Revolve Group Inc (RVLV) 2023 Q3 法說會逐字稿

Good afternoon. My name is Julianne, and I will be your conference operator today. At this time, I would like to welcome everyone to Revolve's Third Quarter 2023 Earnings Conference Call. (Operator Instructions) As a reminder, this conference call is being recorded.

午安.我叫朱莉安，今天我將擔任你們的會議操作員。此時，我歡迎大家參加 Revolve 2023 年第三季財報電話會議。 （操作員說明）謹此提醒，本次電話會議正在錄音。

I would now like to turn the call over to Erik Randerson, Vice President of Investor Relations at Revolve. Thank you. Please go ahead.

我現在想將電話轉給 Revolve 投資者關係副總裁 Erik Randerson。謝謝。請繼續。

Good afternoon, everyone, and thanks for joining us to discuss Revolve's third quarter 2023 results. Before we begin, I'd like to mention that we have posted the presentation containing Q3 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 年第三季的表現。在開始之前，我想提一下，我們已將包含第三季財務要點的簡報發佈到我們的投資者關係網站：investors.revolve.com。

I would also like to remind you that this conference call will include forward-looking statements, including statements related to our future growth and profitability and ability to generate cash flow, macroeconomic industry trends, our competitive position, our business, operations and marketing initiatives and investments, average spending per active customer category expansion, international expansion, our inventory balance and management and our outlook for net sales, gross margin, operating expenses and effective tax rate.

我還想提醒您，本次電話會議將包含前瞻性陳述，包括與我們未來成長和獲利能力以及產生現金流的能力、宏觀經濟產業趨勢、我們的競爭地位、我們的業務、營運和行銷計劃以及投資、每個活躍客戶類別擴張的平均支出、國際擴張、我們的庫存平衡和管理以及我​​們對淨銷售額、毛利率、營運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有重大差異，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的其他地方披露的其他風險和不確定性。向美國證券交易委員會提交的文件，包括但不限於我們截至2022 年12 月31 日的10-K 表格年度報告，以及隨後的10 -Q 表格季度報告，所有這些都可以在我們的網站上找到： Investors.revolve.com。除法律要求外，我們不承擔修改或更新任何前瞻性陳述或資訊的義務。

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.

在今天的電話會議中，我們還將參考某些非公認會計準則財務信息，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公認會計準則衡量標準，因為我們相信它們為我們的營運績效和基本營運績效提供了寶貴的見解。此非 GAAP 財務資訊的呈現不應被孤立地考慮，也不能作為根據 GAAP 準備和呈現的財務資訊的替代或優於，且我們的非 GAAP 衡量標準可能與非 GAAP 衡量標準不同被其他公司使用。

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.

非 GAAP 衡量標準與 GAAP 衡量標準的調整以及每項衡量標準的定義、其局限性以及我們使用它們的理由可以在今天下午的新聞稿和我們向 SEC 提交的文件中找到。

Joining me on the call today are our 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. With that, I'll turn it over to Mike.

今天加入我的電話會議的是我們的共同創辦人兼聯合執行長 Mike Karanikolas 和 Michael Mente；以及我們的財務長傑西·蒂默曼斯 (Jesse Timmermans)。在我們準備好的發言之後，我們將開始電話詢問您的問題。有了這個，我會把它交給麥克。

Hello, everyone, and thanks for joining us today. I will begin with a recap of our third quarter results, followed by updates on some key operating priorities and multiyear growth initiatives, consistent with our focus on investing for the long term to maximize shareholder value.

大家好，感謝您今天加入我們。我將首先回顧我們第三季度的業績，然後介紹一些關鍵營運優先事項和多年增長計劃的最新情況，這與我們致力於長期投資以最大化股東價值的重點相一致。

Net sales decreased 4% year-over-year to $258 million in the third quarter, a slight improvement from the 6% decline in the second quarter of 2023. We believe spending on discretionary products by our consumer demographic is being pressured by many factors, particularly in the U.S., including persistent inflation compounded by higher interest rates, reduced savings and significant uncertainty in the macroeconomic and geopolitical climate.

第三季淨銷售額年減 4%，至 2.58 億美元，較 2023 年第二季 6% 的降幅略有改善。我們認為，消費者群體在非必需品上的支出正受到多種因素的壓力，尤其是在美國，包括持續的通貨膨脹，加上利率上升、儲蓄減少以及宏觀經濟和地緣政治環境的巨大不確定性。

Net sales in the U.S. decreased 5% year-over-year, and net sales in international markets decreased 1% year-over-year. The relative outperformance in international was driven by exceptional growth in Mexico, that was offset by declining sales in Australia and China, 2 regions impacted by economic challenges and currency headwinds.

美國淨銷售額較去年同期下降5%，國際市場淨銷售額較去年同期下降1%。國際市場的相對優異表現是由墨西哥的出色成長推動的，但澳洲和中國這兩個受經濟挑戰和貨幣逆風影響的地區的銷售額下降抵消了這一增長。

By segment, REVOLVE net sales decreased 2% year-over-year, with going-out styles like dresses detracting from growth against difficult comparisons. It's important to keep in mind that as previously shared, we have operated with new inventory buys down by a mid-teens percentage year-over-year to the first 3 quarters of 2023. A highlight of the REVOLVE segment is our accelerated growth in beauty net sales that validates our long-term opportunity for category expansion. Michael will talk more about this exceptional execution of our beauty playbook in his remarks.

按細分市場劃分，REVOLVE 淨銷售額年減 2%，洋裝等外出款式拖累了成長，難以進行比較。重要的是要記住，正如之前分享的那樣，到 2023 年前 3 季度，我們的新庫存購買量同比下降了百分之十左右。REVOLVE 細分市場的一個亮點是我們在美容領域的加速增長淨銷售額證實了我們品類擴張的長期機會。邁克爾將在演講中更多地談論我們美容劇本的出色執行。

FWRD net sales decreased 14% year-over-year, within a luxury sector that is recalibrating after 2 years of extraordinary growth coming out of COVID. Aspirational luxury consumers who were flushed with cash 18 months ago just don't have the same capacity to spend in the current environment. As a relevant benchmark, Bank of America recently reported that its credit card data reflects a 16% year-over-year decrease in luxury fashion spending by U.S. consumers in the third quarter.

FWRD 淨銷售額年減 14%，奢侈品產業在因新冠疫情經歷了兩年的超常成長後正在重新調整。 18 個月前擁有大量現金的有抱負的奢侈品消費者在當前環境下已經沒有同樣的消費能力了。作為相關基準，美國銀行最近報告稱，其信用卡數據顯示，第三季美國消費者的奢侈時尚支出比去年同期下降了 16%。

As we entered the year, a top priority was rebalancing our inventory. We achieved this objective in the third quarter as the spreads between our year-over-year inventory and sales trends were favorable in the third quarter for the first time in more than 2 years. This very important milestone was driven by the REVOLVE segment, where the year-over-year decline in inventory was steeper than the year-over-year decline in net sales by several points.

進入新的一年，首要任務是重新平衡我們的庫存。我們在第三季實現了這一目標，因為第三季庫存與銷售趨勢之間的利差在兩年多以來首次出現有利的情況。這個非常重要的里程碑是由 REVOLVE 部門推動的，該部門的庫存同比下降幅度比淨銷售額的同比下降幅度還要大幾個百分點。

Shifting to the FWRD segment. While I'm thrilled with our successful effort to rebalance total company inventory, which has been beneficial to cash flows, the composition of our FWRD segment inventory is not yet optimal. As mentioned on previous calls, it will take longer to fully rebalance the inventory of FWRD, considering the current challenges in the luxury industry, as well as markdown restrictions from luxury brands that extend the time frame from rebalancing our FWRD inventory.

轉向 FWRD 段。雖然我對我們成功地重新平衡公司總庫存（這有利於現金流）感到興奮，但我們的 FWRD 部門庫存的組成尚未達到最佳。正如先前的電話會議中所提到的，考慮到奢侈品行業當前面臨的挑戰，以及奢侈品牌的降價限制延長了我們重新平衡 FWRD 庫存的時間，完全重新平衡 FWRD 的庫存將需要更長的時間。

Moving to key metrics. As a company passionate about serving our customers incredibly well, I'm excited and proud that we crossed the 2.5 million active customer threshold in the third quarter. Notably, active customers increased by 52,000 in the third quarter, 53% higher than our growth in the second quarter of 2023. The improved results benefited from year-over-year growth in new customers and the efficient cost of acquisition that declined year-over-year. Most gratifying is that our Net Promoter and customer satisfaction scores were higher than in any prior third quarter for at least 5 years.

轉向關鍵指標。作為一家熱衷於為客戶提供優質服務的公司，我對我們在第三季突破 250 萬活躍客戶門檻感到興奮和自豪。值得注意的是，第三季活躍客戶增加了 52,000 名，比 2023 年第二季的成長高出 53%。業績的改善得益於新客戶的同比增長以及同比下降的高效獲客成本-年。最令人欣慰的是，我們的淨推薦值和客戶滿意度得分高於之前至少 5 年第三季的水平。

Not surprisingly, average spending per active customer has decreased year-over-year in the current environment, yet we hear loud and clear that our customers absolutely love REVOLVE. We view the lower average spending per active customer is a temporary dynamic that will normalize over time as the environment improves. Shifting to profitability. We are proud to be one of the only fashion e-commerce companies that generates consistent profitability and cash flow a meaningful competitive advantage that allows us to invest through business cycles.

毫不奇怪，在當前環境下，每位活躍客戶的平均支出同比下降，但我們清楚地聽到，我們的客戶絕對喜歡 REVOLVE。我們認為，每個活躍客戶的平均支出較低是一種暫時的動態，隨著環境的改善，這種動態將隨著時間的推移而正常化。轉向盈利。我們很自豪能夠成為唯一能夠產生持續盈利和現金流的時尚電子商務公司之一，這是有意義的競爭優勢，使我們能夠在整個商業週期中進行投資。

Net income was $3 million or $0.04 per diluted share, a decline of 73% year-over-year that was negatively impacted by an accrual for a pending legal matter equivalent to $0.07 per diluted share. Adjusted EBITDA was $9 million, a decline of 46% year-over-year, which reflects a lower gross margin and continued pressure on selling and distribution and fulfillment expenses, primarily due to the higher return rate year-over-year partially offset by increased marketing efficiency.

淨利潤為 300 萬美元，即稀釋後每股收益 0.04 美元，年減 73%，這是受到未決法律事項應計收益相當於稀釋後每股收益 0.07 美元的負面影響。調整後 EBITDA 為 900 萬美元，年減 46%，反映出毛利率較低以及銷售、分銷和履約費用持續面臨壓力，這主要是由於同比較高的回報率被增加的回報率部分抵消。行銷效率。

Very important is our ability to continue to generate strong cash flows. Cash generated from operations and free cash flow were $12 million and $11 million in the third quarter, a year-over-year increase of 25% and 33%, respectively. Our strong balance sheet enabled us to confidently invest our free cash flow into our $100 million stock repurchase program announced last quarter without sacrificing investment in the business. We deployed $12.6 million to repurchase approximately 907,000 shares of Class A common stock during the third quarter at an average cost of $13.87 per share.

非常重要的是我們繼續產生強勁現金流的能力。第三季營運產生的現金和自由現金流分別為1,200萬美元和1,100萬美元，年增25%和33%。我們強大的資產負債表使我們能夠自信地將自由現金流投資於上季宣布的 1 億美元股票回購計劃，而無需犧牲對業務的投資。第三季度，我們部署了 1,260 萬美元，以每股 13.87 美元的平均成本回購了約 907,000 股 A 類普通股。

Since we view the current environment as a near-term headwind and remain confident in our longer-term opportunity to drive growth and profitability, we view stock repurchases as an attractive and accretive use of our capital. Moreover, in a time when many fashion e-commerce peers have significantly reduced investment to limit their cash burn, our long-term mindset, strong balance sheet and consistent cash flow generation give us the confidence to continue to prudently invest throughout the cycle.

