的要慢，因為我們在年初重新推出了 Good Start 旗下的布朗博士品牌，對吧。

But the new SKUs, the 80% that we launched in the second quarter are starting to pick up. They're all on shelf across the major retailers, and it's a matter of pickup velocity. We're putting all the actions in terms of promotion to make sure we achieve our expectation in the second half.

但我們在第二季推出的新 SKU（佔 80%）開始回升。它們都在各大零售商的貨架上，這只是提貨速度的問題。我們正在採取一切行動來確保我們在下半年實現我們的期望。

In light of some of the softness that we saw in the second quarter, we're more prudent and instead of seeing a 25% growth versus last year, we're more expecting to see a 25% increase in the second half versus the first half of the year. And that's what we're positioning right now.

鑑於第二季出現的一些疲軟跡象，我們更加謹慎，我們預計下半年經濟將比上半年成長 25%，而不是比去年同期成長 25%。這就是我們現在的定位。

I think, Keith, just to make sure we don't lose the large sight on the big picture, right? So as we look into our performance in the first half of the year, so we were able to grow earnings per share by $0.34 as compared to last year. And so when you look into our midpoint of the range between $2.90 and $3.10, and as you compare to what we need to deliver in the second half is just a 3% increase in earnings per share, right? I know that gross margin and some of the infant formula, it's a big question on people's mind, but I want to make sure we put that in the right context that we just need to deliver 3% ahead of what delivered last year.

基思，我想這只是為了確保我們不會忽視大局，對嗎？因此，當我們回顧今年上半年的業績時，我們發現與去年相比，每股收益成長了 0.34 美元。因此，當您查看我們介於 2.90 美元和 3.10 美元之間的中間值時，與我們下半年需要實現的目標相比，每股收益僅增長 3%，對嗎？我知道毛利率和一些嬰兒配方奶粉是人們心中的一個大問題，但我想確保我們把這個問題放在正確的背景下，我們只需要比去年增長 3% 即可。

And there are some important points that I wanted to highlight today. First, all the contracts that we won on OTC store brand give us a significant advantage versus the first half of the year. And second, the infant formula growth that I just mentioned, those 2 key points give us the confidence that we're going to be able to deliver our EPS target there. We're seeing consumer softening. But given also the gains that we had in OTC store brand volume share, this puts us in a confident position that we're going to be able to deliver our range.

今天我想強調一些要點。首先，我們在 OTC 自有品牌上贏得的所有合約都為我們帶來了與上半年相比顯著的優勢。其次，我剛才提到的嬰兒配方奶粉的成長，這兩個關鍵點讓我們有信心實現我們的每股盈餘目標。我們看到消費者的消費熱情正在減弱。但考慮到我們在非處方藥商店品牌銷售份額上的成長，我們有信心能夠提供我們的產品系列。

The only adjustment there, it's mainly on the top line, given some of the softness that we talked about in the first half of the year and some prudent approach on how we expect consumer trend to happen in the second half of the year. So I want to make sure -- I know infant formula always calls some questions, but it's important that we put in the broad context that if we're able to deliver 3% higher EPS versus what we delivered last year in a much stronger context than we were last year, we can deliver our EPS for the year.

唯一的調整主要集中在營收方面，考慮到我們談到的上半年的一些疲軟表現，以及我們對下半年消費趨勢的謹慎預期。所以我想確保——我知道嬰兒配方奶粉總是會引發一些問題，但重要的是，我們要從大局出發，如果我們能夠在比去年強勁得多的環境下，實現比去年高出 3% 的每股收益，那麼我們就能實現全年的每股收益。

Great. That's very helpful. I think you touched on a lot of points that I was going to get to in the follow-up, but maybe just confirming some of the building blocks you laid out in the second half to get to guidance. I think originally, you called for 60% of the EPS to come in the second half. It looks like a little bit more now. Maybe just talk about the visibility that you have in some of the building blocks you called out earlier to get there despite the top line coming in a little at the low end of the range. Anything you can add just in terms of actual --

