Signet Jewelers Ltd (SIG) 2025 Q2 法說會逐字稿

Good morning, and welcome to the Signet Jewelers second quarter fiscal 2025 earnings call. (Operator Instructions) Please note, this event is being recorded. Joining us on the call today are Rob Ballew, Senior Vice President of Investor Relations; Gina Drosos, Chief Executive Officer; and Joan Hilson, Chief Financial Strategy and Services Officer.

早安，歡迎參加 Signet Jewelers 2025 財年第二季財報電話會議。（操作員指示）請注意，此事件正在記錄中。今天參加電話會議的有投資者關係高級副總裁 Rob Ballew；吉娜·德羅索斯（Gina Drosos），執行長；以及財務策略與服務長瓊‧希爾森 (Joan Hilson)。

At this time, I would like to turn this conference over to Mr. Rob Ballew, Senior Vice President of Investor Relations. Please go ahead, sir.

現在，我想將本次會議交給投資者關係高級副總裁 Rob Ballew 先生。先生，請繼續。

Good morning. Welcome to Signet Jewelers second quarter fiscal '25 earnings conference call. During today's discussion, we will make certain forward-looking statements. Any statements that are not historical facts are subject to a number of risks and uncertainties. Actual results may differ materially.

早安.歡迎參加 Signet Jewelers 25 財年第二季財報電話會議。在今天的討論中，我們將做出一些前瞻性的陳述。任何非歷史事實的陳述都會受到許多風險和不確定性的影響。實際結果可能存在重大差異。

We urge you to read the risk factors, cautionary language and other disclosures in our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. Except as required by law, we undertake no obligation to revise or publicly update forward-looking statements in light of new information or future events.

我們建議您閱讀我們的 10-K 表年度報告、10-Q 表季度報告和 8-K 表當前報告中的風險因素、警示語言和其他揭露內容。除法律要求外，我們不承擔根據新資訊或未來事件修改或公開更新前瞻性聲明的義務。

During the call, we will discuss certain non-GAAP financial measures. For further discussion of the non-GAAP financial measures as well as a reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures, investors should review the news release we posted on our website at ir.signetjewelers.com.

在電話會議中，我們將討論某些非公認會計準則財務指標。有關非公認會計準則財務指標的進一步討論以及非公認會計準則財務指標與最直接可比較的公認會計準則指標的調節，投資者應查看我們在 ir.signetjewelers.com 網站上發布的新聞稿。

With that, I'll turn the call over to Gina.

說完這些，我會把電話轉給吉娜。

Thanks, Rob, and good morning, everyone. I'd like to first thank our Signet team for delivering another quarter of sequential same-store sales improvement and an encouraging start to the third quarter. Our team is our greatest competitive advantage and the key to our success. That's never more abundantly clear to me than at earnings time, when we have the chance to see the tangible impact of our knowledgeable, dedicated and empowered team members. I'd like to leave you with three key takeaways today.

謝謝，羅布，大家早安。我首先要感謝我們的 Signet 團隊，他們又實現了同店銷售額的連續成長，並為第三季帶來了令人鼓舞的開端。我們的團隊是我們最大的競爭優勢，也是我們成功的關鍵。在收益報告時，我對此有最清晰的認識，因為我們有機會看到知識淵博、敬業且有能力的團隊成員所產生的實際影響。今天我想留給你們三個關鍵要點。

First, we continue to see momentum in same-store sales, improving more than 5 points from the first quarter, led by strong Fashion sales to deliver results in the top half of our expectations. This sequential acceleration is both the fifth consecutive quarter of same-store sales improvement and the largest improvement we've delivered in more than two years, driven by higher levels of new and innovative merchandise as we emerge from the Engagement trough caused by COVID.

首先，我們繼續看到同店銷售額的勢頭，較第一季提高了 5 個百分點以上，其中時尚商品的銷售強勁帶動業績達到我們的預期。這一連續加速既是同店銷售額連續第五個季度增長，也是我們兩年多來實現的最大增長，這得益於我們擺脫新冠疫情造成的參與度低谷後新產品和創新商品水平的提高。

Second, we grew merchandise margin and average transaction value or ATV as our merchandise strategy continues to drive performance in a dynamic time for the industry. Third, we are on track to deliver on our fiscal '25 guidance, our momentum has carried into Q3 with same-store sales turning positive third quarter-to-date and Engagement units now growing.