由於我們認為當前的環境是近期的逆風，並且對推動成長和盈利的長期機會仍然充滿信心，因此我們認為股票回購是對我們資本的一種有吸引力和增值的利用。此外，在許多時尚電商同業大幅減少投資以限制現金消耗的情況下，我們的長期思維、強勁的資產負債表和持續的現金流產生使我們有信心在整個週期中繼續審慎投資。

Our long-term approach to investment decisions should allow us to emerge in an even stronger competitive position when the environment improves. With that in mind, I will now offer updates on our important growth and efficiency initiatives that we believe will further strengthen our foundation for profitable growth over the long term.

當環境改善時，我們的長期投資決策方法將使我們能夠處於更強大的競爭地位。考慮到這一點，我現在將提供有關我們重要增長和效率舉措的最新信息，我們相信這些舉措將進一步鞏固我們長期盈利增長的基礎。

We remain extremely committed to driving cost efficiencies within our global shipping and logistics operations. The successful launch I discussed last quarter of consolidated customer return shipments from Canada to the U.S. and local refulfillment for certain product returns in the U.K. have reduced costs as intended but were overshadowed in our financials by the higher return rate year-over-year. Building on our early success, in the coming months, we plan to extend our local refulfillment of certain product returns to Europe. We expect this initiative to reduce shipping costs and provide even faster service for our valued European customers.

我們仍然極為致力於提高全球運輸和物流業務的成本效率。我在上個季度討論了從加拿大到美國的合併客戶退貨發貨以及在英國對某些產品退貨進行本地補貨的成功推出，這按預期降低了成本，但在我們的財務數據中被同比較高的退貨率所掩蓋。在我們早期成功的基礎上，在接下來的幾個月裡，我們計劃將某些產品退貨的本地補貨範圍擴大到歐洲。我們希望這項措施能夠降低運輸成本，並為我們尊貴的歐洲客戶提供更快的服務。

I'm also excited by our innovation in establishing alternative shipping arrangements in certain U.S. regions that have reduced our shipping costs in these regions, even further improved shipping time lines, particularly on the weekends. It is early days, yet we see great potential for our many initiatives to drive efficiency and even further improve on our exceptional service levels.

我也對我們在美國某些地區建立替代運輸安排的創新感到興奮，這些安排降低了我們在這些地區的運輸成本，甚至進一步改善了運輸時間，特別是在周末。雖然現在還處於早期階段，但我們看到了許多措施在提高效率、甚至進一步提高我們卓越服務水準方面的巨大潛力。

With the increase in return rate year-over-year being such a headwind on our financial results, I'm spending a great deal of time and focus with the team on initiatives designed to reduce the return rate and make returns more efficient. A recent survey on our product returns indicates that nearly 2/3 of returns relate to size and fit, validating our opportunity to move the needle over time, as we believe we can leverage technology to do a much better job communicating the fit and sizing before the purchase.

由於回報率的逐年上升對我們的財務表現構成了巨大的阻力，我花費了大量的時間並與團隊一起致力於旨在降低迴報率並提高回報效率的舉措。最近對我們的產品退貨進行的一項調查表明，近2/3 的退貨與尺寸和尺寸相關，這驗證了我們隨著時間的推移而採取行動的機會，因為我們相信我們可以利用技術更好地傳達尺寸和尺寸訊息此次購買。

Some early results are promising. The virtual try-on and size comparison feature tool launched last quarter on FWRD for handbags and accessories has shown excellent results in reducing return rates for customers who engage with it. We are planning to meaningfully extend the tool's availability and have recently launched it on the REVOLVE site as an A/B test.

一些早期結果很有希望。上季在 FWRD 上推出的手袋和配件的虛擬試穿和尺寸比較功能工具在降低使用該工具的客戶的退貨率方面顯示出了出色的效果。我們計劃有意義地擴展該工具的可用性，並最近在 REVOLVE 網站上啟動了它作為 A/B 測試。

We have also recently launched product videos on the product detail page for several brands. And very soon, we will launch product fit guides to test additional efforts to reduce the sizing uncertainty. If these efforts prove successful, the financial benefit should be compelling. Consider that for every 1 point decrease in our return rate, we would expect to realize cost savings of approximately 30 to 50 basis points in reduced selling and distribution and fulfillment costs. A reduced return rate would also drive higher net sales due to a lower percentage of orders being returned.

我們最近也在多個品牌的產品詳細資訊頁面上推出了產品影片。很快，我們將推出產品合身指南，以測試減少尺寸不確定性的額外努力。如果這些努力被證明是成功的，那麼經濟效益應該是引人注目的。考慮到我們的退貨率每降低 1 個百分點，我們預計將在銷售、分銷和履行成本方面實現約 30 至 50 個基點的成本節省。由於退貨訂單比例較低，退貨率降低也將推動淨銷售額上升。

We are also very focused on further expanding our capabilities and growth opportunities within owned brands. As shared on recent earnings calls, the softening consumer demand in recent quarters has led us to be more conservative in planning our owned brand inventory buys since owned brand require a deeper inventory commitment per style than our third-party brands. And the lower mix of owned brands year-over-year is a driver of the gross margin decline I mentioned, since owned brands have a much higher gross margin. Nonetheless, we are excited by and continue to invest in the long-term potential in owned brands, which offer huge potential for product differentiation and margin expansion.

我們也非常注重進一步擴大我們自有品牌的能力和成長機會。正如最近的財報電話會議上所分享的那樣，近幾個季度消費者需求的疲軟導致我們在計劃自有品牌庫存購買時更加保守，因為自有品牌比我們的第三方品牌需要對每種款式有更深的庫存承諾。自有品牌的同比組合下降是我提到的毛利率下降的驅動因素，因為自有品牌的毛利率要高得多。儘管如此，我們對自有品牌的長期潛力感到興奮並繼續投資，這些品牌為產品差異化和利潤擴張提供了巨大的潛力。

Consider that our REVOLVE segment gross margin of 55% reported today was in the same zone as the REVOLVE segment gross margin in the third quarter of 2019, even though the owned brand mix of the REVOLVE segment net sales in the third quarter of 2023 was roughly half of the owned brand mix in the third quarter of 2019. This comparison illustrates the opportunity to drive margin improvement from owned brand expansion in the coming years if we can continue to raise the bar through our ongoing investments.

考慮到今天報告的 REVOLVE 部門毛利率為 55%，與 2019 年第三季 REVOLVE 部門毛利率處於同一區域，儘管 REVOLVE 部門自有品牌組合 2023 年第三季淨銷售額約為2019 年第三季自有品牌組合的一半。這一比較表明，如果我們能夠透過持續投資繼續提高標準，未來幾年有機會透過自有品牌擴張推動利潤率提高。

Lastly, we continue to expand the use of AI and machine learning across several key areas of our operations to drive growth and efficiency. I'm excited about our current application of AI technology that allows our customers to visually search for similar styles without any keywords. Currently in beta testing, the compelling user experience is especially relevant for driving discovery among the tens of thousands of styles on REVOLVE.

最後，我們繼續在營運的幾個關鍵領域擴大人工智慧和機器學習的使用，以推動成長和提高效率。我對我們目前人工智慧技術的應用感到興奮，該技術使我們的客戶無需任何關鍵字即可直觀地搜尋相似的款式。目前處於 Beta 測試階段，引人注目的用戶體驗對於推動 REVOLVE 上數以萬計的款式中的發現尤其重要。

We are also gearing up to launch a personalized recommendation landing page for returning customers, leveraging outstanding development work by our data science team to tap into our deep data insights. We believe the increasingly personalized site experience will provide a more engaging and rewarding shopping experience and, based on prior efforts, could lead to improved conversion rates. I am pleased with our team's execution on these important initiatives that are key building blocks for our continued long-term growth and profitability.

我們也準備為回頭客推出個人化推薦登陸頁面，利用我們資料科學團隊出色的開發工作來挖掘我們深入的資料洞察。我們相信，日益個人化的網站體驗將提供更具吸引力和回報的購物體驗，並且基於先前的努力，可能會提高轉換率。我對我們團隊執行這些重要措施感到滿意，這些措施是我們持續長期成長和獲利的關鍵組成部分。

In summary, while we face a multitude of challenges in the current environment, we will remain on offense. We continue to focus on our competitive advantages of technology innovation, operating efficiency and brand building to guide us through these uncertain times as we invest in the long-term opportunity ahead of us. Now over to Michael.

總而言之，儘管我們在當前環境下面臨許多挑戰，但我們將繼續進攻。我們繼續專注於技術創新、營運效率和品牌建立方面的競爭優勢，以引導我們度過這些不確定的時期，同時投資於我們面前的長期機會。現在輪到麥可了。

Thanks, Mike, and hello, everyone. It's been a challenging few quarters contending with the macro environment and cycling through comparisons against a period of pent-up consumer spending coming out of COVID. As a relevant benchmark, consumer sentiment in the U.S. is currently 64, which is well below the consumer sentiment during the depths of COVID.

謝謝麥克，大家好。與宏觀環境作鬥爭，並與新冠疫情期間消費者支出被壓抑的時期進行比較，這是充滿挑戰的幾個季度。作為相關基準，美國消費者信心指數目前為 64，遠低於新冠疫情最嚴重時期的消費者信心指數。

Nonetheless, as CEOs of a growth company, Mike and I are not satisfied with our current results. Even within the current difficult macro environment, we expect to outperform the benchmark, as we have for most of the 20 years since we founded Revolve. We have some work to do. Our team is up to the challenge, and I feel great about our early progress on growth initiatives and strategies that we believe offer exciting potential for our future.

儘管如此，作為一家成長型公司的首席執行官，麥克和我對我們目前的業績並不滿意。即使在當前困難的宏觀環境下，我們也期望跑贏基準，就像我們成立 Revolve 以來 20 年來的大部分時間一樣。我們還有一些工作要做。我們的團隊正在迎接挑戰，我對我們在成長計劃和策略方面取得的早期進展感到非常高興，我們相信這些計劃和策略為我們的未來提供了令人興奮的潛力。

Our long history of operating the business is has taught us that periods of macro challenge can often present opportunity for market disruption. With a strong financial position, our fast pace and nimble operating structure and our innovative entrepreneurial mindset, we believe we are well positioned to drive improved results.

我們悠久的業務經營歷史告訴我們，宏觀挑戰時期往往會帶來市場混亂的機會。憑藉強大的財務狀況、快節奏、靈活的營運結構以及創新的創業思維，我們相信我們有能力推動業績的改善。

So I will provide an update on what has me excited about our future. First, we have some impactful and innovative brand marketing activations in the works for the fourth quarter and into early 2024 that I'm truly excited about. An important element of our brand-building and our event-planning strategy is to stay nimble, be relevant and fashion exciting. Our marketing plans for the fourth quarter and into early 2024 capture the strategy and our efforts to drive the greatest impact from our passionate community of consumers, influencers and brands.

因此，我將提供讓我對我們的未來感到興奮的最新資訊。首先，我們在第四季和 2024 年初開展了一些有影響力和創新的品牌行銷活動，我對此感到非常興奮。我們的品牌建立和活動策劃策略的一個重要因素是保持敏捷性、相關性和時尚性。我們第四季至 2024 年初的行銷計畫體現了我們的策略和努力，以推動我們熱情的消費者、影響者和品牌社群產生最大的影響。

One of our cornerstone brand-building events in the fourth quarter will be in an international region where we see a great deal of opportunity for future growth in the years ahead. This follows on the heels of a highly successful activation in Mexico where our third quarter sales and customer growth were again truly exceptional, helped by further advances in service levels that drove another exceptional quarter of triple-digit growth in new customers.

我們第四季的基石品牌建立活動之一將在國際地區舉行，我們在那裡看到了未來幾年未來成長的大量機會。在此之前，我們在墨西哥的激活非常成功，在服務水平的進一步提高的幫助下，我們的第三季度銷售額和客戶增長再次取得了真正的出色表現，推動了新客戶又一個三位數增長的出色季度。

As we exit the fourth quarter and extending into 2024, we have a number of activities planned using both REVOLVE and FWRD that we are very excited about. We will share more details on these plans at a later date.