偉大的。這非常有幫助。我認為您觸及了很多我將在後續討論的要點，但也許只是確認了您在下半部分列出的一些基本要點，以便獲得指導。我認為您最初預計 60% 的 EPS 會出現在下半年。現在看起來有點多了。也許只是談談您對之前提到的一些基本要素的了解，儘管營收略微處於較低水平。任何你可以添加的實際內容--

Yeah, I just want to address the point you said that we don't agree with. The EPS requirement for the second half is exactly in line with our guidance. It is not an increased burden in the second half. It's being executed per our financial plan and our financial guidance. But to go into a bit more detail on the other part of your question, Eduardo?

是的，我只是想談談你所說的我們不同意的一點。下半年的每股盈餘要求與我們的指引完全一致。這並不會增加下半年的負擔。它是根據我們的財務計劃和財務指導執行的。但是愛德華多，您能更詳細地解釋一下您問題的另一部分嗎？

Yeah. So on organic sales, right, so second half versus first half, it's high single digits that we expect. We don't expect significant contribution from CSCI, because you know CSCI last year had a strong position. And because also we have the divestments that are lapping significantly in the mid of this year. We do not expect significant change there. The majority of that growth comes from CSCA and 75% of the growth is coming from OTC, right? It's all about the new contracts, the wins versus losses, which, remember, it was a negative impact in the first half of this year, and it's going to be a positive in the second half. So you need to consider, in total, it's a significant amount of growth in the top line we expect to see in the second half.

是的。因此，就有機銷售額而言，與上半年相比，我們預計下半年的銷售額將達到高個位數。我們並不期望 CSCI 做出重大貢獻，因為你知道 CSCI 去年佔據強勢地位。並且因為我們在今年年中也進行了大量的資產剝離。我們並不期望那裡會發生重大變化。大部分成長來自 CSCA，75% 的成長來自 OTC，對嗎？一切都與新合約、勝利與失敗有關，請記住，這在今年上半年產生了負面影響，但在下半年將產生正面影響。因此，你需要考慮的是，總的來說，我們預計下半年營收將大幅成長。

Second, cough and cold season assumptions as well. Remember, last year, we had a very late start. So we are assuming that we should see a pickup there. And all the demand generation activities that Patrick highlighted and focused on the velocity and all the partnerships, like the example he gave on allergy, and we're looking to similar ones in other parts of the OTC business, give us the confidence we're going to be able to deliver on that. And the remaining 25% comes from Nutrition.

第二，咳嗽和感冒季節假設也是如此。記住，去年我們起步很晚。所以我們假設我們應該在那裡看到回升。帕特里克強調的所有需求生成活動都專注於速度和所有合作夥伴關係，例如他在過敏方面給出的例子，我們也在尋求非處方藥業務其他部分的類似活動，這讓我們有信心能夠實現這一目標。其餘 25% 來自營養。

And again, it's basically those 4 points that Patrick mentioned, it's the 20% of the remaining SKU, it's the ramp-up of the 80%, it's all the demand generation activities that we're doing and making sure that we have the promotion of what they need. When we look into gross margin, in the first half, we delivered 39.5%, right?

再說一次，這基本上就是帕特里克提到的 4 點，即剩餘 SKU 的 20%，80% 的提升，以及我們正在進行的所有需求生成活動，並確保我們能夠推廣他們所需要的產品。當我們查看毛利率時，上半年我們的毛利率為 39.5%，對嗎？

And one thing that I don't know if it was exactly clear in my comments, but we planned that we would see a second quarter impact because of lower volume absorption coming from the last quarter of last year, because of the deferral of those variances, we knew that was going to impact. So we're exactly on plan. To be honest, we believe we are a little bit ahead of our plan. So that gives us the more confidence to deliver on the second half of the year.

