Sally Beauty Holdings Inc (SBH) 2023 Q2 法說會逐字稿

Good morning, everyone, and welcome to the Sally Beauty Holdings conference call to discuss the company's fiscal 2023 second quarter results. listen-only mode. After management's prepared remarks, there will be in-state. Now I would like to turn the call over to Jeff Harkins, Vice President of Investor Relations and Treasurer for Sally Beauty Holdings.

大家早上好，歡迎參加 Sally Beauty Holdings 電話會議，討論公司 2023 財年第二季度業績。只聽模式。在管理層準備好發言後，將進入狀態。現在我想把電話轉給 Sally Beauty Holdings 投資者關係副總裁兼財務主管 Jeff Harkins。

Thank you. Good morning, everyone, and thank you for joining us. With me on the call today are Denise Paulonis, President and Chief Executive Officer; and Marlo Cormier, Chief Financial Officer. Before we begin, I would like to remind everyone that management's remarks on this call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.

謝謝。大家早上好，感謝您加入我們。今天和我一起打電話的是總裁兼首席執行官 Denise Paulonis；和首席財務官 Marlo Cormier。在我們開始之前，我想提醒大家，管理層對此次電話會議的評論可能包含 1995 年《私人證券訴訟改革法案》含義內的前瞻性陳述。

Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors, including those discussed in the Risk Factors section of our most recent annual report on Form 10-K and other filings with the SEC. Any forward-looking statements made on this call represent our views only as of today, and we undertake no obligation to update them. The company has provided a detailed explanation and reconciliations of its adjusting items and non-GAAP financial measures in its earnings press release and on its website. Now I'd like to turn the call over to Denise to begin the formal remarks.

由於各種重要因素，實際結果可能與這些前瞻性陳述所表明的結果存在重大差異，這些因素包括在我們最近的 10-K 表格年度報告的風險因素部分和向美國證券交易委員會提交的其他文件中討論的那些因素。在此次電話會議上做出的任何前瞻性陳述僅代表我們截至今天的觀點，我們不承擔更新這些陳述的義務。該公司在其收益新聞稿和網站上提供了對其調整項目和非 GAAP 財務措施的詳細解釋和對賬。現在我想把電話轉給 Denise 開始正式發言。

Thank you, Jeff, and good morning, everyone. We're pleased to report another solid quarter in fiscal Q2 with notable strength in our Sally division, which delivered comp sales growth of 9.1%. On a consolidated basis, net sales increased 1% to $919 million and comparable sales grew 5.7%, with e-commerce sales up 9% year-over-year on a constant currency basis. Solid gross margin performance and prudent cost control enabled us to deliver adjusted EBITDA of $105 million.

謝謝你，傑夫，大家早上好。我們很高興地報告第二財季又一個穩健的季度，我們的 Sally 部門實力強勁，銷售額增長了 9.1%。在綜合基礎上，淨銷售額增長 1% 至 9.19 億美元，可比銷售額增長 5.7%，電子商務銷售額按固定匯率計算同比增長 9%。穩健的毛利率表現和審慎的成本控制使我們能夠實現 1.05 億美元的調整後 EBITDA。

The results reflect strong execution by our team and demonstrate that our strategies are working in what continues to be a dynamic macro environment. In the quarter, comparable transactions at Sally were up low single digits, with average ticket up mid-single digits driven by higher average unit retail prices and flat units per transaction. On the BSG side, comparable store transactions were down slightly with average ticket up low single digits, driven by higher average unit retail prices, partially offset by lower units per transaction. The color and care categories remained strong at Sally, up 6% and 2%, respectively, on a total sales basis, which includes the impact of store closures. Color continues to see strong momentum with great coverage up 14%.

結果反映了我們團隊的強大執行力，並表明我們的戰略在持續動態的宏觀環境中發揮了作用。在本季度，Sally 的可比交易量呈低個位數增長，平均單價上漲中等個位數，這是由於較高的平均單位零售價和每筆交易單位數持平。在 BSG 方面，可比商店交易略有下降，平均單價上漲低個位數，這是由於平均單位零售價格較高，部分被每次交易單位較低所抵消。 Sally 的彩妝和護理品類依然強勁，總銷售額分別增長 6% 和 2%，其中包括門店關閉的影響。色彩繼續保持強勁勢頭，覆蓋率高達 14%。

Turning now to BSG. Color was up 4% on a total sales basis and nails, skincare and cosmetics performed well in the quarter. Care was down 2%, reflecting Sally's continuing to buy closer to need and the lapping of some new product launches last year. Of note, in both segments, we have made great progress on inventory. Our in-stock levels are the best we have seen since 2019 with lower total weeks on hand, enabled by our investments in planning and allocation and supply chain technologies.

現在轉向 BSG。彩妝在總銷售額基礎上增長了 4%，美甲、護膚品和化妝品在本季度表現良好。 Care 下降了 2%，反映出 Sally 繼續購買更貼近需求的產品以及去年推出的一些新產品。值得注意的是，在這兩個領域，我們在庫存方面都取得了很大進展。我們的庫存水平是自 2019 年以來最好的，手頭總週數較低，這得益於我們在計劃和分配以及供應鏈技術方面的投資。

Taking a bit broader look at the Sally consumer, we saw customer purchasing behavior hold steady in January and February as compared to Q1, with some softening in transactions and ticket at the end of March that continued in April. We're closely monitoring this trend and focused on actions around newness and value that inspire our customers to shop. Additionally, cost control remains a priority.

從更廣泛的角度來看 Sally 消費者，我們發現與第一季度相比，1 月和 2 月的客戶購買行為保持穩定，3 月底的交易和機票有所疲軟，4 月份仍在繼續。我們正在密切關注這一趨勢，並專注於圍繞激發客戶購物的新穎性和價值採取行動。此外，成本控制仍然是一個優先事項。

Halfway through the year, we're particularly pleased to be on track with our fiscal 2023 priorities and delivering financial results consistent with the goals we laid out last November when we shared our vision for the Sally Beauty Holdings of the future. We believe the execution of our 3 strategic initiatives is unlocking our future growth potential as we enhance customer centricity, fuel innovation and increase operating efficiency. Today, I'll provide a few highlights on each one.

今年已過半，我們特別高興能夠在 2023 財年的優先事項上走上正軌，並實現與去年 11 月我們分享 Sally Beauty Holdings 未來願景時制定的目標一致的財務業績。我們相信，隨著我們加強以客戶為中心、推動創新和提高運營效率，執行我們的 3 項戰略舉措正在釋放我們未來的增長潛力。今天，我將針對每一個提供一些亮點。

Let's start with customer centricity. In Q2, we had 17 million active loyalty members at Sally U.S. and Canada, comprising 78% of sales. And our rewards credit card at BSG represented 9% of sales for the quarter. We pride ourselves on serving as a trusted resource for our DIY customers and professional stylists and they continue to award us with high NPS scores and high engagement with our brands in store, on our website and across multiple social media outlets. At BSG, we're seeing strong stylist engagement with our salon H2 platform, which has now surpassed 1,000 new digital storefronts in the first territory we're piloting.