隨著第四季結束並延續到 2024 年，我們計劃使用 REVOLVE 和 FWRD 進行許多活動，我們對此感到非常興奮。我們將在稍後分享有關這些計劃的更多細節。

We are also leveraging our core competencies in disruptive marketing and technology innovation to drive results and lay the foundation for future growth. Mike talked about how we are leveraging AI for personalization and visual search on our website. Beyond this, it is important to understand that we are testing the use of AI broadly throughout the organization in an effort to drive growth and efficiency.

我們也利用我們在顛覆性行銷和技術創新方面的核心能力來推動業績並為未來成長奠定基礎。 Mike 談到了我們如何利用人工智慧在我們的網站上進行個人化和視覺搜尋。除此之外，重要的是要了解我們正在整個組織中廣泛測試人工智慧的使用，以努力推動成長和效率。

In the coming weeks, we will also be experimenting with AI-designed images on our website and mobile app, which, if successful, could prove to be a real game changer. We see many more applications for leveraging AI in the marketing well, building on the success of our innovative AI billboard campaign launched earlier this year.

在接下來的幾週內，我們還將在我們的網站和行動應用程式上試驗人工智慧設計的圖像，如果成功，可能會成為真正的遊戲規則改變者。基於我們今年稍早推出的創新人工智慧廣告看板活動的成功，我們看到了更多在行銷中充分利用人工智慧的應用。

Finally, on Friday, we will launch styles on REVOLVE from 3 emerging designers featuring new collections that were created entirely using AI design. Produced by the 3 winners of the first-ever AI Fashion Week, the looks are incredible and will be exclusively available for sale in REVOLVE.

最後，週五，我們將在 REVOLVE 上推出 3 位新興設計師的款式，其中包括完全使用人工智慧設計創建的新系列。這些造型由首屆 AI 時裝週的 3 名獲勝者製作，令人難以置信，並將在 REVOLVE 獨家發售。

And as a company known for leading innovation on social channels, it is exciting to see our collaboration with TikTok Shop, showing a great deal of promise in the early stages. Net sales generated from TikTok Shop increased meaningfully in the third quarter compared to the second quarter of 2023, even though we only made available a limited selection of products on TikTok Shop.

作為一家以引領社交管道創新而聞名的公司，我們很高興看到我們與 TikTok Shop 的合作，並在早期階段展現了巨大的前景。與 2023 年第二季相比，儘管我們僅在 TikTok Shop 上提供有限的產品選擇，但 TikTok Shop 產生的淨銷售額在第三季顯著成長。

A key contributor to our success is our proven ability to create compelling content for social channels and engage with influencers to drive awareness and impact, combined with the conversion-driven nature of the TikTok platform. Looking forward, we see an exciting opportunity to further leverage our experience in the TikTok platform and expand the range of REVOLVE products and categories that will resonate with a large audience of Gen Z consumers and on content creators on TikTok.

我們成功的關鍵因素是，我們有能力為社交管道創造引人注目的內容，並與有影響力的人互動，以提高知名度和影響力，再加上 TikTok 平台的轉換驅動性質。展望未來，我們看到了一個令人興奮的機會，可以進一步利用我們在TikTok 平台上的經驗，擴大REVOLVE 產品和類別的範圍，這些產品和類別將與Z 世代消費者和TikTok 上的內容創作者產生共鳴。

To capitalize on the exciting growth potential within this new channel, we recently launched a series of live streaming content videos, intending to further engage the TikTok community with product insights, styling tips and exclusive offerings. We also recently launched a dedicated TikTok beauty account, with beauty-specific content that will also have a beauty-focused store within TikTok Shop.

為了充分利用這個新管道令人興奮的成長潛力，我們最近推出了一系列直播內容視頻，旨在透過產品見解、造型技巧和獨家產品進一步吸引 TikTok 社群。我們最近也推出了一個專門的 TikTok 美妝帳戶，其中包含特定於美妝的內容，該帳戶還將在 TikTok Shop 內開設一家專注於美妝的商店。

Beauty is a great category fit concerning that TikTok has a fanatical beauty community and that beauty is ideal for influencers to create compelling educational video content. For years, the viral nature of TikTok has been a powerful catalyst for the beauty category. And now with TikTok Shop, consumers can discover and purchase products in one place.

美妝是一個非常適合的類別，因為 TikTok 擁有一個狂熱的美妝社區，而美妝是影響者創作引人注目的教育影片內容的理想選擇。多年來，TikTok 的病毒式傳播一直是美妝類別的強大催化劑。現在，透過 TikTok Shop，消費者可以在一處發現併購買產品。

Speaking of beauty, I will wrap up the commentary on newer categories where we continue to see a lot of growth potential. The men's and beauty categories achieved strong double-digit sales growth in the third quarter, further validating our opportunity for category expansion. Beauty was the standout performer, so I'll focus my remarks here. Beauty net sales increased 44% year-over-year and expanded to 4% of net sales from 3% in last year's third quarter, helping to offset the current softness in our apparel categories.

說到美容，我將結束對新類別的評論，我們繼續看到很多成長潛力。男士和美容類別在第三季度實現了兩位數的強勁銷售成長，進一步驗證了我們品類擴張的機會。美女是表現最出色的，所以我將在這裡集中我的評論。美妝淨銷售額年增 44%，佔淨銷售額的比例從去年第三季的 3% 擴大至 4%，有助於抵銷我們服裝類別目前的疲軟狀況。

Our team has done an incredible job executing, improving all aspects of the beauty business and bringing on impactful new beauty brands to help drive the 36-point improvement in our year-over-year growth rate compared to the second quarter of 2023. Most exciting is our momentum in attracting impactful new beauty brands, which is even stronger entering the fourth quarter.

我們的團隊在執行方面做得非常出色，改善了美容業務的各個方面，並引入了有影響力的新美容品牌，幫助推動我們的同比增長率與2023 年第二季度相比提高了36 個百分點。這是我們吸引有影響力的新美容品牌的動力，進入第四季度這一勢頭更加強勁。

In October, we added a full range of products from one of the most coveted beauty brands, Laura Mercier to both REVOLVE and FWRD. This is a huge win that we believe may help build momentum in attracting other top beauty brands. Also earlier this month, we extended our top-selling beauty brand on REVOLVE, Charlotte Tilbury, to list on FWRD as well. And right away in the first week, Charlotte Tilbury became our top-selling beauty brand on FWRD. We expect several more impactful beauty brands to launch in the coming weeks, just in time for the holidays.

10 月份，我們為 REVOLVE 和 FWRD 添加了最受追捧的美容品牌之一 Laura Mercier 的全系列產品。這是一個巨大的勝利，我們相信這可能有助於建立吸引其他頂級美容品牌的動力。同樣在本月早些時候，我們也將 REVOLVE 上最暢銷的美容品牌 Charlotte Tilbury 擴展到 FWRD 上。第一周，Charlotte Tilbury 就成為 FWRD 上最暢銷的美妝品牌。我們預計幾個更有影響力的美容品牌將在未來幾週內推出，正好趕上假期。

Our goal is to become the preferred beauty destination for our customers. A big part of achieving this goal is having the right selection. We believe that as we continue to optimize our beauty assortment, our loyal customers will buy more and more beauty from us because we have earned their trust through our brand, curation and best-in-class customer experience. We are off to a great start with the brand additions I mentioned and a healthy pipeline of brands interested in partnering with us in 2024.

我們的目標是成為顧客首選的美容目的地。實現這一目標的一個重要部分是做出正確的選擇。我們相信，隨著我們不斷優化我們的美容產品種類，我們的忠實客戶將從我們這裡購買越來越多的美容產品，因為我們透過我們的品牌、策劃和一流的客戶體驗贏得了他們的信任。我提到的品牌新增以及有興趣在 2024 年與我們合作的健康品牌管道，讓我們有了一個好的開始。

In closing, while we continue to face challenges in the near term, our team is energized by the opportunity to drive improved results across a wide range of longer-term initiatives that leverage the core competencies that have served us well in the past 20 years. I want to express a heartfelt thanks to our talented team for their incredible efforts and persistence, particularly in the last few years.

最後，雖然我們在短期內繼續面臨挑戰，但我們的團隊因有機會推動各種長期計劃取得更好的成果而充滿活力，這些計劃利用了過去 20 年為我們提供良好服務的核心能力。我想對我們才華橫溢的團隊表示衷心的感謝，感謝他們的努力和堅持，特別是在過去幾年。

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. I'll start by recapping our third quarter results, and then close with updates on recent trends in the business and commentary on our cost structure as we look ahead.

謝謝邁克爾，大家好。我將首先回顧我們第三季的業績，然後以最新的業務趨勢和對未來成本結構的評論作為結束。

Starting with the third quarter results. Net sales were $258 million, a year-over-year decrease of 4%, within an environment for consumer discretionary spending that remains quite challenging. REVOLVE segment net sales decreased 2% and FWRD segment net sales decreased 14% year-over-year in the third quarter. By territory, domestic net sales decreased 5% and international net sales decreased 1% year-over-year.

從第三季業績開始。在非必需消費品支出仍充滿挑戰的環境下，淨銷售額為 2.58 億美元，年減 4%。第三季度，REVOLVE 部門淨銷售額年減 2%，FWRD 部門淨銷售額年減 14%。按地區劃分，國內淨銷售額較去年同期下降 5%，國際淨銷售額較去年同期下降 1%。

Active customers, which is a trailing 12-month measure, increased by 52,000 customers during the third quarter. Our active customers crossed the 2.5 million customer milestone for the first time, an increase of 12% year-over-year.

活躍客戶（以過去 12 個月為衡量標準）在第三季增加了 52,000 名客戶。我們的活躍客戶首次突破 250 萬客戶里程碑，較去年同期成長 12%。

Our customers placed $2.1 million orders in the third quarter, an increase of 9% year-over-year. The increase in orders placed was offset by a decrease in average order value, or AOV, and the year-over-year increase in the return rate. AOV was $299, a decrease of 7% year-over-year, against an elevated AOV comparison of $320 in the third quarter of 2022 that was the highest we have ever reported.

第三季我們的客戶下了 210 萬美元的訂單，年增 9%。訂單量的增加被平均訂單價值（AOV）的下降以及退貨率的同比增長所抵消。 AOV 為 299 美元，年減 7%，而 2022 年第三季的 AOV 為 320 美元，這是我們報告過的最高水準。

Shifting to gross profit. Consolidated gross margin was 51.7%, slightly below our guidance range. The decrease of 127 basis points year-over-year primarily reflects a lower mix of net sales at full price and a lower mix of owned brand net sales within our REVOLVE segment compared to the third quarter of 2022.

轉向毛利。綜合毛利率為 51.7%，略低於我們的指引範圍。年比下降 127 個基點主要反映了與 2022 年第三季相比，REVOLVE 部門的全價淨銷售額組合下降以及自有品牌淨銷售額組合下降。

As you can see from our segment gross profit disclosures, the year-over-year comparison for segment gross margin is more favorable at REVOLVE than FWRD, which reflects the great progress we have made rebalancing the REVOLVE segment inventory. As Mike alluded to, while we have made progress with rebalancing FWRD, we still have work to do to fully optimize the FWRD segment inventory.

從我們的分部毛利揭露中可以看出，REVOLVE 分部毛利率的年比比較比 FWRD 更有利，這反映出我們在重新平衡 REVOLVE 分部庫存方面取得了巨大進展。正如麥克所提到的，雖然我們在重新平衡 FWRD 方面取得了進展，但我們仍有工作要做，以全面優化 FWRD 部門庫存。

Moving on to operating expenses. The quick summary is that better-than-expected marketing efficiency in the third quarter was offset by our fulfillment expense and selling and distribution expense as a percentage of net sales coming in slightly higher than our outlook.