我不知道我的評論是否明確表達了這一點，但我們預計第二季度將受到影響，因為去年最後一個季度的銷售吸收量較低，由於這些差異的推遲，我們知道這將會產生影響。所以我們的計劃完全按照計劃進行。說實話，我們相信我們已經比計劃提前了一點。因此，這讓我們更有信心在下半年實現目標。

And then in terms of operating profit, right, so the key driver of that is really the gross profit, and we expect some lower operating expenses to take place in the second half of the year. Remember when we highlighted during the Investor Day in the first quarter that we will do significant investment in the first half of the year to make sure that we would support our brands, and we did a significant portion of that.

然後就營業利潤而言，其關鍵驅動力實際上是毛利，我們預計下半年營業費用會有所下降。記得我們在第一季的投資者日上強調，我們將在上半年進行大量投資，以確保我們能夠支持我們的品牌，而且我們已經完成了其中的很大一部分。

We didn't go more aggressive there because of the softening that we saw in some markets and certain categories like allergy, the skin care season that was very late in the Northern Europe as well this year. And so all those components made us a little bit adjust that. So that's why you see a little bit more A&P investments in the third quarter. But at the end of the day, as Patrick highlighted, we're going to be 60% towards the second half versus 40% in the first half that we delivered. So against our plans, we are pretty in line with that.

我們並沒有在那裡採取更積極的舉措，因為我們看到一些市場和某些類別（如過敏類產品）的銷售疲軟，今年北歐的護膚季節也來得很晚。因此，所有這些組件都要求我們對此進行一些調整。這就是為什麼你會看到第三季的 A&P 投資略有增加。但最終，正如派崔克所強調的，我們將在下半年實現 60% 的目標，而上半年我們實現的目標為 40%。因此，根據我們的計劃，我們非常符合這一點。

Great, thanks for all the color pass it on.

太好了，感謝大家傳遞的色彩。

Susan Anderson, Canaccord Genuity.

蘇珊安德森（Susan Anderson），Canaccord Genuity。

Hi, good morning, thanks for taking my questions You talked about taking strategic pricing. I guess maybe if you could talk a little bit more about what that will look like? Will it be across both the branded and private label OTC? And then I guess in private label, I'm just curious the conversations you're having with retailers around potential pricing. I guess, are they open to kind of increased prices there? Thanks.

你好，早安，感謝您回答我的問題。您談到了策略定價。我想也許您可以再多談談它會是什麼樣子？它會涵蓋品牌 OTC 和自有品牌 OTC 嗎？然後我想在自有品牌中，我只是好奇您與零售商就潛在定價進行的對話。我猜，他們願意接受那裡的價格上漲嗎？謝謝。

That's me. Hi, Susan. Good morning, Eduardo here. Your question is mainly related to the impact on tariffs, right? So again, as we mentioned, for this year, we expect a small impact between $10 million and $20 million, mainly in the fourth quarter of the year. But we're having very good discussions on both OTC and Oral Care, and the impact is evenly split amongst those two. Some categories are very clear and customers are accepting that. Sometimes they challenge on the volumes of the business.

這就是我。你好，蘇珊。早上好，我是愛德華多。您的問題主要涉及對關稅的影響，對嗎？因此，正如我們所提到的，對於今年而言，我們預計影響金額將在 1,000 萬至 2,000 萬美元之間，主要集中在第四季度。但是，我們就非處方藥和口腔護理進行了非常好的討論，並且影響在兩者之間是均等的。有些類別非常明確，客戶也接受這一點。有時他們會對業務量提出挑戰。

But so far, we're pretty well on track on our expectations to fully offset those impacts, not only this year, but also next year. And remember, about two thirds of that is going to come from pricing actions and the remaining are related to supply chain, either in sourcing or other actions that we're taking.

