Revolve Group Inc (RVLV) 2023 Q1 法說會逐字稿

Good day, everyone. My name is Lisa, and I will be your conference operator today. At this time, I would like to welcome everyone to Revolve's First Quarter 2023 Earnings Conference Call.

今天是個好日子。我叫麗莎，今天我將擔任你們的會議接線員。在這個時候，我想歡迎大家參加 Revolve 的 2023 年第一季度收益電話會議。

(Operator Instructions)

（操作員說明）

At this time, I would like to turn the conference over to Erik Randerson, Vice President of Investor Relations at Revolve. Thank you. You may begin.

此時，我想將會議轉交給 Revolve 投資者關係副總裁 Erik Randerson。謝謝。你可以開始了。

Good afternoon, everyone, and thanks for joining us to discuss Revolve's first quarter 2023 results. Before we begin, I'd like to mention we have posted a presentation containing Q1 financial highlights to our Investor Relations website located at investors.revolve.com.

大家下午好，感謝您加入我們討論 Revolve 2023 年第一季度的業績。在開始之前，我想提一下，我們已經在位於 investors.revolve.com 的投資者關係網站上發布了包含第一季度財務亮點的演示文稿。

I would also like to remind you that this conference call will include forward-looking statements, including statements related to various business operations and marketing initiatives and investments, our inventory balance and management, economic conditions and their impact on consumer demand, the impact of our new fulfillment centers, our future growth and profitability, market opportunities, macroeconomic and industry trends and our outlook for net sales, gross margin, operating expenses and effective tax rate.

我還想提醒您，本次電話會議將包括前瞻性陳述，包括與各種業務運營和營銷計劃及投資、我們的庫存平衡和管理、經濟狀況及其對消費者需求的影響、我們的影響新的運營中心、我們未來的增長和盈利能力、市場機會、宏觀經濟和行業趨勢以及我們對淨銷售額、毛利率、運營費用和有效稅率的展望。

These statements are subject to various risks, uncertainties and assumptions that could cause our actual results to differ materially from these statements including the risks mentioned in this afternoon's press release as well as other risks and uncertainties disclosed under the caption Risk Factors and elsewhere in our filings with the Securities and Exchange Commission, including, without limitation, our annual report on Form 10-K for the year ended December 31, 2022, and our subsequent quarterly reports on Form 10-Q, all of which can be found on our website at investors.revolve.com. We undertake no obligation to revise or update any forward-looking statements or information, except as required by law.

這些陳述受到各種風險、不確定性和假設的影響，這些風險、不確定性和假設可能導致我們的實際結果與這些陳述產生重大差異，包括今天下午的新聞稿中提到的風險，以及在風險因素標題下和我們提交的其他文件中披露的其他風險和不確定性與證券交易委員會一起提交，包括但不限於我們截至 2022 年 12 月 31 日的年度 10-K 表格年度報告，以及我們隨後的 10-Q 表格季度報告，所有這些都可以在我們的網站上找到：投資者.revolve.com。除非法律要求，否則我們不承擔修改或更新任何前瞻性陳述或信息的義務。

During our call today, we will also reference certain non-GAAP financial information, including adjusted EBITDA and free cash flow. We use non-GAAP measures in some of our financial discussions as we believe they provide valuable insights on our operational performance and underlying operating results. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for or superior to the financial information prepared and presented in accordance with GAAP. And our non-GAAP measures may be different from non-GAAP measures used by other companies. Reconciliations of non-GAAP measures to GAAP measures as well as the definitions of each measure, their limitations and our rationale for using them can be found in this afternoon's press release and in our SEC filings.

在我們今天的電話會議中，我們還將參考某些非 GAAP 財務信息，包括調整後的 EBITDA 和自由現金流。我們在一些財務討論中使用非 GAAP 指標，因為我們相信它們可以提供有關我們的運營績效和基本運營結果的寶貴見解。本非 GAAP 財務信息的列報不應被孤立地考慮，也不能替代或優於根據 GAAP 編制和列報的財務信息。我們的非 GAAP 措施可能與其他公司使用的非 GAAP 措施不同。非 GAAP 措施與 GAAP 措施的協調以及每項措施的定義、它們的局限性和我們使用它們的理由可以在今天下午的新聞稿和我們提交給美國證券交易委員會的文件中找到。

Joining me on the call today are co-Founders and co-CEOs, Mike Karanikolas and Michael Mente as well as Jesse Timmermans, our CFO. Following our prepared remarks, we'll open the call for your questions.

今天和我一起參加電話會議的有聯合創始人兼聯合首席執行官 Mike Karanikolas 和 Michael Mente 以及我們的首席財務官 Jesse Timmermans。在我們準備好的評論之後，我們將開始徵集您的問題。

With that, I'll turn it over to Mike.

有了這個，我會把它交給邁克。

Hello, everyone, and thanks for joining us today. We reported mixed results for the first quarter of 2023 amidst an increasingly uncertain macro environment and against a very difficult prior year comparison. After a better-than-expected start to the first quarter of 2023 that we discussed in February on our fourth quarter earnings call, consumer demand decelerated for the remainder of the first quarter, consistent with the U.S. Department of Commerce data showing a meaningful deceleration in consumer spending from January to March. This led to a 1% year-over-year decrease in net sales for the first quarter.

大家好，感謝今天加入我們。在越來越不確定的宏觀環境和非常艱難的前一年比較中，我們報告了 2023 年第一季度的混合結果。我們在 2 月的第四季度財報電話會議上討論了 2023 年第一季度開局好於預期之後，第一季度剩餘時間的消費者需求放緩，這與美國商務部數據顯示消費需求顯著放緩一致一月至三月的消費者支出。這導致第一季度淨銷售額同比下降 1%。

On very positive front, however, we are making great progress on several key initiatives. We continue to make investments in the brand that we believe will benefit us over the long term. And despite the macro challenges, we made excellent progress on rebalancing our inventory position and generated exceptional free cash flow during the first quarter, further strengthening our balance sheet.

然而，在非常積極的方面，我們在幾項關鍵舉措上取得了很大進展。我們繼續投資於我們認為將使我們長期受益的品牌。儘管面臨宏觀挑戰，我們在重新平衡庫存頭寸方面取得了出色進展，並在第一季度產生了出色的自由現金流，進一步加強了我們的資產負債表。

With that as an introduction, there are 3 key messages I want to focus your attention on today. First, despite a macro environment that became more challenging as the first quarter progressed, we achieved excellent progress towards recalibrating our inventory, and we believe we are on track with our objective of rebalancing our inventory position by the end of the second quarter of 2023. The spread between our inventory growth year-over-year, and our net sales decline year-over-year decreased by more than 50% in the first quarter on a sequential basis compared to the fourth quarter of 2022. These favorable dynamics give us confidence in our outlook for gross margins improving and the pressure levels we reported in the first quarter of 2023.

作為介紹，今天我想強調 3 個關鍵信息。首先，儘管隨著第一季度的進展，宏觀環境變得更具挑戰性，但我們在重新調整庫存方面取得了出色的進展，我們相信我們正在按計劃實現到 2023 年第二季度末重新平衡庫存狀況的目標。與 2022 年第四季度相比，第一季度我們的庫存同比增長與淨銷售額同比下降之間的差距環比下降了 50% 以上。這些有利的動態給了我們信心在我們對毛利率改善的展望和我們在 2023 年第一季度報告的壓力水平中。

Second, our significantly improved inventory dynamics helped us generate $49 million in cash flow from operating activities in the first quarter, more than double our cash flow generation for the full year of 2022. Our strong profitability and cash flow generation truly stands out within the fashion e-commerce sector. And coupled with the $283 million in cash on the balance sheet at the end of the first quarter, we are in a position of strength to invest in our large market opportunity ahead of us at a time when many industry peers are forced to play defense. Challenging economic times like the current environment create opportunities for financially strong companies to prudently invest and further separate from the competition.

其次，我們顯著改善的庫存動態幫助我們在第一季度從經營活動中產生了 4900 萬美元的現金流，是 2022 年全年現金流量的兩倍多。我們強大的盈利能力和現金流量在時尚界真正脫穎而出電子商務領域。加上第一季度末資產負債表上的 2.83 億美元現金，在許多行業同行被迫防守的時候，我們有能力投資於我們面前的巨大市場機會。像當前環境這樣充滿挑戰的經濟時代為財務實力雄厚的公司提供了審慎投資並進一步從競爭中脫穎而出的機會。

And third, we are executing on several important growth, brand-building and efficiency initiatives that we believe will further strengthen our foundation for profitable growth over the long term, particularly when the wind is at our backs once again. Michael and I will share our progress on several key initiatives throughout the organization, including technology, operations, marketing and international. In such a dynamic period, I'm pleased that our teams have remained laser-focused on the operational priorities I discussed on last quarter's conference call.

第三，我們正在執行幾項重要的增長、品牌建設和效率計劃，我們相信這些計劃將進一步鞏固我們長期盈利增長的基礎，尤其是當風再次助推我們時。邁克爾和我將分享我們在整個組織的幾項關鍵舉措方面取得的進展，包括技術、運營、營銷和國際。在這樣一個充滿活力的時期，我很高興我們的團隊一直專注於我在上個季度的電話會議上討論的運營優先事項。

Now I'll shift gears to discuss highlights of our first quarter in more detail. Recall that during our Q4 2022 earnings call in February, we shared that our net sales in the first 7 weeks of the first quarter of 2023, it increased year-over-year by a mid-single-digit percentage compared to the same period in 2022. Trends decelerated later in the quarter, particularly in March, leading to our 1% year-over-year decrease in net sales for the first quarter of 2023.

現在我將換檔更詳細地討論我們第一季度的亮點。回想一下，在我們 2 月份的 2022 年第四季度財報電話會議上，我們分享了我們在 2023 年第一季度前 7 週的淨銷售額，與去年同期相比，同比增長了中個位數百分比。 2022 年。趨勢在本季度後期放緩，尤其是在 3 月，導致我們 2023 年第一季度的淨銷售額同比下降 1%。

The monthly slope of our first quarter was consistent with decelerating monthly apparel retail sales data from the U.S. Department of Commerce, which further supports our view that our core young consumer demographic is under more pressure today than she was just a few months ago. Also important to keep in mind our difficult prior year comparisons. Stepping back, our net sales have increased at a compound annual growth rate of 19% since the first quarter of 2019, the year of our IPO.

我們第一季度的月度斜率與美國商務部的月度服裝零售銷售數據減速一致，這進一步支持了我們的觀點，即我們的核心年輕消費者群體今天比幾個月前承受更大的壓力。同樣重要的是要記住我們艱難的前一年比較。退一步說，自 2019 年第一季度（IPO 之年）以來，我們的淨銷售額以 19% 的複合年增長率增長。

By region, net sales in the U.S. decreased 5% year-over-year, while international net sales increased 16% year-over-year in the first quarter. Bear in mind that our U.S. net sales growth in the first quarter of 2022 was exceptionally strong, creating a more difficult comparison. I'm very pleased by the healthy international results considering the continued currency headwinds in some of our larger markets such as Australia and the U.K.

按地區劃分，第一季度美國淨銷售額同比下降 5%，而國際淨銷售額同比增長 16%。請記住，我們在 2022 年第一季度的美國淨銷售額增長異常強勁，因此很難進行比較。考慮到我們一些較大市場（例如澳大利亞和英國）的持續貨幣逆風，我對健康的國際業績感到非常高興。

Positive contributors to international growth in the first quarter included China, which is benefiting from the reopening of the Chinese economy as well as an easier year-over-year comparison from China lockdowns that began in the first quarter of 2022, the Middle East in emerging markets such as Mexico and India. I'm particularly excited about Mexico, our market enjoying exceptional growth with net sales almost doubling year-over-year, now ranking as one of our top 5 international markets.