其次，由於我們的商品策略在產業動態時期持續推動業績，我們提高了商品利潤率和平均交易價值或 ATV。第三，我們預計將實現 25 財年的預期，我們的發展動能一直延續到第三季度，第三季度迄今同店銷售額已轉為正值，參與度單位也在不斷增長。

Let's go into each of these in detail. Same-store sales improved to a low single-digit decline in the second quarter, led by an acceleration in Fashion, but also with improvement in Bridal and continued strength in Services. As I mentioned last quarter, we continue to focus on new, innovative and on-trend pieces. This is a proven strategy for us in tougher macro environments, and there's been a strong response from customers. In the second quarter, we delivered a 50% increase in revenue from new merchandise which comprised 25% of sales in our core banners, up 8 points from a year ago.

讓我們詳細討論一下每一個。第二季同店銷售額下降至個位數低位，這主要得益於時尚品類的成長加速，同時也得益於婚紗品類的改善和服務品類的持續走強。正如我上個季度提到的，我們將繼續專注於新穎、創新和流行的作品。對我們來說，這是一個在更嚴峻的宏觀環境下行之有效的策略，並且得到了客戶的強烈反響。第二季度，我們新商品的營收成長了 50%，占我們核心品牌銷售額的 25%，比去年同期成長了 8 個百分點。

In Fashion, this trend was broad-based as all banners improved sequentially this quarter, led by our three largest banners, Jared, Zales and Kay. In fact, we delivered positive Fashion same-store sales in July, August and September-to-date.

在時尚領域，這一趨勢具有廣泛性，本季所有品牌均較上季改善，其中，我們最大的三個品牌 Jared、Zales 和 Kay 表現最為出色。事實上，截至目前，我們七月、八月和九月的時尚同店銷售額均取得了積極的進展。

As we head toward the key gifting season of the year, we expect this trend to continue. We are well positioned to further grow our penetration of new merchandise while maintaining our inventory discipline. We see our ability to be nimble and manage our merchandise assortment as a real competitive advantage.

隨著一年中最重要的送禮季節即將到來，我們預計這一趨勢將會持續下去。我們有能力在保持庫存紀律的同時進一步擴大新商品的滲透力。我們認為靈活管理商品組合的能力是真正的競爭優勢。

When compared to industry data, we turn our inventory roughly 2x as fast as independent jewelers, which to consumers, means more frequency of great new products at the right price points. Our innovation in Fashion includes sculpted gold that allows us to provide big chunky looks at attractive price points. Lab Diamond Fashion Jewelry continues to grow, up more than 25% in the quarter to last year and is a driver of ATV.

與行業數據相比，我們的庫存週轉速度大約是獨立珠寶商的兩倍，對消費者而言，這意味著能夠以合適的價格更頻繁地推出優質新產品。我們在時尚領域的創新包括雕刻的金子，這使我們能夠以誘人的價格提供厚重的外觀。Lab Diamond 時尚珠寶持續成長，去年同期成長超過 25%，成為 ATV 的推動力。

We're also seeing traction in watches led by new designs in Citizen and Bulova. Further, our proprietary branding is aiding Bridal ATV, led by pieces from Chosen, Neil Lane and Monique Lhuillier. We're also leveraging our De Beers partnership to advance jewelry consultant training, natural diamond marketing, and several new branded natural diamond merchandise collections launching in the third quarter.

我們也看到西鐵城和寶路華的新設計引領了手錶市場的潮流。此外，我們的專有品牌正在為 Bridal ATV 提供幫助，其中包括 Chosen、Neil Lane 和 Monique Lhuillier 的作品。我們還利用與戴比爾斯的合作夥伴關係來推進珠寶顧問培訓、天然鑽石行銷以及在第三季度推出的幾個新品牌天然鑽石商品系列。

Services continues to be a source of strength for Signet, growing 1.4% in the quarter, with extended service agreement or ESA attachment rates up 210 basis points, led by strong attachment in Engagement and early traction on new products like post-repair ESA. Importantly, the attachment rate on Lab-Diamond jewelry is well above other merchandise in both Bridal and Fashion categories.