讓我們從以客戶為中心開始。在第二季度，我們在 Sally 美國和加拿大擁有 1700 萬活躍忠誠會員，佔銷售額的 78%。我們在 BSG 的獎勵信用卡佔本季度銷售額的 9%。我們以成為我們的 DIY 客戶和專業造型師值得信賴的資源而自豪，他們繼續以高 NPS 分數和我們品牌在商店、網站和多個社交媒體渠道的高參與度來獎勵我們。在 BSG，我們看到造型師對我們沙龍 H2 平台的強烈參與，該平台現已在我們試行的第一個地區擁有超過 1,000 個新的數字店面。

During these initial months, we're working closely with our stylists to ensure they have the resources they need to utilize this is a powerful selling tool to grow their businesses. We're excited about the potential for this platform, which advances our goal to build a services ecosystem that empowers our solid community to operate more value-added and profitable businesses. Turning now to our Sally business. Our virtual color expert program continues to perform well with great customer response and feedback.

在最初的幾個月裡，我們與我們的造型師密切合作，以確保他們擁有所需的資源來利用這個強大的銷售工具來發展他們的業務。我們對這個平台的潛力感到興奮，它推進了我們建立服務生態系統的目標，使我們堅實的社區能夠經營更多增值和盈利的業務。現在談談我們的莎莉業務。我們的虛擬色彩專家計劃在客戶響應和反饋方面繼續表現良好。

When customers utilize this service, we see average ticket trend higher by about 40%, driven by color and color accessories. Additionally, NPS scores are 16 points higher than our already strong baseline. Virtual color expert is currently in 75 stores. As we look to scale the initiative, we remain on track to roll out this to our e-commerce platform in the second half of the year.

當客戶使用這項服務時，我們看到平均票價上漲了約 40%，這是由顏色和彩色配飾推動的。此外，NPS 分數比我們已經很強大的基線高 16 分。虛擬色彩專家目前在 75 家商店中。在我們尋求擴大該計劃的同時，我們仍有望在今年下半年將其推廣到我們的電子商務平台。

Moving on to our new Studio by Sally concept. We are on track with the initial store rollout and opened our first pilot location in Dallas at the end of fiscal Q2. The store looks fantastic and we're thrilled to be bringing this experiential retail concept to market. With Studio by Sally, we're essentially updating and modernizing our proven sally formula, making it more interactive and engaging for our customers. We are ideally positioned to do this by leveraging our DIY authority and utilizing our core competencies across color and care, education and digital.

繼續我們的新 Studio by Sally 概念。我們正在按計劃首次推出商店，並在第二財季末在達拉斯開設了我們的第一個試點地點。這家商店看起來棒極了，我們很高興能將這種體驗式零售概念推向市場。借助 Studio by Sally，我們實質上是在更新和現代化我們久經考驗的 sally 公式，使其對我們的客戶更具互動性和吸引力。通過利用我們的 DIY 權威並利用我們在色彩和護理、教育和數字領域的核心競爭力，我們處於理想的位置來做到這一點。

Customer response in the initial weeks has been positive, and we have 5 additional locations slated to open this fiscal year. Moving on to our second strategic initiative, owned for brand penetration and product innovation. At BSG, after a few years during which vendors were focused on overcoming pandemic-related supply chain issues, we are starting to see the innovation pipeline pick up in the pro channel. We are bringing newness to our stylists in color and care, including new bonding products from 2 of our marquee vendor partners, including Wella Ultimate Repair and Paul Mitchell Bond Rx, both of which recently launched. Additionally, we expanded our distribution with ColorView to approximately half of our stores and partnered with Danger Jones for the exclusive U.S. launch of their new Vivid color line in all BSG locations.

客戶在最初幾週的反應是積極的，我們還有 5 個額外的地點計劃在本財政年度開業。繼續我們的第二個戰略計劃，擁有品牌滲透和產品創新。在 BSG，在供應商專注於克服與大流行病相關的供應鏈問題的幾年之後，我們開始看到專業渠道中的創新管道正在回升。我們正在為我們的造型師帶來色彩和護理方面的新鮮感，包括來自我們兩家主要供應商合作夥伴的新粘合產品，包括最近推出的 Wella Ultimate Repair 和 Paul Mitchell Bond Rx。此外，我們將 ColorView 的分銷範圍擴大到我們大約一半的商店，並與 Danger Jones 合作，在 BSG 的所有門店在美國獨家推出他們的新 Vivid 彩色系列。

Danger Jones is a highly creative and edgy direct-to-consumer brand, recently brought to market by the makers of Pulp Riot, which has an incredibly strong following. This is a more intense color line. It's considered highly artistic and has the potential to bring a new customer to BSG. This is a great example of our authority in color and ability to stay at the forefront of the category. Lastly, BHG's biggest launch in fiscal '23 will be in the third quarter when we introduced Amica, a fun clean vegan haircare brand, which will be carried in the majority of our U.S. stores.

Danger Jones 是一個極具創意和前衛的直接面向消費者的品牌，最近由 Pulp Riot 的製造商推向市場，該品牌擁有非常強大的追隨者。這是一條更強烈的色線。它被認為具有很高的藝術性，並有可能為 BSG 帶來新客戶。這是一個很好的例子，說明我們在顏色方面的權威和保持在該類別前列的能力。最後，BHG 在 23 財年最大的一次發布將在第三季度推出，屆時我們將推出 Amica，這是一個有趣的清潔素食護髮品牌，該品牌將在我們的大多數美國商店銷售。

At Sally, we're continuing to bring newness to our customers, focusing on both vendor innovation and owned brands. In the second half of the year, we're excited about several new brand launches from our vendor partners across key categories like hair color, hair care and textured hair. On the owned brand side, we completed the full launch of our new bond bar line in the second quarter, which is performing well and bringing in new customers who have not shopped at Sally previously. On brand sales penetration for the Sally segment was 34% of sales in the second quarter, up compared to the prior year.

在 Sally，我們將繼續為客戶帶來新鮮感，專注於供應商創新和自有品牌。今年下半年，我們很高興看到我們的供應商合作夥伴在染髮、護髮和有質感的頭髮等關鍵類別推出了幾個新品牌。在自有品牌方面，我們在第二季度完成了新的 bond bar 系列的全面推出，該系列表現良好，並吸引了之前沒有在 Sally 購物的新客戶。 Sally 細分市場的品牌銷售滲透率在第二季度佔銷售額的 34%，高於去年同期。

Turning now to our third strategic initiative, capturing efficiencies and optimizing our capabilities. Our store optimization program is enabling us to improve productivity and profitability while delivering a convenient omnichannel experience to our customers. In the initial months following our recent store closures, sales transfer has been strong and was a contributor to our 9% comp sales growth at Sally this quarter.