接下來是營運費用。簡而言之，第三季好於預期的行銷效率被我們的履行費用以及銷售和分銷費用佔淨銷售額的百分比略高於我們的預期所抵消。

Fulfillment costs were 3.6% of net sales. The increase of 56 basis points year-over-year was primarily due to a year-over-year increase in our return rate, a year-over-year decrease in AOV, increased rent expense and other costs of operating our recently expanded fulfillment network, and higher wages for our fulfillment center staff. We expect to realize efficiencies on fulfillment expense as a percentage of sales in the coming years as we grow into and optimize our increased fulfillment center capacity.

履行成本佔淨銷售額的 3.6%。年比成長 56 個基點主要是由於我們的退貨率同比增長、AOV 同比下降、租金費用以及運營我們最近擴大的履行網絡的其他成本增加，以及我們的履行中心員工的更高工資。隨著我們不斷發展和優化我們增加的履行中心容量，我們預計在未來幾年內實現履行費用佔銷售額的百分比的效率。

Selling and distribution costs were 19% of net sales. The increase of 170 basis points year-over-year is primarily due to the higher return rate and lower AOV. We are aggressively pursuing initiatives to reduce our shipping and logistics costs and to address the increasing return rate.

銷售和分銷成本佔淨銷售額的19%。年比成長170個基點主要是由於較高的回報率和較低的AOV。我們正在積極採取措施降低運輸和物流成本並解決不斷上升的退貨率問題。

Our marketing investment represented 15.4% of net sales, a decrease of 123 basis points year-over-year, reflecting a reduction in brand marketing investment and events in the third quarter of this year as compared to last year, as well as year-over-year efficiency and performance marketing investment as a percentage of net sales. The reduced brand marketing investment year-over-year is largely due to a shift in timing from the third quarter to the fourth quarter, with a very active calendar of brand building events in the fourth quarter of this year heading into 2024.

我們的行銷投入佔淨銷售額的15.4%，年減123個基點，反映出今年第三季品牌行銷投入和活動較去年以及年效率和績效行銷投資佔淨銷售額的百分比。品牌行銷投資年減的主要原因是時間從第三季度轉移到了第四季度，從今年第四季到 2024 年，品牌建立活動非常活躍。

General and administrative costs were $35.2 million, including the $6.6 million accrual for a pending legal matter. Excluding the legal accrual, our G&A costs came in slightly lower than our outlook for the third quarter.

一般和行政費用為 3,520 萬美元，其中包括未決法律事項的應計費用 660 萬美元。不包括法定應計費用，我們的一般管理費用略低於我們對第三季的預期。

Net income of $3 million or $0.04 per diluted share was impacted by the accrual for the pending legal matter equivalent to $0.07 per diluted share. The 73% year-over-year decline in net income was also impacted by the net sales decline, a year-over-year decrease in gross profit and continued pressure on certain operating expenses. Adjusted EBITDA was $9 million, a decrease of 46% year-over-year.

淨利潤為 300 萬美元，即稀釋後每股收益 0.04 美元，受到待決法律事項應計費用（相當於稀釋後每股 0.07 美元）的影響。淨利潤年減73%也受到淨銷售額下降、毛利潤年減以及某些營運費用持續壓力的影響。調整後 EBITDA 為 900 萬美元，年減 46%。

Moving to the balance sheet and cash flow statement. Inventory at September 30, 2023, was $203 million, a decrease of 5% year-over-year and down 1% sequentially from the second quarter of 2023. The year-over-year decline was 1 point steeper than our net sales decline, illustrating the progress we have made in rebalancing our inventory.

轉到資產負債表和現金流量表。截至 2023 年 9 月 30 日的庫存為 2.03 億美元，年減 5%，較 2023 年第二季環比下降 1%。同比下降幅度比淨銷售額下降幅度大 1 個百分點，說明我們在重新平衡庫存方面取得的進展。

Net cash provided by operating activities and free cash flow in the third quarter increased by a strong double-digit percentage year-over-year. For the 9 months ended September 30, 2023, net cash provided by operating activities was $47 million and free cash flow was $44 million, an increase of 37% and 44% year-over-year, respectively.

第三季經營活動提供的淨現金和自由現金流較去年同期強勁成長兩位數。截至2023年9月30日的9個月，經營活動提供的淨現金為4,700萬美元，自由現金流為4,400萬美元，較去年同期成長37%及44%。

We put our cash flow to work towards the new $100 million stock repurchase program announced last quarter. We repurchased approximately 907,000 shares of Class A common stock during the third quarter at an average cost of $13.87 per share. Approximately $87 million remained available under the repurchase program at quarter end.

我們將現金流用於上季宣布的新的 1 億美元股票回購計畫。第三季度，我們以每股 13.87 美元的平均成本回購了約 907,000 股 A 類普通股。截至季末，回購計畫仍有約 8,700 萬美元可用。

As of September 30, 2023, cash and cash equivalents were $267 million, an increase of $23 million or 9% year-over-year, and we had no debt. Cash and cash equivalents decreased by $2 million on a sequential basis versus the second quarter of 2023 as a result of our stock repurchases.

截至2023年9月30日，現金及現金等價物為2.67億美元，年增2,300萬美元，即9%，且我們沒有債務。由於我們的股票回購，現金和現金等價物與 2023 年第二季相比較上季減少了 200 萬美元。

Now let me update you on some recent trends in the business since the third quarter ended and provide some direction on our cost structure. Starting from the top, the top line pressure we experienced in the third quarter has continued, with net sales for the month of October 2023, down a low single-digit percentage year-over-year.

現在，讓我向您介紹自第三季結束以來的一些最新業務趨勢，並為我們的成本結構提供一些方向。從頂部開始，我們在第三季度經歷的營收壓力仍在持續，2023 年 10 月的淨銷售額比去年同期下降了較低的個位數百分比。

To assist in your modeling of our net sales in the fourth quarter of 2023, I want to highlight that our net sales comparisons are more difficult in the months of November and December on both a 1-year basis and on a multiyear basis, when compared to the October comparison.

為了幫助您對2023 年第四季的淨銷售額進行建模，我想強調的是，無論是在一年基礎上還是在多年基礎上，我們在11 月和12 月的淨銷售額比較都更加困難。與 10 月份的比較。

Consistent with the third quarter results, during October, year-over-year net sales comparisons in the REVOLVE segment continued to outperform the FWRD segment. I would also like to highlight at our October net sales in the Middle East, which has been a growth driver for international, were impacted by the war in Israel. Our hearts go out to everyone affected at home and abroad, suffering tragic loss and hardship surrounding the recent events in the Middle East.

與第三季業績一致，10 月份 REVOLVE 部門的年比淨銷售額繼續優於 FWRD 部門。我還想強調一下，我們十月在中東的淨銷售額（一直是國際市場的成長動力）受到了以色列戰爭的影響。我們的心與所有因中東最近事件而遭受悲慘損失和苦難的國內外受影響者同在。

Shifting to gross margin. We expect gross margin in the fourth quarter of 2023 of between 51.7% and 52%, implying a year-over-year increase in gross margin compared to the fourth quarter of 2022. Taking into account our third quarter performance, we have fine-tuned our gross margin outlook for the full year 2023 to between 51.8% and 51.9%.

轉向毛利率。我們預計 2023 年第四季的毛利率將在 51.7% 至 52% 之間，這意味著與 2022 年第四季相比，毛利率將同比增長。考慮到我們第三季度的業績，我們對我們預計2023 年全年毛利率將在51.8% 至51.9% 之間。

Fulfillment. We expect fulfillment as a percentage of net sales to be around 3.6% for the fourth quarter of 2023, and now expect fulfillment to represent 3.5% of net sales for the full year 2023.

履行。我們預計 2023 年第四季的履行量佔淨銷售額的百分比約為 3.6%，目前預計 2023 年全年的履行量將佔淨銷售額的 3.5%。

Selling and distribution. We expect selling and distribution costs for the fourth quarter of 2023 to be approximately 19%, consistent with the third quarter results, and 18.7% of net sales for the full year 2023. The slight increase from our previous full year 2023 guidance primarily reflects a higher-than-expected return rate that has overshadowed early efficiency gains resulting from our shipping and logistics efficiency measures.

銷售和分銷。我們預計2023 年第四季的銷售和分銷成本約為19%，與第三季業績一致，佔2023 年全年淨銷售額的18.7%。較我們之前的2023 年全年指引略有增加主要反映了高於預期的退貨率掩蓋了我們的運輸和物流效率措施帶來的早期效率提升。

Looking beyond the fourth quarter, in 2024, we believe we can begin to benefit from our concerted efforts to drive efficiency in our shipping and logistics operations globally.

展望第四季之後，也就是 2024 年，我們相信我們可以開始從我們提高全球航運和物流營運效率的共同努力中受益。

Marketing. We expect our marketing investment in the fourth quarter of 2023 to represent between 17% and 17.2% of net sales. For the full year 2023, we have narrowed our expectation for marketing investment to represent between 16.2% to 16.3% of net sales, which is unchanged at the midpoint from our prior full year range.

行銷.我們預計 2023 年第四季的行銷投資將佔淨銷售額的 17% 至 17.2%。對於 2023 年全年，我們將行銷投資佔淨銷售額的預期縮小至 16.2% 至 16.3%，與我們先前全年範圍的中位數保持不變。

General and administrative. We expect G&A expense of approximately $29.6 million in the fourth quarter of 2023 and $121.5 million for the full year 2023. This increase in our full year G&A outlook is entirely due to the $6.6 million accrual for a pending legal matter recorded in the third quarter. And lastly, we continue to expect our effective tax rate to be around 24% to 26%, consistent with the last several quarters.

一般和行政。我們預計2023 年第四季的一般管理費用約為2,960 萬美元，2023 年全年的一般管理費用約為1.215 億美元。我們全年一般管理費用預期的增加完全是由於第三季記錄的未決法律事項應計費用為660 萬美元。最後，我們繼續預期有效稅率約為 24% 至 26%，與過去幾季一致。

To recap, we are laser focused on the large market opportunity ahead of us. Leveraging our strong financial position and consistent with our focus on the long term, we will continue to prudently invest in a multitude of initiatives that we believe can extend our competitive advantages that maximize shareholder value in the years ahead.

回顧一下，我們專注於我們面前巨大的市場機會。憑藉我們強大的財務狀況並與我們對長期的關註一致，我們將繼續審慎地投資於多項舉措，我們相信這些舉措可以擴大我們的競爭優勢，從而在未來幾年實現股東價值最大化。

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) Our first question comes from Edward Yruma from Piper Sandler.

（操作員說明）我們的第一個問題來自 Piper Sandler 的 Edward Yruma。

I guess first, I wanted to understand a little bit more about TikTok Shop. Is it your sense that this is an incremental customer? Or is this a customer that would have maybe seen the media on Instagram and then gone on the site? I'm just trying to understand maybe kind of how does the all-in economics of it look. And then I guess just to get maybe a little bit more further clarity on getting the FWRD inventory numbers in line. Is that a multi-quarter kind of goal? Or do you get in the next quarter or 2?

我想首先，我想多了解 TikTok Shop。您是否覺得這是一個增量客戶？或者這個客戶可能會在 Instagram 上看到媒體，然後造訪該網站？我只是想了解它的整體經濟學是什麼樣的。然後我想只是為了進一步了解 FWRD 庫存數量的情況。這是一個多季的目標嗎？或者你會在下一個季度或第二個季度進入嗎？

Yes. I'll take the first one on TikTok Shop. Our sense of what we've seen thus far is that it's more of an incremental customer. The nature of the orders is fairly different from what we typically see within kind of our other channels, which is an exciting opportunity. And kind of the other thing I'd point out is the channel is still very new and nascent. It's going to evolve a lot in the coming months. We've already seen it be very dynamic within just kind of the initial month that we've been operating. So there's still a lot to play out here.

是的。我會在 TikTok 商店購買第一個。我們對迄今為止所看到的情況的感覺是，它更多的是增量客戶。訂單的性質與我們通常在其他管道中看到的非常不同，這是一個令人興奮的機會。我要指出的另一件事是該頻道仍然非常新且處於新生階段。在接下來的幾個月裡它將會發生很大的變化。在我們營運的第一個月內，我們就已經看到它非常活躍。所以這裡還有很多事情要做。

Yes, this is Jesse. On the FWRD inventory, of course, a lot of this is dependent on what happens in the macro environment looking ahead. But we'd say it's not 3 quarters, it's probably more like that 2-quarter scenario. So we're probably not quite there by year-end, but as we get into the back half of Q1 is our best estimate at this point before it rebounds on the inventory perspective on FWRD.