第一季度國際增長的積極貢獻者包括中國，中國受益於中國經濟的重新開放，以及從 2022 年第一季度開始的中國封鎖令同比更容易的比較，中東新興市場墨西哥和印度等市場。我對墨西哥感到特別興奮，我們的市場享受著非凡的增長，淨銷售額幾乎同比翻了一番，現在是我們排名前 5 位的國際市場之一。

We have a series of marketing activities planned to drive even greater awareness in Mexico. We already have the second largest social media following among our international markets. Net income for the first quarter was $14 million or $0.19 per diluted share, and adjusted EBITDA was $15 million. Our profitability was significantly lower than our performance in last year's first quarter primarily due to the nearly 5-point decrease in our gross margin year-over-year.

我們計劃開展一系列營銷活動，以提高墨西哥的知名度。在我們的國際市場中，我們已經擁有第二大社交媒體。第一季度淨收入為 1400 萬美元或每股攤薄收益 0.19 美元，調整後的 EBITDA 為 1500 萬美元。我們的盈利能力明顯低於去年第一季度的業績，這主要是由於我們的毛利率同比下降了近 5 個百分點。

And while the macro environment remains uncertain, some of the pressure points on our P&L in recent periods should begin to ease in the coming quarters. The cost of air freight to import our own brands products from China has decreased significantly, shifting from a headwind in recent years to a tailwind in 2023 as we look forward. And our top line contributions from China have also shifted a headwind into a tailwind after the COVID restrictions were eased earlier this year. Lastly, it appears that we are now past the worst of the headwinds from variable fuel surcharges applied by major carriers to our customer shipments since the peak in jet fuel prices in the second quarter of 2022.

儘管宏觀環境仍然不確定，但我們近期損益表的一些壓力點在未來幾個季度應該會開始緩解。從中國進口自有品牌產品的空運成本已顯著下降，從近年來的逆風轉變為我們期待的 2023 年的順風。在今年早些時候放寬 COVID 限制後，我們來自中國的頂級貢獻也將逆風轉變為順風。最後，自 2022 年第二季度航空燃油價格見頂以來，主要承運商對我們的客戶出貨量徵收可變燃油附加費的最嚴重不利因素似乎已經過去。

Now as mentioned earlier, I'll provide brief updates on key operating priorities that build on our foundation of growth and operating efficiency and further enhance our already best-in-class customer experience. First and foremost, we are extremely focused on driving cost efficiencies within our global shipping and logistics operations, help offset cost pressures including the impact from a higher return rate year-over-year. Our team has already delivered early wins in optimizing customer shipping costs to some international regions. We are pursuing a much larger scope of cost-saving initiatives that we believe has the potential to be impactful later this year. Jesse will talk more about this important effort in his remarks.

現在，如前所述，我將簡要介紹建立在我們增長和運營效率基礎上的關鍵運營優先事項，並進一步增強我們已經一流的客戶體驗。首先，我們非常專注於在我們的全球航運和物流業務中提高成本效率，幫助抵消成本壓力，包括同比更高的回報率的影響。我們的團隊已經在優化一些國際地區的客戶運輸成本方面取得了初步成果。我們正在推行範圍更廣的成本節約計劃，我們相信這些計劃有可能在今年晚些時候產生影響。傑西將在他的發言中更多地談論這項重要的努力。

We are continuing to raise the bar on service levels for customers, even while we focus intently on driving cost efficiencies. The new Pennsylvania fulfillment center enables us to more quickly ship packages to East Coast customers, and we are also extending our best-in-class time frame for shipping orders the same day we receive them. For years, our service promise has been to process and ship orders on the same day if we receive them before 3:00 p.m. Eastern Time, and we're now extending that same day fulfillment window to even later in the afternoon.

我們正在繼續提高客戶服務水平的標準，同時我們專注於提高成本效率。新的賓夕法尼亞州運營中心使我們能夠更快地將包裹運送到東海岸的客戶，而且我們還延長了我們在收到訂單的同一天運送訂單的最佳時間範圍。多年來，我們的服務承諾是，如果我們在下午 3:00 之前收到訂單，則在同一天處理和發貨。東部時間，我們現在將當天的履行窗口延長到下午晚些時候。

We continue to expand the use of AI and machine learning across several key areas of our operations and customer experience, including fraud detection, personalized product recommendations, human recognition and product attribute tagging. As an exciting update on our progress, Michael and I will talk about how we leverage AI technology to develop an innovative marketing campaign featuring outdoor billboards for our flagship REVOLVE Festival event held last month. And using the same AI designs, we created a limited edition own brand product capsule.

我們繼續在我們的運營和客戶體驗的幾個關鍵領域擴大人工智能和機器學習的使用，包括欺詐檢測、個性化產品推薦、人類識別和產品屬性標記。作為我們進展的令人興奮的更新，邁克爾和我將談論我們如何利用人工智能技術為我們上個月舉行的旗艦 REVOLVE 節日活動開發一個以戶外廣告牌為特色的創新營銷活動。並使用相同的人工智能設計，我們創造了一個限量版的自有品牌產品膠囊。

We also leveraged our technology stack to enhance the product search results on our sites, elevating the user experience and conversion opportunities by enabling customers to more efficiently find what they're looking for among our curated assortment. We are also leveraging AI to develop even further enhancements to our search capabilities, and we are excited by internal demonstrations of further application of AI technology, we've shown a great deal of potential to drive impactful results in the future.

我們還利用我們的技術堆棧來增強我們網站上的產品搜索結果，通過使客戶能夠更有效地在我們精選的產品組合中找到他們正在尋找的產品，提升用戶體驗和轉化機會。我們還利用 AI 進一步增強我們的搜索能力，我們對 AI 技術進一步應用的內部演示感到興奮，我們已經展示了在未來推動有影響力的結果的巨大潛力。

We have advanced our efforts to cross-sell the forward assortment to the much larger base of REVOLVE customers. Recently launched navigation enhancements on our REVOLVE website provide increased visibility to the FWRD assortment have shown promising early results. We've also leveraged our technology foundation to increasingly enable REVOLVE and FWRD to share inventory for key brands to offer products for sale on both sides, having more efficient inventory management and improved product availability.

我們已經努力將遠期產品交叉銷售給更大的 REVOLVE 客戶群。最近在我們的 REVOLVE 網站上推出的導航增強功能提高了 FWRD 分類的知名度，並顯示出可喜的早期結果。我們還利用我們的技術基礎，越來越多地使 REVOLVE 和 FWRD 能夠共享關鍵品牌的庫存，以提供雙方銷售的產品，從而實現更高效的庫存管理並提高產品可用性。

We are investing further to elevate service levels in the international markets where we see a great deal of opportunity over the long term. We plan to deploy technology this quarter that we expect will accelerate website response time in key international markets advancing our localization efforts.

我們正在進一步投資以提升國際市場的服務水平，從長遠來看，我們看到了很多機會。我們計劃在本季度部署技術，我們預計這些技術將加快主要國際市場的網站響應時間，推進我們的本地化工作。

In the coming months, we are gearing up to expand our loyalty program to key international markets for the first time. Our loyalty program has been a great success domestically since introducing it 3 years ago. Like all companies, we face a myriad of challenges in the current environment, and we still have much more work to do. And yet, we are uniquely positioned with a profitable, capital-efficient and highly cash generative business model, we believe will allow us to continue to prudently invest in our long-term opportunity we are very excited about.

在接下來的幾個月裡，我們正準備首次將我們的忠誠度計劃擴展到主要國際市場。自 3 年前推出以來，我們的忠誠度計劃在國內取得了巨大成功。與所有企業一樣，在當前環境下，我們面臨著無數挑戰，還有很多工作要做。然而，我們在有利可圖、資本高效和高現金生成業務模式方面處於獨特地位，我們相信這將使我們能夠繼續審慎地投資於我們非常興奮的長期機會。

Before I turn it over to Michael, I'd like to once again thank all our hard-working team members for your agility resilience and dedication to exceeding our customers' expectations every day. Now over to Michael.

在我把它交給 Michael 之前，我想再次感謝我們所有辛勤工作的團隊成員，感謝你們的敏捷彈性和每天超越客戶期望的奉獻精神。現在輪到邁克爾。

Thanks, Mike, and hello, everyone. As always, our strategic focus is to create a strong and growing business for the long term. At the center of everything we do is our unwavering focus on serving our customer incredibly well, helping her deliver best life through being her trusted source of fashion inspiration. So it is gratifying that our active customer base have continued to expand at a healthy rate, building on our future growth potential, considering the strong loyalty and retention characteristics of our customer base.

謝謝，邁克，大家好。一如既往，我們的戰略重點是長期打造強大且不斷增長的業務。我們所做的一切的核心是我們堅定不移地專注於為我們的客戶提供卓越的服務，通過成為她值得信賴的時尚靈感來源幫助她過上最美好的生活。因此，令人欣慰的是，考慮到我們客戶群的強大忠誠度和保留特徵，我們的活躍客戶群繼續以健康的速度擴大，建立在我們未來的增長潛力之上。

Our trailing 12-month active customers grew to 2.4 million in the first quarter and an increase of 4% sequentially and 19% higher than the first quarter of 2022, growing right through the very difficult record growth comparison in the prior year. Moving forward, we believe we have a large opportunity to expand our customer base within our target demographic, both in the U.S. and internationally. Even more impressive is that we delivered this healthy growth in active customers, while at the same time delivering better-than-expected marketing efficiency in the first quarter.

我們過去 12 個月的活躍客戶在第一季度增長到 240 萬，環比增長 4%，比 2022 年第一季度增長 19%，與去年同期非常艱難的創紀錄增長相比有所增長。展望未來，我們相信我們有很大的機會在我們的目標人群中擴大我們的客戶群，無論是在美國還是在國際上。更令人印象深刻的是，我們實現了活躍客戶的健康增長，同時在第一季度實現了好於預期的營銷效率。

Shifting gears, I would like to discuss our culture of innovation at REVOLVE. A key contributor to our rapid and profitable growth over the past 20 years is our ability to identify important shifts and opportunities and leverage technology to create competitive moats around us. From our earliest days, our internally developed technology enabled us to embrace data-driven merchandising and drive the business in the ways that remains a significant competitive differentiator today.

換檔，我想討論我們在 REVOLVE 的創新文化。在過去 20 年裡，我們實現快速盈利增長的一個關鍵因素是我們能夠識別重要的轉變和機遇，並利用技術在我們周圍創造競爭優勢。從我們成立之初，我們內部開發的技術就使我們能夠採用數據驅動的營銷方式，並以當今仍然是重要競爭優勢的方式推動業務發展。

Years later, we were pioneered the forefront of marketing innovation and partnering with influencers to create brand awareness and impact on social media, again, leveraging our internally developed technology to create a competitive advantage. And now today, I'm thrilled to acknowledge the pioneering efforts of our studio, technology and marketing teams for creating what we believe was the first AI-generated billboard campaign. Entitled Best Trip usually spending AI campaign celebrates our 20-year anniversary and with this (inaudible) partnership with the AI studio based on Meta. Our AI innovation has generated meaningful buzz on social media and major press outlets such as Forbes, Vogue, The New York Post and Business of Fashion, further solidifying REVOLVE as a trailblazer in marketing innovation.

多年後，我們率先走在營銷創新的前沿，並與有影響力的人合作，在社交媒體上創造品牌知名度和影響力，再次利用我們內部開發的技術創造競爭優勢。今天，我很高興地感謝我們的工作室、技術和營銷團隊為創建我們認為是第一個人工智能生成的廣告牌活動所做的開創性努力。題為 Best Trip usually spending AI 活動慶祝我們成立 20 週年，並通過與基於 Meta 的 AI 工作室的這種（聽不清）合作夥伴關係。我們的 AI 創新在福布斯、Vogue、紐約郵報和時尚商業等社交媒體和主要新聞媒體上引起了廣泛關注，進一步鞏固了 REVOLVE 作為營銷創新先驅的地位。

The Best Trip AI campaign debuted throughout April on several billboards along the highway headed DuPont Springs, strategically positioned to ensure that it would be seen by hundreds of thousands of festival goers driving the Coachella, Stagecoach and of course, REVOLVE Festival last month. It was great to see our aspirational lifestyle brand, proudly display front and center for such a large, targeted and relevant audience.