現在轉向我們的第三個戰略計劃，提高效率並優化我們的能力。我們的商店優化計劃使我們能夠提高生產力和盈利能力，同時為我們的客戶提供方便的全渠道體驗。在我們最近關閉商店後的最初幾個月，銷售轉移一直很強勁，這也是我們本季度 Sally 銷售額增長 9% 的原因。

From a supply chain perspective, we've continued to increase efficiency as macro-driven disruptions have begun to recede. As a result, I am pleased to note that we are approaching the second half of fiscal 2023 with healthy inventory, and as I mentioned earlier, strong in the stock level. Lastly, our Fuel for Growth initiative is ongoing and remains an important component of how we think about the future and deliver on our profitability targets. As an example, we are currently testing a new shipment frequency to our stores that we believe will reduce our transportation costs and drive better labor productivity in both our stores and DCs while maintaining healthy in-stock levels.

從供應鏈的角度來看，隨著宏觀驅動的中斷開始消退，我們繼續提高效率。因此，我很高興地註意到，我們正以健康的庫存接近 2023 財年下半年，正如我之前提到的，庫存水平強勁。最後，我們的 Fuel for Growth 計劃正在進行中，並且仍然是我們思考未來和實現盈利目標的重要組成部分。例如，我們目前正在測試我們商店的新發貨頻率，我們相信這將降低我們的運輸成本並提高我們商店和 DC 的勞動生產率，同時保持健康的庫存水平。

In the current environment, we remain focused on driving forward our long-term growth agenda while managing expenses. We're staying close to our customers, providing them with engaging experiences and leveraging our authority in color and care to bring newness in services and assortment to both our DIY customers and professional stylist communities. We're confident that our competitive advantages and strategies will drive sustainable growth and value for our shareholders in the coming years. Now I'll turn the call over to Marlo to discuss the financials.

在當前環境下，我們仍然專注於推動我們的長期增長議程，同時管理開支。我們貼近客戶，為他們提供引人入勝的體驗，並利用我們在色彩和護理方面的權威，為我們的 DIY 客戶和專業造型師社區帶來新穎的服務和分類。我們相信，我們的競爭優勢和戰略將在未來幾年為我們的股東帶來可持續增長和價值。現在我會把電話轉給 Marlo 來討論財務問題。

Thank you, Denise, and good morning, everyone. Our second quarter results reflect another solid quarter of progress and execution across our 3 strategic initiatives. Second quarter net sales increased 1% to $919 million on 378 fewer stores and 80 basis points of unfavorable foreign currency impact. Comparable sales grew a healthy 5.7% with Sally's delivering 9.1% growth in BSG returning to positive comps. Digital performance remained strong with global e-commerce sales up 9% on a constant currency basis to $87 million and representing 10% of total net sales.

謝謝丹妮絲，大家早上好。我們第二季度的業績反映了我們 3 項戰略計劃的又一個穩健的進展和執行季度。第二季度淨銷售額增長 1% 至 9.19 億美元，原因是門店數量減少了 378 家，並且受到 80 個基點的不利外匯影響。可比銷售額健康增長 5.7%，而 Sally 在 BSG 中實現 9.1% 的增長，恢復正增長。數字業務表現依然強勁，全球電子商務銷售額按固定匯率計算增長 9% 至 8700 萬美元，佔總淨銷售額的 10%。

We maintained strong adjusted gross margins, which came in at 50.7%. Increased product margin at Sally Beauty driven by pricing leverage and higher owned brand penetration was more than offset by lower margin at BSG due to a channel mix shift between stores and our expanded Regis business as well as a shift in some distribution center costs from SG&A expense into gross margin. Turning now to operating expense. Adjusted SG&A totaled $390 million. That's up $12 million versus a year ago, in line with our expectations and reflect higher labor, accrued bonus and advertising costs, partly offset by savings from our previously announced distribution center consolidation and store optimization plan.

我們保持了強勁的調整後毛利率，達到 50.7%。由於商店和我們擴大的 Regis 業務之間的渠道組合轉移以及一些配送中心成本從 SG&A 費用轉移，在定價槓桿和更高的自有品牌滲透率的推動下，Sally Beauty 的產品利潤率增加被 BSG 的利潤率下降所抵消成毛利率。現在轉向運營費用。調整後的 SG&A 總計 3.9 億美元。這比一年前增加了 1200 萬美元，符合我們的預期並反映出更高的勞動力、應計獎金和廣告成本，部分被我們之前宣布的配送中心整合和商店優化計劃的節省所抵消。

It's early days, but we're pleased to see our wage investments begin to bear fruit in the form of improved retention and stronger conversion in store. Additionally, we are on track to achieve expected expense savings of approximately $50 million this year from our distribution center consolidation and store optimization plan, which will serve as a partial offset to macro-driven wage pressure.

現在還處於早期階段，但我們很高興看到我們的工資投資開始以提高保留率和提高店內轉化率的形式取得成果。此外，我們今年有望通過我們的配送中心整合和門店優化計劃實現預期的約 5000 萬美元的費用節省，這將部分抵消宏觀驅動的工資壓力。

We expect to capture the majority of those savings across the second quarter through the fourth quarter at approximately $15 million each quarter with a small portion that occurred in the first quarter. Looking forward to the third quarter, we expect SG&A on a dollar basis to be up low single digits to the prior year, driven primarily by increased labor costs and higher accrued bonus expense. Ongoing cost control, combined with our strong gross margin performance drove solid bottom line performance.

我們預計將在第二季度到第四季度獲得這些節省的大部分，每個季度約 1500 萬美元，其中一小部分發生在第一季度。展望第三季度，我們預計按美元計算的 SG&A 將比上年增長低個位數，這主要是受勞動力成本增加和應計獎金支出增加的推動。持續的成本控制，加上我們強勁的毛利率表現，推動了穩健的底線表現。

Adjusted operating margin came in at 8.3%, adjusted EBITDA margin was 11.5%, and adjusted diluted earnings per share was $0.41. Looking at segment results. Sally Beauty's strong 9.1% comparable sales increase reflects strong sales recapture from recently closed stores, contributing just under half of the increase as well as the comparison to a challenging second quarter last year, which included the impact from Omicron supply chain challenges and the onset of inflationary pressures, particularly at Sally U.S. and Canada.