但到目前為止，我們基本上已經實現了預期目標，不僅今年，而且明年都能完全抵消這些影響。請記住，其中約三分之二將來自定價行動，其餘部分與供應鏈有關，無論是採購還是我們正在採取的其他行動。

Okay. Great. And then I was just curious on the private label side. Are you seeing any accelerated pace of kind of consumers trading down to private label at all? Or is it kind of pretty consistent with what we have seen in the past?

好的。偉大的。然後我只是對自有品牌方面感到好奇。您是否看到消費者轉向自有品牌的腳步正在加快？或者它與我們過去所見的情況非常一致？

I think it's fair to say we have seen an acceleration. Store brand OTC is gaining share. We're gaining share of store brand OTC. We're seeing volume and now units accelerating as well. And the important point here is typically 70% to 80% of consumers, once they do move into store brands stay with store brands. So think of that as an annuity going forward.

我認為可以公平地說我們已經看到了加速。商店品牌 OTC 的份額正在增加。我們正在獲得商店品牌 OTC 的份額。我們看到產量和單位數量也在加速成長。這裡的重點是，通常有 70% 到 80% 的消費者一旦轉向商店品牌就會繼續購買商店品牌。所以可以將其視為未來的年金。

They get exactly the same, obviously, medical benefit for significantly better value. So we are seeing it. We are seeing and partnering with retailers to continue to invest and grow household penetration of the store brand OTC. I think the allergy program that I referenced in my comments is a very good illustration. And we have multiple similar efforts now being developed through execution in cough, cold into '26.

顯然，他們獲得的醫療福利完全相同，但價值卻高得多。所以我們看到了它。我們正在尋找零售商並與他們合作，繼續投資並提高商店品牌 OTC 的家庭滲透率。我認為我在評論中提到的過敏計劃是一個很好的例子。目前，我們正在進行多項類似的工作，以應對咳嗽、感冒等疾病，並將持續到 26 年。

We talked at the last call about this demand generation effort. I committed to give some commentary on that. We will see about $20 million of revenue that we're seeking to target, which will help us maintain sales in light of some category contraction and a multiple of that going into '26.

我們在上次電話會議上討論了這項需求生成工作。我承諾對此發表一些評論。我們將實現約 2,000 萬美元的收入目標，這將有助於我們在部分品類萎縮以及 26 年銷售額成倍增長的情況下維持銷售額。

Now that all needs to be part of our financial stewardship, of course, as we look to deliver margin and EPS expansion. But we've put a lot of effort into this incremental demand generation. I'm pleased with what I'm seeing. It's new work for Perrigo. It's new work for a lot of our retailers, but it's having a meaningful consumer impact, and we will continue to expand that.

當然，現在所有這些都需要成為我們財務管理的一部分，因為我們希望實現利潤和每股盈餘的擴大。但我們為這項增量需求的產生付出了很多努力。我對我所看到的一切感到滿意。對 Perrigo 來說，這是一項新工作。對於我們的許多零售商來說，這是一項新工作，但它對消費者產生了有意義的影響，我們將繼續擴大這一影響。

Okay. Great. And then maybe just a follow-up on the previous question on just kind of like the back half, but more focused on the top line. I guess I'm just curious on, I guess, the step change in growth to the back half. I don't know if you can kind of parse it out by order of magnitude kind of the change. Is the biggest change in growth coming from infant formula, the private label OTC gains? Or maybe if you could just kind of expand on that a little bit. Thanks.

好的。偉大的。然後也許只是對上一個問題的後半部分進行跟進，但更多地關注頂線。我想我只是對後半部分的成長變化感到好奇。我不知道您是否可以按數量級來分析這種變化。成長的最大變化是否來自嬰兒配方奶粉，即自有品牌 OTC 產品的收益？或者也許您可以稍微詳細闡述這一點。謝謝。

Let me give some real top line, and Eduardo with a bit more detail. It's a fair question. You'll see about 9% approximately increase in second half versus first half. The international business relatively flat. So very encouragingly, we're starting to see a step change in performance in the US, which has taken a lot of work and planning. Order of magnitude, about 15% increase in the second half versus half one for the Americas business. And to answer your question, about 75% of that actually coming from OTC.