Best Trip AI 活動於整個 4 月在通往杜邦斯普林斯 (DuPont Springs) 的高速公路沿線的幾個廣告牌上首次亮相，戰略定位是為了確保上個月駕駛 Coachella、Stagecoach 以及當然還有 REVOLVE Festival 的數十萬節日觀眾都能看到它。很高興看到我們令人嚮往的生活方式品牌自豪地展示在如此龐大、有針對性和相關的受眾面前。

Also compelling is that we were able to efficiently produce and sell a limited edition capsule collection for the design-themed AI campaign. Our Own Brands team had already been testing ad design and related technology innovations to drive further efficiency and positive element. So it was really incredible to see our team leverage AI to bring product to life for the first time.

同樣引人注目的是，我們能夠高效地生產和銷售以設計為主題的 AI 活動的限量版膠囊系列。我們的自有品牌團隊已經在測試廣告設計和相關技術創新，以進一步提高效率和積極因素。因此，看到我們的團隊首次利用 AI 將產品變為現實，真是令人難以置信。

Over time, we believe AI design presents an exciting opportunity to create a more powerful, innovative and streamlined design process. Our conviction true excitement about the potential for AI technology across the organization led us to help launch the first-ever AI fashion week last month to promote greater experimentation and use of AI in a fashion. I encourage you to follow the updates on our social media channels and participate in buildings for the more than 400 AI fashion week content submissions through the AI fashion week. Of note, the 3 winners from the AI fashion week contest will have the opportunity to sell their AI capsule collections on REVOLVE. As a company, it's very important for us to stay at the cutting edge of technology development, testing and learning how to leverage these new technologies, which is ingrained in our cultural DNA.

隨著時間的推移，我們相信人工智能設計提供了一個令人興奮的機會來創建更強大、創新和簡化的設計流程。我們堅信整個組織對 AI 技術潛力的真正興奮促使我們在上個月幫助啟動了首個 AI 時裝週，以促進 AI 在時尚領域的更多實驗和使用。我鼓勵您關注我們社交媒體頻道的更新，並通過 AI 時裝週參與建設 400 多個 AI 時裝週內容提交。值得注意的是，AI 時裝週比賽的 3 名獲勝者將有機會在 REVOLVE 上出售他們的 AI 膠囊系列。作為一家公司，保持技術開發、測試和學習如何利用這些根植於我們文化 DNA 中的新技術對我們來說非常重要。

Now let me shift gears and recap our highly successful REVOLVE Festival event held last month at an exceptional new venue. This year was particularly special for Mike and I because the timing of REVOLVE Festival coincided with our 20-year anniversary. We kicked off the week of REVOLVE Festival with an intimate 20th anniversary celebration in Los Angeles attended by A-Listers, VIPs and brands, including key fashion partners who have been with us since the earliest phase. In true REVOLVE fashion, the event grabbed headlines, particularly focused on Kendall Jenner's (inaudible) highlighted by a sheet white form-fitting Allia dress from our FWRD assortment that sold out almost immediately after all the favorable press. Once again, illustrating our powerful marketing effect that our brand partners are increasingly excited about.

現在讓我換個話題，回顧一下我們上個月在一個特別的新場地舉行的非常成功的 REVOLVE Festival 活動。今年對 Mike 和我來說特別特別，因為 REVOLVE Festival 的舉辦時間恰逢我們成立 20 週年。我們以在洛杉磯舉行的私密 20 週年慶祝活動拉開了 REVOLVE Festival 週的序幕，一線明星、貴賓和品牌，包括從最早階段就與我們合作的主要時尚合作夥伴，都參加了慶祝活動。在真正的 REVOLVE 時尚中，該活動成為頭條新聞，尤其是 Kendall Jenner（聽不清）的亮點是我們 FWRD 系列的白色緊身 Allia 連衣裙，在受到所有好評後幾乎立即售罄。再次說明了我們強大的營銷效果，讓我們的品牌合作夥伴越來越興奮。

It was clear from the conversations and (inaudible) our intimate gathering, just how much brand loyalty we have earned with emerging brands and content-creator partners over the years from our mutually beneficial relationships. We are truly grateful for the relationships we have built and to see the many businesses have grown with us in our journey. We are a strong brand, our focus on the customer, our technology and data-driven foundation and the support of our partners, we have nearly (inaudible) the business from roughly $300 million in revenue in 2015 to $1.1 billion today.

從對話和（聽不清）我們的親密聚會中可以清楚地看出，多年來我們從互惠互利的關係中贏得了新興品牌和內容創作者合作夥伴的品牌忠誠度。我們非常感謝我們建立的關係，並看到許多企業在我們的旅程中與我們一起成長。我們是一個強大的品牌，我們專注於客戶、我們的技術和數據驅動的基礎以及我們合作夥伴的支持，我們的業務收入幾乎（聽不清）從 2015 年的大約 3 億美元增加到今天的 11 億美元。

REVOLVE Festival was held over 2 days in mid-April, and it was an incredible event that the Wall Street Journal called Coachella's most lavish party and was better than a day at Coachella according to article from Insider. The aspirational lifestyle event was very successful in elevating our brands and exciting and delighting our community of VIPs, brands, influencers, partners and fans who are fortunate enough to attend (inaudible) activation.

REVOLVE Festival 於 4 月中旬舉辦了為期 2 天的活動，據 Insider 報導，這是一場令人難以置信的活動，被《華爾街日報》稱為 Coachella 最奢華的派對，比 Coachella 的一天還要精彩。令人嚮往的生活方式活動非常成功地提升了我們的品牌，並讓我們的貴賓、品牌、影響者、合作夥伴和粉絲社區感到興奮和高興，他們有幸參加（聽不清）活動。

This year's event featured an even more exclusive and intimate setting while delivering a high energy vibe that was inspired by (inaudible). Headline performers included 21 Savage, Don Toliver, City Girls, PinkPantheress, Coi Leray, Zack Bia, Amaarae, Ayra Starr and the trending Ice Spice and her first live performance since releasing a hit single with Nicki Minaj that debuted at #1 on the Billboard charts.

今年的活動以更加獨特和私密的環境為特色，同時傳遞了一種受（聽不清）啟發的高能量氛圍。頭條表演者包括 21 Savage、Don Toliver、City Girls、PinkPantheress、Coi Leray、Zack Bia、Amaarae、Ayra Starr 和熱門的 Ice Spice，以及她與 Nicki Minaj 發行熱門單曲後的首次現場表演，該單曲在 Billboard 上排名第一圖表。

An important driver of impact and awareness was incredible attendance across the diverse range of personalities, including musicians, actors, celebrities, designers, athletes, content creators and TikTok stars. Team who wrote that it seems as though every celebrity and influencer panel was in attendance. Notable VIPs at our event included Kendall Jenner, Dixie and Charli D'Amelio, Hailey Bieber, Leonardo DiCaprio, Emma Roberts, Travis Kelce, Lewis Hamilton, Storm Reed, Lori Harvey, Saweetie, Leon Bridges, Camila Morrone, Madison Bailey, Suki Waterhouse, Natalia Bryant, Irina Shayk, Shay Mitchell, Noah Beck, David Dobrik, Christina Milian and Tyga.

影響力和知名度的一個重要驅動因素是來自不同領域的人士的驚人出席率，包括音樂家、演員、名人、設計師、運動員、內容創作者和 TikTok 明星。寫的團隊似乎每個名人和有影響力的小組都出席了。出席我們活動的著名貴賓包括肯德爾·詹納、迪克西和查理·達梅里奧、海莉·比伯、萊昂納多·迪卡普里奧、艾瑪·羅伯茨、特拉維斯·凱爾斯、劉易斯·漢密爾頓、斯托姆·里德、洛瑞·哈維、薩維蒂、萊昂·布里吉斯、卡米拉·莫羅內、麥迪遜·貝利、蘇琪·沃特豪斯、納塔利婭·布萊恩特、伊琳娜·謝克、謝伊·米切爾、諾亞·貝克、大衛·多布里克、克里斯蒂娜·米利安和泰加。

To illustrate the scale of favorable impact on our brand, the week of REVOLVE Festival generated approximately 7 billion press impressions, our highest ever for any campaign or event. Our investment in REVOLVE Festival and other experiential events over many years has created a truly powerful lifestyle brand, which has resulted in increasing opportunities to partner with top brands and celebrities. For example, mobile icon Jennifer Lopez and her team were very excited to partner with REVOLVE because of the strength of our brand and strong connection with the next-generation consumers.

為了說明對我們品牌的有利影響的規模，REVOLVE Festival 的一周產生了大約 70 億次媒體印象，這是我們有史以來最高的任何活動或活動。多年來，我們對 REVOLVE Festival 和其他體驗式活動的投資打造了一個真正強大的生活方式品牌，從而增加了與頂級品牌和名人合作的機會。例如，移動偶像 Jennifer Lopez 和她的團隊非常高興與 REVOLVE 合作，因為我們品牌的實力以及與下一代消費者的緊密聯繫。

We recently launched an exclusive shoe collection called JLo Jennifer Lopez and holds an impactful marketing event with JLo that attracted more press than any launch in our history. It was all made possible by the combined strength of our brands.

我們最近推出了一個名為 JLo Jennifer Lopez 的獨家鞋履系列，並與 JLo 一起舉辦了一場有影響力的營銷活動，吸引了比我們歷史上任何一次發布會都多的媒體報導。我們品牌的綜合實力使這一切成為可能。

Shifting to an update on FRWD. We have some exciting marketing plans related this year, so stay tuned for details in the coming months. One of the areas that has been a real bright spot is our recently introduced FRWD venue. The section of FRWD dedicated to circular luxury shopping where we saw preowned hand bags from (inaudible) luxury brands. Built from this early effort grew more than 50% on a sequential basis in the first quarter, in the fourth quarter of 2022, and renewal has attracted many new customers to the FRWD brand.

轉移到 FRWD 上的更新。今年我們有一些令人興奮的營銷計劃，敬請期待未來幾個月的詳細信息。其中一個真正的亮點是我們最近推出的 FRWD 場地。 FRWD 的部分專門用於循環奢侈品購物，我們在那裡看到了（聽不清）奢侈品牌的二手手袋。基於這一早期努力，在 2022 年第四季度的第一季度環比增長了 50% 以上，續約吸引了許多新客戶加入 FRWD 品牌。

I'm also excited by our efforts to encourage our leading premium beauty brands on REVOLVE to call us in for this year. Some of our largest beauty brands in REVOLVE are in the queue to make their beauty products available on FRWD as well, expanding our opportunity.

我也很高興我們努力鼓勵我們領先的高端美容品牌在 REVOLVE 上邀請我們參加今年的活動。我們在 REVOLVE 中的一些最大的美容品牌也在排隊等候在 FRWD 上銷售他們的美容產品，從而擴大了我們的機會。

I'll wrap up with an update on beauty where our year-over-year growth in the first quarter remained solid in the low double digits. The major focus of our beauty strategy for the near term is to extract the right selection of beauty brands in the site. I'm confident that having the optimal beauty assortment will drive an exciting growth opportunity over the long term, simply because our customer loves REVOLVE, and we consistently exceed our expectations. As context, you know that when we launch a major beauty brand, it moves the needle as a small number of beauty brands currently drive a high share of our beauty volume.

最後，我將介紹美容方面的最新情況，其中我們第一季度的同比增長保持在兩位數的穩定水平。我們近期美容策略的主要重點是在網站上提取正確的美容品牌選擇。我相信，擁有最佳的美容產品組合將帶來令人興奮的長期增長機會，這僅僅是因為我們的客戶喜歡 REVOLVE，而且我們始終超越我們的期望。作為背景，你知道當我們推出一個主要的美容品牌時，它會起到推動作用，因為目前少數美容品牌在我們的美容銷量中佔有很大份額。

We are very excited about the pipeline and high-impact beauty brands we expect to be onboarded this year. An exciting development was the launch of Kourtney Kardashian's wellness brand, Lemme, on REVOLVE in February, a month before distribution to any major beauty retailers. The launch of REVOLVE has done very well in the early going, helped by Kourtney really leaning into marketing on our social channels. As an example, we enforced a powerful REVOLVE brand, community-trusted relationships we have built with Tastemakers.