調整後營業利潤率為 8.3%，調整後 EBITDA 利潤率為 11.5%，調整後攤薄每股收益為 0.41 美元。查看細分結果。 Sally Beauty 9.1% 的可比銷售額強勁增長反映了最近關閉的商店的強勁銷售回升，貢獻了近一半的增長以及與去年第二季度充滿挑戰的對比，其中包括 Omicron 供應鏈挑戰的影響和通脹壓力，尤其是在薩利美國和加拿大。

Segment net sales increased 1% despite 356 fewer stores in operations versus a year ago and 90 basis points of unfavorable foreign currency impact. At constant currency, Sally e-commerce sales increased 7% to $34 million, representing 6.4% of segment net sales for the quarter. Notably, we're seeing that our Klarna buy now, pay later payment option is driving higher average order value and bringing a new and younger customer to Sally.

儘管營業門店比一年前減少了 356 家，並且受到不利的外匯影響 90 個基點，但該部門的淨銷售額增長了 1%。按固定匯率計算，Sally 電子商務銷售額增長 7% 至 3400 萬美元，佔本季度部門淨銷售額的 6.4%。值得注意的是，我們看到我們的 Klarna 現在購買，以後付款選項正在推動更高的平均訂單價值，並為 Sally 帶來新的和更年輕的客戶。

For the Global Sally segment, color was up 6%, driven by great coverage and care increased 2%. At Sal U.S. and Canada, color increased by 8%, while care was down 1%, including the impact of store closures. Gross margin at Sally expanded 100 basis points to 59.8%. There are 2 key drivers here. First, product margins remained strong, driven primarily by pricing leverage and higher owned brand penetration. Second, there was a favorable true-up of the noncash inventory write-down we took in the fourth quarter of last year related to the distribution center consolidation and store optimization plan. Strong sales and gross margin performance drove 200 basis points of segment operating margin expansion, which came in at 17.4%.

對於 Global Sally 細分市場，色彩增長了 6%，受到覆蓋率和護理增長 2% 的推動。在 Sal 美國和加拿大，顏色增加了 8%，而護理下降了 1%，包括商店關閉的影響。 Sally 的毛利率增長了 100 個基點，達到 59.8%。這裡有 2 個關鍵驅動因素。首先，產品利潤率保持強勁，這主要是受定價槓桿和更高的自有品牌滲透率的推動。其次，我們在去年第四季度與配送中心整合和商店優化計劃相關的非現金庫存減記得到了有利的調整。強勁的銷售和毛利率表現推動分部營業利潤率增長 200 個基點，達到 17.4%。

Moving to the BSG segment. We saw second quarter trends that were consistent with our first quarter comparable sales growth of 1.3% compares to a disruptive quarter last year that was impacted by supply chain challenges in Omicron. Net sales increased 1% on 22 fewer stores in operation versus a year ago and 50 basis points of unfavorable foreign currency impact. On a constant currency basis, BSG e-commerce sales increased 11% to $53 million or 13.7% of segment net sales for the quarter.

轉到 BSG 部分。我們看到第二季度的趨勢與我們第一季度的可比銷售額增長 1.3% 一致，而去年是受 Omicron 供應鏈挑戰影響的破壞性季度。與一年前相比，營業門店減少了 22 家，淨銷售額增長了 1%，不利的外匯影響增加了 50 個基點。按固定匯率計算，BSG 電子商務銷售額增長 11% 至 5300 萬美元，佔本季度分部淨銷售額的 13.7%。

The color category remained strong and was up 4%, while care declined 2% at BSG on a total sales basis. As our stylists continue to purchase closer to need and we lap some new product launches from last year. The mail category was particularly strong, up 17%, reflecting strong response to our resets in the latter part of last year. Gross margin at BSG decreased 160 basis points to 38.9%, primarily driven by lower product margins due to the sales channel mix shift between stores and our expanded regions partnership as well as a shift in some distribution center costs from SG&A into gross margin.

彩妝品類依然強勁，增長了 4%，而 BSG 護理品類的總銷售額下降了 2%。隨著我們的造型師繼續購買更接近需求的產品，我們從去年推出了一些新產品。郵件類別特別強勁，增長了 17%，反映出對我們去年下半年重新設置的強烈反響。 BSG 的毛利率下降 160 個基點至 38.9%，這主要是由於商店和我們擴大的區域合作夥伴關係之間的銷售渠道組合轉變導致產品利潤率下降，以及一些配送中心成本從 SG&A 轉變為毛利率。

Segment operating margin came in at 9.6%. Moving to the balance sheet and cash flow. We ended the quarter with $62 million of cash and cash equivalents and $34 million outstanding under our asset-based revolving line of credit. Our net debt leverage ratio stood at 2.2x. During the quarter, we were able to further strengthen the balance sheet by taking advantage of a narrow opening in the market to refinance our $406 million term loan. Most notably, the loan has an extended maturity date and is covenant light, substantially mirroring the covenants under our [5 and 5/8%]senior notes due 2025. Under the new agreement, which matures in February 2030, the term loan has an aggregate principal amount of $400 million and bears interest at a floating rate equal to 1 month term so for, plus a spread of 250 basis points.

部門營業利潤率為 9.6%。轉向資產負債表和現金流量。本季度末，我們在基於資產的循環信貸額度下擁有 6200 萬美元的現金和現金等價物以及 3400 萬美元的未償付。我們的淨債務槓桿率為 2.2 倍。在本季度，我們能夠利用市場狹窄的機會為我們的 4.06 億美元定期貸款再融資，從而進一步加強資產負債表。最值得注意的是，該貸款的到期日延長且契約輕，基本上反映了我們 2025 年到期的 [5 和 5/8%] 優先票據下的契約。根據將於 2030 年 2 月到期的新協議，定期貸款具有本金總額為 4 億美元，按等於 1 個月期限的浮動利率計息，外加 250 個基點的利差。

The term loan was priced with an original issue discount of 99 in the quarter and includes mandatory quarterly amortization payment of 25% of the original loan amount. Subsequent to the end of our second quarter, we entered into a 3-year interest rate swap agreement on April 28, which swaps a notional amount of $200 million of the new term loan from the floating term interest rate to a fixed rate of 3.705%.

定期貸款的定價為本季度原始發行折扣 99，包括原始貸款金額 25% 的強制性季度攤銷付款。第二季度末後，我們於 4 月 28 日簽訂了一份為期 3 年的利率互換協議，將名義金額為 2 億美元的新定期貸款從浮動利率轉換為 3.705% 的固定利率.

Looking at inventory. We are particularly pleased with the substantial progress we've made across composition and in stock levels. The combination of our improved capabilities and receding supply chain disruptions have enabled us to return to a healthy overall position. Quarter end inventories came in slightly above $1 billion versus $963 million a year ago. That's up 6% and primarily reflects higher vendor pricing, improved in-stock levels as well as the timing of receipts. We expect our inventory to finish this year just below $1 billion.

