Stitch Fix Inc (SFIX) 2023 Q3 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Third Quarter Fiscal Year 2023 Stitch Fix Earnings Conference Call. (Operator Instructions) Please be advised that today's conference is being recorded.

美好的一天，謝謝你的支持。歡迎來到 2023 財年第三季度 Stitch Fix 收益電話會議。 （操作員說明）請注意，今天的會議正在錄製中。

I would now like to hand the conference over to your speaker today, Hayden Blair.

我現在想把會議交給今天的發言人海登布萊爾。

Good afternoon, and thank you for, joining us today to discuss the results for Stitch Fix's third quarter of fiscal year 2023. Joining me on the call today are Katrina Lake, Interim CEO of Stitch Fix; and David Aufderhaar, CFO. We have posted complete third quarter 2023 financial results in a press release on the quarterly results section of our website, investors.stitchfix.com. A link to the webcast of today's conference call can also be found on our site.

下午好，謝謝你今天加入我們討論 Stitch Fix 2023 財年第三季度的結果。今天和我一起參加電話會議的是 Stitch Fix 的臨時首席執行官 Katrina Lake；和首席財務官 David Aufderhaar。我們在我們網站 investors.stitchfix.com 的季度業績部分發布了一份新聞稿，公佈了 2023 年第三季度的完整財務業績。也可以在我們的網站上找到指向今天電話會議網絡廣播的鏈接。

We would like to remind everyone that we will be making forward-looking statements on this call, which involves risks and uncertainties. Actual results could differ materially from those contemplated by our forward-looking statements. Reported results should not be considered as an indication of future performance. Please review our filings with the SEC for a discussion of the factors that could cause results to differ.

我們想提醒大家，我們將就本次電話會議做出前瞻性陳述，這涉及風險和不確定性。實際結果可能與我們的前瞻性陳述中預期的結果存在重大差異。報告的結果不應被視為未來業績的指標。請查看我們提交給美國證券交易委員會的文件，以討論可能導致結果不同的因素。

In particular, our press release issued and filed today as well as the Risk Factors section of our annual report on Form 10-K for our fiscal year 2022 previously filed with the SEC and the quarterly report on Form 10-Q for our third quarter of fiscal year 2023, which we expect to be filed tomorrow. Also note that the forward-looking statements on this call are based on information available to us as of today's date.

特別是，我們今天發布和提交的新聞稿以及我們之前向美國證券交易委員會提交的 2022 財年 10-K 表格年度報告的風險因素部分和我們第三季度的 10-Q 表格季度報告2023 財年，我們預計將於明天提交。另請注意，本次電話會議的前瞻性陳述是基於截至今天我們可獲得的信息。

We disclaim any obligation to update any forward-looking statements, except as required by law. During this call, we will discuss certain non-GAAP financial measures. Reconciliations to the most directly comparable GAAP financial measures are provided in the press release on our Investor Relations website. These non-GAAP measures are not intended to be a substitute for our GAAP results. Finally, this call in its entirety is being webcast on our Investor Relations website, and a replay of this call will be available on the website shortly.

除非法律要求，否則我們不承擔任何更新任何前瞻性陳述的義務。在這次電話會議中，我們將討論某些非 GAAP 財務措施。我們的投資者關係網站上的新聞稿中提供了與最直接可比的 GAAP 財務指標的對賬。這些非 GAAP 措施無意替代我們的 GAAP 結果。最後，此次電話會議的全部內容正在我們的投資者關係網站上進行網絡直播，該電話會議的重播將很快在網站上播出。

With that, I will turn the call over to Kat. Please go ahead.

有了這個，我會把電話轉給凱特。請繼續。

Thanks, Hayden. 5 months ago, I came back as Interim CEO, motivated by the opportunity ahead and with a clear understanding of the need to reposition and refocus the company to set ourselves up for success. Today, amidst a challenging macroeconomic climate, preserving profitability and cash flow remain top priorities.

謝謝，海登。 5 個月前，我以臨時 CEO 的身份回歸，受到眼前機遇的激勵，並且清楚地了解需要重新定位和重新調整公司的重點，以便為成功做好準備。如今，在充滿挑戰的宏觀經濟環境中，保持盈利能力和現金流仍然是重中之重。

Generally, we are focusing on the near term, protecting the balance sheet, actively managing our inventory levels, while improving composition, and managing the global impact of tightening credit standards on vendors and manufacturers. But we are also mindful of the long-term opportunity ahead and by no means standing still. We understand that focusing on our clients is key to success, and we continue to invest in personalization and AI to maximize our long-term potential.

一般來說，我們關注近期，保護資產負債表，積極管理我們的庫存水平，同時改善構成，並管理收緊信貸標準對供應商和製造商的全球影響。但我們也注意到前方的長期機遇，絕不會停滯不前。我們明白，專注於客戶是成功的關鍵，我們將繼續投資個性化和人工智能，以最大限度地發揮我們的長期潛力。

We also completed a strategic review of our business operations in Q3 with a critical eye on operational efficiency and effectiveness while maintaining profitability and cash flow over a longer time frame as we focus on driving future growth. This was a robust review of our operations and processes across the company to identify areas to enhance the client experience and drive improved business results.

我們還在第三季度完成了對我們業務運營的戰略審查，重點關注運營效率和有效性，同時在我們專注於推動未來增長的同時，在更長的時間內保持盈利能力和現金流。這是對我們整個公司的運營和流程的有力審查，以確定可以增強客戶體驗並推動改進業務成果的領域。

One aspect of this review was a full analysis of our network strategy. As we have refocused on our core fixed business, we believe our inventory will be better optimized across a smaller network of warehouses in the U.S. Understanding this, we have developed a 3-node strategy that will allow us to more optimally serve the entire country and simultaneously showcase the greatest breadth and depth of inventory to our clients and stylists.

本次審查的一個方面是對我們的網絡戰略進行全面分析。由於我們重新專注於我們的核心固定業務，我們相信我們的庫存將在美國較小的倉庫網絡中得到更好的優化。了解這一點，我們制定了一個 3 節點戰略，這將使我們能夠更好地服務於整個國家和同時向我們的客戶和造型師展示最大廣度和深度的庫存。

This consolidated network will allow us to deliver a better client experience with access to more inventory for a given fix, while at the same time, allowing us to operate with lower, more cash efficient inventory levels. Because of this, we intend to close 2 additional fulfillment centers in Bethlehem, Pennsylvania and Dallas, Texas. As we have a lease already expiring in Bethlehem, we are choosing not to renew that.

這個整合的網絡將使我們能夠為給定的修復提供更好的客戶體驗，獲得更多的庫存，同時使我們能夠以更低、更高效的庫存水平運營。因此，我們打算關閉位於賓夕法尼亞州伯利恆和德克薩斯州達拉斯的另外 2 個運營中心。由於我們在伯利恆的租約已經到期，我們選擇不再續約。

Our analysis has also shown that our remaining 3 fulfillment centers in Atlanta, Indianapolis and Phoenix will remain optimal even with a larger client base in the future as we could expand capacity within these locations in the short-term and the long-term. We will undertake a phased approach with the closures to maintain our current high levels of client service. We expect to begin the Bethlehem wind down in Q1, and we will move on to Dallas later in the year.

我們的分析還表明，即使在未來擁有更大的客戶群，我們在亞特蘭大、印第安納波利斯和鳳凰城的其餘 3 個履行中心仍將保持最佳狀態，因為我們可以在短期和長期內擴大這些地點的產能。我們將分階段關閉，以維持我們目前的高水平客戶服務。我們預計伯利恆將在第一季度結束，我們將在今年晚些時候轉移到達拉斯。

We expect to achieve approximately $15 million in annualized cost savings once the 3-node strategy is completed. I want to thank all of our associates and team at the busy and the dizzy 5.18. We are immensely grateful for your hard work and commitment to our clients. Thank you. Additionally, the continued realities of economic conditions in both the U.S. and the U.K. have led us to reexamine our geographic footprint.