讓我給出一些真正的頂線，然後 Eduardo 給出更詳細的資訊。這是一個公平的問題。你會看到下半年比上半年增加約 9%。國際業務相對平淡。非常令人鼓舞的是，我們開始看到美國的表現發生了顯著變化，這需要大量的工作和規劃。數量級上，美洲業務下半年較上半年成長約 15%。回答你的問題，其中大約 75% 實際上來自 OTC。

We've talked about net wins and losses in store brand contracts in excess of $75 million from there. The cough and cold season was particularly weak last year. So you'll see tens of millions of improvement on that. I just talked about demand generation accelerating store brand OTC velocity. That's north of $30 million.

從那時起，我們談論了商店品牌合約的淨盈虧超過 7500 萬美元。去年咳嗽和感冒季節特別淡。因此，你會看到數千萬方面的進步。我剛剛談到了需求產生加速商店品牌 OTC 速度。這超過了 3000 萬美元。

And then about 25% coming from the Nutrition and infant formula business as we see consumption ramp-up in new SKUs and demand generation activity kicking in as well. So it's fairly broad. It's mainly centered in the US business, which has been a key focus for us in terms of improving performance, and that's starting to land in the P&L now.

約 25% 來自營養和嬰兒配方奶粉業務，因為我們看到新 SKU 的消費量增加，需求產生活動也開始發揮作用。所以它的範圍相當廣泛。它主要集中在美國業務，這一直是我們提高業績的重點，現在已經開始體現在損益表中。

Okay. Great. That was very helpful. And then maybe just one last question on Opill. I guess, any changes in your longer-term expectation? I think you had previously said $100 million over the long term. Now I think it's been kind of under your belt for about a year now. So I guess, any change there, any learnings from the brand just in terms of how to manage it going forward? And then also, do you plan to continue to increase the marketing there to increase awareness?

好的。偉大的。這非常有幫助。然後也許還有最後一個關於 Opill 的問題。我猜，你的長期預期有什麼改變嗎？我認為您之前說過長期目標是 1 億美元。現在我想你已經掌握了這些技能大約有一年了。所以我想，就未來如何管理而言，那裡有什麼變化嗎？從品牌有什麼經驗嗎？另外，您是否計劃繼續加強行銷以提高知名度？

Thank you. Increasingly pleased with the performance of Opill. We'll double consumption this year. We're seeing repeat rates now of about 55%, which is exceptional. There is growing awareness, growing trial. Repeat, as I say, extremely high. So we will continue to invest to build awareness. What we've learned is there are very particular cohorts that this brand appeals to. And so we're much more targeted now in our media and our communication and our trial programs against those four cohorts, and it's working well.

謝謝。對 Opill 的表現越來越滿意。今年我們的消費量將翻倍。我們現在看到的重複率約為 55%，這是一個非常高的數字。人們的認識不斷增長，嘗試也不斷增加。重複一遍，正如我所說，非常高。因此我們將繼續投資以提高知名度。我們了解到，這個品牌吸引的是一些特定的群體。因此，我們現在在媒體、溝通和試驗計畫中針對這四個群體更有針對性，而且效果很好。

I think the team is getting increasingly good at the brand building necessary for those cohorts. We're at a point where we believe we can now start to roll out an O brand architecture. We have two or three active projects now in our innovation master plan to continue to build out comprehensive women's health brand under the O brand across critical life stages, lifestyles and key need states.

我認為該團隊在為這些群體進行必要的品牌建立方面越來越擅長。我們相信，現在我們可以開始推出 O 品牌架構了。我們的創新總體規劃中目前有兩三個活躍的項目，將繼續在 O 品牌下打造涵蓋關鍵人生階段、生活方式和關鍵需求狀態的綜合女性健康品牌。

So encouraging, and we continue to grow the brand. It was slower than initially anticipated or forecasted in bases, but I'm pleased with how it's developing. What it does show is we can successfully manage a switch. We're able to launch a new category and create new brands.