服務繼續成為 Signet 的強勁動力，本季增長 1.4%，延長服務協議或 ESA 附加率上漲 210 個基點，這得益於 Engagement 中的強大附加價值以及維修後 ESA 等新產品的早期吸引力。重要的是，實驗室鑽石首飾的附著率遠高於新娘和時尚類別的其他商品。

Services has grown every quarter for the past two years, outpacing Merchandise revenue by over 20 points. The progress we've made will be an important tailwind as Merchandise same-store sales improve in the back half of the year, particularly as Engagements continue to increase. Engagements also improved in the second quarter by approximately 400 basis points on a same-store sales basis.

過去兩年來，服務收入每季都在成長，比商品收入高出 20 多個百分點。隨著下半年商品同店銷售額的改善，尤其是參與度的持續提高，我們所取得的進展將成為重要的順風。第二季度，同店銷售額參與度也提高了約 400 個基點。

As predicted, the Engagement recovery is happening. Google and Instagram searches for Engagement rings are now up significantly in recent months, couples achieving at least 26 of our proprietary Engagement milestones, where they become highly likely to get engaged, is now 900 basis points higher than last year and the highest number of couples ready to get engaged, we've seen since we began tracking these milestones a few years ago.

正如預測的那樣，參與度正在恢復。近幾個月來，Google和 Instagram 上關於訂婚戒指的搜尋量大幅增加，達到我們專有的至少 26 個訂婚里程碑的情侶（即很有可能訂婚）的數量比去年高出 900 個基點，準備訂婚的情侶數量也是我們幾年前開始追蹤這些里程碑以來最多的。

Based on these leading indicators and the positive Engagement unit growth we've seen third quarter-to-date, we have confidence that we're well positioned for the upcoming peak engagement season over the holidays and the multiyear Engagement recovery back to pre-pandemic levels. That said, separately, customers are approaching engagement in a more cautious way in this macro environment, slowing the recovery.

基於這些領先指標以及我們在第三季度迄今為止看到的積極參與度單位增長，我們有信心，我們已經為即將到來的假期參與度高峰季節以及多年的參與度恢復到大流行前的水平做好了準備。儘管如此，在這種宏觀環境下，客戶正在以更謹慎的方式對待參與，從而減緩了復甦。

For example, customers are visiting our sites 15% more often than a year ago before making a purchase. Our Digital Banners progress has been steady as we saw sequential improvement of 600 basis points in same-store sales compared to the first quarter with further improvement into the third quarter. We now have the majority of our vendor API connections corrected, facilitating more real-time communication for custom pieces, and we expect more vendor connections to be updated ahead of the holiday season. We're also making improvements to the customer website experience, and we've significantly expanded our new merchandise assortment.

例如，客戶在購買之前造訪我們網站的次數比一年前增加了 15%。我們的數位橫幅進展平穩，與第一季相比，同店銷售額連續成長 600 個基點，第三季進一步改善。現在，我們已經糾正了大多數供應商 API 連接，從而促進了定製件的更多即時通信，並且我們預計在假期前會更新更多供應商連接。我們也正在改善客戶網站體驗，並大幅擴展了新商品的類型。

My second takeaway today is that we grew both merchandise margin and ATV despite industry promotional pressure. Our merchandise strategy is to deliver the right products at the right value while balancing market share, margins and long-term value of natural diamonds. This strategic balance is working to offset competitive price pressure on loose diamonds. For example, North America Bridal ATV was nearly flat in the second quarter.

我今天的第二個收穫是，儘管面臨行業促銷壓力，我們的商品利潤率和 ATV 仍然實現了成長。我們的商品策略是在平衡市場份額、利潤和天然鑽石的長期價值的同時，以合適的價值提供合適的產品。這種策略平衡正在抵消散裝鑽石的競爭價格壓力。例如，北美新娘ATV在第二季幾乎持平。

Further, our merchandise innovation drove North America Fashion ATV up mid single-digits in the second quarter and helped expand merchandise margins. We are investing ahead of holiday to improve the customer shopping experience. This includes additional training for our jewelry consultants, further rollout of personalized digital storefronts, enhanced Wi-Fi across the fleet as well as more than 300 store renovations.