一旦 3 節點戰略完成，我們預計每年可節省約 1500 萬美元的成本。我要感謝我們所有的同事和團隊在忙碌而令人頭暈目眩的 5.18。我們非常感謝您的辛勤工作和對客戶的承諾。謝謝。此外，美國和英國經濟狀況的持續現實促使我們重新審視我們的地理足跡。

And this morning, we informed our employees in the U.K. that we are exploring exiting the U.K. market in FY '24. In FY '23, the U.K. will represent approximately $50 million in annual revenue and negative $15 million of adjusted EBITDA. So we believe Stitch Fix is a service that will ultimately find success across many, geographies including the U.K. and Western Europe.

今天早上，我們通知我們在英國的員工，我們正在探索在 24 財年退出英國市場。在 23 財年，英國的年收入約為 5000 萬美元，調整後的 EBITDA 為負 1500 萬美元。因此，我們相信 Stitch Fix 是一項最終會在包括英國和西歐在內的許多地區取得成功的服務。

Today, we are not confident in a passive profitability in the near term in that market, especially as we prepare for potentially extended periods of complicated macroeconomic conditions in both the U.S. and U.K. There are also numerous investments we have made in our core client experience that we have not replicated in our client experience in the U.K.

今天，我們對該市場短期內的被動盈利能力沒有信心，特別是當我們為美國和英國可能延長的複雜宏觀經濟狀況做準備時。我們還在核心客戶體驗方面進行了大量投資我們沒有在英國複製我們的客戶體驗

Going forward, we would prefer to be investing in our core experience and continue to build it as a more modern, globally capable platform with the ability to scale in many, geographies instead of managing multiple [Texas] 00:06.36 country-by-country. We are proud of the U.K. team and what they have accomplished to-date. Consistent with U.K. law, we will enter into a consultation period with U.K. employees regarding potentially exiting the U.K. market prior to making any final decision.

展望未來，我們更願意投資於我們的核心體驗，並繼續將其打造為一個更現代、具有全球能力的平台，能夠在許多地區進行擴展，而不是管理多個 [Texas] 00:06.36 逐個國家/地區.我們為英國團隊以及他們迄今為止所取得的成就感到自豪。根據英國法律，在做出任何最終決定之前，我們將與英國員工就可能退出英國市場進行磋商。

While there are a number of moving parts to these operational changes, we know they are the right decisions to make. This review has helped paint a more realistic view of what it will take to change the course of our trajectory, and we have more clarity around the opportunities ahead. We are retooled and refocus on the right metrics that will navigate us through a wide range of macroeconomic scenarios in the short-term, and we are setting ourselves up to be in a healthier position for the eventual growth to come.

雖然這些運營變化有許多變化的部分，但我們知道它們是正確的決定。此次審查有助於更現實地了解如何改變我們的發展軌跡，並且我們對未來的機遇有了更清晰的認識。我們重新調整併重新關注正確的指標，這些指標將在短期內引導我們應對各種宏觀經濟情景，我們正在為最終的增長做好準備，使自己處於更健康的位置。

In the meantime, we are committed to continuing to build on our competitive advantages and to further the leadership we have in the space of personalization. We continue to invest in our core client experience, leveraging AI and data science to enable our human stylists, leveraging the advantages of each to further our leadership in personalization and style. For years, we have utilized capabilities in generative AI, inducting scores and language into our personalization engine and more recently, automatically generated product descriptions.

與此同時，我們致力於繼續鞏固我們的競爭優勢，並進一步鞏固我們在個性化領域的領導地位。我們繼續投資於我們的核心客戶體驗，利用人工智能和數據科學來支持我們的人類造型師，利用每個人的優勢來進一步提升我們在個性化和風格方面的領導地位。多年來，我們一直在利用生成 AI 的功能，將分數和語言引入我們的個性化引擎，最近還使用了自動生成的產品描述。

We have also developed and implemented more advanced proprietary tools such as outfit generation and personalized style recommendations that create a unique and exciting experience we believe is unmatched in the market. A new area we have -- enhanced our AI capabilities in is our inventory buying. We have historically utilized a number of tools to make data-informed decisions with our inventory purchases.

我們還開發並實施了更先進的專有工具，例如服裝生成和個性化風格推薦，創造了我們認為在市場上無與倫比的獨特而令人興奮的體驗。我們擁有的一個新領域——增強我們的人工智能能力是我們的庫存購買。過去，我們使用多種工具在庫存採購中做出基於數據的決策。

Now directly leveraging our personalization algorithm, we have developed a new tool that creates an exciting paradigm shift, which will utilize [MAT] scores at the client level to drive company level buying actions. We expect the clarity of demand signals at the individual client level to drive more proactive and efficient inventory decisions as a company. And because of this, we expect to see higher success rates on fixes and drive increases in keep rates and AOV over time.

現在，我們直接利用我們的個性化算法，開發了一種新工具，創造了令人興奮的範式轉變，它將利用客戶層面的 [MAT] 分數來推動公司層面的購買行為。我們希望單個客戶層面需求信號的清晰度能夠推動公司做出更主動、更高效的庫存決策。正因為如此，我們希望看到更高的修復成功率，並隨著時間的推移推動保留率和 AOV 的增加。

This back-end personalization will also allow us to more effectively tailor the depth and timing of our buying decisions, so it will allow us to buy the right inventory in the right amount at the right time. Early testing of this approach compared against our existing buying tools have shown a 10% lift in keep rate and AOV. And by the end of Q1, we expect 20% of all POs created to be algorithmically informed.

這種後端個性化還將使我們能夠更有效地調整購買決策的深度和時機，從而使我們能夠在正確的時間以正確的數量購買正確的庫存。與我們現有的購買工具相比，對這種方法的早期測試表明，保留率和 AOV 提高了 10%。到第一季度末，我們預計創建的所有採購訂單中有 20% 將通過算法獲得信息。

We will continue to scale adoption throughout the year, and we are excited about the capabilities. It remains a clear example of how we continue to lean into data science and AI to further our differentiators and drive long-term success. Ultimately, we are continuing to build a business that is truly differentiated, and we want to lean into these areas of differentiation by investing in capabilities that will both improve the customer experience and prioritize profitability in the short-term.

我們將在全年繼續擴大採用範圍，我們對這些功能感到興奮。它仍然是我們如何繼續依靠數據科學和人工智能來進一步提升差異化優勢並推動長期成功的一個明顯例子。最終，我們將繼續打造真正差異化的業務，我們希望通過投資於既能改善客戶體驗又能在短期內優先考慮盈利能力的能力來涉足這些差異化領域。

I'm excited about the work we have done, understanding the work that we have to do and continue to believe we are taking the necessary steps to set the stage for healthy growth in the future.

我對我們所做的工作感到興奮，理解我們必須做的工作，並繼續相信我們正在採取必要的步驟為未來的健康發展奠定基礎。

With that, I'll turn it over to David for a deeper dive on the financials.

有了這個，我將把它交給大衛，以便更深入地了解財務狀況。

Thank you, Kat, and hello to everyone on the call. Fiscal Q3 results exceeded expectations. Revenue came in at the high end of our guidance range at $395 million, down 20% year-over-year and 4% sequentially. Consistent with some of our retail peers, we saw strength during February and March, but did see increased macroeconomic headwinds in April.

謝謝你，Kat，向通話中的每個人問好。第三季度財報超出預期。收入處於我們指導範圍的高端，為 3.95 億美元，同比下降 20%，環比下降 4%。與我們的一些零售同行一致，我們在 2 月和 3 月看到了強勁勢頭，但確實看到 4 月宏觀經濟逆風增加。

Net active clients in the quarter declined 11% year-over-year and 3% sequentially to approximately $3.5 million. While our overall average order value is holding relatively steady year-over-year, similar to Q1 and Q2, our analysis shows that all client cohorts are spending less than in prior years, and we expect this trend to continue in Q4.