非常令人鼓舞，我們會繼續發展品牌。它的速度比最初預期或預測的要慢，但我對它的發展感到滿意。它確實表明我們可以成功管理開關。我們能夠推出新的類別並創建新的品牌。

Great. Thanks so much for all the details. Good luck the rest of the year.

偉大的。非常感謝您提供的所有詳細資訊。祝今年餘下的時間一切順利。

Thank you, Susan.

謝謝你，蘇珊。

Chris Schott - JPMorgan - Analyst

摩根大通分析師 Chris Schott

Hi, this is Ethan on for Chris Schott. Thanks for taking the questions. Just starting off on infant formula. I was curious if you could give any color on what led to the increased product scrap? And then from here, what's your level of confidence that this has been addressed and won't continue to weigh on margins going forward? And then one follow-up after. Thank you.

大家好，我是 Ethan，為 Chris Schott 服務。感謝您回答這些問題。剛開始使用嬰兒配方奶粉。我很好奇，您能否解釋一下導致產品廢品率增加的原因？那麼從現在開始，您對這個問題已經解決並且不會繼續影響未來利潤率的信心程度如何？然後再進行一次跟進。謝謝。

Thank you, Ethan. As you know, we implemented comprehensive quality assured manufacturing. This was an isolated production issue. The product was out of spec. Our quality systems instantly picked up on that. We made the prudent decision to scrap. Nothing was released into market. We have done a full CAPA on that, adjusted some of our processes, as you would expect, and a continuous improvement in manufacturing environment.

謝謝你，伊森。如您所知，我們實施了全面的品質保證製造。這是一個孤立的生產問題。該產品不符合規格。我們的品質系統立即註意到了這一點。我們做出了謹慎的決定——廢除。沒有任何東西投放市場。正如您所期望的，我們對此進行了全面的 CAPA，調整了一些流程，並不斷改善了製造環境。

And we are very pleased with the continued levels of quality assurance that we're achieving. So to answer the question, it was one-off. It was caught. We took the prudent step to scrap, and I do see it as isolated. And most importantly, reaffirmation of the quality manufacturing we now have in place.

我們對持續實現的品質保證水準感到非常滿意。所以回答這個問題，它是一次性的。它被抓住了。我們採取了謹慎的措施來廢除該條約，但我確實認為這是孤立的。最重要的是，再次肯定了我們現有的製造品質。

Thank you. That's very helpful. And then with the updated expectations on the infant formula ramp for the second half of the year, what does that imply for the share you're targeting to exit the year at? And then how does that -- or does that cause you to rethink your long-term guidance at all? Thank you.

謝謝。這非常有幫助。那麼，根據對下半年嬰兒配方奶粉銷售成長的最新預期，這對你們今年年底的目標份額意味著什麼？那麼這會怎麼樣——或者這是否會讓您重新考慮您的長期指導？謝謝。

I'll take that and then Eduardo will add any color. I think it's fair to say that it has been a slower ramp-up than we expected. We've stepped up some of our activity in terms of demand generation, looking at some of our packaging claims, as I mentioned. And there's no doubt we need to put more effort against rebuilding point of market entry. So we still have the same share ambition. It will take longer. So in terms of store brand volume, share, capacity requirements, et cetera, that's okay.