此外，我們的商品創新推動北美時尚 ATV 在第二季度實現中等個位數成長，並有助於擴大商品利潤率。我們在假期前進行投資以改善顧客購物體驗。這包括對我們的珠寶顧問進行額外培訓、進一步推出個性化的數位店面、在整個門市範圍內增強 Wi-Fi 以及對 300 多家門市進行翻新。

At Kay, we're renovating over 200 stores this year. At Jared, we've invested in both the fleet and up-tiering of the assortment, delivering Fashion ATV up nearly double-digits in the second quarter. In marketing, we're increasingly leveraging data and AI to personalize our messaging. In digital, we're launching a number of new features, including self-learning search capability on our websites which will curate results and listings to the most relevant products.

在 Kay，我們今年正在翻新 200 多家商店。在 Jared，我們對車隊和產品系列的升級都進行了投資，使得時尚全地形車 (Fashion ATV) 的銷量在第二季度實現了近兩位數的增長。在行銷方面，我們越來越多地利用數據和人工智慧來個性化我們的訊息。在數位領域，我們推出了許多新功能，包括我們網站上的自學搜尋功能，它將整理出最相關產品的結果和清單。

We believe all these investments will drive incremental sales over the holidays. This tight net combination of merchandise and banner strategy has been a competitive advantage for Signet. Since wide-scale availability in 2019, price decreases in Lab Diamonds have been an ongoing story. In the second quarter and across this longer time period, our merchandise strategy delivered growth, both in our ATV and merchandise margins, driven by our strengths in sourcing, branding and diamond expertise. The consumer remains dynamic and is focused on value, promotions and new on-trend merchandise, and we believe we have the right playbook to navigate this environment.

我們相信，所有這些投資都將推動假期期間的銷售增量。這種商品和橫幅策略的緊密結合一直是Signet的競爭優勢。自 2019 年大規模上市以來，Lab Diamonds 的價格一直在下降。在第二季度以及更長的時間段內，我們的商品策略實現了成長，無論是 ATV 還是商品利潤率，這都得益於我們在採購、品牌和鑽石專業知識方面的優勢。消費者依然保持活力，專注於價值、促銷和新潮流商品，我們相信我們擁有正確的策略來應對這種環境。

This leads me to my third and final takeaway that we are on track to deliver our fiscal 2025 guide. We've seen strong progression in same-store sales with the shape of the year on track with our expectations. Our confidence is also supported by the multiple ways to achieve our guide.

這讓我想到了第三個也是最後一個結論：我們正按計畫實現 2025 財政年度指南。我們看到同店銷售額強勁成長，今年的狀況符合我們的預期。實現指南的多種方式也支持了我們的信心。

We continue to expect positive Engagement units in the second half of the year, and we believe our new merchandise assortment will continue to drive strong Fashion sales. And while we expect sequential improvement in both categories, it's not required, simply maintaining our current pace of sales would deliver within our provided range. Further, our flexible operating model and continued efforts to streamline operations is leading us to increase our cost savings target for the year to upto $200 million. These savings will help balance the continued promotional environment as we go into the back half of the year.

我們繼續預計下半年的參與度單位將保持積極態勢，並且我們相信我們的新商品組合將繼續推動時尚銷售的強勁成長。雖然我們預計這兩個類別都會出現連續的改善，但這不是必需的，只要保持我們目前的銷售速度就可以在我們提供的範圍內實現。此外，我們靈活的營運模式和持續簡化營運的努力使我們今年的成本節約目標提高到 2 億美元。這些節省將有助於平衡下半年持續的促銷環境。

We're also increasing our three-year savings target from $350 million to $450 million. In summary, our same-store sales progress continues and has turned positive. We're successfully managing margins and ATV, and we are on track to deliver the year.