本季度淨活躍客戶同比下降 11%，環比下降 3%，至約 350 萬美元。雖然我們的總體平均訂單價值與去年同期相比保持相對穩定，與第一季度和第二季度類似，但我們的分析顯示所有客戶群體的支出都低於往年，我們預計這一趨勢將在第四季度繼續。

Q3 gross margins expanded 150 basis points quarter-over-quarter to 42.5% due to improved inventory composition and less promotional activity in the quarter. We continue to expect gross margins to be around 42% for the fiscal year and are actively focused on improving gross margins with opportunities to improve product margin, transportation efficiency and inventory efficiency over time.

由於本季度庫存構成改善和促銷活動減少，第三季度毛利率環比增長 150 個基點至 42.5%。我們繼續預計本財年的毛利率約為 42%，並積極專注於提高毛利率，並有機會隨著時間的推移提高產品利潤率、運輸效率和庫存效率。

The network strategy initiative that Kat highlighted in her comments is a good example of that focus. Net inventory ended the quarter at $152 million, down 5% quarter-over-quarter and down 29% year-over-year. We do expect overall inventory levels to decline in Q4 as we continue to manage inventory closer to demand and revise our assortment strategy to better align with our core experience. And this alignment may take several quarters to optimize.

Kat 在她的評論中強調的網絡戰略計劃就是這種關注的一個很好的例子。本季度末淨庫存為 1.52 億美元，環比下降 5%，同比下降 29%。我們確實預計第四季度整體庫存水平會下降，因為我們將繼續管理更接近需求的庫存，並修改我們的分類策略以更好地與我們的核心體驗保持一致。而這種對齊可能需要幾個季度才能優化。

Advertising was 7% of revenue in Q3. While we continue to see customer acquisition costs declining year-over-year, we did see an increase quarter-over-quarter due to seasonality in our growth marketing channels and an increased focus on driving brand awareness. This was partially offset by strong reengagements in the quarter, which were up 34% sequentially and 24% year-over-year. We expect to maintain similar levels of advertising spend in Q4.

第三季度廣告收入佔收入的 7%。雖然我們繼續看到客戶獲取成本同比下降，但由於我們增長營銷渠道的季節性以及對提高品牌知名度的日益關注，我們確實看到了環比增長。這部分被本季度強勁的重新參與所抵消，重新參與度環比增長 34%，同比增長 24%。我們預計第四季度的廣告支出將保持類似水平。

Q3 adjusted EBITDA came in ahead of our outlook at $10.1 million due to the continued realization of cost savings in FY '23 and tight ongoing cost controls. And finally, we once again generated positive cash flow this quarter, delivering $21.9 million of free cash flow in Q3. We continue to feel good about our strong balance sheet and ended the quarter with over $240 million in cash, cash equivalents and highly rated securities and no bank debt.

由於 23 財年持續實現成本節約和持續嚴格的成本控制，第三季度調整後的 EBITDA 超出了我們的預期，達到 1010 萬美元。最後，我們在本季度再次產生了正現金流，在第三季度提供了 2190 萬美元的自由現金流。我們繼續對我們強勁的資產負債表感到滿意，並在本季度結束時擁有超過 2.4 億美元的現金、現金等價物和高評級證券，並且沒有銀行債務。

Moving on to the outlook, for Q4, we expect revenues to be between $365 million and $375 million, reflecting a relatively similar trajectory to what we saw in April. We expect adjusted EBITDA for the quarter to be between $0 and $10 million, largely reflecting the impact of our implemented cost structure initiatives on a sequentially lower top line.

繼續展望第四季度，我們預計收入將在 3.65 億美元至 3.75 億美元之間，反映出與我們在 4 月份看到的相對相似的軌跡。我們預計本季度調整後的 EBITDA 將在 0 到 1000 萬美元之間，這在很大程度上反映了我們實施的成本結構計劃對連續較低收入的影響。

Going forward, we will continue to focus on profitability in the short-term, while maximizing our long-term potential. As a reminder, we have already completed $135 million of cost savings initiatives in FY '23 and the proposed initiatives that Kat discussed earlier will drive an additional $50 million in annualized expense savings.

展望未來，我們將繼續專注於短期盈利能力，同時最大限度地發揮我們的長期潛力。提醒一下，我們已經在 23 財年完成了 1.35 億美元的成本節約計劃，而 Kat 之前討論的擬議計劃將推動每年額外節省 5000 萬美元的費用。

We are mindful that we've been profitable at different revenue levels in the past, and we are making the tough decisions now to endure a wide range of possible macroeconomic scenarios. Over time, we expect the investments in improving our client experience, along with the increased leverage in our P&L will enable us to establish a healthy base on which to grow.

我們注意到，過去我們在不同的收入水平上都實現了盈利，現在我們正在做出艱難的決定，以承受各種可能的宏觀經濟情景。隨著時間的推移，我們預計在改善客戶體驗方面的投資以及損益槓桿的增加將使我們能夠建立一個健康的增長基礎。

With that, I'll turn the call over to the operator for Q&A.

有了這個，我會把電話轉給接線員進行問答。

(Operator Instructions) Our first question comes from Youssef Squali with Truist Securities.

（操作員說明）我們的第一個問題來自 Truist Securities 的 Youssef Squali。

I had a couple of [sales] 00:14.25. Maybe just a high-level question, Kat as you touched a little bit on this in your prepared remarks, as you look at the long-term opportunity, you're obviously making lot of changes, refocusing on core fixed business, pulling out of the U.K.?

我有幾個 [銷售] 00:14.25。也許只是一個高層次的問題，Kat 你在準備好的發言中稍微談到了這一點，當你著眼於長期機會時，你顯然正在做出很多改變，重新專注於核心固定業務，退出英國。？

How should we thinking about just the way you think about the addressable market as we look at the number of addressable customers, I think [you have and treatment core treatment find out] 00:14.52, realistically, with this new strategy, maybe just talk to us a little bit how you kind of size up the market. And then in terms of just the -- as you look at AI and this is also something you touched upon?

當我們查看可尋址客戶的數量時，我們應該如何考慮您對可尋址市場的看法，我想 [你有治療核心治療發現] 00:14.52，實際上，通過這個新戰略，也許只是談談給我們一點你是如何估計市場的。然後就只是 - 當你看人工智能時，這也是你觸及的東西？

Can you just remind us of basically what are kind of low-hanging fruit ahead of you that you -- you believe you'll be able to realize maybe on the search side on the curation side? And over time, how do you think AI will ultimately impact the business? So those are the 2 questions?

你能不能提醒我們基本上你面前有哪些唾手可得的果實，你相信你可能會在搜索方面和策展方面實現？隨著時間的推移，您認為人工智能最終將如何影響業務？那麼這是兩個問題嗎？

Yes great, thank you for the great questions, Youssef. I mean, firstly on the long-term opportunity. I mean, I feel super excited and optimistic. I think a lot of the strategy right now is focusing on the core on our differentiators on the things that we know that we do best, which is really this human in the loop styling is being able to combine the best in the world algorithms in combination with human stylist to be able to deliver an experience that's really differentiated.

是的，太好了，優素福，謝謝你提出的重要問題。我的意思是，首先是關於長期機會。我的意思是，我感到超級興奮和樂觀。我認為現在的很多策略都集中在我們差異化的核心上，即我們知道我們最擅長的事情，這真的是這種人在循環中的造型能夠結合世界上最好的算法與人類造型師合作，能夠提供真正與眾不同的體驗。

And so to be able to kind of spend this time or stabilizing the business, but still continuing to push forward in the areas that we really believe that we have long-term competitive differentiation, that's kind of high-level how we're thinking about the business right now and we're really excited.

因此，能夠花費這段時間或穩定業務，但仍然繼續在我們真正相信我們具有長期競爭差異化的領域推進，這就是我們正在考慮的高層次方式現在的業務，我們真的很興奮。

And in terms of the addressable market, I think we continue to feel really optimistic about that. I think as we think about some of the capabilities that we're really pushing on which really are at the kind of intersection of AI and so it's a good kind of link of questions that you asked. Like one of the things that I love about our experience is that we have generative AI that's really in a more visual format.