看著庫存。我們對我們在成分和庫存水平方面取得的實質性進展感到特別高興。我們改進的能力和逐漸減少的供應鏈中斷相結合，使我們能夠恢復健康的整體狀況。季度末庫存略高於 10 億美元，而一年前為 9.63 億美元。這增加了 6%，主要反映了更高的供應商定價、改善的庫存水平以及收貨時間。我們預計我們今年的庫存將略低於 10 億美元。

Second quarter cash flow from operations was $25 million and capital expenditures totaled $17 million. For the full year, we continue to expect to return to free cash flow generation in the range of $175 million to $200 million, providing us with the financial flexibility to invest in our strategic initiatives to drive long-term growth.

第二季度運營現金流為 2500 萬美元，資本支出總計 1700 萬美元。全年，我們繼續期望恢復 1.75 億美元至 2 億美元的自由現金流產生，為我們提供財務靈活性，以投資於我們的戰略計劃以推動長期增長。

Turning now to guidance. I'll start with some comments on cadence. Given the challenging macro conditions we're lapping in the second quarter, we expect that this would be our highest comp performance of the year. Looking at the second half of fiscal 2023, we expect third quarter comparable sales to be in the low single digits and remain on track to achieve our full year guidance as follows. Comparable sales are expected to increase by low single digits compared to the prior year, driven by growth in key categories, sales transfer from store closures related to our store optimization efforts, our expanded Regents distribution and new strategic initiatives.

現在轉向指導。我將從對節奏的一些評論開始。鑑於我們在第二季度面臨的具有挑戰性的宏觀環境，我們預計這將是我們今年最高的業績表現。展望 2023 財年下半年，我們預計第三季度可比銷售額將處於較低的個位數，並有望實現如下全年指導。受關鍵類別增長、與我們的門店優化工作相關的門店關閉帶來的銷售轉移、我們擴大的 Regents 分銷和新的戰略舉措的推動，可比銷售額預計將比上一年低個位數增長。

Net sales are expected to decline by low single digits compared to the prior year, reflecting the unfavorable impact of store closures from the company's store optimization efforts, net of expected sales recapture rates and the anticipated unfavorable impact from foreign exchange headwinds. At the end of fiscal 2023, store count is expected to be down 6% to 7% compared to the end of fiscal 2022 due to our store optimization plan and a small number of new store openings.

與上一年相比，淨銷售額預計將下降個位數，反映出公司門店優化工作導致門店關閉的不利影響，扣除預期銷售回收率和外匯逆風的預期不利影響。由於我們的門店優化計劃和少量新店開張，到 2023 財年末，門店數量預計將比 2022 財年末減少 6% 至 7%。

Gross margin is expected to remain above 50% and adjusted operating margin is expected to be in the range of 8.5% to 9.5%. We -- this reflects increased investments in store labor, partially offset by an expected benefit to operating earnings of approximately $10 million related to our distribution center consolidation and store optimization plan. We appreciate your time this morning. Now I'll ask the operator to open the call for Q&A.

預計毛利率將保持在 50% 以上，調整後的營業利潤率預計將在 8.5% 至 9.5% 之間。我們——這反映了對商店勞動力的投資增加，部分被與我們的配送中心整合和商店優化計劃相關的約 1000 萬美元營業收入的預期收益所抵消。感謝您今天早上抽出寶貴時間。現在我將要求接線員打開問答電話。

Thank you. (Operator Instructions) One moment, please, for our first question. That will come from the line of Oliver Chen with PD Cowen.

謝謝。 （操作員說明）請稍等，回答我們的第一個問題。那將來自 Oliver Chen 和 PD Cowen 的線。

The Sally comp was really impressive. It looks like recapture is really working. What are you seeing with recapture? And what should we think about happening ahead with recapture? Also, as everybody thinks about consumers and inflation, what are your thoughts in terms of how that's playing out and your solid performance? And also, is it interplaying with traffic, traffic can sometimes be fairly volatile.

Sally comp 真的令人印象深刻。看起來奪回確實有效。你對奪回有什麼看法？我們應該如何考慮重新奪回之前發生的事情？此外，當每個人都在考慮消費者和通貨膨脹時，您如何看待這種情況以及您的穩健表現？而且，它是否與流量相互作用，流量有時會相當不穩定。

Oliver, thanks for the questions. I'll start off and Marlo will jump in as needed here. Overall, the Sally comp, we were really pleased with what we delivered in the quarter. And sales recapture is going in line with plan, which was about a 40% target that we communicated. So pleased to see that shift come over. That shift is particularly strong in the color side of the business, and we do anticipate that, that will continue as expected through the remainder of the year.

奧利弗，謝謝你的提問。我先開始，Marlo 會根據需要加入進來。總的來說，Sally comp，我們對本季度交付的產品非常滿意。銷售回收與計劃一致，這是我們傳達的大約 40% 的目標。很高興看到這種轉變結束了。這種轉變在業務的色彩方面尤為強烈，我們確實預計，這種轉變將在今年餘下的時間裡如預期的那樣持續下去。

About half of that comp increase that we reflected in the quarter was from the recapture. As you'll remember, other factors, including owned brands and newness in the business, combined with Q2 last year being particularly challenged with both supply chain and Omicron impact really made up the difference there. So pleased with what we're seeing in Sally. We do realize that Q2 was the strongest quarter because of what we were lapping last year. Overall, though, more broadly, inflation and traffic and what we're seeing.

我們在本季度反映的補償增長中約有一半來自重新捕獲。正如您所記得的那樣，其他因素，包括自有品牌和業務的新穎性，再加上去年第二季度在供應鍊和 Omicron 影響方面特別受到挑戰，確實彌補了那裡的差異。對我們在莎莉身上看到的一切感到非常高興。我們確實意識到，由於我們去年的表現，第二季度是最強勁的季度。不過，總體而言，更廣泛地說，通貨膨脹和交通以及我們所看到的。

We came into the year knowing that there was going to be a really dynamic environment with the consumer, and that's really what we built into our targets as we came through the year. playing out largely as we expected, quarterly cadence in line with what we expected, traffic and general market trends in line with what we expected. So excited that as we're coming through the first half of the year, we're averaging out to about a 3.3% comp with a little over 9% operating margin, which is squarely what we set out to do. And as we're looking at Q3 right now, see comps around low single digits, so right on track to deliver our year. We're closely watching the consumer and understanding any behavior changes that are there. But right now, I think we have the right mix of value and newness to continue to get that customer to enjoy our shopping experience at both Sally and BSG.

進入這一年，我們知道消費者將擁有一個真正充滿活力的環境，而這正是我們在這一年中建立在目標中的內容。基本上按照我們的預期進行，季度節奏符合我們的預期，流量和總體市場趨勢符合我們的預期。非常興奮，因為我們即將度過今年上半年，我們的平均利潤率約為 3.3%，營業利潤率略高於 9%，這正是我們打算要做的。當我們現在正在查看第三季度時，請查看低個位數的 comps，因此有望實現我們的年度目標。我們正在密切關註消費者並了解其中的任何行為變化。但現在，我認為我們擁有價值和新穎性的正確組合，可以繼續讓客戶享受我們在 Sally 和 BSG 的購物體驗。

And inventories have made nice progress. I know you've really put some prudent efforts there. Looking ahead, what are the major catalysts or initiatives we should focus on for inventory? And how is that manifesting by Sally relative to BSG in terms of the progress you're making?