我們也將三年節約目標從 3.5 億美元提高到 4.5 億美元。總而言之，我們的同店銷售額持續成長，並已轉為正值。我們成功地管理了利潤率和平均價值 (ATV)，並有望順利完成全年目標。

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

說完這些，我會把話題交給瓊。

Thanks, Gina, and good morning, everyone. Revenue for the quarter was $1.5 billion, down 7.6%, same-store sales were down 3.4% to last year. Same-store sales reflects the continued drag from our Digital Banners of approximately 150 basis points. The larger gap between same-store sales and total revenue this quarter is related to the 53rd week last year, as it shifted early Mother's Day shopping from Q2 to Q1, and we expect the gap to normalize in the back half of the year.

謝謝，吉娜，大家早安。本季營收為15億美元，下降7.6%，同店銷售額較去年同期下降3.4%。同店銷售額反映出我們的數位橫幅持續拖累約 150 個基點。本季同店銷售額與總收入之間的差距較大與去年第53周有關，因為將母親節購物提前從第二季度移至第一季度，我們預計這一差距將在下半年恢復正常。

North America ATV was up 1.6% this quarter, as we accelerated our push into Fashion newness, a strategy that is also effectively expanding merchandise margin. Importantly, Bridal ATV was nearly flat and Fashion ATV was up mid single-digits. We delivered gross margin of $566 million or 38% of sales this quarter, up 10 basis points to last year despite lower revenue.

由於我們加快了進軍時尚新品領域的步伐，本季北美 ATV 上漲了 1.6%，這項策略也有效地擴大了商品利潤率。重要的是，新娘 ATV 幾乎持平，而時尚 ATV 則上漲了個位數。本季度，我們的毛利為 5.66 億美元，佔銷售額的 38%，儘管收入下降，但仍比去年同期上升了 10 個基點。

The strength of new products at higher margins, a higher Fashion penetration and continued strength of Services drove a merchandise margin expansion of 120 basis points, fully offsetting fixed cost deleverage. Turning to SG&A. Expense was down $13 million to $498 million for the quarter. SG&A deleveraged by 170 basis points to 33.4% of sales due to the decline in revenue and modestly higher marketing expense. Adjusted operating income was $68.6 million for the quarter or 4.6% of sales.

利潤率較高的新產品、時尚滲透率的提高和服務的持續強勁推動商品利潤率擴大了 120 個基點，完全抵消了固定成本去槓桿。轉向銷售、一般及行政費用。本季支出下降 1,300 萬美元至 4.98 億美元。由於收入下降和行銷費用略有增加，銷售、一般和行政費用去槓桿率下降了 170 個基點，至銷售額的 33.4%。本季調整後營業收入為 6,860 萬美元，佔銷售額的 4.6%。

Adjusted EPS for the quarter was $1.25, down less than operating income due to higher interest income and a lower share count from the retirement and amendment of the convertible preferred shares as well as open market share repurchases.

本季調整後每股收益為 1.25 美元，降幅低於營業收入，原因是利息收入增加，以及可轉換優先股的退出和修改以及公開市場股票回購導致股數減少。

As a result of our annual evaluation of goodwill and trade names, we took non-cash impairment charges of $166 million during the second quarter that were primarily a result of factors impacting our digital banners, which included the lengthened integration time frame and the slower engagement recovery. As you may recall, our Digital Banners strongly over-indexed into Bridal and loose diamonds, compared to Signet as a whole. This means that the slower engagement recovery and, to a lesser degree, impacts from market declines in the Lab-Created Diamond pricing has a more material impact on our Digital Banners. This charge caused an operating loss and negative EPS for the quarter on a GAAP basis.

根據我們對商譽和商標的年度評估，我們在第二季度提列了 1.66 億美元的非現金減損費用，這主要是由於影響我們的數位橫幅的因素造成的，包括整合時間延長和參與度恢復速度變慢。您可能還記得，與整個 Signet 相比，我們的數位橫幅對新娘鑽石和裸鑽的指數過高。這意味著，參與度恢復速度較慢，以及實驗室製造鑽石價格市場下跌的影響（儘管程度較小），對我們的數位橫幅產生了更實質的影響。根據 GAAP 計算，此項費用導致本季出現營業虧損和負每股收益。

As mentioned earlier, our Digital Banners delivered a 6 point same-store sales improvement to Q1, and we expect further improvement in the back half, based on quarter-to-date trends. Turning to inventory. We ended the quarter at just below $2 billion, down more than 5% to last year. New product comprises approximately 25% of inventory in our core banners, up more than 7 points compared to a year ago. We plan to continue to drive higher penetration of new merchandise as we head into holiday.