就潛在市場而言，我認為我們仍然對此感到非常樂觀。我認為，當我們考慮我們真正推動的一些功能時，它們確實處於 AI 的交叉點，因此它是您提出的問題的一個很好的鏈接。就像我喜歡我們的體驗的一件事是，我們擁有真正以更直觀的形式呈現的生成人工智能。

And so the outfits that we have in our app those are actually taking into account your preferences, what we know about you and then in combination with what we know that you own in your closet. And to be able to kind of continue to push that technology and to be able to continue to give people more value in their experience with Stitch Fix and that's a really good example of I think the capability that is firstly really aligned with our capabilities around data and personalization and really unique to us.

因此，我們應用程序中的服裝實際上考慮了您的喜好、我們對您的了解，然後結合我們對您衣櫃中的了解。並且能夠繼續推動該技術，並能夠繼續為人們提供更多的 Stitch Fix 體驗價值，這是一個很好的例子，我認為首先與我們圍繞數據的能力真正保持一致的能力和個性化，對我們來說真的是獨一無二的。

And then, I think it's also really compelling because I really think that pushes as we think about what that addressable market is. I think if we can push outfits to be something that can be an asset to everybody, I think that is a universal thing that people would love to be able to have, is to have access to advice on a daily basis around what to wear and how to wear it.

然後，我認為它也非常引人注目，因為我真的認為這會推動我們思考潛在市場是什麼。我認為，如果我們可以推動服裝成為對每個人來說都可以成為資產的東西，我認為這是人們希望能夠擁有的普遍的東西，就是每天都能獲得關於穿什麼和穿什麼的建議怎麼穿。

And so we're thinking about the ways in which we are innovating and the ways that we're investing in particular in AI, I think a lot of that actually is with an eye towards how do we make sure that we're pushing the addressable market and making sure that we're serving our clients that we serve well, today, but also really thinking about like, are these features and capabilities value-add to a broader universe of clients.

因此，我們正在考慮我們的創新方式以及我們特別是在 AI 方面的投資方式，我認為其中很多實際上都著眼於我們如何確保我們正在推動可尋址市場並確保我們為我們的客戶提供良好的服務，今天，但也真正考慮這些特性和功能是否為更廣泛的客戶群增值。

And so, I think we feel really excited about those capabilities and we're excited about the plan that we have to be able to continue to invest in those.

因此，我認為我們對這些能力感到非常興奮，我們對我們必須能夠繼續投資於這些能力的計劃感到興奮。

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

我們的下一個問題來自 BMO Capital Markets 的 Simeon Siegel。

Can you quantify any of the U.K. impact on the P&L maybe last year. Just give us context. How many active clients are there, maybe revenues, EBIT pressures? However you want to help us understand to contextualize that. And then maybe also share what you think P&L impacts might be from closing the 2 distribution centers?

你能量化去年英國對損益表的影響嗎？只要給我們上下文。有多少活躍客戶，也許是收入、息稅前利潤壓力？但是，您想幫助我們理解並將其背景化。然後也許還可以分享您認為關閉 2 個配送中心可能對損益產生的影響？

Yes, I'll have David share more color there.

是的，我會讓大衛在那里分享更多的顏色。

Yes, Simeon thanks a couple of things. First, on the U.K. just a reminder that, yes, this is still a proposal and so there is no decision that's been made. But just size and shape I think Kat called out that in this year, it's around $50 million in revenue and about negative $15 million in EBITDA. So if you just do the simple math of flow through. That means there is about $35 million in SG&A expense in the U.K. as well. And so that's sort of the high-level P&L for the U.K.

是的，西蒙感謝幾件事。首先，關於英國，請注意，是的，這仍然是一項提案，因此尚未做出任何決定。但就規模和形狀而言，我認為凱特今年曾指出，收入約為 5000 萬美元，EBITDA 約為負 1500 萬美元。所以如果你只是做簡單的流經數學。這意味著英國也有大約 3500 萬美元的 SG&A 費用。這就是英國的高級損益表。

And then on the second question was, the distribution centers. With this, it would be about an annualized savings of $10 million to $15 million. It's more of a timing question of we want to make sure that as we do this, we do this in a very client-right ways that we aren't impacting the client and that's why we're phasing the closings. And so savings in FY '24 would obviously be smaller than that.

然後是第二個問題，配送中心。有了這個，每年可以節省大約 1000 萬到 1500 萬美元。這更像是一個時間問題，我們希望確保在執行此操作時，我們以一種非常適合客戶的方式執行此操作，不會影響客戶，這就是我們分階段關閉的原因。因此，24 財年的節省顯然會比這少。

And then Kat any color on just anything you're seeing trade-down wise, just thinking about the broader promotional environment out there?

然後 Kat 任何顏色你看到的任何東西都是明智的折價，只是考慮那裡更廣泛的促銷環境？

Yes, it's a great question. I mean, honestly, we've talked about it a lot internally and we have a wide range of price points. We have items that are in the 20s, all the way up to over $100 and so we have a pretty wide range of kind of inventory price points and it's an area of our business that we definitely have kept our eye on as we've kind of seen a little bit of macroeconomic softness. So far, I think customer acquisition is probably the thing that's been more, hard in a macroeconomic climate.

是的，這是一個很好的問題。我的意思是，老實說，我們已經在內部討論了很多，而且我們有廣泛的價位。我們有 20 多美元的商品，一直到 100 美元以上，所以我們有相當廣泛的庫存價格點，這是我們業務的一個領域，我們一直在關注我們的業務看到一點點宏觀經濟疲軟。到目前為止，我認為在宏觀經濟環境下，客戶獲取可能是更難的事情。

We've actually so far, I think seen more strength in terms of people spending in AOV than one might expect. But I think our strategy really is to be able to have that broad range of price points to be able to serve -- to meet the customer where they are and so we feel very prepared to be able to do that. But candidly, I don't know that we've seen -- I don't know that our data reflects like a huge amount of trade down, but it's definitely something we're keeping an eye on.

事實上，到目前為止，我認為人們在 AOV 上的支出比人們預期的要多。但我認為我們的戰略確實是能夠提供範圍廣泛的價格點，以便能夠提供服務——滿足客戶所在的地方，因此我們感到非常準備能夠做到這一點。但坦率地說，我不知道我們是否已經看到——我不知道我們的數據反映出大量的交易減少，但這絕對是我們正在關注的事情。

(Operator Instructions) Our next question comes from David Bellinger with ROTH MKM.

（操作員說明）我們的下一個問題來自 ROTH MKM 的 David Bellinger。

First 1, on the inventories and the greater depth available that was mentioned in the release. Can you quantify the improved access to inventory for your stylists and just any way to frame up how much that's improved Q2 to Q3 and how much further work needs to be done in order to open up inventory access more fully to the stylist space?

首先，關於庫存和發布中提到的更深入的可用信息。您能否量化為您的造型師改進的庫存訪問方式，以及任何方式來構建 Q2 到 Q3 的改進程度以及需要做多少進一步的工作才能更充分地開放造型師空間的庫存訪問？

Thanks, David. Can I clarify, are you speaking to the part where we talk about kind of the network or -- I just want to make sure that I'm understanding the specific question.

謝謝，大衛。我能澄清一下嗎，你是在談論我們談論網絡類型的部分，還是——我只是想確保我理解了具體問題。

Yes, that's correct.

對，那是正確的。

Yes, so that's -- so as we -- so one of the things as we kind of really took a fresh look at our business is that as we think about styling first model and really kind of channeling clients through a funnel where we are collecting the right preferences so that we really personalize for them. Like that model depends on having co-located inventory.

是的，這就是 - 就像我們一樣 - 我們真正重新審視我們的業務的其中一件事是，當我們考慮設計第一個模型時，實際上是通過我們正在收集的漏斗來引導客戶正確的偏好，以便我們真正為他們個性化。就像那個模型取決於擁有共同定位的庫存。

And so, historically we've had 5 and even 6 warehouses at different points and when we have that many warehouses, we're spreading the inventory across the broader network, which means that there's going to be times when we have pockets of good inventory and pockets of more challenging inventory.