是的，這是傑西。當然，就 FWRD 庫存而言，這在很大程度上取決於未來宏觀環境中發生的情況。但我們會說這不是三個季度，可能更像是兩個季度的情況。因此，到年底我們可能還沒有完全實現這一目標，但當我們進入第一季後半段時，這是我們目前最好的估計，然後從 FWRD 的庫存角度來看，它會反彈。

And Ed, actually, one clarification I'd add on the incremental customer. Just from a definitional standpoint, you should just be aware that we don't count those as additional active customers because they're coming in through a marketplace, and they're all tied to essentially sort of single account within our system and we don't have those customer emails. We do have names and shipping addresses though and plenty of ways to certainly engage with those customers beyond TikTok Shop.

艾德，實際上，我想對增量客戶進行一項澄清。僅從定義的角度來看，您應該知道，我們不將這些視為額外的活躍客戶，因為他們是透過市場進入的，而且他們基本上都與我們系統中的單一帳戶相關聯，而我們不這樣做沒有那些客戶電子郵件。不過，我們確實有姓名和送貨地址，還有很多方式可以與 TikTok Shop 以外的客戶互動。

Our next question comes from Oliver Chen from TD Cowen.

我們的下一個問題來自 TD Cowen 的 Oliver Chen。

Regarding the environment and what you're seeing with return rates, it sounds incrementally worrisome given that focus. The customer macro's maybe out of your control. So would love your thoughts on how that's interplaying with the future of return rates and also as we look forward to average order value.

考慮到環境以及您所看到的退貨率，考慮到這一點，這聽起來越來越令人擔憂。客戶宏可能超出了你的控制範圍。因此，希望您能了解這與未來的退貨率如何相互作用，以及我們對平均訂單價值的期望。

And then on the customer acquisition costs, it sounded like the marketing efficiency was encouraging. What's driving that? And what are you forecasting going forward for customer acquisition costs? Thirdly, related to the first question, promotions, just want to know your base case for the promotional environment, because the whole industry is experiencing a lot of the cautionary comments you made.

然後在客戶獲取成本方面，行銷效率聽起來令人鼓舞。是什麼推動了這一點？您對未來客戶獲取成本的預測是多少？第三，與第一個問題相關，促銷，只是想知道促銷環境的基本情況，因為整個行業正在經歷很多你提出的警告性評論。

Yes. So I'll maybe kind of start with the end of your question. With regards to the promotional environment, we're definitely seeing an increased promotional activity, particularly within FWRD in the luxury segment. For REVOLVE, we certainly see it as well. We do think REVOLVE has the ability to stay above the fray with regards to that. But at the same time, when consumers are feeling pressured, it certainly does have an impact within REVOLVE, and we've seen that. And Jesse, do you want to take the AOV question and the marketing kind of projections?

是的。所以我可能會從你問題的結尾開始。在促銷環境方面，我們確實看到促銷活動增加，特別是在 FWRD 的奢侈品領域。對於 REVOLVE，我們當然也看到了這一點。我們確實認為 REVOLVE 有能力在這方面保持領先地位。但同時，當消費者感到壓力時，它確實會對 REVOLVE 內部產生影響，我們已經看到了這一點。 Jesse，你想回答 AOV 問題和行銷類型的預測嗎？

Yes. Yes. On AOV, kind of separate from the return rate, we did see pressure on AOV this quarter, as you can see. Maybe starting from the top with the segment breakdown, FWRD is relatively flat, so it's more about decrease in the AOV on the REVOLVE side, but there was also an impact with the shift from FWRD to REVOLVE. And as you know, FWRD carries AOV that's 2.5x that of REVOLVE. And when we do see that shift, we do see pressure on AOV.

是的。是的。在 AOV 上，與回報率不同，我們確實看到了本季 AOV 的壓力，如您所見。也許從頂部開始細分，FWRD 相對平坦，因此更多的是 REVOLVE 側 AOV 的下降，但從 FWRD 到 REVOLVE 的轉變也產生了影響。如您所知，FWRD 的 AOV 是 REVOLVE 的 2.5 倍。當我們確實看到這種轉變時，我們確實看到了 AOV 面臨的壓力。

Then within the REVOLVE segment, that was a decrease of about 6%, just shy of 6%. That was largely due to both units per order and ASPs. And that was, in part, due to that mix and shift towards beauty that carries that lower ASP. So I think a lot of moving pieces there and then on top of comping to a record-high AOV in the prior third quarter. Looking ahead, we'd expect that to balance out, I would say, and not going to be up against such a significant comp and full price mix is getting back to a really healthy place.

然後在 REVOLVE 細分市場中，下降了約 6%，略低於 6%。這主要是由於每個訂單的單位數量和平均售價。這在一定程度上是由於混合和向美容的轉變帶來了較低的平均售價。因此，我認為除了與前第三季創下歷史新高的 AOV 相比，還有很多變化。展望未來，我想說，我們預計這種情況會達到平衡，並且不會面臨如此重要的競爭和全價組合，從而回到一個真正健康的地方。

And then maybe on the marketing efficiency, was another piece of your question there, we did see efficiency on the CAC this quarter, so that was really encouraging. And to be fair, part of that was due to timing. So we did shift some of the brand marketing activities out of Q3 into Q4 and into Q1. So there is a piece there. But there was also efficiency on the performance marketing side, which we're really encouraged about. And then maybe I'll kick it back to Mike.

然後，也許行銷效率是您提出的另一個問題，本季我們確實看到了 CAC 的效率，所以這確實令人鼓舞。公平地說，部分原因在於時機。因此，我們確實將一些品牌行銷活動從第三季轉移到第四季和第一季。所以那裡有一塊。但效果行銷方面也有效率，我們對此感到非常鼓舞。然後也許我會把它踢回給麥克。

Yes. And then to address the first part of your question on the return rate. We do think the environment is playing a large role, just seeing how consumer confidence is so low right now, even lower than COVID depths. There's certainly a lot of disparate indicators out there, but I think whether you look at kind of luxury spending data from Bank of America, consumer confidence or other things. And certainly, what we're seeing with our customers, I think she's not feeling in a good place and that's affecting the return rate.

是的。然後解決您關於退貨率問題的第一部分。我們確實認為環境發揮了重要作用，看看消費者信心現在如此之低，甚至低於新冠疫情的深度。當然有很多不同的指標，但我認為無論你看的是美國銀行的奢侈品支出數據、消費者信心或其他數據。當然，根據我們在客戶身上看到的情況，我認為她感覺不太好，這影響了退貨率。

That said, we definitely recognize it's a very important cost pressure. We're laser-focused on it. And we're not happy that our business is not as solidly profitable right now as we want it. We're still in more challenging times, delivering cash flow and earnings, but it's not at the level we want. And so we've -- we're laser-focused on that and we certainly hope to drive some good improvement in the current quarters.

也就是說，我們肯定認識到這是一個非常重要的成本壓力。我們全神貫注於它。我們很高興我們的業務目前沒有像我們希望的那樣穩定獲利。我們仍然處於更具挑戰性的時期，提供現金流和收益，但還沒有達到我們想要的水平。因此，我們非常關注這一點，我們當然希望在當前幾個季度取得一些良好的進步。

Our next question comes from Mark Altschwager from Baird.

我們的下一個問題來自 Baird 的 Mark Altschwager。

So a lot of the headwinds you cite are more macro in nature. Given the macro picture remains uncertain and challenging heading into 2024, do you think it's reasonable to expect top line growth in the first half of next year? Are there incremental levers you see for next year to better offset the macro headwinds versus what you've experienced thus far in 2023? I guess anything you can share on how you're thinking about that would be helpful. And then I have a follow-up on gross margin.

因此，您引用的許多不利因素本質上都是更宏觀的。鑑於進入 2024 年的宏觀情況仍然不確定且充滿挑戰，您認為明年上半年營收成長的預期是否合理？與 2023 年迄今所經歷的情況相比，您認為明年是否會採取增量槓桿來更好地抵消宏觀阻力？我想你能分享的關於你如何思考的任何事情都會有幫助。然後我對毛利率進行了跟進。

Yes. Maybe I'll start and then if anybody else has anything to add. We're not going to comment too much beyond what we've said in the script. We did comment that October is down low single digits, but we are up against some slightly more difficult comps in November and December. So we just want everybody to keep that in mind.

是的。也許我會開始，然後如果其他人有什麼要補充的。除了劇本中所說的內容之外，我們不會發表太多評論。我們確實評論說 10 月的情況下降了低個位數，但我們在 11 月和 12 月遇到了一些稍微困難的比較。所以我們只是希望每個人都牢記這一點。

To your point, macro is very uncertain. There's a lot of good things happening internally. But to your point, a lot of it is macro driven at this point. So we're going to continue to stay nimble, invest where we think there's meaningful return in the marketing. And we'll get back to inventory growth, at least on the on the REVOLVE side as we get into early next year, so we're optimistic about that. But not much more beyond that, that we can say at this point, given all the uncertainty.

就您而言，宏觀經濟非常不確定。內部發生了很多好事。但就你而言，目前很多都是宏觀驅動的。因此，我們將繼續保持靈活性，在我們認為可以帶來有意義的行銷回報的領域進行投資。進入明年初，我們將恢復庫存成長，至少在 REVOLVE 方面，因此我們對此持樂觀態度。但考慮到所有的不確定性，我們目前不能說的更多了。

And then, Jesse, can you help us better understand the factors that drove Q3 gross margin a bit below the guidance? And then just given the better inventory position, do you see less risk for Q4? And zooming in on REVOLVE, I mean, the gross margins there have been a bit more stable the last couple of quarters. Is 55% kind of the right level to be thinking about?

然後，傑西，您能幫助我們更了解導致第三季毛利率略低於指引值的因素嗎？然後，考慮到更好的庫存狀況，您認為第四季度的風險是否會較小？重點關注 REVOLVE，我的意思是，過去幾季的毛利率更加穩定。 55% 是值得考慮的正確水準嗎？

Yes. Yes, maybe I'll start with the REVOLVE, even though that was kind of a lesser impact this quarter. The year-over-year decline there is roughly split half and half between full price to markdown shift. We were slightly lower on full price this year this quarter than last year's third quarter. Again, that's in a really healthy place if you compare it to pre-COVID. But still relative to last year, it is lower. And then owned brands is the other half of that year-on-year decline, where owned brand mix was lower this year than it was last year.

是的。是的，也許我會從 REVOLVE 開始，儘管這對本季的影響較小。年比下降幅度大約是全價和降價之間的一半。今年本季的全價略低於去年第三季。再說一次，如果你與新冠疫情之前相比，這是一個非常健康的情況。但相對於去年，還是較低的。自有品牌是年減的另一半，今年自有品牌的組合低於去年。

A lot of opportunity there. But given the comments in the prepared remarks, we are more cautious on that owned brand inventory in times when we're pulling back and managing that inventory balance. So that's something we've all said. And to your point, more stable and kind of less risk there as we look into Q4.

那裡有很多機會。但考慮到準備好的評論中的評論，當我們撤回並管理庫存平衡時，我們對自有品牌庫存更加謹慎。這就是我們大家都說過的話。就你的觀點而言，當我們研究第四季時，情況會更加穩定，風險也較小。

On the FWRD side, this is where year-on-year significant decline in margin and also sequentially, which was, I would say, maybe surprises, too aggressive. But we are working through the inventory. It is taking longer. The macro pressures are adding to that and kind of extending the time frame there.

在 FWRD 方面，這是利潤率同比大幅下降的地方，也是連續下降的地方，我想說，這可能是令人驚訝的，過於激進。但我們正在清理庫存。需要更長的時間。宏觀壓力正在加劇這種情況，並在一定程度上延長了時間框架。

And then on promotional environment, we did move more aggressively into that markdown inventory, and the markdowns were more significant than they were in Q2 and last year. So I think we're probably at or near the trough on FWRD. But we probably have another couple of quarters of challenge there.