庫存取得了不錯的進展。我知道你真的在那裡做了一些謹慎的努力。展望未來，我們應該關注庫存的主要催化劑或舉措是什麼？就您取得的進展而言，Sally 相對於 BSG 的表現如何？

Yes. On the inventory front, overall, as I mentioned on the call, there's a good play that we have with the technology that we put in behind planning and allocation as well as supply chain in terms of technologies. And so we're able to get much more sharp about the amount of inventory we need in stores and in our distribution centers to be flowing that product successfully. And we've really seen great response from our vendor partners and their ability to deliver against the expectations we have. So we feel really good about that. And Marlo, do you want to comment a bit on where we're going to head for the rest of the year?

是的。在庫存方面，總體而言，正如我在電話會議上提到的那樣，我們在計劃和分配以及技術方面的供應鏈背後的技術發揮了很好的作用。因此，我們能夠更加清楚地了解商店和配送中心所需的庫存量，以便成功地流通該產品。我們確實看到了供應商合作夥伴的巨大反響，以及他們交付我們預期的能力。所以我們對此感覺非常好。 Marlo，你想談談我們今年剩餘時間的發展方向嗎？

Yes. So in terms of how we see the rest of the year playing out, as Denise mentioned, we are in a really improved state where we want to be with our inventory position at just over $1 billion as we progress through the year. We see that coming down just a bit. But as we finished, we're expecting just under $1 billion.

是的。因此，就我們如何看待今年餘下時間的表現而言，正如 Denise 所提到的，我們處於一個真正改善的狀態，我們希望隨著我們今年的進展，我們的庫存頭寸略高於 10 億美元。我們看到這種情況有所下降。但當我們完成時，我們預計將不到 10 億美元。

We'll go next to the line of Korinne Wolfmeyer with Piper Sandler.

我們將與 Piper Sandler 一起前往 Korinne Wolfmeyer 的路線。

I'd first like to touch on just the guidance. I mean, obviously, you've put up a good quarter now, but you did talk about maybe some softness in March and maybe the early parts of April. And is that really the reasoning for not raising guidance and leaving it unchanged? And can you just kind of expand on those trends you were seeing here in the early parts of April.

我首先想談談指導。我的意思是，很明顯，你現在表現不錯，但你確實談到了 3 月和 4 月初可能有些疲軟。這真的是不提高指引並保持不變的理由嗎？你能不能擴展一下你在 4 月初在這裡看到的那些趨勢。

Thanks for the question. I'll reiterate that the cadence in the quarters of the year are playing out largely as we expected coming into the year. So the shape of the curve from Q1 to Q2 with comp sales in line with what we had anticipated with Q2 lapping some challenging times last year. In the back half, as we said, low single-digit comps, really reflecting what we had anticipated for the year.

謝謝你的問題。我要重申，今年幾個季度的節奏在很大程度上符合我們對進入今年的預期。因此，從第一季度到第二季度的曲線形狀與我們對去年第二季度的一些充滿挑戰的時期的預期一致。正如我們所說，在後半部分，低個位數的收入確實反映了我們對這一年的預期。

When you comment on the consumer, I'll say that on the BSG side, stylist behavior remains very consistent with what we've seen in the last few quarters. They are buying closer to need, being a bit more frugal, no substantial changes there at all. We called out in our prepared remarks on the Sally side that we did see a really consistent January and February, but with a slight bit of pressure against both traffic and basket as we were at the end of the quarter and then coming into April.

當你評論消費者時，我會說在 BSG 方面，造型師的行為與我們在過去幾個季度所看到的非常一致。他們的購買更接近需要，更加節儉，根本沒有實質性變化。我們在 Sally 方面準備好的評論中指出，我們確實看到 1 月和 2 月的表現非常穩定，但在本季度末和進入 4 月時，流量和籃筐都略有壓力。

Nothing outsized, and that's what I want to reinforce, but we did see a little bit of a shift of a little bit more frugality coming in there. That's reflected in the low single-digit comp outlook that we have for Q3. But as I said before, the focus that we have on the Sally side with newness with our own brands with a focus in nail and some other areas where we can add items to the basket still feel really good about where we're headed for the full year.

沒有什麼特別大的，這就是我想強調的，但我們確實看到了一點點節儉的轉變。這反映在我們對第三季度的低個位數補償前景中。但正如我之前所說，我們對 Sally 方面的關注以及我們自己品牌的新穎性，重點是美甲和其他一些我們可以將商品添加到購物籃的領域，仍然對我們的發展方向感到非常滿意整整一年。

Great. And then maybe can we just...

偉大的。然後也許我們可以...

Sorry, go ahead.

對不起，繼續。

One more in and a little bit on the BSG side of the business. Can you just comment how much Regis contributed this quarter? And then in terms of the end consumer in the professional channel, is that still holding up and it's really just the stylists that are shifting their spending patterns and kind of like how much they're spending out of time, but that end consumer is still healthy. Can you just comment on that?

在業務的 BSG 方面還有一點點。您能評論一下 Regis 本季度的貢獻嗎？然後就專業渠道的最終消費者而言，是否仍然存在，實際上只是造型師正在改變他們的消費模式，有點像他們在時間之外花費了多少，但最終消費者仍然健康。你能對此發表評論嗎？

Yes. In reverse order, I'll start a little bit with BSG side and the stylist and the consumer for that stylist. In general, what we're hearing from stylist is a continuation of the trends before that they will have some clients who might not get as many add-on services or might stretch their time between color treatments, just in an effort to save a little bit of money here and there. We continue to see that. When you think about the products that we sell through to our stylists, a very large proportion of that actually goes down the drain in the salon.

是的。以相反的順序，我將從 BSG 方面、造型師和該造型師的消費者開始。總的來說，我們從造型師那裡聽到的是之前趨勢的延續，他們將有一些客戶可能不會獲得那麼多的附加服務，或者可能會延長他們在顏色處理之間的時間，只是為了節省一點到處都是錢。我們繼續看到這一點。當您想到我們賣給造型師的產品時，其中很大一部分實際上在沙龍中付諸東流。

It is used by the pros and then a small amount of the business is that retail direct to consumer. I think our stylists are very focused on retailing that product is it's a good add-on profitability and then a way for them to know their clients will keep that great look that they have leaving a salon when they use those products. And the piece we're most encouraged about on our side is with our platform offering that we have and that we're piloting in a couple of markets or a couple of states today, the ability for that stylist to have another way to retail product as well.