因此，從歷史上看，我們在不同地點擁有 5 個甚至 6 個倉庫，當我們擁有那麼多倉庫時，我們會將庫存分散到更廣泛的網絡中，這意味著有時我們會有大量庫存以及更具挑戰性的庫存。

And so if you think especially in use cases where like somebody is coming in to a stylist with a very specific request. If we don't have kind of that density of inventory and the breadth and depth, it makes it potentially harder for a stylist to be able to meet that specific need of the client. And so, consolidating that warehouse into 3 nodes is something that really helps as we think about our future ability to be able to meet specific request of clients and for our stylist to be able to have availability and all of the breadth and depth of inventory that we buy to and that we have in our system.

因此，如果您特別考慮在某些用例中，例如有人帶著非常具體的要求來找造型師。如果我們沒有那種庫存密度以及廣度和深度，它可能會使造型師更難滿足客戶的特定需求。因此，當我們考慮未來能夠滿足客戶的特定要求以及我們的造型師能夠獲得可用性以及庫存的所有廣度和深度時，將倉庫合併為 3 個節點確實很有幫助我們購買並在我們的系統中擁有。

And so it really -- we see this as something that I think can help us to be able to achieve more of our goals as we think about being able to meet our stylist needs and ultimately our client's needs. Does that make sense?

所以它真的 - 我們認為這是我認為可以幫助我們實現更多目標的東西，因為我們考慮能夠滿足我們的造型師需求並最終滿足我們客戶的需求。那有意義嗎？

No, that's perfect, it's very helpful .And then just my follow-up. Could you talk a bit more about some of the April trends, anything specific you can point to that stood out as you exited the quarter? And then, can you clarify the Q4 guidance, is that consistent with the deceleration you saw later in the period? And anything you can comment on in regard to quarter-to-date revenue growth? Just would help us in our models.

不，那是完美的，它非常有幫助。然後就是我的後續行動。您能否多談談 4 月份的一些趨勢，您可以指出在您退出該季度時突出的任何具體內容？然後，您能否澄清 Q4 指導，這與您在此期間後期看到的減速一致嗎？關於季度至今的收入增長，您有什麼可以評論的嗎？只是會幫助我們的模型。

Yes, David, you want to take that.

是的，大衛，你想接受那個。

Yes, David for April, it wasn't -- to Kat's point it wasn't anything around AOV or pricing that tended to hold steady. It was more we saw some macro headwinds around sort of volume that was coming through. And it was pretty consistent with what we had heard from some of our peers as well, where we were -- we saw strength in February and March and then it's sort of tailed off in April. And that is included in our guide for Q4 as well.

是的，4 月份的 David 不是——在 Kat 看來，AOV 或定價往往保持穩定。更多的是我們看到了一些圍繞正在發生的交易量的宏觀逆風。這與我們從一些同行那裡聽到的情況非常一致——我們在 2 月和 3 月看到了實力，然後在 4 月有所減弱。這也包含在我們的第四季度指南中。

Our next question comes from Trevor Young with Barclays.

我們的下一個問題來自巴克萊銀行的 Trevor Young。

First one just on the reduced DC footprint as that plays out in the next year, should we contemplate some further thinning of your inventory on balance sheet? I'm just trying to get a sense of should that continue to come in a little bit or are we now kind of level set on inventory and as you contemplate having more breadth and depth, as you were talking about Katrina that we're kind of at the right levels here.

第一個只是關於明年 DC 足跡減少的問題，我們是否應該考慮進一步減少資產負債表上的庫存？我只是想了解一下應該繼續出現一點點，還是我們現在在庫存上設定了某種水平，當你考慮有更多的廣度和深度時，就像你在談論卡特里娜颶風一樣，我們很友善在這裡的正確水平。

And then David, just a housekeeping 1, just that commentary on advertising, maintaining similar levels of spend in 4Q, did you mean that as a percentage of revenue or in absolute dollars?

然後大衛，只是一個管家 1，只是關於廣告的評論，在第四季度保持類似的支出水平，你的意思是佔收入的百分比還是絕對美元？

Thanks, Trevor, David, you want to take both of those actually?

謝謝，特雷弗，大衛，你真的想把這兩個都拿走嗎？

Sure. And I'll answer the second 1 first because that's a really quick 1. Advertising, it's a percentage of revenues. So we do expect that to be similar to the 7% of revenue we saw this quarter. And so, then on the inventory I mean I think there is 2 things to think about there. 1, is actually the work that we're doing right now with the teams that are really focusing on composition and focusing on the core experience.

當然。我會先回答第二個 1，因為這是一個非常快的 1。廣告，它是收入的百分比。所以我們確實希望這與我們本季度看到的收入的 7% 相似。因此，關於清單，我的意思是我認為有兩件事需要考慮。 1，實際上是我們現在正在與真正專注於構圖和核心體驗的團隊一起做的工作。

I think we touched on this last quarters that helps us really focus the inventory and the team has done a great job chasing into Q4 to get really relevant inventory for our clients. And so because of that, we do expect inventory to go down in Q4. And then with regard to the closures certainly, that could be an added impact or benefit.

我認為我們談到了最後幾個季度，這有助於我們真正關注庫存，並且團隊在追逐第四季度方面做得很好，為我們的客戶獲得了真正相關的庫存。因此，我們確實預計第四季度庫存會下降。然後關於關閉肯定，這可能是一個額外的影響或好處。

We want to make sure first that we have the right inventory to cast point around density and making sure that stylist have everything available. But absolutely, as you concentrate in less warehouses, there is the ability to do that with less inventory. And so we would expect inventory turns to go up over time.

我們首先要確保我們有正確的庫存來圍繞密度投射點，並確保造型師擁有一切可用的東西。但絕對是，當你集中在更少的倉庫中時，就有能力用更少的庫存做到這一點。因此，我們預計庫存周轉率會隨著時間的推移而上升。

(Operator Instructions) Our next question comes from Tom Nikic with Wedbush Securities.

（操作員說明）我們的下一個問題來自 Wedbush Securities 的 Tom Nikic。

So I know we've done a lot of work to rightsize the cost structure of the business. But I think ultimately at some point the top-line needs some slack and the customer attrition needs to ease up and the customer account needs to start rising again. Like how do we think about potential bottoming of the customer base?

所以我知道我們已經做了很多工作來調整業務的成本結構。但我認為最終在某個時候，頂線需要一些鬆弛，客戶流失需要緩解，客戶賬戶需要再次開始上升。比如我們如何看待客戶群的潛在觸底？

I mean, like, we kind of think like next year that customer account starts rising again or are there more normalization needs to happen? And how do you go about driving a reacceleration of the top-line and the customer account?

我的意思是，就像，我們有點認為明年客戶賬戶會再次開始增長，或者是否需要更多的正常化？您如何著手推動收入和客戶賬戶的重新加速？

Thanks for the question, Tom. Yes, I mean look like, we totally understand that and like that is our focus, right. We're really focused on cash flow and profitability and ultimately thinking about growth over the longer term. And we're -- to this day like we were really thinking about like on the marketing side, we're being efficient, like we really want to spend to the right levels where based on where things are right now based on where the macro is right now.

謝謝你的問題，湯姆。是的，我的意思是看起來，我們完全理解這一點，這就是我們的重點，對吧。我們真正專注於現金流和盈利能力，並最終考慮長期增長。而且我們 - 直到今天，就像我們真的在考慮營銷方面一樣，我們正在提高效率，就像我們真的想根據現在的情況和宏觀的情況，將支出控制在正確的水平上是現在。

And we want to be able to be prepared for a range of macroeconomic outcomes. I think we see some good pockets of data here and there. And then as we mentioned, April was a little bit tougher, right. And so, like we just need to be able to be prepared for whatever that means. And this business has been profitable. This business has great economics.