如前所述，我們的數位橫幅使第一季的同店銷售額提高了 6 個百分點，根據本季迄今的趨勢，我們預計下半年將進一步改善。轉向庫存。本季結束時，我們的利潤略低於 20 億美元，比去年同期下降了 5% 以上。新產品約占我們核心橫幅庫存的 25%，比一年前增加了 7 個多百分點。我們計劃在假期來臨之際繼續提高新商品的滲透率。

We believe customers will be value-focused this year, and our newness provides assortment at a wide range of price points. We increased the pace of share repurchases in the second quarter, buying approximately 441,000 shares for nearly $40 million to take advantage of the pullback in the share price. We continue to see share repurchases as an attractive use of capital and ended the second quarter with over $800 million in our multiyear remaining authorization.

我們相信，今年顧客會更重視價值，而我們的新品提供了多種價位的產品。我們在第二季加快了股票回購步伐，以近 4,000 萬美元的價格購買了約 441,000 股，以利用股價回落的機會。我們繼續將股票回購視為一種有吸引力的資本用途，截止第二季度，我們多年期剩餘授權金額超過 8 億美元。

As a reminder, we are allocating up to $1.1 billion to the retirement of debt, redemption of preferred shares and open market common share repurchases in fiscal '25, of which we've already executed over $700 million through the second quarter. Importantly, these actions will reduce our diluted share count by over 15% on an annualized basis and also improve our leverage profile.

提醒一下，我們將在 25 財年分配高達 11 億美元用於償還債務、贖回優先股和公開市場普通股回購，其中截至第二季我們已經執行了超過 7 億美元。重要的是，這些舉措將使我們的稀釋股份數量按年率計算減少 15% 以上，並改善我們的槓桿狀況。

Turning now to our balance sheet. We recently secured a three-year extension to our ABL at attractive terms similar to the existing facility, which now provides liquidity for the next five years. The ABL was also lower to $1.2 billion to align to our significantly reduced inventory base in the last few years as well as to provide savings on lower fees associated with our undrawn balance.

現在來看看我們的資產負債表。我們最近以與現有貸款類似的優惠條款將 ABL 延長三年，現在可以為未來五年提供流動性。ABL 也降至 12 億美元，以適應我們過去幾年大幅減少的庫存基礎，並節省與未提取餘額相關的較低費用。

Looking to guidance, we are pleased with our agility in the second quarter, balancing new merchandise, competitive pricing, and sourcing savings to deliver on our expectations. We will continue this strategy in the back half of the year. We believe this, combined with our additional cost savings provides flexibility in a competitive environment.

展望指引，我們對第二季的敏捷性感到滿意，平衡了新商品、有競爭力的定價和採購節省，以實現我們的預期。下半年我們還會繼續這個策略。我們相信，這一點加上我們額外的成本節省，將在競爭環境中提供靈活性。

Turning to the third quarter. We expect revenue in the range of $1.345 billion to $1.38 billion, with same-store sales between down 1% to up 1.5%. We expect adjusted operating income between $8 million and $25 million and adjusted EBITDA between $55 million to $72 million. Our quarter-to-date same-store sales through this past weekend have turned positive, which is reflected in the upper half of our guide, while the low-end provides some cushion for variability throughout the quarter.

展望第三季。我們預計營收在 13.45 億美元至 13.8 億美元之間，同店銷售額將下降 1% 至成長 1.5%。我們預計調整後的營業收入在 800 萬美元至 2500 萬美元之間，調整後的 EBITDA 在 5,500 萬美元至 7,200 萬美元之間。截至上週末，我們本季的同店銷售額已轉為正值，這反映在我們指南的上半部分，而下半部分則為整個季度的波動提供了一些緩衝。

Gross margin rate is expected to expand modestly in the quarter with SG&A deleveraging somewhat, in part due to the shift of marketing spend into the third quarter ahead of the upcoming election. We are reaffirming our guidance range for the year. We now expect revenue near the middle of our range or better and are on path to deliver adjusted operating margin rate near the low-end of our expectations. Importantly, we have inventory flexibility to meet consumer demand for engagements within a range of down 5% to up 5% for the year. In addition, Fashion performance is now expected to be materially better based on recent trends.