然後在促銷環境上，我們確實更積極地進入降價庫存，並且降價幅度比第二季和去年更顯著。所以我認為我們可能正處於或接近 FWRD 的低潮。但我們可能還會面臨另外幾季的挑戰。

Our next question comes from Rick Patel from Raymond James.

我們的下一個問題來自雷蒙德·詹姆斯的里克·帕特爾。

You touched on it, but I'm hoping you can expand on how you're planning inventory for the spring of '24. It sounds like you're seeing signs of encouragement for the REVOLVE brand and the beauty category. But just hoping for more color there, and if there's any other areas of the business that are worth calling out from an inventory planning perspective.

您談到了這一點，但我希望您能詳細說明如何規劃 24 年春季的庫存。聽起來您似乎看到了 REVOLVE 品牌和美容品類受到鼓舞的跡象。但只是希望那裡有更多的色彩，以及是否有任何其他業務領域值得從庫存規劃的角度提出。

Yes. Yes. Maybe starting with REVOLVE. To your point, we are further ahead on the inventory rebalancing and feel good about that inventory. Turns are up year-on-year. So we're at the point now where we'll start to see buys increase year-on-year as we get into Q1 of '24. On the FWRD side, as I mentioned, we've still got another quarter or 2 of rebalancing there. So the kind of lean-in to the inventory will be a couple of quarters lagging. So we're probably not looking -- probably looking more at like midyear on the FWRD side.

是的。是的。也許從 REVOLVE 開始。就您的觀點而言，我們在庫存重新平衡方面走得更遠，並且對該庫存感覺良好。營業額較去年同期上升。因此，隨著進入 24 年第一季度，我們現在將開始看到購買量比去年同期增加。在 FWRD 方面，正如我所提到的，我們還有一兩個季度的再平衡時間。因此，庫存的調整將滯後幾季。因此，我們可能不會關注——可能更關注 FWRD 方面的年中情況。

And then owned brands is a longer tail. It takes longer to kind of recalibrate and spin that up. So I think as we approach the back half of next year, we're seeing some increases there. But as a percentage of the overall mix, not factoring anything dramatic in for 2024 on the own brand mix different from where we're at today.

然後自有品牌是一條更長的尾巴。重新校準和旋轉它需要更長的時間。所以我認為，隨著明年下半年的臨近，我們會看到一些成長。但就整體組合的百分比而言，沒有考慮到 2024 年自有品牌組合與我們今天的情況不同的任何戲劇性因素。

And maybe just to touch on beauty as well because we are really excited about the beauty. The brands that we've added in Q3, a really healthy roster, and Michael mentioned this on the prepared remarks. Really healthy roster of brands coming on in Q4 and into 2024. So really excited about that in that area.

也許也只是為了觸及美麗，因為我們對美麗感到非常興奮。我們在第三季度添加的品牌是一個非常健康的名單，邁克爾在準備好的演講中提到了這一點。第四季和 2024 年將推出真正健康的品牌名單。對此領域的發展感到非常興奮。

Our next question comes from Kunal Madhukar from UBS.

我們的下一個問題來自瑞銀集團的 Kunal Madhukar。

One on active clients, that number is still growing. Can you talk about where that -- you're adding active clients, whether it is U.S., international and any demographic that you could give us? And second, on the efficiency on the marketing side, is that driven by lower price on a per ad basis? Or is that driven by better targeting or better maybe channel mix?

就活躍客戶而言，這一數字仍在成長。您能談談您在哪些方面增加了活躍客戶，無論是美國客戶、國際客戶或您可以為我們提供的任何人群？其次，就行銷方面的效率而言，這是由每個廣告的較低價格所驅動的嗎？或者這是由更好的定位或更好的頻道組合所驅動的？

Yes, Kunal. On the first one on active customers, by geography, it skews higher, on a growth perspective, international versus domestic. So roughly not in line, but a similar dynamic to our overall sales growth where you see international outpacing domestic. Within domestic, you see markdown growth outpacing the full price growth. But full price still very strong in, call it, 2/3 plus, almost 3/4 of the new customers are coming from full price. So that's a really healthy customer base. And then REVOLVE/FWRD, again, similar to the net sales dynamics, where FWRD lags that of REVOLVE, it's similar on the new customer side.

是的，庫納爾。第一個關於活躍客戶的地理分佈，從成長的角度來看，國際與國內的傾斜度更高。因此，與我們的整體銷售成長大致不相符，但與我們的整體銷售成長類似，您會看到國際銷售成長超過國內銷售。在國內，降價增長超過了全價增長。但全價仍然非常強勁，稱為 2/3 加，幾乎 3/4 的新客戶來自全價。所以這是一個非常健康的客戶群。然後，REVOLVE/FWRD 再次與淨銷售動態類似，其中 FWRD 落後於 REVOLVE，在新客戶方面也類似。

Yes. And then in terms of the marketing efficiency, it's a combination of things. We've been tweaking kind of the performance marketing budget over the past few quarters, running kind of various tests and kind of adding to our ability to optimize the marketing. And I'd say, really, we're kind of halfway to that feature or that process. So it's a little bit of that, and then it's a little bit of timing in terms of brand marketing activities, which are more long term in terms of how they impact the business. But overall, we view that as one of the bright spots of the quarter, that we're able to have strong active customer growth with some more efficient marketing.

是的。然後就行銷效率而言，這是一個綜合因素。在過去的幾個季度中，我們一直在調整績效行銷預算，進行各種測試，並增強我們優化行銷的能力。我想說，實際上，我們已經完成了該功能或該流程的一半。因此，這只是一點點，然後是品牌行銷活動的一些時機，就其對業務的影響而言，這些活動是更長期的。但總的來說，我們認為本季的亮點之一是我們能夠透過更有效的行銷實現強勁的活躍客戶成長。

Our next question comes from Janine Stichter from BTIG.

我們的下一個問題來自 BTIG 的 Janine Stichter。

I want to ask a bit more about returns and some of the initiatives you have to improve fit certainty. I think you talked about a few initiatives, virtual try-on, videos, products fit guides, but it seems like they're all in the kind of earlier stages of rollout. So I just want to understand when we could see that rolled out more broadly.

我想更多地詢問有關退貨的問題以及您必須採取的一些提高合身確定性的舉措。我想你談到了一些舉措，虛擬試穿，視頻，產品適合指南，但看起來它們都處於推出的早期階段。所以我只是想了解我們什麼時候可以看到更廣泛的推廣。

And then on that, within selling and distribution expense, I think you targeting 18.7% this year. And you've talked about getting to kind of the high 17% range, maybe even the low 17s longer term. Just any structural changes to that thinking based on what you're seeing on return rates now.

然後，在銷售和分銷費用方面，我認為您今年的目標是 18.7%。您談到了要達到 17% 的高值範圍，甚至長期來看可能會達到 17% 的低值範圍。只是根據您現在所看到的回報率對這種想法進行任何結構性改變。

Yes. So in terms of the return initiatives, they are in the earlier stages. And in terms of broader rollout, I'd say it's a couple of things. One, we need to see there's significance on the impact that we're trying to make. And then two, for a number of them -- and it depends on kind of which one, but a number of them require a lot of manpower to do well. Manpower that's well worth it compared to the cost savings, but it will take time to kind of ramp that up.

是的。因此，就退貨措施而言，他們還處於早期階段。就更廣泛的推廣而言，我想說有幾件事。第一，我們需要看到我們試圖產生的影響的重要性。然後是兩個，對於其中的一些來說——這取決於哪一個的類型，但是其中一些需要大量的人力才能做好。與節省的成本相比，人力是非常值得的，但需要時間來提高這一點。

Once we get sort of the full confirmation that these targeted efforts work, then we have to roll out more broadly and make sure we have the right team to support it. And then in terms of selling and distribution costs and kind of forecast on those going forward, I'd turn it over to Jesse.

一旦我們完全確認這些有針對性的努力是有效的，那麼我們就必須更廣泛地推廣，並確保我們有合適的團隊來支持它。然後，就銷售和分銷成本以及對未來的預測而言，我會將其交給傑西。

Yes. Yes, we got hit on a number of fronts on that selling and distribution this quarter. The return rate was a big factor in that year-over-year increase that we saw. Lower AOV also had a pretty significant impact there. And those 2 pressures, we had some really great cost savings initiatives that started to take place and really have an impact in Q3, but not enough to offset those 2 factors.

是的。是的，本季度我們在銷售和分銷方面受到了許多打擊。退貨率是我們看到的同比增長的一個重要因素。較低的 AOV 也產生了相當大的影響。對於這兩個壓力，我們開始實施一些非常好的成本節約舉措，並在第三季度真正產生影響，但不足以抵消這兩個因素。

So if you look on a cost per order basis, the cost per order on selling and distribution was actually lower by, call it, 4% year-on-year. So some good early gains there, just not enough to offset the pressures that we saw this quarter. So we factored that into our guidance for Q4 and taking the cautious stance there. But as we look ahead into 2024, we are optimistic. And we're in the early stages of those efficiency and cost-saving initiatives.

因此，如果你看一下每份訂單的成本，你會發現每份訂單的銷售和分銷成本實際上比去年同期下降了 4%。因此，早期的一些不錯的收益，只是不足以抵消我們本季看到的壓力。因此，我們將這一點納入了第四季度的指導中，並採取了謹慎的立場。但展望 2024 年，我們感到樂觀。我們正處於這些提高效率和節省成本的措施的早期階段。

So we are optimistic. I think it's probably from the time we talked last quarter, it's -- that time line has probably extended given some of the increased pressures that we've seen in return rate kind of at those elevated levels. Also on a sequential basis, we saw fuel tick up again. So it's kind of up 10% sequentially from just last quarter. We're still lower on a year-over-year basis, but some of those things just work in our favor this quarter. But feel optimistic over the mid- to long term on that line item.

所以我們很樂觀。我認為這可能是從我們上個季度討論的時候開始的，考慮到我們在高水平的回報率方面看到的一些增加的壓力，這個時間線可能已經延長了。同樣在連續的基礎上，我們看到燃料再次上漲。所以比上個季度連續成長了 10%。與去年同期相比，我們的業績仍然較低，但其中一些因素本季對我們有利。但對該訂單項的中長期前景感到樂觀。

Our next question comes from Alice Xiao from Bank of America.

我們的下一個問題來自美國銀行的 Alice Shaw。

Where do you see beauty shake out as a percentage of sales longer term? How quickly are you expanding that business, signing up new brands? What's the crossover for customers that purchase apparel versus beauty now? How much lower is beauty AOV, and what are long-term margin implications you have a higher percentage of beauty longer term? Just more details on beauty would be helpful since it seems to be the one kind of category of bright spot.

您認為美妝產品在長期銷售中所佔的比例會發生怎樣的變化？您擴展業務、簽約新品牌的速度有多快？對於現在購買服裝和美容產品的顧客來說，交叉點是什麼？美容 AOV 低了多少？長期來看，美容比例較高對長期利潤率有何影響？更多關於美麗的細節將會有所幫助，因為它似乎是亮點的一個類別。

Yes. There's other bright spots, but definitely beauty is really, really shining. Long-term wise, we look at kind of historic competitors, whether it be previous generation kind of like legacy players like the department stores, like a Nordstrom or a Neiman, and things like that. And we triangulate, call it, 15-ish percent. Some competitors we've seen higher, closer to 20%. But ultimately, in a mature state, we think the business should be something in that zone. So we have a long way to go.