我們希望能夠為一系列宏觀經濟結果做好準備。我認為我們在這里和那裡看到了一些很好的數據。然後正如我們提到的，四月有點艱難，對吧。因此，就像我們只需要能夠為這意味著什麼做好準備一樣。而且這項業務已經盈利。這項業務具有巨大的經濟效益。

And we've been profitable at much lower levels of revenue. And so, I think we're trying to make sure that we are focused on stabilizing the business, making sure that we're absolutely doing the right things now to be investing in our core, to be investing in our platform, so that we can be prepared for that growth. We're not prepared at this time to be able to tell you when we think that inflection is going to be. But I really believe we're doing all the right things to set ourselves up for that.

而且我們在收入水平低得多的情況下也能盈利。因此，我認為我們正在努力確保我們專注於穩定業務，確保我們現在絕對做正確的事情來投資我們的核心，投資我們的平台，以便我們可以為這種增長做好準備。我們目前還沒有準備好告訴您我們認為拐點何時會出現。但我真的相信我們正在做所有正確的事情來為此做好準備。

Our next question comes from Dana Telsey with Telsey Advisory Group.

我們的下一個問題來自 Telsey Advisory Group 的 Dana Telsey。

Kat as you think about what categories worked, what are you seeing in categories? Is there a category realignment that you expect to manage the business on given the reduction in distribution center space that you expect Stitch Fix to be known for and what you're seeing in terms of some of this on the subscription model? And lastly, how are keep rates and what are you seeing in the path towards enhancing the customer experience. How is that moving along relative to your plans?

Kat 當您考慮哪些類別有效時，您在類別中看到了什麼？鑑於您希望 Stitch Fix 以其知名的配送中心空間減少以及您在訂閱模式中看到的某些內容，是否有您希望管理業務的類別重新調整？最後，保持率如何以及您在增強客戶體驗的道路上看到了什麼。相對於您的計劃，這進展如何？

Yes, great questions. And I think the first 1 on the assortment. I mean we're seeing -- like on the men's side, we're seeing short sleeve [woven] work. We're seeing across the board, I think we're seeing more occasion in [dresses]. In the women's business, dresses had been a place where we've been historically under-penetrated. And we've seen a lot of success in dresses. We've seen success in fitted dresses and more of the work dresses, definitely in events.

是的，很好的問題。我認為是該系列中的第一個。我的意思是我們正在看到——就像在男裝方面，我們正在看到短袖 [機織] 作品。我們正在全面觀察，我認為我們在 [dresses] 中看到了更多的場合。在女性業務中，連衣裙一直是我們歷史上滲透率較低的地方。我們在連衣裙方面取得了很多成功。我們已經看到了合身連衣裙和更多工作服的成功，尤其是在活動中。

I think you've probably hearing that across the board. But I think people are excited to be out and be doing things. And we're certainly seeing that in our business. And the consolidation of the warehouses really does allow us to be able to hit more of that variety. And so, I would say that historically like we've -- our business is probably more over-indexed in places like tops.

我想你可能已經全面聽到了這一點。但我認為人們很高興能出去做事。我們當然在我們的業務中看到了這一點。倉庫的整合確實讓我們能夠生產更多種類的產品。因此，我想說，從歷史上看，就像我們一樣——我們的業務可能在頂部等地方的指數過高。

And it's maybe even harder to serve some of the categories that are less represented in our inventory, partly because it's I think with the -- it's easier I think going forward, we believe it will be easier to be able to have kind of even underrepresented categories available for our stylist to be putting in fixes more often with the consolidation of warehouses.

而且可能更難為一些在我們的庫存中代表較少的類別提供服務，部分原因是我認為 - 我認為未來會更容易，我們相信能夠更容易代表甚至不足我們的設計師可以使用的類別可以通過合併倉庫更頻繁地進行修復。

And so we really do believe that the consolidation of the warehouses will help us to be able to achieve for our clients greater -- and our stylist greater kind of access to variety and that could potentially help us to be able to address more parts of the client's wardrobe and more parts of kind of wallet share in those categories.

因此，我們確實相信，倉庫的整合將幫助我們能夠為我們的客戶實現更大的目標 - 以及我們的造型師更好地接觸多樣性，這可能會幫助我們解決更多的問題客戶的衣櫥和更多種類的錢包在這些類別中佔有一席之地。

In terms of -- like what we're excited about in terms of keep rates and enhancing the customer experience. As David mentioned, and I said earlier, you know it's interesting like we really haven't seen AOVs be problematic I would say even though we feel like we're seeing macro in some other ways. But I think AOV is a place where we're actually seeing some holding, which is great.

就-就像我們在保持利率和增強客戶體驗方面感到興奮一樣。正如大衛提到的，我之前說過，你知道這很有趣，就像我們真的沒有看到 AOV 有問題我會說，即使我們覺得我們正在以其他方式看到宏觀。但我認為 AOV 是我們實際看到一些控股的地方，這很棒。

And longer term, we talked about kind of some of the ways that we're using algorithms in our buying. And I'd just like really, really excited about that. I think there is -- what we're doing now is we're using algorithms, not just to kind of give insights to our buying team, but actually to buy product and that's starting.

從長遠來看，我們討論了我們在購買中使用算法的一些方式。我真的很想對此感到非常興奮。我認為有——我們現在正在做的是我們正在使用算法，不僅僅是為了給我們的採購團隊提供見解，而且實際上是為了購買產品，這才剛剛開始。

We're starting to see some of the product that we bought that way kind of hit our warehouses and we're really excited about kind of the potential of that product and I think scaling that capability is something that we're really excited about that I think really can play a large part in enhancing the customer experience and longer-term definitely impacting things like keep rate.

我們開始看到我們以這種方式購買的一些產品進入了我們的倉庫，我們對該產品的潛力感到非常興奮，我認為擴展這種能力是我們非常興奮的事情我認為確實可以在增強客戶體驗方面發揮很大作用，並且從長遠來看肯定會影響保持率等事情。

Our next question comes from Ashley Helgans with Jefferies.

我們的下一個問題來自 Jefferies 的 Ashley Helgans。

First, just any color on the declines in active clients. And then I know in the past you've talked about targeting marketing to reactivate clients. Any update on how that's progressing?

首先，活躍客戶數量下降的任何顏色。然後我知道你過去曾談到過針對營銷以重新激活客戶。關於進展如何的任何更新？

Yes, thanks for the question. On active clients we were down 97,000 quarter-over-quarter. That's around 3%. And we did see higher gross adds this quarter compared to Q2 and that was sort of a function of both increased acquisition spend, but also I think to your point to call out is, we also saw strong reengagement. Reengagement went up 34% quarter-over-quarter and 24% year-over-year. And so I think we're definitely leaning in on the reengagement side from a marketing standpoint.

是的，謝謝你的提問。在活躍客戶方面，我們環比下降了 97,000。這大約是 3%。與第二季度相比，本季度我們確實看到了更高的總增加量，這在某種程度上是收購支出增加的一個函數，但我認為你要指出的是，我們也看到了強勁的重新參與。再參與度環比增長 34%，同比增長 24%。因此，我認為從營銷的角度來看，我們肯定會傾向於重新參與。

With that, we do continue to expect active clients to be negative in Q4 and that's because we're still sort of lapping this high dormancy if -- just as a reminder, we spent last year in Q3 and Q4, over $50 million each quarter on marketing and a good portion of that was focused on this freestyle first client acquisition and pulling back on that, that's sort of -- that's still a headwind that we're working through from an active client standpoint.

因此，我們確實繼續預計活躍客戶在第四季度會出現負增長，那是因為我們仍在某種程度上處於這種高度休眠狀態——提醒一下，我們去年在第三季度和第四季度花費了超過 5000 萬美元每個季度在營銷方面，其中很大一部分集中在這種自由式的第一次客戶收購上，然後撤回，這有點——從活躍客戶的角度來看，這仍然是我們正在努力解決的一個逆風。

Our next question comes from Edward Yruma with Piper Sandler.

我們的下一個問題來自 Edward Yruma 和 Piper Sandler。

I guess, first, a housekeeping question here. Stock-based comp is down pretty significantly year-over-year, but less so on that trailing 9-month basis. I guess, is this kind of the trend we should think about going forward. And then Kat just like a bigger picture question that was kind of been asked about, when could you bend the curve on client growth. But maybe asked differently?