我們對今年有望加入的管道和高影響力美容品牌感到非常興奮。一個令人興奮的發展是考特尼·卡戴珊 (Kourtney Kardashian) 的健康品牌 Lemme 於 2 月在 REVOLVE 上推出，比向任何主要美容零售商分銷還有一個月。 REVOLVE 的推出在早期取得了很好的成績，這得益於 Kourtney 真正傾向於在我們的社交渠道上進行營銷。例如，我們實施了一個強大的 REVOLVE 品牌，這是我們與 Tastemakers 建立的社區信任關係。

In closing, it is clear to me that we remain in a highly uncertain operating environment, as Mike alluded to. Not surprisingly, consumers are dealing with persistent inflation pressures, which has led to some reduction in our customers' propensity to spend, evident in our average spending per active customer. Despite the challenging macro environment, we are continuing to play offense, building on our already solid foundation that will support our future growth when the environment improves and our spending returns.

最後，我很清楚，正如邁克所暗示的那樣，我們仍處於高度不確定的運營環境中。毫不奇怪，消費者正在應對持續的通貨膨脹壓力，這導致我們客戶的消費傾向有所降低，這從我們每位活躍客戶的平均支出中可以明顯看出。儘管宏觀環境充滿挑戰，但我們將繼續進攻，在我們已經穩固的基礎上再接再厲，在環境改善和我們的支出回報時支持我們未來的增長。

I'm super energized by the energy and level of innovation throughout the company. continue to push the boundaries, leveraging new technologies and marketing techniques. Our attributional team cultures and full force as we pursue our goal of being the fashion destination for the next-generation consumer.

整個公司的活力和創新水平讓我感到超級興奮。繼續突破界限，利用新技術和營銷技巧。在我們追求成為下一代消費者的時尚目的地的目標時，我們的歸因團隊文化和全力以赴。

Now I'll turn it over to Jesse for a discussion of the financials.

現在我將把它交給傑西討論財務問題。

Thanks, Michael, and hello, everyone. We encountered our share of challenges in the first quarter on top of a very difficult prior year comparison. In such a dynamic environment, I am pleased that our operating discipline enabled us to achieve significant progress in recalibrating our inventory position while generating exceptional cash flow, further strengthening our already pristine balance sheet.

謝謝，邁克爾，大家好。除了去年非常困難的比較之外，我們在第一季度遇到了我們的挑戰。在這樣一個充滿活力的環境中，我很高興我們的經營紀律使我們能夠在重新調整庫存狀況方面取得重大進展，同時產生出色的現金流，進一步加強我們本已完好的資產負債表。

I'll start by recapping our first quarter results. Net sales were $280 million, a year-over-year decrease of 1%, then shared on our earnings conference call for the fourth quarter of 2022, the first quarter of 2023 began on a high note with year-over-year net sales growth in the mid-single digits through the first 7 weeks. However, our net sales trajectory decelerated in the last 6 weeks of the first quarter of 2023. Consistent with a variety of public data sources reporting softer consumer spending on discretionary items during February, and particularly during March.

我將首先回顧一下我們第一季度的業績。淨銷售額為 2.8 億美元，同比下降 1%，然後在我們 2022 年第四季度的收益電話會議上分享，2023 年第一季度開局良好，淨銷售額同比增長在前 7 週內保持在個位數中間。然而，我們的淨銷售額軌跡在 2023 年第一季度的最後 6 週內有所放緩。與各種公開數據來源一致，報告稱 2 月份，尤其是 3 月份，消費者在非必需品上的支出疲軟。

Looking at our first quarter of 2023 results over a longer time horizon, our net sales have increased at a 4-year compound annual growth rate of 19% when compared to the first quarter of 2019. REVOLVE segment net sales decreased 3% and FRWD segment net sales increased 5% year-over-year in the first quarter.

從更長的時間範圍來看我們 2023 年第一季度的業績，與 2019 年第一季度相比，我們的淨銷售額以 19% 的 4 年復合年增長率增長。REVOLVE 部門淨銷售額下降 3%，FRWD 部門第一季度淨銷售額同比增長 5%。

By territory, domestic net sales decreased 5% and international net sales increased 16% year-over-year. The U.S. faced a much harder comparison as the U.S. grew more than twice as fast as our international business in the first quarter of 2022. Active customers, which is a trailing 12-month measure, increased by a healthy 84,000 customers during the first quarter. This growth expanded our active customer count to 2.4 million, an increase of 19% year-over-year. Our customers placed 2.3 million orders in the first quarter, an increase of 6% year-over-year. Average order value was $288, flat year-over-year.

按地域劃分，國內淨銷售額同比下降 5%，國際淨銷售額同比增長 16%。美國面臨著更加艱難的比較，因為美國在 2022 年第一季度的增長速度是我們國際業務的兩倍多。活躍客戶是過去 12 個月的衡量標準，在第一季度增加了 84,000 名客戶。這一增長使我們的活躍客戶數量增加到 240 萬，同比增長 19%。我們的客戶在第一季度下了 230 萬份訂單，同比增長 6%。平均訂單價值為 288 美元，同比持平。

Shifting to gross profit. Consolidated gross margin was 49.8% at the high end of our guidance range, and a decrease of 468 basis points year-over-year, primarily due to a lower mix of net sales at full price compared to the first quarter of 2022. We exited the first quarter with a more balanced inventory position, which gives us confidence in the improving gross margin outlook in future quarters.

轉向毛利。綜合毛利率為 49.8%，處於我們指導範圍的高端，同比下降 468 個基點，這主要是由於與 2022 年第一季度相比全價淨銷售額的組合較低。我們退出了第一季度的庫存狀況更加平衡，這讓我們對未來幾個季度毛利率前景的改善充滿信心。

Moving on to operating expenses. Fulfillment costs deleveraged by 67 basis points year-over-year, directionally consistent with our outlook commentary, primarily due to a year-over-year increase in our return rate as well as increased labor costs and investments made to expand our fulfillment network. The softer revenue trend was also a headwind for fulfillment efficiency year-on-year due to decreased utilization of our expanded fulfillment center capacity.

繼續經營費用。履行成本同比下降 67 個基點，方向與我們的展望評論一致，這主要是由於我們的退貨率同比增長以及勞動力成本增加和為擴大我們的履行網絡而進行的投資。由於我們擴大後的履行中心容量的利用率下降，收入趨勢疲軟也對履行效率同比產生了不利影響。

Selling and distribution costs deleveraged 2 points year-over-year and were higher than expected, primarily due to elevated costs for customer shipments caused by a higher return rate year-over-year and continued year-over-year growth in variable fuel surcharges. We are very focused on reducing the significant negative impact on our profitability from these increased shipping costs with several initiatives in place and more being developed and tested.

銷售和分銷成本同比下降 2 個百分點，高於預期，這主要是由於同比較高的退貨率和可變燃油附加費的持續同比增長導致客戶運輸成本上升。我們非常專注於減少這些增加的運輸成本對我們盈利能力的重大負面影響，並採取了幾項舉措，還有更多舉措正在開發和測試中。

Marketing was more efficient than the outlook we provided on last quarter's conference call. Our marketing investments represented 13.7% of net sales in the first quarter, an improvement of 225 basis points year-over-year. General and administrative costs were $28 million, slightly lower than our outlook provided last quarter. Our effective tax rate was 25%, 3 points higher than in the first quarter of 2022. Net income was $14.2 million or $0.19 per diluted share, a decrease of 37% year-over-year. It was impacted by the lower gross margin and growth in operating expenses, partially offset by an increase in other income due primarily to an insurance reimbursement. Adjusted EBITDA was $15 million, a decrease of 52% year-over-year.

營銷比我們在上一季度的電話會議上提供的展望更有效。我們的營銷投資佔第一季度淨銷售額的 13.7%，同比提高 225 個基點。一般和行政成本為 2800 萬美元，略低於我們上季度提供的預期。我們的有效稅率為 25%，比 2022 年第一季度高 3 個百分點。淨收入為 1420 萬美元或攤薄後每股收益 0.19 美元，同比下降 37%。它受到較低的毛利率和運營費用增長的影響，部分被主要由於保險報銷導致的其他收入增加所抵消。調整後的 EBITDA 為 1500 萬美元，同比下降 52%。

Moving to the balance sheet and cash flow statement. Our cash flow in the first quarter was exceptional, and benefited from favorable working capital dynamics. Net cash provided by operating activities was $49 million and free cash flow was $48 million, which was our second highest for any first quarter, that declined compared to the first quarter of 2022, primarily due to lower net income year-over-year.

轉到資產負債表和現金流量表。我們第一季度的現金流異常出色，並受益於有利的營運資金動態。經營活動提供的淨現金為 4,900 萬美元，自由現金流為 4,800 萬美元，是第一季度的第二高，與 2022 年第一季度相比有所下降，主要原因是淨收入同比下降。

In just the first quarter of 2023, we have already generated more than twice the amount of operating cash flow than all of 2022. The strong cash flow generation has further strengthened our balance sheet and liquidity. Cash and cash equivalents as of March 31, 2023, were $283 million, an increase of $49 million or 21% from year-end 2022 and an increase of $13 million or 5% year-over-year. Our balance sheet as of March 31, 2023, remains debt free.

僅在 2023 年第一季度，我們產生的經營現金流量就已經是 2022 年全年的兩倍多。強勁的現金流產生進一步加強了我們的資產負債表和流動性。截至 2023 年 3 月 31 日，現金和現金等價物為 2.83 億美元，比 2022 年底增加 4900 萬美元或 21%，同比增加 1300 萬美元或 5%。截至 2023 年 3 月 31 日，我們的資產負債表仍然沒有債務。

Inventory at March 31, 2023, was $190 million, a sequential quarter decrease of $25 million from year-end 2022. As a result of the significant inventory reduction in the first quarter, our inventory moderated to a 6% year-over-year increase, narrowing the unfavorable spread between our year-over-year inventory growth and year-over-year net sales growth to only 7 points. We remain confident that we are on track to rebalance our inventory by the end of the second quarter.

2023 年 3 月 31 日的庫存為 1.9 億美元，比 2022 年末連續季度減少 2500 萬美元。由於第一季度庫存大幅減少，我們的庫存同比增長放緩至 6% ，將我們的同比庫存增長與同比淨銷售額增長之間的不利差距縮小至僅 7 個百分點。我們仍然相信，我們有望在第二季度末重新平衡我們的庫存。

Now let me update you on some recent trends in the business since the first quarter ended, and provide some direction on our cost structure to helping your modeling of the business. Starting from the top. The top line pressure we experienced late in the first quarter has continued as net sales for the month of April 2023 decreased by approximately 7% year-over-year. We believe the uncertain macro environment is increasingly weighing on our customers' purchasing behavior.

現在讓我向您介紹自第一季度結束以來業務的一些最新趨勢，並就我們的成本結構提供一些指導，以幫助您對業務進行建模。從頂部開始。由於 2023 年 4 月的淨銷售額同比下降約 7%，我們在第一季度末經歷的頂線壓力仍在繼續。我們認為，不確定的宏觀環境正在越來越多地影響我們客戶的購買行為。

Shifting to gross margin. We expect gross margin in the second quarter of 2023 of between 53% and 53.5%, up from the first quarter of 2023 gross margin reported today, yet lower year-over-year as we expect a reduced mix of net sales at full price this year. Importantly, the year-over-year decline in gross margin implied by our outlook for the second quarter of 2023 is about 2 points lower than the year-over-year decline in gross margin reported for the first quarter announced today. For the full year 2023, we continue to expect gross margin of between 52% and 53%.

轉向毛利率。我們預計 2023 年第二季度的毛利率在 53% 至 53.5% 之間，高於今天報告的 2023 年第一季度的毛利率，但同比較低，因為我們預計今年全價淨銷售額的組合將減少年。重要的是，我們對 2023 年第二季度的展望所暗示的毛利率同比下降比今天公佈的第一季度毛利率同比下降低約 2 個百分點。對於 2023 年全年，我們繼續預計毛利率在 52% 至 53% 之間。

Fulfillment, primarily as a result of the increased top line uncertainty, we are taking a slightly more conservative view of fulfillment efficiency. We now expect fulfillment as a percentage of net sales to be around 3.2% for the second quarter of 2023. We continue to expect slight sequential improvement on fulfillment efficiency in the second half of the year, resulting in fulfillment as a percentage of net sales of approximately 3.1% for the full year 2023.