我會接受這個，然後愛德華多會添加任何顏色。我認為可以公平地說，成長速度比我們預期的要慢。正如我所提到的，我們在需求生成方面加強了一些活動，並研究了一些包裝聲明。毫無疑問，我們需要付出更多努力來重建市場切入點。因此我們仍然有著同樣的共享抱負。這將需要更長的時間。因此，就商店品牌的數量、份額、容量要求等而言，這是可以的。

The bigger question for us, frankly, is there's a lot of variability in terms of local branded share, what that is going to be on a going basis given the continued importation primarily of European organic products? What share of the market are they going to take on a long-term basis? Will the US administration continue to allow importation of foreign product given emphasis on made in America and the quality standards we already have in our formulations as local manufacturers? That has some variability to it. And we need to continue to try to triangulate that capacity assumption and that has implications for capital, et cetera. But in terms of the primary part of our business, store branded formula, no change to our long-term outlook, and we continue to work through the dynamism that we're seeing on this foreign importation as a matter of priority.

坦白說，對我們來說，更大的問題是，本地品牌份額存在很大的差異，考慮到主要繼續進口歐洲有機產品，這種差異將會持續存在嗎？從長遠來看，他們將佔據多少市場份額？鑑於美國製造以及我們作為本地製造商在配方中已經擁有的品質標準，美國政府是否會繼續允許進口外國產品？這具有一定的可變性。我們需要繼續嘗試對容量假設進行三角測量，這對資本等有影響。但就我們業務的主要部分，即商店品牌配方而言，我們的長期前景並沒有改變，我們將繼續優先考慮我們在這種外國進口中看到的活力。

Thank you.

謝謝。

And we have no further questions at this time. I would like to turn it back to Patrick Lockwood-Taylor for closing remarks.

目前我們沒有其他問題。我想請派崔克洛克伍德泰勒作最後發言。

Thank you very much. So as we continue to execute our Three-S Plan, Stabilize, Streamline and Strengthen, we are seeing tangible progress across key areas of the business. New wins in our store brand business have overtaken prior year losses. We've upgraded our brand-building capabilities, and those are delivering the results we want.

非常感謝。因此，隨著我們繼續執行「三S」計劃，即穩定、精簡和加強，我們看到業務的關鍵領域取得了切實的進展。我們的自有品牌業務的新勝利已經彌補了前一年的損失。我們已經升級了品牌建立能力，並且正在取得我們想要的成果。

We're scaling our commercial operating growth model, driven by strategic category and brand management with enhanced local commercial execution. This is accelerating and is proving its effectiveness as I hope we've given you some proof points on today. Despite a dynamic and difficult consumer environment, Perrigo's diversified portfolio of hundreds of molecules across all price points remains a source of resilience, enabling us to grow share in our most strategic categories and outperform the market very significantly.

我們正在擴大我們的商業營運成長模式，以策略類別和品牌管理為驅動力，並加強本地商業執行。這一進程正在加速，並正在證明其有效性，我希望我們今天已經為您提供了一些證據。儘管消費環境充滿活力且充滿挑戰，Perrigo 涵蓋各個價位的數百種產品分子的多元化產品組合仍然是我們保持韌性的源泉，使我們能夠在最具戰略性的類別中擴大份額，並顯著超越市場表現。

Looking ahead, we're reaffirming our fiscal year '25 outlook with strong operating income growth expected in the high single-digit range and EPS growth expected in the mid-double-digit range, even as net sales are expected towards the lower end of our guidance. We remain very focused on driving growth, deleveraging our balance sheet and improving free cash flow to net sales, all of which position Perrigo for long-term value creation. Many thanks for joining us today.

展望未來，我們重申對 25 財年的展望，預計營業收入將強勁增長，達到高個位數，每股收益將增長，達到中兩位數，儘管淨銷售額預計接近我們預期的低端。我們仍然非常注重推動成長、降低資產負債表槓桿率以及提高自由現金流與淨銷售額的比率，所有這些都使 Perrigo 能夠創造長期價值。非常感謝您今天加入我們。

Thank you, presenters, and this concludes today's conference call. Thank you all for joining. You may now disconnect.

謝謝各位演講者，今天的電話會議到此結束。感謝大家的加入。您現在可以斷開連線。