它由專業人士使用，然後少量業務是直接面向消費者的零售。我認為我們的造型師非常專注於零售該產品，這是一種很好的附加盈利能力，然後是一種讓他們知道他們的客戶在使用這些產品時會保持他們離開沙龍時的漂亮外觀的方式。在我們這邊，我們最受鼓舞的是我們擁有的平台產品，我們今天正在幾個市場或幾個州進行試點，該造型師有能力以另一種方式零售產品以及。

So no real change in trend there at all. And I think your second question had been about trends in BSG and what we were seeing with Regis. We came into the year expecting that our Regis business would double throughout the year. We remain largely on track for that. So that would have been consistent in our second quarter as well. That's in Q4 is when we turned that on last year.

所以那裡的趨勢根本沒有真正的變化。我認為你的第二個問題是關於 BSG 的趨勢以及我們對 Regis 的看法。進入這一年，我們預計我們的 Regis 業務將在全年翻一番。我們在很大程度上仍走在正軌上。所以這在我們的第二季度也是一致的。那是在第四季度，我們去年啟用了它。

We'll go next to line Ashley Helgans with Jefferies.

接下來我們將與 Jefferies 一起排隊 Ashley Helgans。

First, just any thoughts around the current promotional environment? And then any trends by product category, color, hair care that you see emerging.

首先，關於當前的促銷環境有什麼想法嗎？然後是您看到的按產品類別、顏色、護髮分類的任何趨勢。

Sure. Promotional environment remains very consistent with what we've seen for the last few quarters. Overall, our promotion investment is directionally in line with what we had seen earlier in the year as well. We are seeing good vendor support. Our vendors would like to see units continue to move. And as we have good offerings where that elasticity is there and available, our vendors are really supporting us in those efforts. And so we appreciate that and continue to watch the broader dynamic as well. In terms of category trends, I think a lot of continuation from what we've seen before.

當然。促銷環境與我們在過去幾個季度看到的情況非常一致。總體而言，我們的促銷投資與我們今年早些時候看到的方向一致。我們看到了良好的供應商支持。我們的供應商希望看到單位繼續移動。由於我們提供了具有彈性且可用的優質產品，因此我們的供應商確實在這些努力中支持我們。因此，我們對此表示讚賞，並繼續關注更廣泛的動態。就類別趨勢而言，我認為我們之前看到的有很多延續。

On the BSG side, lots of focus on the care portion of the business and what will be best for someone's customer. So at the end of the day, what's the treatment that they need, what's the help that they need in that business. Really excited to see new bonding products come out from both Wella and John Paul Mitchell that we think are going to resonate very well with our stylist base. We are also very excited on the BSG side about Danger Jones, a vivid color line that's getting great response, very trendy in terms of even the packaging of what's come out, and we're excited to see where that goes. And then for us, distribution around ColorView and Amica really round out the portfolio for what our consumers are looking for. So in general, we're still seeing a lot of focus on express color.

在 BSG 方面，很多人關注業務的護理部分以及對客戶的最佳選擇。因此，歸根結底，他們需要什麼治療，他們在該業務中需要什麼幫助。真的很高興看到 Wella 和 John Paul Mitchell 推出新的粘合產品，我們認為這些產品會與我們的造型師群產生很好的共鳴。我們也對 BSG 方面的 Danger Jones 感到非常興奮，這是一條生動的顏色線，得到了很好的反響，甚至在包裝方面也非常時尚，我們很高興看到它的發展方向。然後對我們來說，圍繞 ColorView 和 Amica 的分銷確實完善了我們消費者正在尋找的產品組合。所以總的來說，我們仍然看到很多人關注表達顏色。

But more broadly very excited that the newness that's coming through the BSG channel and from our vendor partners really steps up this quarter as they've now kind of fully lapped supply chain and other pandemic-related challenges. And on the Sally side, great interest in our own brands, great interest in hair repair products there. gray coverage remains extremely strong, up 14% in the quarter. That doesn't mean this is -- were challenged. It just meant they held a little more steady while gray coverage really grew. And then we're seeing some fun add-ons. You think about the Taylor Swift and the trends behind that. People are getting into things like [Cartincil]. Not a huge business, but things that reflect kind of the current environment of what's trending out there in the marketplace.

但更廣泛地說，非常興奮的是，通過 BSG 渠道和我們的供應商合作夥伴帶來的新鮮事物在本季度真正得到了加強，因為他們現在已經完全應對了供應鍊和其他與流行病相關的挑戰。而在 Sally 方面，對我們自己的品牌非常感興趣，對那裡的頭髮修復產品非常感興趣。灰色覆蓋率仍然非常高，本季度增長了 14%。這並不意味著這是 - 受到挑戰。這只是意味著他們保持了一點穩定，而灰色覆蓋率確實增加了。然後我們看到了一些有趣的附加組件。你想想 Taylor Swift 及其背後的趨勢。人們正在研究 [Cartincil] 之類的東西。不是一個大企業，而是反映市場趨勢的當前環境的事物。

We'll go next to the line of Olivia Tong.

我們會去 Olivia Tong 的旁邊。

I wanted to ask you about the delta between your comp performance in SBS and BSG because it sounds like the magnitude of store closures is a big factor. And obviously, that's more -- significantly more pronounced at the Sally side than on the BSG side. But can you talk about what else drove that differentiation between performance and SBS versus BSG?

我想問你關於你在 SBS 和 BSG 中的表現之間的差異，因為這聽起來像商店關閉的幅度是一個重要因素。顯然，這在 Sally 方面比在 BSG 方面更明顯。但是你能談談還有什麼因素導致了性能和 SBS 與 BSG 之間的差異嗎？

Yes. So yes, I think the key comp out there in terms of the magnitude of the comp being a strong 9%, and then BSG returned as a strong -- or to the positive comp at the low single digits. As you mentioned, over half or about half that at the SBS level of that comp is being driven by store optimization. And then underneath that, we've got strong performance, especially in our color category on the Sally side.

是的。所以，是的，我認為就 comp 的大小而言，關鍵的 comp 是 9%，然後 BSG 以強勢回歸——或者以低個位數返回正 comp。正如您所提到的，在該組合的 SBS 級別，超過一半或大約一半是由商店優化驅動的。然後在此之下，我們表現出色，尤其是在 Sally 方面的顏色類別中。

On the BSG side. And then thinking about it in terms of year-over-year performance, we've got a really big comparison that we're trying to lap from Omicron last year, that was a big drag as well as just the inflationary pressures that we're starting to appear in some supply chain challenges. That was on the Sally side. And we had that as well on the BSG side, but not to the same degree that we have seen on the Sally side.