履行，主要是由於收入不確定性增加，我們對履行效率持稍微保守的看法。我們現在預計 2023 年第二季度履約率占淨銷售額的百分比約為 3.2%。我們繼續預計下半年履約效率將略有環比改善，從而導致履約率占淨銷售額的百分比2023 年全年約為 3.1%。

Selling and distribution, we expect selling and distribution costs to represent around 18.7% of net sales for the second quarter of 2023 and 18% of net sales for the full year 2023. The increase from our prior full year guidance primarily reflects a higher-than-expected return rate that we believe is influenced by the challenging macro environment. As a result, we are now assuming a higher return rate in 2023 than was embedded in our prior guidance.

銷售和分銷，我們預計銷售和分銷成本將佔 2023 年第二季度淨銷售額的 18.7% 左右，佔 2023 年全年淨銷售額的 18%。與我們之前的全年指引相比，增長主要反映了高於-我們認為預期回報率受到充滿挑戰的宏觀環境的影響。因此，我們現在假設 2023 年的回報率高於我們先前指引中的回報率。

Importantly, our outlook for the full year implies sequential improvement in the back half of the year. There are 3 key drivers of the sequential improvement we expect in the back half of the year for selling and distribution. First, we expect variable fuel surcharges to decline year-over-year starting in the second quarter after several quarters of significant growth. Second, we expect to begin to realize efficiencies from our new Pennsylvania fulfillment center as its volume scales. And third, we expect to begin to realize early efficiencies resulting from a variety of other shipping and logistics efficiency measures we are pursuing. However, we are factoring in an elevated return rate in the near term, which will partially offset some of our efficiency measures and contribute to continued pressure on shipping costs.

重要的是，我們對全年的展望暗示了下半年的環比改善。我們預計下半年銷售和分銷的連續改善有 3 個關鍵驅動因素。首先，我們預計可變燃油附加費在經歷了幾個季度的顯著增長後，將從第二季度開始同比下降。其次，我們希望隨著規模的擴大，我們新的賓夕法尼亞州運營中心開始實現效率。第三，我們期望開始實現我們正在追求的各種其他航運和物流效率措施所帶來的早期效率。然而，我們考慮到短期內退貨率上升，這將部分抵消我們的一些效率措施，並有助於對運輸成本造成持續壓力。

Marketing. Our marketing efficiency in the first quarter of 2023 was partially due to a reduction in brand marketing events this year compared to the very active events calendar in the first quarter of 2022. By comparison, we expect the second quarter of 2023 to include a larger investment in brand building events year-over-year when compared to the second quarter of 2022. As a result, and consistent with our commentary from last quarter, we expect our marketing investment to be the highest of the year in the second quarter of 2023 and to represent approximately 18.5% of net sales. For the full year 2023, we expect marketing to be within the range previously communicated, of 16% to 16.5% of net sales.

營銷。我們 2023 年第一季度的營銷效率部分是由於與 2022 年第一季度非常活躍的活動日曆相比，今年的品牌營銷活動有所減少。相比之下，我們預計 2023 年第二季度將包括更大的投資與 2022 年第二季度相比，品牌建設活動同比增長。因此，與我們上一季度的評論一致，我們預計我們的營銷投資將在 2023 年第二季度達到年度最高水平，並且約占淨銷售額的 18.5%。對於 2023 年全年，我們預計營銷將在之前傳達的範圍內，占淨銷售額的 16% 至 16.5%。

General and administrative. We expect G&A expense of approximately $29 million in the second quarter of 2023 and between $113 million to $115 million for the full year 2023, unchanged from our prior full year outlook.

一般和行政。我們預計 2023 年第二季度的 G&A 費用約為 2900 萬美元，2023 年全年費用在 1.13 億美元至 1.15 億美元之間，與我們之前的全年展望持平。

And lastly, touching on our tax rate. We continue to expect our effective tax rate to be around 24% to 26%, consistent with the past several quarters.

最後，談談我們的稅率。我們繼續預計我們的有效稅率將在 24% 至 26% 左右，與過去幾個季度一致。

To retail. While the current environment is challenging, led by Mike and Michael's long-term mindset, our leadership team is energized behind a wide range of exciting initiatives that we believe will benefit REVOLVE for years to come. After delivering exceptional growth in the past 2 years, our key focus is our active evaluation of how we can leverage our technology, data-driven approach and operating excellence to take advantage of our increased global scale and driving further operating efficiencies across the organization.

零售。儘管當前環境充滿挑戰，但在 Mike 和 Michael 的長期思維方式的領導下，我們的領導團隊在一系列令人興奮的舉措背後充滿活力，我們相信這些舉措將使 REVOLVE 在未來幾年受益。在過去 2 年實現卓越增長後，我們的重點是積極評估我們如何利用我們的技術、數據驅動方法和卓越運營來利用我們不斷擴大的全球規模並進一步提高整個組織的運營效率。

Now we'll open it up for your questions.

現在我們將打開它來回答您的問題。

(Operator Instructions)

（操作員說明）

Your first question comes from Oliver Chen with TD Cowen.

你的第一個問題來自 TD Cowen 的 Oliver Chen。

Regarding the softer revenue trends and what you see ahead, what classifications were more concerning? And also your inventory spread is better, but what do you think about going forward in terms of the promotions and markdown cadence and what risk factors are you monitoring there in terms of what's embedded in your guidance. Do you expect the trends on an ongoing basis to continue to be fairly volatile.

關於疲軟的收入趨勢和您對未來的看法，哪些分類更令人擔憂？而且您的庫存分佈也更好，但是您如何看待促銷和降價節奏方面的未來發展，以及您根據指導中的內容監控哪些風險因素。您是否預計持續的趨勢將繼續相當不穩定。

Yes. So with regard to classifications, Oliver, are you just wanting more color on kind of across different segments, whether it's geographies or types of merchandise or what are you referring to there?

是的。那麼關於分類，奧利弗，你是否只是想在不同的細分市場上有更多的顏色，無論是地理區域還是商品類型，或者你指的是什麼？

Yes. I think the categories that were softer and if they followed patterns, that would help us get a feel for what's happening with the customer and what's driving some of the softer trends.

是的。我認為那些更軟的類別如果它們遵循模式，那將幫助我們了解客戶正在發生的事情以及是什麼推動了一些更軟的趨勢。

Yes, definitely. So if you look at my kind of category as well as customer segment, there's a couple of call-outs. One would be that certainly the aspirational customers versus the high-end customers, there was a bit more softness there. But we also emphasize the softness was fairly broad-based. So it's not to say we didn't see impact on the high end.

當然是。因此，如果您查看我的類別和客戶群，就會發現一些問題。一個是肯定有抱負的客戶與高端客戶相比，那裡有更多的軟性。但我們也強調，疲軟的基礎相當廣泛。所以這並不是說我們沒有看到對高端的影響。

Within the merchandise category, I think if you look at apparel that's more going out oriented, there was a bit of an overshoot or peak last year, and so we saw some rebound in the opposite direction. This -- for this particular quarter. And then if you look at nonapparel categories like beauty, they performed relatively well in comparison. Obviously, that's a long-term growth area for us. But we're happy to have delivered a solid beauty growth during the period.

在商品類別中，我認為如果你看一下更注重外出的服裝，去年有點過頭或達到頂峰，所以我們看到了一些反方向的反彈。這 - 對於這個特定的季度。然後，如果你看看美容等非服裝類別，相比之下它們的表現相對較好。顯然，這對我們來說是一個長期增長領域。但我們很高興在此期間實現了穩健的美容增長。

Okay. And promotional markdowns, what should we know about what's embedded in the forecast and the degree of inventory that you have now and the freshness of the current inventory as we think about risk factors there, given the softer top line?

好的。和促銷降價，我們應該知道預測中包含的內容以及您現在擁有的庫存程度以及當前庫存的新鮮度，因為我們考慮那裡的風險因素，考慮到較軟的頂線？

Yes. We feel good about our inventory position. We made great progress on it in the quarter. Obviously, we would have liked profitability to have been stronger, and revenue tends to be stronger. But we did what we needed to do on the inventory position as far as bringing it down substantially getting to a place much closer to imbalance. And again, we feel like at the end of the second quarter, that we'll be feeling good about where that position is, and the result was exceptional cash generation, which is something that we're focused on. Obviously, in an uncertain macro environment, there is continued risk around inventory levels and gross margins and things of that nature. But it's something that we're laser-focused on and being very active on.

是的。我們對我們的庫存狀況感覺良好。我們在本季度取得了很大進展。顯然，我們本來希望盈利能力更強，收入往往更強勁。但我們在庫存頭寸上做了我們需要做的事情，將其大幅降低到更接近失衡的位置。再一次，我們覺得在第二季度末，我們會對這個位置感覺良好，結果是產生非凡的現金，這是我們關注的事情。顯然，在不確定的宏觀環境中，庫存水平和毛利率等方面的風險持續存在。但這是我們高度關注並且非常積極的事情。

Okay. Last question, Mike, on customer acquisition trends. And what you saw, was it more concerning in terms of new versus existing cohorts and/or there's been a lot of volatility in CAC and also less productivity in the performance marketing. Is there any color in terms of what you've been seeing with that?

好的。最後一個問題，邁克，關於客戶獲取趨勢。你所看到的，是否更關注新的與現有的隊列和/或 CAC 的波動很大，績效營銷的生產力也較低。就您所看到的而言，有什麼顏色嗎？

Yes. So the first quarter was actually good by a number of marketing metrics, particularly CAC was favorable versus prior periods. New customers were generally strong. It was just, again, kind of offset by a broader-based weakness. And as you saw in the numbers, we pulled back on marketing a bit in the first quarter, which certainly had some impact on the overall trends. We didn't want -- we hadn't wanted to pull back on marketing too much until we felt the inventory position was in a better place. And again, we feel good about the progress there.

是的。因此，從許多營銷指標來看，第一季度實際上是不錯的，尤其是 CAC 與前期相比有利。新客戶普遍強勁。這再次被更廣泛的弱點所抵消。正如您在數字中看到的那樣，我們在第一季度略微縮減了營銷，這肯定對整體趨勢產生了一些影響。我們不想 - 我們不想在我們覺得庫存狀況更好之前過多地撤回營銷。再一次，我們對那裡的進展感到滿意。

So that's when we had some impact on the trends. And also an increased level of kind of new marketing techniques and marketing experimentation had a little bit of an impact also. That's something that we didn't want to play with too much when inventory levels were elevated before, but we were a little bit more free to do that in the first quarter, which is -- has some -- I'll call it minor impact in the current quarter, but is overall good for the long term.

所以那時我們對趨勢產生了一些影響。此外，新營銷技術和營銷實驗的水平提高也產生了一點影響。這是我們之前在庫存水平升高時不想玩太多的東西，但我們在第一季度有更多的自由來做這件事——有一些——我稱之為次要的對本季度有影響，但從長期來看總體是有利的。

Your next question comes from the line of Mark Altschwager with Baird.

你的下一個問題來自 Mark Altschwager 與 Baird 的對話。

So the valuation landscape for DTC brands has certainly shifted versus a couple of years ago and your cash balance is building. Curious how you're thinking about opportunistic acquisitions in this landscape? What would an ideal target look like? And are you seeing any attractive opportunities out there that multiples you would deem reasonable?

因此，與幾年前相比，DTC 品牌的估值格局肯定發生了變化，您的現金餘額正在增加。想知道您如何看待這種情況下的機會主義收購嗎？理想的目標是什麼樣的？你是否看到任何你認為合理的有吸引力的機會？

Yes. It's certainly interesting. And as we've talked about in past calls, it's something that we're always actively thinking about. And certainly, as valuations get more attractive, it's -- the possibility of an opportunity there becomes more realistic. That said, our answer would be the same as previous periods where, again, it's just something that we're always actively monitoring and considering. And we'll let you know if there's any updates there. But -- and that's how we'd characterize it at this point.