我想，首先，這裡有一個內務管理問題。基於股票的薪酬同比下降相當顯著，但在過去 9 個月的基礎上下降幅度較小。我想，這是我們應該考慮的趨勢。然後 Kat 就像一個被問到的更大的問題，你什麼時候可以扭轉客戶增長的曲線。但也許問的不同？

Do you think you need a more supportive macro to kind of bring the business back to growth or do you think you have the levers and tools today that even if macro remains tough that you could kind of drive that client growth in the medium-term?

你認為你需要一個更有支持性的宏觀來使業務恢復增長，還是你認為你今天擁有槓桿和工具，即使宏觀仍然艱難，你也可以在中期推動客戶增長？

Thanks, Ed. I will take the second question and then maybe -- and David you come back to SBC. I mean, it's a great question, Ed. I mean, we know that we have a macro effect on our business, like, there's no question. That being said like, I think it's hard for us to quantify and frankly I think it's kind of a waste of time to really spend too much time quantifying it.

謝謝，埃德。我會回答第二個問題，然後也許 - 大衛你回到 SBC。我的意思是，這是一個很好的問題，埃德。我的意思是，我們知道我們對我們的業務有宏觀影響，就像，毫無疑問。話雖這麼說，我認為我們很難量化，坦率地說，我認為花太多時間量化它有點浪費時間。

Because I do think -- I don't know that I can answer your question exactly like is it enough to inflect without macro. I don't know if I can answer that exactly. But, I do think there are real opportunities. And I think right now, we're working on our kind of strategic plan for the next fiscal year. And I'm really excited. I think where we do have very clearly identified opportunities for us to deliver a better experience to have a more -- for a more compelling value proposition for a broad range of people.

因為我確實認為——我不知道我能否完全回答你的問題，就像它是否足以在沒有宏的情況下發生變化一樣。我不知道我是否可以準確地回答這個問題。但是，我確實認為存在真正的機會。我認為現在，我們正在製定下一個財政年度的戰略計劃。我真的很興奮。我認為我們確實已經非常清楚地確定了我們提供更好體驗的機會，以便為更廣泛的人提供更具吸引力的價值主張。

And so I think regardless of the macro, there are definitely things that we can be doing to positively impact our business and positively impact our clients. And so we're really focused there. And as I said like, I think we just really want to be prepared for a wide range of whatever macro is going to hand us over the next 12 to 24 months.

因此，我認為無論宏觀如何，我們肯定可以做一些事情來積極影響我們的業務並積極影響我們的客戶。所以我們真的專注於此。正如我所說的那樣，我認為我們真的希望為未來 12 到 24 個月內將交給我們的各種宏指令做好準備。

And so, we want to make sure we're focused on the right things that are going to be the right things regardless of macro and we want to be able to be prepared to take advantage when macro turns our way. And so I can't answer it exactly, but we definitely believe we can make forward progress and we'll keep an eye on what's happening with macro.

因此，我們希望確保我們專注於正確的事情，無論宏觀如何，我們都希望能夠做好準備，以便在宏觀轉向我們的方式時利用。所以我不能準確回答，但我們絕對相信我們可以取得進展，我們將密切關注宏觀經濟的發展。

And then Ed on the SBC side. This quarter we definitely came down from last quarter. I think it's around 12% down from last quarter and it's around 28% down year-over-year. And so, the level that we're at right now is probably the right level if you think about it from a near-term perspective and just like the rest of our fixed-cost structure it's something that we'll want to leverage going forward.

然後是 SBC 方面的 Ed。本季度我們肯定比上一季度有所下降。我認為它比上一季度下降了 12% 左右，同比下降了 28% 左右。因此，如果你從近期的角度考慮，我們現在所處的水平可能是正確的水平，就像我們固定成本結構的其他部分一樣，這是我們未來想要利用的東西.

Our next question comes from Lauren Schenk with Morgan Stanley.

我們的下一個問題來自摩根士丹利的 Lauren Schenk。

I just wanted to dig a little deeper into your comments about investing more around AI. Just sort of any incremental color you can share there. And then just bigger-picture, how are you thinking about sort of AI as a competitive threat, whether that be personal assistance, etc. over the coming months and years, frankly?

我只是想更深入地了解一下您關於在 AI 方面進行更多投資的評論。您可以在那里分享任何增量顏色。然後從更大的角度來看，坦率地說，在未來的幾個月和幾年裡，你如何看待人工智能作為一種競爭威脅，無論是個人援助等？

Yes, thanks, Lauren. I mean, we could probably spend an entire hour on this. So maybe I'll just share a few highlights. But I think we, like I hear what you're saying is like it is -- like it's in a lot of ways as positive that like AI has been part of our story since the very beginning. We've been using data science and machine learning since day one to power our business.

是的，謝謝，勞倫。我的意思是，我們可能會在這上面花上整整一個小時。所以也許我會分享一些亮點。但我認為我們，就像我聽到你所說的一樣 - 就像它在很多方面一樣積極，就像 AI 從一開始就是我們故事的一部分。從第一天起，我們就一直在使用數據科學和機器學習來推動我們的業務發展。

And I think there's some real competitive differentiation that we've developed over our 10-plus years of leading in that space that are benefiting us today. And at the same time and obviously, a lot of people are really interested in the space right now and looking at things that we've done. And so, I think we plan to kind of have the best of both worlds. And so, I was with our technology team the other day and we have an AI road-map which is part of what kind of being kind of sliced into our strategic plan for next year.

而且我認為，在我們在該領域領先的 10 多年中，我們已經形成了一些真正的競爭差異化，這讓我們今天受益。與此同時，很明顯，很多人現在對這個領域非常感興趣，並關注我們所做的事情。因此，我認為我們計劃兩全其美。因此，前幾天我和我們的技術團隊在一起，我們有一個 AI 路線圖，它是我們明年戰略計劃的一部分。

And that's a combination of I think there are opportunities where we can take advantage of off-the-shelf advancements in AI that have happened where there are capabilities that 5, 10 years ago would have required us to build a 5% or 7% or 10% team to develop that capability that's now off-the-shelf, that's something that we can bring into our business and deliver value to our clients.

這是我認為我們有機會利用人工智能的現成進步的機會，這些進步已經發生在 5 年、10 年前需要我們建立 5% 或 7% 或10% 的團隊開發現在現成的能力，這是我們可以帶入我們的業務並為我們的客戶創造價值的東西。

And then there are other places where we need to push and we need to continue our advantage. And 1 of the real things about AI is that like the capabilities around AI are only as good as the data that you're training on. And the data that we have is really proprietary, it's been developed over 10 years, it's really, really predictive.

然後還有其他我們需要推動的地方，我們需要繼續我們的優勢。關於 AI 的真實情況之一是，圍繞 AI 的能力與你訓練的數據一樣好。我們擁有的數據確實是專有的，已經開發了 10 多年，它真的非常具有預測性。

And so there's, a lot of opportunities for us, where there is off-the-shelf things that we can do that are surface, but the real valuable things are where how can we take advantage of this one-to-one connection that we have with our clients and the incredible amount of data that we have to be able to push the envelope.

因此，我們有很多機會，我們可以做的現成的事情都是表面的，但真正有價值的事情是我們如何利用這種一對一的聯繫，我們與我們的客戶以及我們必須能夠突破極限的大量數據。

And I think what we talked about in inventory buying is a really great example of that. We are now actually using that kind of individual-level data about our clients to be able to buy in aggregate and to be able to do that in a much more compelling way that we have historically. And so we mentioned we're just starting to have buys that have been generated by that tool that are hitting our warehouses and that our sales are having access to now and it's super early days.

我認為我們在庫存購買中談到的就是一個很好的例子。我們現在實際上正在使用關於我們客戶的那種個人級別的數據，以便能夠以一種比我們過去擁有的更具吸引力的方式進行匯總購買。因此，我們提到我們剛剛開始購買該工具產生的購買，這些購買正在進入我們的倉庫，我們的銷售人員現在可以訪問，而且還處於早期階段。

And so we A/B tested it, we know that there is a benefit that we saw in the A/B test. We're starting to gradually integrate that into our buying processes. But that's a place where we're really excited where this is actually algorithmic buying that we are starting to roll-out that I think is going to be able to deliver better experiences to our clients and stylist and ultimately better numbers and better numbers to our bottom-line.