在BSG方面。然後從同比表現的角度考慮它，我們有一個非常大的比較，我們試圖從去年的 Omicron 中獲得，這是一個很大的拖累，以及我們的通脹壓力。重新開始出現在一些供應鏈挑戰中。那是在莎莉那邊。我們在 BSG 方面也有這種情況，但程度不如我們在 Sally 方面看到的那樣。

And then there's 17 million active loyalty members now over 3/4 of sales. Could you talk a little bit about the profile of your loyalty members relative to the non-loyalty members, average basket, frequency of purchase versus the average -- and we talked a little bit about this at our conference, but the sales to nonmembers, are they new people? Or can you talk about what efforts are being made -- what efforts are being made to convert more of them into loyalty members?

然後現在有 1700 萬活躍的忠誠會員超過銷售額的 3/4。你能不能談談你的忠誠會員相對於非忠誠會員的概況、平均購物籃、購買頻率與平均水平——我們在會議上談了一點這個，但是對非會員的銷售，他們是新人嗎？或者您能否談談正在做出哪些努力——正在做出哪些努力將更多的人轉化為忠誠會員？

Let me try with that one. I'll start in reverse order. When we think about loyalty and non-loyalty, our nonloyalty members are likely folks to -- they could be new. They might be shopping for the first time or so and don't yet see the benefit of signing up for the loyalty program. They could also be members who just choose to want to remain not identified that come through in the transactions. The differential between nonloyalty and loyalty, we do definitely see with our loyalty members more frequent transactions, higher basket, typically higher cross-category penetration in terms of what they're putting into their basket.

讓我試試那個。我將從相反的順序開始。當我們考慮忠誠度和非忠誠度時，我們的非忠誠度成員很可能是——他們可能是新成員。他們可能是第一次購物，還沒有看到註冊忠誠度計劃的好處。他們也可能是只是選擇希望在交易中保持不被識別的成員。非忠誠度和忠誠度之間的區別，我們確實看到我們的忠誠度會員更頻繁的交易，更高的籃子，通常更高的跨類別滲透率就他們放入籃子的內容而言。

And the group that we're really focused on within our loyalty program, while we love them all, the top tier of our customers within our loyalty platform are really are heavy shoppers. They typically have a color-oriented basket. They will come in 2 or 3x more frequently than the average customer. And we really see that reflected in both basket size as well as the total spend per year with that frequency being up. So we continue to do things that will incent them to come in terms of how we talk to them about the program. And we also have offering that our Sally customers can also participate and get a credit card if they would choose to do so.

我們在忠誠度計劃中真正關注的群體，雖然我們都喜歡他們，但我們忠誠度平台中的頂級客戶確實是重度購物者。他們通常有一個顏色導向的籃子。他們來訪的頻率是普通客戶的 2 或 3 倍。我們確實看到這一點反映在籃子大小和每年的總支出上，而且頻率在上升。因此，我們將繼續做一些事情來激勵他們參與我們與他們談論該計劃的方式。我們還提供服務，如果我們的 Sally 客戶願意，他們也可以參與並獲得信用卡。

We see that penetration much lower on the Sally side than we see with the 9% penetration on the BSG side. But it is another opportunity, particularly for Pros who might be shopping in Sally as well to have that advantage. And then things we keep doing to enhance the customer experience and give them more ways to pay.

我們看到 Sally 方面的滲透率遠低於我們在 BSG 方面看到的 9% 滲透率。但這是另一個機會，特別是對於可能也在 Sally 購物的專業人士來說，他們也有這種優勢。然後我們繼續做一些事情來增強客戶體驗並為他們提供更多支付方式。

We recently launched Klarna on our e-commerce site. And the buy now pay later opportunity is bringing in new customers to us, and it's actually increasing basket as well. So it's a great potential for people to participate more in the electrical categories where things are a bit more expensive, and they might want a more simple payment process that they could go through. So we continue to innovate on other ways that would bring new customers into the mix as well.

我們最近在我們的電子商務網站上推出了 Klarna。先買後付的機會為我們帶來了新客戶，實際上也增加了購物籃。因此，人們有很大的潛力更多地參與價格更高的電氣類別，他們可能想要一個更簡單的支付流程，他們可以通過。因此，我們繼續以其他方式進行創新，將新客戶也納入其中。

We'll go next to the line of Simeon Gutman with Morgan Stanley.

我們將與 Morgan Stanley 一起去 Simeon Gutman 旁邊。

This is Michael Kessler on for Simeon. Just a question on the expense structure. You talked about savings from DC store closures. It sounds like labor level staffing, advertising is all kind of normalizing or getting there. Can you just talk about the -- where we are on that normalization path or steady-state path? And does that mean, I guess, going forward, how to think about a comp leverage point for the business?

這是 Simeon 的 Michael Kessler。只是關於費用結構的問題。您談到了 DC 商店關閉帶來的節省。這聽起來像是勞動力水平的人員配置，廣告正在正常化或到達那裡。你能談談——我們在正常化路徑或穩態路徑上的位置嗎？這是否意味著，我想，展望未來，如何考慮企業的補償槓桿點？

Yes. On the SG&A side, so we did talk about how to think about Q3, right, from a dollar basis, it is a step up from Q2 as well as last year. So compared last year. It is a low single-digit increase year-over-year, and that's driven by the wage inflation and the bonus accrual. Thinking about it in terms of kind of run rate and how we look at it going forward from Q2. There is a bit more of a step-up from wages, just given the timing of merit. But at that point, you would expect a stabilization of the wage pressure.

是的。在 SG&A 方面，我們確實討論瞭如何考慮第三季度，從美元的角度來看，它比第二季度和去年都有進步。所以與去年相比。這是一個較低的個位數同比增長，這是由工資通脹和應計獎金推動的。從運行率的角度考慮它，以及我們如何看待它從第二季度開始。考慮到功績的時機，工資會有更多的提升。但到那時，你會期望工資壓力趨於穩定。

Anything further Mr. Gutman?

古特曼先生還有什麼要說的嗎？

All good.

都好。

And I'll now turn it over to Denise for some closing remarks.

現在我將把它交給 Denise 做一些結束語。

Thank you, and I appreciate everyone joining us this morning. We continue to be very excited about the path that Sally Beauty Holdings is on and look forward to providing additional updates in the future. And as a final note, as always, thank you to all of our associates across the world for all you do every day to help serve our customers.

謝謝大家，感謝大家今天早上加入我們。我們對 Sally Beauty Holdings 所走的道路仍然感到非常興奮，並期待在未來提供更多更新。最後，一如既往地感謝我們在世界各地的所有員工每天為幫助我們的客戶服務所做的一切。

Thank you. And as a reminder, today's conference was recorded for replay. Please refer to the company's press release for that replay information. That does conclude our conference for today. Thank you for your participation and for using AT&T bond Conferencing. You may now disconnect.

謝謝。提醒一下，今天的會議被錄製下來以供重播。有關重播信息，請參閱公司的新聞稿。我們今天的會議到此結束。感謝您的參與和使用 AT&T 債券會議。您現在可以斷開連接。