是的。這當然很有趣。正如我們在過去的電話中談到的那樣，這是我們一直在積極思考的事情。當然，隨著估值變得更具吸引力，它 - 機會的可能性變得更加現實。也就是說，我們的答案將與之前的時期相同，同樣，這只是我們一直在積極監測和考慮的事情。如果那裡有任何更新，我們會通知您。但是——這就是我們在這一點上描述它的方式。

Just a quick follow-up just regarding the top line. Obviously, the macro is more challenging, but you did speak to some opportunities to maybe go on offense in this sort of environment. Could you maybe elaborate on that a bit?

只是關於頂線的快速跟進。顯然，宏觀更具挑戰性，但你確實談到了在這種環境下可能繼續進攻的一些機會。你能詳細說明一下嗎？

Yes. There's a number of areas that were going on offense and maybe I'll mention a couple, but I'll also let Michael dive in here because he's very active in a number of them. But obviously, continue to build our brand. We continue to make impactful long-term brand marketing investments and REVOLVE as what we think was a very big success this year. I think importantly, on the technology side, obviously, with the recent AI development, that's a very hot area. It's an area that we've been actively working on and actually deploying in practice for multiple years now.

是的。有很多領域都在冒犯，也許我會提到幾個，但我也會讓邁克爾潛入這裡，因為他在其中一些領域非常活躍。但顯然，繼續打造我們的品牌。我們繼續進行有影響力的長期品牌營銷投資和 REVOLVE，因為我們認為今年取得了巨大成功。我認為重要的是，在技術方面，顯然，隨著最近人工智能的發展，這是一個非常熱門的領域。這是我們多年來一直積極致力於並在實踐中實際部署的領域。

And things are just moving faster. We view that as a huge opportunity. We're increasing our investments there. At times, others are pulling back. I know there was some news of other medium retailers pulling back on overhead, and we're hiring engineers at this point. And obviously, do need in a prudent cost-efficient way as we always do, but overall, increasing investments in AI and tech, and we think it's a huge opportunity over the coming quarters and the coming year and excited to hopefully every quarter have something new to share with you there.

而且事情進展得更快。我們認為這是一個巨大的機會。我們正在增加在那裡的投資。有時，其他人會退縮。我知道有一些消息稱其他中型零售商正在縮減管理費用，此時我們正在招聘工程師。顯然，我們確實需要像往常一樣以謹慎的成本效益方式，但總的來說，增加對人工智能和技術的投資，我們認為這是未來幾個季度和未來一年的巨大機會，我們很高興希望每個季度都有一些東西新的在那裡與大家分享。

The only other thing that I would add on top of that, all of that, and I clearly agree with is all very exciting, is leaning into some of the really nascent categories, I think coming up for REVOLVE Gallery, which will be in H2, will be the first time we integrate where you know men's as well as the first time we integrate beauty as well. So there's longer-term categories that we think will be very, very crucial to our long-term success over the last 10 years or some that we are beginning to always (inaudible) with our core activities and getting more serious about it. So there'll be a lot more of that. We won't be looking (inaudible) long-term opportunities during things like this.

我唯一要補充的是，所有這些，我清楚地同意，這一切都非常令人興奮，就是傾向於一些真正新生的類別，我認為即將出現在 H2 中的 REVOLVE Gallery ，這將是我們第一次整合你了解男士的地方，也是我們第一次整合美容。因此，我們認為有一些長期類別對我們在過去 10 年的長期成功非常非常重要，或者我們開始始終（聽不清）我們的核心活動並越來越認真地對待它。所以會有更多這樣的事情。在這種情況下，我們不會尋找（聽不清）長期機會。

Sure. And the only other thing I might layer in without getting, I guess, too detailed, but there's areas of the business, whether it's like the marketing experiments that I alluded to in the first quarter, and also other areas related to kind of cost efficiencies and other opportunities that we're increasing our investments in. And in the short term, are more likely to have a slightly negative effect, right, whenever you're doing something new, it takes time to kind of work out the kings to figure out exactly how to use something right or get it working in the right way. And we're investing prudently, but we're increasing our investments in those areas. And obviously, between the cash balance and where technology is going, it's just an exciting time, I think, for all of us to be active.

當然。我想我可能會在沒有得到的情況下分層的唯一另一件事，我想，太詳細了，但有業務領域，是否像我在第一季度提到的營銷實驗，以及與成本效率相關的其他領域以及我們正在增加投資的其他機會。在短期內，更有可能產生輕微的負面影響，對，無論何時你在做新的事情，都需要時間來解決問題確切地了解如何正確使用某些東西或使其以正確的方式工作。我們正在謹慎投資，但我們正在增加對這些領域的投資。顯然，在現金餘額和技術發展方向之間，我認為這只是一個激動人心的時刻，讓我們所有人都積極起來。

And we'll take our next question from Randy Konik with Jefferies.

我們將與 Jefferies 一起接受 Randy Konik 的下一個問題。

I guess, Jesse, maybe you could give us some perspective on just how -- I'm trying to think about various outcomes for top line. I know you don't want to -- you're not going to get a quantification specifically. But is there a way you could give us some perspective on how you should -- how we should be thinking about differences in a range of outcomes and average order value number of orders or something to that effect that we can kind of get a sense of how you're thinking about a range of outcomes for the top line? That would be super helpful -- for the year...

我想，傑西，也許你可以給我們一些關於如何——我正在嘗試考慮頂線的各種結果的觀點。我知道你不想——你不會得到具體的量化。但是有沒有一種方法可以讓我們了解您應該如何——我們應該如何考慮一系列結果和平均訂單價值訂單數量的差異，或者我們可以了解的一些影響您如何考慮收入的一系列結果？這將非常有幫助——今年……

Yes. It is still highly uncertain out there, as we've talked about. And that's why we're only giving the kind of actual results through April, which were down 7%. And that's some additional color. I think we're still confident that AOV can have a modest increase this year. We are pleased with the flat AOV year-on-year with the significant decrease in full price mix. As expected, full price mix shifted down significantly year-over-year, coming off those record highs of last year. So to get a flat AOV in this quarter, we are pretty pleased about. And then we're already seeing the full price mix shift back with the inventory rebalancing.

是的。正如我們所討論的那樣，那裡仍然存在高度不確定性。這就是為什麼我們只給出 4 月份的實際結果，下降了 7%。這是一些額外的顏色。我認為我們仍然相信今年的 AOV 可以適度增長。我們對 AOV 同比持平感到滿意，全價組合顯著下降。正如預期的那樣，全價組合同比大幅下降，脫離了去年的歷史高位。因此，為了在本季度獲得持平的 AOV，我們感到非常高興。然後我們已經看到整個價格組合隨著庫存重新平衡而轉變。

So we feel good there. Customer acquisition has been healthy. Cash has been healthy. The majority of the new customers that we acquired were at full price. That said, the growth really came from the markdown given the shift to markdown that we saw this quarter. And then I think the uncertainty out there is real. And given that we're starting off at a minus 7% for the quarter, we're kind of in the zone of -- it could be slightly negative to slightly positive for the second quarter, depending on how these next 2 months play out.

所以我們在那裡感覺很好。客戶獲取一直很健康。現金一直很健康。我們獲得的大多數新客戶都是全價購買的。也就是說，考慮到我們在本季度看到的向降價的轉變，增長確實來自降價。然後我認為那裡的不確定性是真實存在的。鑑於我們本季度開始時為負 7%，我們有點處於 - 第二季度可能略微負面到略微正面，具體取決於接下來兩個月的表現.

Comps do get easier on a 1-year basis, but on a multiyear basis, if you look back '22 versus 2019, they're still tough. So I think we just got to keep -- stay on the offense, keep doing what we're doing and kind of work through this moment in time we're in.

Comps 在一年的基礎上確實變得更容易，但在多年的基礎上，如果你回顧 22 年和 2019 年，它們仍然很艱難。所以我認為我們只需要繼續——繼續進攻，繼續做我們正在做的事情，在我們所處的這個時刻做一些工作。

Got it. And then you gave us a good perspective on how you're thinking about the selling and distribution line as a percent of revenue for the year, I assume. So when you think about maybe stepping back and looking at the return rate as an impact this line item. How are you -- where -- can you just give us some perspective of where we are in that return rate cycle? And how should we be thinking about that over the coming years? Is there a meaningful opportunity to over time and what is that return rate? Just how should we be thinking about that, not for just the balance of this year, just kind of thinking out more into the long-term future, you guys have a very sizeable impact or it doesn't [price] impact on the margin.

知道了。然後你給了我們一個很好的視角，說明你如何考慮銷售和分銷線佔當年收入的百分比，我想。因此，當您考慮退後一步並將退貨率視為對該訂單項的影響時。你好嗎 - 在哪裡 - 你能給我們一些關於我們在那個回報率週期中所處位置的觀點嗎？未來幾年我們應該如何考慮這個問題？隨著時間的推移是否有有意義的機會，回報率是多少？我們應該如何考慮這一點，不僅僅是今年的餘額，只是更多地考慮長期的未來，你們有非常大的影響，或者它不會 [price] 影響利潤率.

Yes, maybe I'll address the first part and just kind of talking about the current quarter and return rate and what we've factored into the guidance and then kick it over to Mike for the long-term opportunity on return rate. We did see an elevated return rate for the quarter, higher than we had initially expected, and we did see it increase as the quarter progressed. I think just a couple of things more granular on the seasonality. We typically see March about 20% higher in dollar terms than January. We didn't see that this quarter.

是的，也許我會解決第一部分，只是談論當前季度和回報率以及我們在指導中考慮的內容，然後將其踢給邁克以獲得回報率的長期機會。我們確實看到本季度的回報率有所提高，高於我們最初的預期，而且我們確實看到它隨著季度的進展而增加。我認為只有幾件事與季節性有關。我們通常認為 3 月份以美元計算比 1 月份高出約 20%。我們在本季度沒有看到這一點。

It was only about 10% higher than January on a gross basis. And then when you factor in the return rate, March was actually 6% lower than January. So you can see the impact not only of the macro consumer impact in March, but also that increased return rate as the quarter progressed. And then we also saw increased return rate across segment and then across categories as well, even the lower return rate categories like handbags and then even beauty saw an increased return rate.

按毛利率計算，僅比 1 月份高出約 10%。然後當你考慮到回報率時，3 月份實際上比 1 月份低 6%。因此，您不僅可以看到 3 月份宏觀消費者影響的影響，還可以看到隨著季度進展而增加的退貨率。然後我們還看到了跨細分市場和跨類別的退貨率增加，甚至是手袋等退貨率較低的類別，甚至美容產品的退貨率也有所增加。

So we do attribute a lot of this kind of near-term pressure to the macro environment. And that's why we've taken up the fulfillment a little bit, and we've taken up the selling and distribution pretty meaningfully in our guidance. And as a reminder, 2/3 of that selling and distribution is freight and that return rate does have a significant impact on that.

因此，我們確實將很多此類近期壓力歸因於宏觀環境。這就是為什麼我們已經完成了一些實現，並且我們在我們的指導中非常有意義地進行了銷售和分銷。提醒一下，2/3 的銷售和分銷是運費，退貨率確實對此有重大影響。

And as mentioned in our prepared remarks, we are still seeing that fuel surcharge meaningfully higher to the tune of 30% higher year-on-year this quarter. We do expect that to subside at least on a year-over-year basis, and we're starting to see some softening there that will give us some benefit as we look ahead. And then maybe over to Mike for the longer term.

正如我們在準備好的評論中提到的那樣，我們仍然看到燃油附加費本季度同比高出 30%。我們確實預計這種情況至少會同比下降，而且我們開始看到那裡出現一些軟化，這將在我們展望未來時給我們帶來一些好處。然後可能會長期交給邁克。

Yes. So over the longer term, I'll start my comments with remarks there may be similar to what I made before, and then also kind of provide an update on top of that. So from a strategic standpoint, we're going to continue to focus on making it easier for customers to return to lead within the industry in that process. And that's certainly something that we're not going to compromise.