是的。還有其他亮點，但絕對美麗真的非常閃亮。從長遠來看，我們會專注於一些歷史悠久的競爭對手，無論是上一代的百貨公司、諾德斯特龍百貨公司或內曼百貨公司等傳統企業。我們進行三角測量，稱之為 15% 左右。我們看到一些競爭對手的比例更高，接近 20%。但最終，在成熟的狀態下，我們認為業務應該屬於該區域。所以我們還有很長的路要走。

Of course, over the long term, we anticipate kind of our core apparel business to continue to grow. So we think that from a dollars perspective, that 15% to 20% will hopefully get larger and larger over time. So moving target there. So quite excited about that. Of course, it's super obvious that our customers are buying clothes to go out. Of course, they're wearing make-up for beauty. So of course, that natural fit there. Long-term wise, when we look at the economics, again, Jesse will tell you the best in terms of talking about the puts and takes and the long-term opportunity there.

當然，從長遠來看，我們預計我們的核心服裝業務將繼續成長。因此，我們認為，從美元的角度來看，隨著時間的推移，15% 到 20% 的比例有望變得越來越大。所以把目標移到那裡。對此非常興奮。當然，很明顯我們的顧客購買衣服是為了外出。當然，她們化妝也是為了美麗。當然，那是自然的契合。從長期來看，當我們再次審視經濟學時，傑西會告訴您最好的觀點，即談論看跌期權和看跌期權以及那裡的長期機會。

Yes. Yes, sure. And maybe just to corroborate kind of something Michael mentioned, 15% plus or minus of our new customers came from beauty. So it shows the potential of that mix increasing over time and some of that overlap that we do experience. And then those beauty customers do come back and purchase at higher AOVs over time, similar to our overall customer but at a greater kind of increased AOV basis. So opportunity to continue to upsell or cross-sell to those beauty customers.

是的。是的，當然。也許只是為了證實麥可提到的一些事情，我們的新客戶中有 15% 左右來自美容。因此，它顯示了這種組合的潛力隨著時間的推移而增加，我們確實經歷了一些重疊。然後，隨著時間的推移，這些美容客戶確實會回來並以更高的 AOV 進行購買，與我們的整體客戶類似，但 AOV 的基礎更大。因此有機會繼續向這些美容客戶進行追加銷售或交叉銷售。

From a kind of an economic standpoint, so gross margin is lower on those beauty products. But other things to keep in mind as you work down through to contribution margin, the return rate is significantly lower. So we're talking kind of mid-single-digit return rate versus our overall return rate is much higher than that. We think it's a very healthy customer. It's a very healthy kind of product category to have and balance out the mix there.

從經濟角度來看，這些美容產品的毛利率較低。但當你深入研究邊際貢獻時要記住的其他事情是，回報率要低得多。因此，我們談論的是中等個位數的回報率，而我們的整體回報率遠高於此。我們認為這是一個非常健康的客戶。這是一個非常健康的產品類別，可以平衡其中的組合。

Our next question comes from Ashley Owens from KeyBanc Capital Markets.

我們的下一個問題來自 KeyBanc Capital Markets 的 Ashley Owens。

Great. Just would be curious to hear comments on the inventory mix within FWRD kind of as it stands today. Are there any categories that you feel are closer to being rightsized? And then inversely, any that you're having a harder time clearing through that are creating some of those rebalancing lags?

偉大的。只是很想聽聽對 FWRD 內部庫存組合的評論，就像目前的情況一樣。您認為有哪些類別更接近調整規模？相反，是否有任何您遇到困難而無法清除的問題會造成一些再平衡延遲？

Yes. So as a whole, we certainly have too much inventory. It is concentrated in brands that have more markdown restrictions that kind of prevent us from going through a normal kind of markdown cadence on the website itself. And then from a category standpoint, it is concentrated in categories that tend to hold their value well, things like handbags, shoes, accessories, logo products. So we feel good from that standpoint. But it's certainly been a challenging situation and a bit frustrating that the inventory still isn't fully rebalanced. But to Jesse's earlier comments, we're hopeful in the coming quarters we'll start to see that turn.

是的。所以總的來說，我們的庫存肯定太多了。它集中在有更多降價限制的品牌中，這有點阻止我們在網站本身上經歷正常的降價節奏。然後從品類的角度來看，它集中在那些往往能很好地保持其價值的品類，例如手袋、鞋子、配件、標誌產品。所以從這個角度來看我們感覺很好。但這無疑是一個充滿挑戰的情況，而且庫存仍未完全重新平衡，這有點令人沮喪。但根據傑西之前的評論，我們希望在接下來的幾個季度中我們將開始看到這種轉變。

Our next question comes from Dylan Carden from William Blair.

我們的下一個問題來自威廉布萊爾的迪倫卡登。

I know you're not going to give hard numbers, but can you at least sort of somehow give us a sense of the dynamics on sort of the return number? Is it sort of increasing steadily in the quarter? Is it something that's stabilizing just at a higher rate? Just trying to get my hands around it.

我知道你不會給出確切的數字，但你至少能以某種方式讓我們了解返回數字的動態嗎？本季是否穩定成長？它是否只是以更高的速度穩定下來？只是想把手伸過去。

Yes. Certainly, there's a lot of moving parts every quarter, and we certainly break it down in a number of different ways. So I couldn't give you a conclusive answer on that. But I'd say directionally, as we interpret the data, there was continued pressure in Q3. And it didn't look like a stabilization in Q3. Now whether it was continued increasing kind of quarter-over-quarter rise is hard to say, because there's too many moving parts quarter-by-quarter in terms of mix shifts and other dynamics. But we haven't seen clear signs of stabilization.

是的。當然，每個季度都會有很多變化的部分，我們當然會以多種不同的方式分解。所以我無法就此給你一個結論性的答案。但我想說的是，當我們解讀數據時，第三季的壓力持續存在。第三季的情況看起來並不穩定。現在很難說季度環比成長是否持續成長，因為在混合變化和其他動態方面，每個季度都有太多的變化。但我們還沒有看到明顯的穩定跡象。

Okay. And something I caught in passing in the prepared remarks. Is there a dynamic in the model now where if your sales come in higher than you expect, your earnings actually come in lower because they come with higher returns? Is that a dynamic that was at play in this quarter? Or did I misunderstand that?

好的。我在準備好的發言中順便注意到了一些事情。現在的模型中是否存在一種動態，即如果您的銷售額高於您的預期，您的收入實際上會降低，因為它們帶來更高的回報？這是本季發揮作用的動力嗎？還是我誤解了？

No I don't think -- not necessarily. I think a lot depending on the mix and AOV, of course. But I would say, yes, not directly a result of net sales coming in higher.

不，我不認為——不一定。當然，我認為很多取決於組合和 AOV。但我想說，是的，這並不是淨銷售額上升的直接結果。

In general, higher net sales are good for everything including [rates]. Obviously, it depends on the dynamics where marketing expenditure is higher, where gross margin is lower, where return rates higher. But all things being equal, more net sales is a good thing.

一般來說，較高的淨銷售額對一切都有好處，包括[價格]。顯然，這取決於行銷支出較高、毛利率較低、回報率較高的動態。但在所有條件相同的情況下，淨銷售額增加是件好事。

Our next question comes from Simeon Siegel from BMO Capital Markets.

我們的下一個問題來自 BMO 資本市場的 Simeon Siegel。

I appreciate you making your comments regarding Israel. So congrats on topping the 2.5 million, how are you thinking about the active customer trajectory for the short and longer-term opportunity from here? Are you seeing any meaningful spending pattern differences in the new customers versus the existing? And then just how do the existing active customers break down between domestic and international?

我感謝您對以色列發表評論。恭喜您突破 250 萬，如何看待短期和長期機會的活躍客戶軌跡？您是否發現新客戶與現有客戶的消費模式有任何有意義的差異？那麼現有的活躍客戶在國內和國際之間是如何劃分的呢？

Yes. Yes. Let's see. So I think new customers continue to grow on the new customer front, holding up on the active customer front. That growth is compressing as we work through these quarters. So the year-on-year growth for active customers is going to be a little bit lighter in Q4 than it is in Q3. And over time, those 2 will get back to, kind of, call it, the old days after we cycle out of all these comps, where the net sales and the active customer growth are plus or minus in the same zone.

是的。是的。讓我們來看看。因此，我認為新客戶在新客戶方面繼續成長，並在活躍客戶方面保持領先。隨著我們這些季度的努力，這種成長正在壓縮。因此，第四季活躍客戶的年增率將比第三季稍微放緩。隨著時間的推移，這兩個因素將回到我們退出所有這些比較之後的舊時代，其中淨銷售額和活躍客戶成長在同一區域內增加或減少。

And what we're seeing from the new customers, nothing significant that popped out from a particular cohort of new customers, all are behaving relatively the same. You do see differences in -- when we're shifting between full price and markdown. And the beauty customer is new to us, so we'll see how that plays out over the long term. But as I mentioned, those customers are coming back at higher average order value. So we're optimistic about that.

我們從新客戶身上看到，特定的新客戶群沒有出現任何重大變化，所有客戶的行為都相對相同。當我們在全價和降價之間轉換時，您確實會看到差異。美容客戶對我們來說是新的，所以我們將看看長期來看效果如何。但正如我所提到的，這些客戶以更高的平均訂單價值回歸。所以我們對此持樂觀態度。

And then I'd say no significant difference between the kind of retention patterns between domestic and international. A lot of that is dependent on the localization efforts that we've made over the past several years. So that retention dynamic is much stronger given the free shipping, free returns and the customer experience that we've optimized over the last few years.

然後我想說國內和國際之間的保留模式沒有顯著差異。這在很大程度上取決於我們過去幾年所做的在地化努力。因此，鑑於我們在過去幾年中優化的免費送貨、免費退貨和客戶體驗，這種保留動力要強大得多。

Okay. And then just how many of the customers are international? And then if I can, within AOV, did you or could you know what ASP was versus units per order? And I think that's an LTM number. How is AOV or ASP for this quarter versus the prior year period?

好的。那麼到底有多少客戶是國際客戶呢？然後，如果可以的話，在 AOV 中，您知道 ASP 與每個訂單的單位數是多少嗎？我認為這是一個 LTM 數字。本季的 AOV 或 ASP 與去年同期相比如何？

Yes, yes. So I guess not breaking out specifically the international versus domestic active customers, that's roughly in the same zone as the domestic. But keep in mind that -- or sorry, international skews a little bit heavier forward, so it would be a little bit lighter on a customer versus a revenue basis.

是的是的。因此，我想不會專門區分國際和國內活躍客戶，這與國內大致處於同一區域。但請記住，或抱歉，國際化的傾向稍微嚴重一些，因此在客戶與收入的基礎上，它會稍微輕一些。

On AOV and ASP versus UPO, there was a decrease in both of those, both ASP and UPO. UPO was the biggest impact this quarter on a year-over-year basis. And some of that was due to the shift in mix towards beauty and specifically that TikTok Shop, there are a lot of single item orders, so that skewed the UPO lower. On top of that, Q3 of last year, we had a really phenomenal UPO quarter. So there's a little bit of a dynamic there.

與 UPO 相比，AOV 和 ASP 均有所下降，ASP 和 UPO 均有所下降。與去年同期相比，UPO 是本季影響最大的。其中部分原因是產品組合轉向美容，特別是 TikTok 商店，有很多單品訂單，因此 UPO 偏低。最重要的是，去年第三季度，我們的 UPO 季度非常出色。所以那裡有一點動態。

And then ASP -- and this is all on the REVOLVE side because FWRD is plus or minus in the same zone on AOV. So ASP on REVOLVE was also down year-on-year, and much of that was due to the shift in mix to beauty. So if you kind of strip beauty out, ASPs were of a healthy number outside of that beauty category. So largely due to mix on both of those factors.

然後是 ASP——這一切都在 REVOLVE 側，因為 FWRD 在 AOV 上的同一區域中是正負。因此，REVOLVE 的平均售價也較去年同期下降，這在很大程度上是由於組合向美容的轉變。因此，如果你把美容排除在外，平均售價在美容類別之外是一個健康的數字。這很大程度上是由於這兩個因素的混合。

Our next question comes from Jim Duffy from Stifel.

我們的下一個問題來自 Stifel 的 Jim Duffy。

This is Peter McGoldrick on for Jim. I wanted to ask on social marketing, you offered some valuable insight on customer engagement through TikTok, driving the playbook for customers in beauty. Can you provide some sense as to how important this channel is to driving platform discovery for new customers overall, perhaps size against the magnitude of static posts on Instagram?