所以我們對它進行了 A/B 測試，我們知道我們在 A/B 測試中看到了一個好處。我們開始逐漸將其整合到我們的購買流程中。但這是我們真正感到興奮的地方，這實際上是我們開始推出的算法購買，我認為這將能夠為我們的客戶和造型師提供更好的體驗，並最終為我們的客戶提供更好的數字和更好的數字。底線。

And so that's something that really only we can do because of the depth of data that we have because of the connection we have with our clients, because we have individualized data about every single client and their preferences that they're sharing with us that allows us to then be able to buy in a way that I think would be very, very challenging for any other retailer to do.

所以這真的只有我們才能做到，因為我們擁有的數據深度，因為我們與客戶的聯繫，因為我們擁有關於每個客戶的個性化數據以及他們與我們分享的偏好，這使得然後我們能夠以一種我認為對任何其他零售商來說都非常非常具有挑戰性的方式進行購買。

Our next question comes from Aneesha Sherman with Bernstein.

我們的下一個問題來自 Aneesha Sherman 和 Bernstein。

So there's been a lot of kind of ups and downs in the last few years. But if you go back to -- if we just rewind back to pre-COVID levels and about February 2022, so right before COVID, you had about 3.5 million active customers, kind of where you are now?

所以在過去的幾年裡有很多起伏。但是如果你回到——如果我們回到 COVID 之前的水平和大約 2022 年 2 月，那麼就在 COVID 之前，你有大約 350 萬活躍客戶，你現在在哪裡？

And so you sort of anniversaried all of the ups and downs and come full circle. But in many ways it's a stronger business now. You have higher awareness levels, you have better customer data, better algo, broader assortment.

因此，您經歷了所有的起起落落，又回到了原點。但在許多方面，它現在是一個更強大的業務。你有更高的意識水平，你有更好的客戶數據，更好的算法，更廣泛的分類。

So why are those same 3.5 million customers generating lower total revenue? Like, what's different about their behavior or is it they're buying lower-priced items, are the keep rates different. Can you help us contextualize like what is different versus where you were back then pre-COVID?

那麼，為什麼同樣是 350 萬客戶產生的總收入較低呢？比如，他們的行為有什麼不同，或者他們購買的是低價商品，保持率是否不同。您能幫助我們了解與 COVID 之前的情況相比有什麼不同嗎？

It's hard without knowing exactly the specific data points that you're pointing to. But I would say like at a high-level some of what we are anniversarying, is some of clients that were brought in in a freestyle first experience and those clients did not generate the same level of engagement and revenue delivery that historically our clients did.

如果不知道您指向的具體數據點是很困難的。但我想說的是，在高層次上，我們正在慶祝的一些事情是，一些客戶是在自由泳的第一次體驗中引入的，而這些客戶並沒有產生與我們的客戶歷史上相同水平的參與度和收入交付。

And so, I think my guess is kind of that's probably what you're looking at. And like going forward now, we are bringing people into an experience where they are sharing with us their style preferences, what they're looking for, what they like, what they don't like. And during some of those freestyle first days, we weren't gathered that kind of information about clients.

所以，我想我的猜測可能就是你正在看的東西。就像現在前進一樣，我們正在將人們帶入一種體驗，讓他們與我們分享他們的風格偏好、他們正在尋找什麼、他們喜歡什麼、他們不喜歡什麼。在自由泳的最初幾天，我們並沒有收集到關於客戶的那種信息。

And so, that made it hard for us to retain and engage them in the way that we've historically done that. And so my guess is that's probably the reason. And the good news is that we're largely getting back to where -- certainly getting back to where we were and I would say even pushing forward past that. I think we're now at a place where we -- the algorithmic buying as an example. That's a step-change, that is a paradigm shift that is an improvement from the way that we were doing things in 2019.

因此，這讓我們很難像以往那樣留住他們並讓他們參與進來。所以我猜這可能就是原因。好消息是，我們在很大程度上回到了原點——當然回到了我們原來的原點，我什至會說甚至超越了那個原點。我認為我們現在處於一個地方——以算法購買為例。這是一個跨越式的變化，是一種範式轉變，是對我們 2019 年做事方式的改進。

And as we look forward, I think there are other opportunities for us to be able to deliver more value and a more compelling client experience in a similar way to be able to return back to that business, where we are bringing people in who are engaged, who are excited, who are looking at this as a long-term relationship. And that's a lot of what we talked -- that's a lot of what's actually happening when we talked about kind of focusing on our core.

當我們展望未來時，我認為我們還有其他機會能夠以類似的方式提供更多價值和更具吸引力的客戶體驗，以便能夠回到我們正在吸引參與的人的業務，他們很興奮，他們將此視為長期關係。這就是我們談論的很多內容——當我們談論某種關注我們的核心時，這就是很多實際發生的事情。

And I think one other...

我認為另一個...

That's really helpful.

這真的很有幫助。

Sorry, I was just going to add one other call-out is just client tenure is, it's the same amount of clients, but there's definitely a different mix from a client perspective and so clients tend to be more active earlier in that life-cycle until it stabilizes. And so that's another one of the factors.

抱歉，我只是想補充一點，客戶保有期是相同數量的客戶，但從客戶的角度來看肯定有不同的組合，因此客戶往往在生命週期的早期更活躍直到它穩定下來。所以這是另一個因素。

Okay, those are really helpful colors. So then, just a follow-up on that for your comment David earlier on that, all cohorts are spending less and you're not seeing differentiation by cohort. If AOV isn't declining and gross adds are up, I assume that means that churn is what's gone up and that's what's driving the volume declines. Is that accurate?

好的，這些顏色真的很有用。那麼，只是對大衛早些時候對此發表評論的後續行動，所有群組的支出都在減少，而且你沒有看到群組之間的差異。如果 AOV 沒有下降而總加起來，我認為這意味著流失率上升了，這就是導致銷量下降的原因。那是準確的嗎？

That is, yes.

也就是說，是的。

Okay and then, does that suggest you're seeing no differences in churn between those older cohorts and the newer cohorts or are you actually seeing some differences in behavior and churn levels between those kind of -- freestyle first people you've brought on in the last couple of years versus your original clients from several years ago?

好吧，這是否表明你沒有看到那些老群體和新群體之間的流失差異，或者你實際上看到了那些你帶來的自由式第一人之間的行為和流失水平的一些差異過去幾年與幾年前的原始客戶相比？

No I mean, I think a big part of it is what Kat was alluding to, is losing those freestyle first clients. But certainly, it's a little bit of both.

不，我的意思是，我認為其中很大一部分是 Kat 所暗示的，正在失去那些自由泳的第一批客戶。但可以肯定的是，兩者兼而有之。

So you're seeing higher churn for your newer cohorts than for your older cohorts.

因此，您發現新群組的流失率高於舊群組。

Not necessarily the newer cohorts, it's more specifically those freestyle first clients that we were bringing. Those are certainly some of our newer clients but they are a specific cohort. And for that cohort, we're definitely seeing higher churn rates. And that's one of the reasons we pulled back on that and we're focusing more on the core.

不一定是較新的群體，更具體地說是我們帶來的那些自由式第一批客戶。這些當然是我們的一些新客戶，但他們是一個特定的群體。對於那個群體，我們肯定會看到更高的流失率。這就是我們放棄這一點的原因之一，我們更加關注核心。

That's super helpful.

這非常有幫助。

Yes macro still pressures sort of all of them in the same way though. Yes.

是的，宏觀仍然以同樣的方式對所有人施加壓力。是的。

Thank you. And this concludes today's conference call. Thank you for participating. You may now disconnect.

謝謝。今天的電話會議到此結束。感謝您的參與。您現在可以斷開連接。