是的。因此，從長遠來看，我將以可能與我之前所做的類似的評論開始我的評論，然後在此基礎上提供更新。因此，從戰略的角度來看，我們將繼續專注於讓客戶更容易地在該過程中恢復行業領先地位。這當然是我們不會妥協的事情。

We feel like there's a lot of long-term opportunity there. It's something that we've repeatedly said, but it hasn't been the biggest area of active focus. Like there's been some focus on it. But obviously, with the increase in return rate that focuses shifting, and there's going to be a lot more internal work on that and investments kind of going back to the playing offense and investing remarks from earlier, we're increasing our investments there. And we're confident that over the long term, and hopefully, earlier than that, we can make some impactful changes that reduced return rate in a win-win wafer for the consumer and for us.

我們覺得那裡有很多長期機會。這是我們反复說過的事情，但它並不是積極關注的最大領域。就像有人關注它一樣。但顯然，隨著回報率的增加，重點轉移了，並且將有更多的內部工作和投資回到進攻和投資言論，我們正在增加那裡的投資。我們有信心，從長遠來看，並希望在此之前，我們可以做出一些有影響力的改變，以降低消費者和我們雙贏晶圓的退貨率。

On top of that, certainly, Jesse talked about the transactional cost efficiency that we're focused on, we're laser-focused on that. That's one of our key priorities this year, and we're looking to drive those down significantly.

當然，最重要的是，傑西談到了我們關注的交易成本效率，我們非常關注這一點。這是我們今年的主要優先事項之一，我們希望大幅降低這些。

Our next question comes from the line of Lorraine Hutchinson with Bank of America.

我們的下一個問題來自美國銀行的 Lorraine Hutchinson。

I just wanted to follow up on the return rate. But maybe taking a little bit of a different approach, asking the international business, how much of an impact does that continue to have on return rate. And can you talk through any progress you've made on making that fulfillment and return process a little bit more margin efficient, globally?

我只是想跟進退貨率。但也許採取一些不同的方法，詢問國際業務，這對回報率有多大影響。您能否談談您在全球範圍內使履行和退貨流程的利潤率提高一點方面取得的任何進展？

Yes. Yes. On a year-over-year basis, the kind of shift to international or kind of the localization of international didn't have a meaningful impact. We continue to make improvements there for the customer, but the big shift there were over a multiyear period. So if you look kind of a pre-COVID 2018, '19 compared to 2023. That's where you see the significant impact from the international localization. But on a year-over-year basis, we saw relatively consistent increase in return rate, again, across segments and geos and in categories. So I wouldn't call that out as a big factor this quarter.

是的。是的。與去年同期相比，向國際化的轉變或國際化的本地化並沒有產生有意義的影響。我們繼續在那里為客戶進行改進，但那裡的重大轉變是在多年的時間裡發生的。因此，如果你看起來有點像 2018 年 COVID 之前的情況，那麼 19 年與 2023 年相比。這就是你看到國際本地化的重大影響的地方。但與去年同期相比，我們再次看到跨細分市場、地域和類別的退貨率相對一致的增長。所以我不認為這是本季度的一個重要因素。

And we continue to make progress on those in this kind of cost reduction initiatives when it comes to kind of the refulfillment or the shipping back and forth of the returns. On the domestic level, Pennsylvania is continuing to ramp. So we expect to get some efficiencies there, starting this quarter but really in the back half of the year. And then there's a number of initiatives, both domestically and internationally, but really internationally to reduce those costs and optimize the shipping range. Again, not expecting huge impacts this quarter more towards the back half of the year and just really setting us up well for 2024.

當涉及到退貨的重新履行或來回運輸時，我們繼續在這種降低成本的舉措中取得進展。在國內，賓夕法尼亞州正在繼續發展。因此，我們希望從本季度開始但實際上是在今年下半年提高效率。然後在國內和國際上都有許多舉措，但實際上是國際上的舉措，以降低這些成本並優化航運範圍。同樣，不要指望本季度會在今年下半年產生更大的影響，而只是真正讓我們為 2024 年做好準備。

And we'll take our next question from Rick Patel with Raymond James.

我們將和 Raymond James 一起接受 Rick Patel 的下一個問題。

Can you provide additional color on international performance? If we put China aside, are you seeing changes in consumer behavior that you think is noteworthy and keeping an eye on? And we're particularly interested in Europe.

你能為國際表現增添色彩嗎？如果我們把中國放在一邊，您是否看到了您認為值得注意和關注的消費者行為變化？我們對歐洲特別感興趣。

Yes. So with regards to the international regions, China, as we mentioned in the comments, was a really nice story for the quarter, a big growth driver in the quarter, coming off of certainly a difficult comparison, but just in general, we saw a lot of great momentum there.

是的。因此，關於國際地區，正如我們在評論中提到的那樣，中國在本季度是一個非常好的故事，是本季度的一個重要增長動力，當然是一個艱難的比較，但總的來說，我們看到了那裡勢頭很大。

Europe has been a market that's been struggling a bit as with other western markets, whether it's certainly domestically, our sales momentum is not where we want it to be, other western markets like Australia and the U.K., also kind of not where we want them to be. So I think within those Western markets, things have just generally been soft from a macro standpoint. But more broadly, globally, there's definitely those bright spots, including Middle East and Latin America, where we've been making investments, and it's really nice to see those investments paying off in regions that don't have the same currency headwinds or some of the same economic headwinds as the Western markets.

歐洲一直是一個與其他西方市場一樣苦苦掙扎的市場，無論是在國內，我們的銷售勢頭都不是我們想要的，其他西方市場，如澳大利亞和英國，也不是我們想要的成為。因此，我認為在那些西方市場中，從宏觀角度來看，情況普遍疲軟。但更廣泛地說，在全球範圍內，肯定有那些亮點，包括中東和拉丁美洲，我們一直在這些地方進行投資，很高興看到這些投資在沒有相同貨幣逆風或某些貨幣逆風的地區獲得回報與西方市場一樣的經濟逆風。

And also a question on AI. Can you talk about the potential use of AI beyond marketing engagement? I'm just curious what kind of role you see it playing from an operational perspective? And whether this has the potential to be a needle-mover in the next year or 2 or if you see it as an [out-year] event?

還有一個關於人工智能的問題。你能談談人工智能在營銷參與之外的潛在用途嗎？我很好奇您從運營的角度來看它扮演什麼樣的角色？這是否有可能在明年或 2 年成為一個針鋒相對的推動者，或者您是否將其視為 [out-year] 事件？

Yes. My thesis is that AI can clearly every aspect of the business as you (inaudible) there. So we think that there's possibilities in some departments for a strong needle mover within the next 12 months for sure, but also anticipate continued acceleration across the board. We live on to every aspect of organization. And we think some of the first place that impact of the business most is going to be in our fashion design zone. We've really started to leverage some of the generative AI tools for fashion design. And it's still early stages, we're seeing week-to-week these tool gets improve but the design team has been happy with what they've been able to do with kind of like semi-permanent generative tools. So super exciting there.

是的。我的論點是，人工智能可以清楚地了解業務的各個方面，因為你（聽不清）在那裡。因此，我們認為某些部門肯定有可能在未來 12 個月內出現強大的針刺推動者，但也預計會繼續全面加速。我們生活在組織的各個方面。我們認為，對業務影響最大的地方首先會出現在我們的時裝設計區。我們已經真正開始利用一些生成式 AI 工具進行時裝設計。而且它仍處於早期階段，我們看到這些工具每週都在改進，但設計團隊對他們能夠使用類似半永久性生成工具所做的事情感到滿意。那裡太令人興奮了。

I think that there's a lot of things that can link ultimately as we fast forward a few years into the future, I think that things could be dramatically different for us. So it's a really exciting time. I think Mike and I are really reminded of the 20, 25 years ago, early Internet days where it saw the clear long-term trend was there. The specifics of having to pay out, of course, will evolve over the ages, but we think that we're positioned well to take advantage of the excellent way of technology.

我認為隨著我們快進到未來幾年，有很多事情最終可以聯繫起來，我認為事情對我們來說可能會大不相同。所以這是一個非常激動人心的時刻。我認為 Mike 和我真的想起了 20、25 年前的早期互聯網時代，在那裡看到了明顯的長期趨勢。當然，必須支付的具體細節會隨著時間的推移而演變，但我們認為我們已經做好了充分利用這一優秀技術方式的準備。

We'll take our next question from Edward Yruma with Piper Sandler.

我們將接受 Edward Yruma 和 Piper Sandler 的下一個問題。

I wanted to click down a little bit more on FRWD. Obviously, I know you guys are excited about the longer-term growth opportunity there. Could you kind of click down a little bit on inventory there? How you feel -- I know you said kind of from the entity level, you'll be kind of clean by the end of the second quarter. But how do you feel about Ford's inventory level? And kind of have you seen any impact from some of the promotions that we've seen across the luxury space?

我想在 FRWD 上單擊更多。顯然，我知道你們對那裡的長期增長機會感到興奮。你能稍微點擊一下那裡的庫存嗎？你的感受——我知道你說的是從實體層面上說的，到第二季度末你會有點乾淨。但您如何看待福特的庫存水平？你有沒有看到我們在奢侈品領域看到的一些促銷活動的影響？

Yes. Yes. I think consistent with what we've talked about before, it does take longer to write the shift on the FRWD side than it is on REVOLVE. So we feel really good on the REVOLVE side. FRWD still has a little ways to go, and that's where we're sticking to the end of Q2 before we feel like we're in a kind of a rebalanced position. So right now, FRWD inventory does over index relative to the kind of the sales mix on REVOLVE and FRWD. And then yes, I think promotions do have an impact -- have had an impact, and I think it will continue to have an impact as everybody works through their inventory, the uncertain and challenging macro environment. But we're working through that, and we typically don't respond on a kind of a head-to-head one-to-one basis on the promotion, but it's more about working through our inventory and getting it in the right place.

是的。是的。我認為與我們之前討論過的一致，在 FRWD 側寫移位確實比在 REVOLVE 側寫移位需要更長的時間。所以我們在 REVOLVE 方面感覺非常好。 FRWD 還有一些路要走，這就是我們堅持到第二季度末的地方，然後我們才覺得我們處於一種重新平衡的位置。所以現在，相對於 REVOLVE 和 FRWD 上的銷售組合類型，FRWD 庫存確實超過了指數。然後，是的，我認為促銷確實會產生影響——已經產生了影響，而且我認為隨著每個人都在處理庫存、不確定和充滿挑戰的宏觀環境，它會繼續產生影響。但我們正在努力解決這個問題，我們通常不會在促銷活動中以一對一的方式做出回應，但更多的是整理我們的庫存並將其放在正確的位置.

Maybe one other follow-up. I guess have you seen enough from a weakening consumer macro perspective that makes you want to tilt your assortment within core REVOLVE to more entry price point or lower price point versus kind of where it had been migrated to?

也許另一個後續行動。我猜你是否從疲軟的消費者宏觀角度看到了足夠多的東西，這讓你想將你在核心 REVOLVE 中的分類傾斜到更多的入門價格點或更低的價格點，而不是它已經遷移到的那種地方？

Yes. So we're always mindful of consumer shopping behavior. And there's certainly not going to be any shifts that dramatically change our position in the marketplace. But certainly at the edges as we kind of (inaudible) react to where consumer demand is strongest versus softest. We're constantly optimizing the mix, and that will continue to be the case.

是的。因此，我們始終關註消費者的購物行為。而且肯定不會有任何變化會顯著改變我們在市場中的地位。但肯定是在邊緣，因為我們有點（聽不清）對消費者需求最強勁和最疲軟的地方做出反應。我們一直在優化組合，這種情況將繼續存在。

We'll take our next question from Jim Duffy with Stifel.

我們將接受 Jim Duffy 和 Stifel 的下一個問題。

I wanted to start asking about inventory and promotion. Q1 showed some aggressive actions on the inventory. I'm curious, did the inventory progress exceed your expectations in the quarter? And then even with leaner inventories, do you expect you'll need to sustain promotion to remain competitively relevant?