我是彼得·麥戈德里克（Peter McGoldrick）替吉姆發言。我想問一下關於社交行銷的問題，您提供了一些關於透過 TikTok 吸引客戶的寶貴見解，推動了美容領域客戶的發展。您能否說明一下這個管道對於推動新客戶整體發現平台的重要性，或許是與 Instagram 上靜態貼文的規模相比？

Yes. Overall, we feel that we're all contending that TikTok is the growing platform with -- and of course, the growing platform streams provides a growing opportunity. Instagram, being a little bit more mature, is very, very important for us and then we're still very focused on. But of course, staying on top of where the puck is moving, paying attention to TikTok and the developments there.

是的。總的來說，我們認為我們都認為 TikTok 是一個不斷增長的平台——當然，不斷增長的平台流提供了不斷增長的機會。 Instagram 更加成熟，對我們來說非常非常重要，我們仍然非常關注。但當然，要時時刻刻掌握冰球移動的方向，並關注 TikTok 及其發展。

And the success there is very, very, very quite encouraging. As Mike mentioned on some clearer questions and such that it is very dynamic and very early, so we're quite excited with the early success. The early success in direct selling has succeeded mature success in Instagram direct selling. And being in the early zone, that if TikTok gets this right, it could be massive. Very, very massive. But at this point, it's very early, but super encouraging.

那裡的成功非常非常令人鼓舞。正如麥克在一些更明確的問題上提到的那樣，它非常有活力並且非常早，所以我們對早期的成功感到非常興奮。直銷的早期成功繼承了 Instagram 直銷的成熟成功。處於早期階段，如果 TikTok 做對了，它的規模可能會很大。非常非常巨大。但就目前而言，還為時過早，但非常令人鼓舞。

And then I just had one follow-up on Mexico. This market continues to show strong customer traction. Can you size this business as an overall mix of international and offer some sort of guide as to how big this could be or contribute to revenue looking ahead?

然後我剛剛對墨西哥進行了一次後續行動。該市場繼續表現出強大的客戶吸引力。您能否將這項業務作為國際業務的整體組合來衡量，並提供某種指導來說明其規模或對未來收入的貢獻？

Yes. So certainly -- I mean, one of our more important international markets, it's in our top 5 countries now in terms of size. And so it's certainly a meaningful portion of the mix, but at the same time we do sell worldwide, so it's not like it has some dominant share. But it's starting to get to a size where at the current growth rates, it does have a meaningful impact on the overall growth of the international business. We're hopeful we can continue our efforts there, and it'll drive more and more total growth as that market gets larger and larger.

是的。所以當然 - 我的意思是，我們更重要的國際市場之一，就規模而言，它現在在我們的前 5 個國家中。因此，它肯定是該組合中有意義的一部分，但同時我們確實在全球範圍內銷售，因此它並不具有某種主導份額。但它已經開始達到這樣的規模，按照目前的成長率，它確實對國際業務的整體成長產生了有意義的影響。我們希望能夠繼續在那裡努力，隨著市場變得越來越大，它將推動越來越多的整體成長。

Our next question comes from Matt Koranda from ROTH MKM.

我們的下一個問題來自 ROTH MKM 的 Matt Koranda。

Just wanted to see if we could back up real quickly to the October trend that you mentioned, the down low single digits. It just doesn't sound like a big deceleration despite all the concerns and the headwinds that your consumer is facing. So anything you can unpack for us as to why that's holding up despite some of the incremental headwinds she's facing. And then just, Jesse, maybe any month comp dynamics to call out for the fourth quarter as we think about modeling top line growth?

只是想看看我們是否能夠真正快速回到您提到的 10 月趨勢，即低個位數的下降趨勢。儘管消費者面臨種種擔憂和阻力，但這聽起來並不像是一個很大的減速。因此，您可以為我們解釋為什麼儘管她面臨著一些不斷增加的阻力，但這種情況仍能持續下去。然後，傑西，當我們考慮對營收成長進行建模時，也許任何月份的競爭動態都會對第四季產生影響？

Yes. I would agree that, of course, we're unhappy with a negative growth quarter. But if you're looking at the big picture, it could be a lot worse. I think it really kind of highlights the competitive landscape where us being a premium player, we're competing against the legacy players of decades ago, and we continue to do that quite well, especially in times of challenge.

是的。當然，我同意我們對季度負成長感到不滿。但如果你著眼於大局，情況可能會更糟。我認為這確實凸顯了我們作為優質玩家的競爭格局，我們正在與幾十年前的傳統玩家競爭，我們將繼續做得很好，尤其是在面臨挑戰的時候。

We see stiff -- very intense competition in the luxury zone with conglomerates, and we also see at the kind of mass markets with the rise Shein against the incumbents, we see they're taking over that business. But in the middle premium zone, we are unique and we don't face any direct competitors. So I think that the long multi-decade trend of us competing against legacy players continues to be a long-term trend that ultimately will drive continued success.

我們看到奢侈品領域與企業集團的競爭非常激烈，我們也看到大眾市場上 Shein 相對於現有企業的崛起，我們看到他們正在接管這項業務。但在中高端領域，我們是獨一無二的，我們沒有面臨任何直接競爭對手。因此，我認為我們與傳統企業競爭的長期趨勢仍然是長期趨勢，最終將推動持續的成功。

And just Jesse, maybe on the monthly comps call-out there, because the -- that would be great.

只有傑西，也許會參加每個月的比賽，因為那會很棒。

Yes, nothing significantly incremental to what you mentioned on the call. And November and December are slightly tougher, both on a 1-year and a multiyear comparing to 2019 basis. So we just wanted to call that out so you could factor that into the fourth quarter. But yes, nothing more outside of that.

是的，與您在電話中提到的內容相比，沒有什麼顯著的增量。與 2019 年相比，11 月和 12 月的情況稍顯艱難，無論是一年期還是多年期。所以我們只是想指出這一點，以便您可以將其納入第四季度。但是，是的，除此之外就沒有什麼了。

Okay. Got it. And then just -- I was a little surprised to see you guys leaning into the marketing spend in the fourth quarter commentary despite somewhat of a weak environment. So are we seeing an opportunity to play offense to -- for customer acquisition? Is there brand spend going on in the fourth quarter? Just maybe help us understand sort of the incremental lean-in there.

好的。知道了。然後，我有點驚訝地看到你們在第四季的評論中傾向於行銷支出，儘管環境有些疲軟。那麼，我們是否看到了一個為了獲取客戶而進攻的機會？第四季有品牌支出嗎？也許只是幫助我們理解那裡的漸進式精益。

Yes. I would say it's a long-term offense. In times like this, we really see that competition and the appetite. A lot of -- your intuition, I think, is quite common and I think that's kind of how a lot of people see the situation. But I think it's kind of zinging when people are zagging, being opportunistic when people are conservative especially when the core business is strong and especially where we have a long-term mindset. So we do see opportunities coming up and we'll continue to invest.

是的。我想說這是一個長期的罪。在這樣的時代，我們確實看到了競爭和胃口。我認為，你的直覺很常見，我認為這就是很多人看待這種情況的方式。但我認為，當人們搖擺不定時，這是一種活力，當人們保守時，尤其是當核心業務強大時，尤其是當我們有長期思維時，這是一種機會主義。因此，我們確實看到了機會的出現，我們將繼續投資。

We have time for one more question, and it will come from Tom Nikic from Wedbush Securities.

我們還有時間再問一個問題，該問題將由韋德布希證券公司 (Wedbush Securities) 的湯姆·尼基奇 (Tom Nikic) 提出。

Jesse, I think, obviously, your margins have come under pressure in the last couple of years. Is there any way we should or could think about what is recoverable and what may be structural relative to, I guess, margins that we were seeing a couple of years ago?

傑西，我認為，顯然，過去幾年你們的利潤率受到了壓力。我想，與我們幾年前看到的利潤率相比，我們是否應該或可以考慮什麼是可收回的，什麼是結構性的？

Yes. Great question, Tom. Yes, I think a large portion of it is recoverable. I think if you start at the gross margin level, we are coming off of an inventory rebalancing period. We're still being pressured by FWRD. Something that Mike mentioned in his prepared remarks that I think is important, in that we're roughly in the same zone on gross margin for REVOLVE now as we were in 3Q of 2019 despite the fact that owned brands is half the mix that it was back then.

是的。好問題，湯姆。是的，我認為其中很大一部分是可以收回的。我認為，如果從毛利率水準開始，我們即將結束庫存重新平衡期。我們仍然受到 FWRD 的壓力。麥克在他準備好的發言中提到的一點我認為很重要，因為我們現在的 REVOLVE 毛利率與 2019 年第三季的毛利率大致相同，儘管自有品牌只佔了過去的一半那時。

So I think that shows, one, the great success we've made on both owned brand and third-party gross margin stand-alone. And then second, the opportunity we have looking ahead as we increase that own brand mix. So that's number one. And I would say largely recoverable and not just recoverable, but getting in excess of where we were kind of pre-COVID level.

因此，我認為這表明，第一，我們在自有品牌和第三方毛利率方面都取得了巨大的成功。其次，隨著我們增加自有品牌組合，我們展望未來的機會。所以這是第一。我想說的是，很大程度上可以恢復，不僅僅是可以恢復，而且超過了新冠疫情前的水平。

Fulfillment. We're at a point now where we're getting pressured by, again, the return rate, the AOV, also capacity, where we expanded our fulfillment footprint last year around this time. We haven't fully optimized, fully grown into that. So there is opportunity there. So that is maybe not 100%, but largely recoverable.

履行。我們現在正面臨退貨率、AOV 以及產能的壓力，去年這個時候我們擴大了我們的履約足跡。我們還沒有完全優化、完全成長到這一點。所以那裡有機會。所以這可能不是 100%，但很大程度上是可以恢復的。

Selling and distribution is tougher given the return rate pressure that we've experienced, the increase in rates over the past several years, fuel in particular. So we do think there is a lot of opportunity there, and we have a lot of initiatives that play internally. We're already starting to see the savings there. But that is, I would say, recoverable, but not to the extent of those other 2 if we can get return rates right, which we think there's a lot of opportunity there.

考慮到我們所經歷的退貨率壓力，以及過去幾年退貨率的上漲，尤其是燃料，銷售和分銷變得更加困難。所以我們確實認為那裡有很多機會，而且我們有很多在內部發揮作用的舉措。我們已經開始看到那裡的節省。但我想說的是，如果我們能夠獲得正確的回報率，那是可以收回的，但不會達到其他兩個的程度，我們認為那裡有很多機會。

Marketing is a lever we can pull. Either you call that a recoverable or unrecoverable, that's kind of an opportunity and a lever we can pull. And then G&A is very recoverable and has a lot of leverage as we look ahead and get back into growth territory, and get some scale leverage there. So -- and if you look at that line item, a couple of points over the last 3 years, we think that's achievable over the next few years as well.

行銷是我們可以拉動的槓桿。無論你稱之為可恢復還是不可恢復，這都是我們可以拉動的機會和槓桿。然後，當我們展望未來並回到成長領域並獲得一定規模的槓桿作用時，G&A 的復原力非常強，並且具有很大的槓桿作用。因此，如果你看一下該項目，過去 3 年的幾點，我們認為這在未來幾年也是可以實現的。

This concludes today's Q&A session. I would like to turn the call back over to management for closing remarks.

今天的問答環節到此結束。我想將電話轉回管理層以供結束語。

Guys, thanks for joining us for another quarter. We're excited to continue to stay focused. Our team is working on a lot of exciting things as they know, so excited to share the positive exciting results of the hard work and the foundation that we're laying now. Thanks, guys.

夥計們，感謝您又一個季度加入我們。我們很高興能夠繼續保持專注。正如我們所知，我們的團隊正在致力於許多令人興奮的事情，因此很高興能分享辛勤工作和我們現在奠定的基礎所取得的積極的令人興奮的成果。多謝你們。

This concludes today's conference call. Thank you for your participation. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。