我想開始詢問庫存和促銷。第一季度對庫存採取了一些積極的行動。很好奇，這個季度的去庫存進度有沒有超出你們的預期？然後，即使庫存減少，您是否認為您需要持續促銷以保持競爭力？

Yes. I would say the inventory progress is roughly in line with our expectations despite softening on the top line that we did not expect late in the quarter. So I think we're really pleased with the inventory progress despite the softening top line. And we'll just have to kind of read the landscape as we go through the year. I feel good about the inventory, we'll feel like we rebalanced at the end of Q2, and we'll kind of manage accordingly. But again, we typically don't respond again, head-to-head or in direct response to individual promotions from others. It's all about kind of working through our inventory at the right pace. And if things pick up, we're confident, we can chase into demand in the right categories as well.

是的。我想說庫存進度大致符合我們的預期，儘管我們在本季度末沒有預料到收入會出現走軟。因此，我認為儘管收入疲軟，但我們對庫存進展非常滿意。在我們度過這一年的過程中，我們只需要閱讀風景。我對庫存感覺很好，我們會覺得我們在第二季度末重新平衡了，我們會相應地進行管理。但同樣，我們通常不會再次回應，面對面或直接回應其他人的個人促銷活動。這一切都是關於以正確的速度處理我們的庫存。如果情況好轉，我們有信心，我們也可以追逐正確類別的需求。

And I'm curious, just the consumer response to promotions. Have the consumers been embracing the promoted merchandise more than you would expect at the expense of full-price sales? Or what are you seeing in the mix between full price and promoted goods?

我很好奇，只是消費者對促銷的反應。消費者是否比您預期的以全價銷售為代價更願意接受促銷商品？或者您在全價商品和促銷商品的組合中看到了什麼？

Yes. I think generally, I'd say they're responding as we would expect to the markdowns. And I think also responding on the flip side as we're now shifting back into full price. And we're already seeing a pretty meaningful kind of reversion back to that full price, not to the record levels we were at last year, of course, but you can see that in our gross margin guidance that we gave for Q2. So again, just managing accordingly and responding to the customer.

是的。我認為一般來說，我會說他們對降價的反應正如我們所期望的那樣。而且我認為在另一面也做出回應，因為我們現在正轉向全價。當然，我們已經看到一種非常有意義的回歸到全價，而不是回到去年的創紀錄水平，但你可以在我們為第二季度給出的毛利率指引中看到這一點。再次重申，只需相應地管理並響應客戶。

We'll take our next question from Chad Tevebaugh with Needham & Company.

我們將接受 Needham & Company 的 Chad Tevebaugh 的下一個問題。

It's Chad on for Anna. Just on the better forward growth in the quarter. Can you talk about what's embedded for 2Q and what you're seeing with the more luxury consumer? And then additionally, with the moderating inventory at the end of 2Q, should we think about inventory being more in line with sales in the back half of the year?

這是查德為安娜。只是關於本季度更好的前瞻性增長。你能談談 2Q 嵌入的內容以及你對更多奢侈品消費者的看法嗎？此外，隨著第二季度末庫存的減少，我們是否應該考慮下半年的庫存與銷售更加一致？

Yes. No comment really on the expectation for FRWD beyond what we saw in April, which was a kind of a slight sequential improvement on a 1-year basis versus March, but again, on a multiyear basis, still a detail across the board. And then -- and FRWD is just much more volatile on a month-to-month and quarter-to-quarter basis, which is why we want to stay away from giving too much color on the expectations there for the balance of the year. And then inventory in line with sales, again, that was our expectation that is around the middle of this year that those 2 would converge closer.

是的。除了我們在 4 月份看到的情況之外，沒有真正對 FRWD 的預期發表評論，這與 3 月份相比是 1 年基礎上的一種輕微連續改善，但同樣，在多年基礎上，仍然是一個全面的細節。然後 - FRWD 按月和按季度計算的波動性要大得多，這就是為什麼我們希望避免對今年剩餘時間的預期給予過多的色彩。然後庫存與銷售量保持一致，這也是我們在今年年中左右的預期，即這兩個指標會更加接近。

And we'll move on to our next question from Janine Stichter with BTIG.

我們將繼續討論來自 BTIG 的 Janine Stichter 的下一個問題。

Can you talk to own brand penetration where it sits currently? And then would we expect to see it ramp as we get inventory more aligned in the back half? And then also on that, can you speak to where margins are currently on private brands versus historical? And where you see them trending? I know you mentioned the lower inbound freight starting to kick in. Anything else to call out there just on the costing environment.

你能談談目前的自有品牌滲透率嗎？然後我們會期望看到它隨著我們在後半部分使庫存更加一致而增加嗎？然後在這一點上，你能談談目前自有品牌與歷史品牌的利潤率在哪裡嗎？你在哪裡看到它們的趨勢？我知道你提到較低的入站運費開始出現。還有什麼可以在成本核算環境中提出的。

Yes. For the owned brand mix, I wouldn't expect a meaningful increase in the mix this year versus last year. I think that is more of a -- probably a 2024 dynamic in times like this when we're rebalancing inventory, and given the depth that we need to produce into our owned brands that has a more meaningful pullback than on the third-party side. So not expecting a meaningful increase this year on a full year basis, more kind of comparable even throughout the balance of this year to what we had last year.

是的。對於自有品牌組合，我預計今年的組合與去年相比不會有顯著增加。我認為這更像是 - 可能是 2024 年這樣的動態，當我們重新平衡庫存時，考慮到我們需要生產到我們自有品牌的深度，這比第三方方面有更有意義的回調.因此，預計今年全年不會出現有意義的增長，甚至在今年餘下的時間裡與我們去年的增長相當。

And then the margins are holding strong. Freight has that -- inbound freight on owned brands has returned close to pre-pandemic levels. But keep in mind that given the higher price points that we operate at, that premium price point, the freight is a much smaller percentage of the cost of goods sold than maybe for others. It does have a positive impact, but it's not as meaningful as you might otherwise think. And that margin is still significantly higher than a third-party margin.

然後利潤率保持強勁。運費就是這樣——自有品牌的入境運費已恢復到接近大流行前的水平。但請記住，鑑於我們經營的價格較高，即溢價價格點，運費佔銷售商品成本的比例可能比其他公司小得多。它確實有積極的影響，但並不像您想像的那麼有意義。而且這個利潤率仍然明顯高於第三方利潤率。

We'll take our next question from Tom Nikic with Wedbush Securities.

我們將從 Wedbush Securities 的 Tom Nikic 那裡回答下一個問題。

Jesse, the gross margin for Q2 is implied to get much better sequentially. Is that just a function of, I don't know, less discounting or full price mix getting back to normal or closer to normal? Is there anything else like mix related, we should think about that starts becoming a good guy? Just -- can you just help us sort of understand the progression of gross margins here?

傑西，第二季度的毛利率預計會比上一季度好得多。我不知道，這只是減少折扣或全價組合恢復正常或接近正常的功能嗎？還有什麼像mix相關的，我們應該考慮開始成為一個好人嗎？只是 - 你能幫我們了解這裡毛利率的進展嗎？

Yes. No, that is the primary driver, shifting back to a healthier full price mix in Q2. And we see that that's typical for any year, but especially this year as we made significant progress on the inventory in Q1 and then in a healthier place in Q2. So there's both a seasonal aspect and then our inventory coming back in check that also helps that. Mix across categories is relatively consistent. We think we're back to, call it, plus or minus normal with that 30% being dresses. Dresses does tick up a little bit in Q2 as does that fashion apparel. So there's a little bit there, but I would say the primary driver is that full price mix component.

是的。不，這是主要驅動因素，在第二季度轉向更健康的全價組合。我們看到這在任何一年都是典型的，但今年尤其如此，因為我們在第一季度的庫存方面取得了重大進展，然後在第二季度取得了更健康的進展。因此，既有季節性因素，又有我們的庫存回來檢查，這也有幫助。跨類別的組合相對一致。我們認為我們又回到了正負正常狀態，這 30% 是裙子。連衣裙和時尚服裝在第二季度確實有所增長。所以那裡有一點，但我想說主要驅動因素是全價組合部分。

We'll take our next question from Matt Koranda with ROTH MKM.

我們將與 ROTH MKM 一起接受 Matt Koranda 的下一個問題。

A lot have been asked and answered. But just wanted to cover engagement. And what categories are you seeing new customers enter the active user base? Anything that's changed there? Any callouts as given the different economic environment we're in?

已經問了很多，也回答了很多。但只是想涵蓋參與度。您看到哪些類別的新客戶進入活躍用戶群？那裡有什麼變化嗎？考慮到我們所處的不同經濟環境，是否有任何標註？

Yes, I wouldn't say there's any major changes from some of the trends we've seen in earlier quarters, but a couple of callouts. One would be that markdown products were particularly strong in new customer acquisition, and that's generally true historically. So that was certainly one reason we saw a strong new customer growth in the first quarter. And then also beauty. And again, the same quarter as previous quarters, it has been a growth area for us. And that area is typically more efficient for us in driving new customers, and so we saw a strength there as well.

是的，我不會說我們在前幾個季度看到的一些趨勢有任何重大變化，但有一些標註。一個是降價產品在新客戶獲取方面特別強大，這在歷史上通常是正確的。因此，這當然是我們在第一季度看到強勁的新客戶增長的一個原因。然後還有美麗。再一次，與前幾個季度相同的季度，它一直是我們的增長領域。而且該領域通常對我們來說更有效地吸引新客戶，因此我們也看到了那裡的優勢。

And we have time for one more question. And we have Simeon Siegel with BMO Capital Markets.

我們還有時間再問一個問題。我們有 Simeon Siegel 和 BMO Capital Markets。

I understand it's trailing 12 months, so perhaps it's a little different than what would have been this quarter. But just from what we can see, you're still showing impressive active customer growth, especially versus revenues. So I'm curious. I appreciate the tougher macro, but do you think the new customers are any different than the existing ones. I'm just wondering if they might be partially driving lighter productivity, just whether it's the returns, the margin, the AOV, et cetera. So just curious if you're seeing anything interesting learning-wise or discrepancies with the new cohorts.

我知道它已經過去 12 個月了，所以可能與本季度的情況略有不同。但就我們所見，您仍然表現出令人印象深刻的活躍客戶增長，尤其是與收入相比。所以我很好奇。我很欣賞更強硬的宏觀，但你認為新客戶與現有客戶有什麼不同嗎？我只是想知道他們是否可能部分地推動了更輕的生產力，無論是回報、利潤率、AOV 等等。所以很好奇，如果您看到任何有趣的學習方面的知識或與新隊列的差異。

Yes. We're not seeing anything particularly different from the new cohorts versus previous cohorts. Certainly, depending on how we bring in new customers. There can be some differences over time. But in general, what we're seeing is consistent with what we've seen historically as far as our expectations from those consumers. As it relates to return rate, typically, new customers actually tend to have a lower return rate than returning customers. So that wasn't -- that didn't have any impact on the increase in return rate in the first quarter.

是的。我們沒有看到新隊列與以前的隊列有什麼特別不同。當然，這取決於我們如何吸引新客戶。隨著時間的推移可能會有一些差異。但總的來說，就我們對這些消費者的期望而言，我們所看到的與我們從歷史上看到的是一致的。由於它與退貨率有關，通常情況下，新客戶的退貨率實際上往往低於回頭客。所以那不是 - 這對第一季度回報率的增長沒有任何影響。

And that's all the time we have for questions today. I'll turn the call back to management for closing remarks.

這就是我們今天所有的提問時間。我將把電話轉回管理層以作結束語。

Thank you for joining us for this quarter guys. Obviously, a lot going on in the business, lot going on in the world, but I'm very excited to look at the organization, looking forward to next quarter to show you continued results both operational results financially.

感謝您加入我們本季度的行列。顯然，業務中發生了很多事情，世界上發生了很多事情，但我很高興看到這個組織，期待下個季度在財務上向您展示持續的業績和運營業績。

Thank you. And that does conclude today's presentation. Thank you for your participation, and you may now disconnect.

謝謝。這確實結束了今天的演講。感謝您的參與，您現在可以斷開連接。