預計本季毛利率將小幅擴大，銷售、一般及行政費用將有所去槓桿，部分原因是由於即將到來的選舉前行銷支出轉移到第三季。我們重申今年的指導範圍。我們現在預計收入將接近我們預期範圍的中間值或更高，並且預計將實現調整後的營業利潤率接近我們預期的低端。重要的是，我們擁有庫存彈性，可以滿足消費者全年在下降 5% 到上升 5% 範圍內的需求。此外，根據最近的趨勢，預計時尚表現將會大幅改善。

The Digital Banner impact is also expected to be less of a negative impact this year, at roughly down 1% of sales compared to our prior view of down nearly 2%. We also continue to expect to spend $160 million to $180 million in capital expenditures with our investments in real estate on track. Before we move on to Q&A, I'd like to thank our Signet team for the momentum we are seeing in our business. I continue to be inspired by their passion and commitment to our customers and each other.

預計今年數位橫幅廣告造成的負面影響將會較小，銷售額將下降約 1%，而我們先前預期的下降幅度將接近 2%。隨著我們在房地產方面的投資順利進行，我們也將繼續預計將投入 1.6 億至 1.8 億美元的資本支出。在我們進入問答環節之前，我想感謝我們的 Signet 團隊為我們的業務帶來的良好發展勢頭。他們對客戶和彼此的熱情和承諾不斷激勵著我。

Operator, now let's go to questions.

接線員，現在我們來提問。

(Operator Instructions) Ike Boruchow, Wells Fargo.

（操作員指示） 艾克·博魯喬夫 (Ike Boruchow)，富國銀行。

Question for me on the gross margin line. So up modestly in the third quarter, you've had merch margins up around 100 bps in the first two quarters of the year. Is there reason to believe that the merch margin trajectory should remain consistent into the back half and just there would be less offsets from deleverage as the comps improve? And then I guess, the second question, maybe for Joan or Gina. Just can you give us some guardrails around holiday specifically.

請問我關於毛利率的問題。因此，第三季商品利潤率小幅上漲，今年前兩個季度商品利潤率上漲了約 100 個基點。是否有理由相信商品利潤率走勢應該在下半年保持一致，並且隨著同店銷售的改善，去槓桿的抵銷作用會減少？然後我想，第二個問題也許是針對瓊或吉娜的。您能否具體為我們提供一些假期的護欄？

It's just obviously, it makes the breaks the year, given how much volume you guys do. Can you give us some thoughts on what exactly your expectations are whether it's comp or -- I don't know if there's any other variables you could point out to us, that would probably be helpful.

顯然，從你們的工作量來看，這在當年是突破性的。您能否告訴我們您的期望到底是什麼，無論是公司還是——我不知道您是否可以向我們指出其他變量，這可能會有所幫助。

Thanks, Ike, for the questions. With respect to gross margin, we continue to drive Fashion newness into the back half of the year. And as I mentioned, there's a push to increase the penetration of that inventory within our assortment. So that is what is driving the margin expansion for us.

謝謝艾克的提問。就毛利率而言，我們將繼續在下半年推動時尚新鮮度的提升。正如我所提到的，我們正在努力提高該庫存在我們的產品系列中的滲透率。這就是推動我們利潤率擴大的因素。

We said Bridal ATV was flat in the second quarter and Fashion was up mid single-digits. So we expect to continue to see the Fashion really providing that margin expansion for us at a merchandise margin level. We will continue to amplify and drive Services in the back half of the year.

我們說過，新娘服裝的 ATV 在第二季度持平，而時尚服裝的 ATV 則實現了中等個位數的成長。因此，我們期望時尚能夠繼續在商品利潤水準上為我們提供利潤率的擴大。下半年我們會繼續擴大和推動服務。

And notably, the Bridal attachment rate has been increasing as we're seeing Bridal units increase. And so our penetration in store now is up over 90 -- 90% and as we're looking into the third quarter. And I would say that the Fashion attachment rate is also increasing. So that is also providing the margin expansion. And we would expect those components to continue to provide margin expansion for us in the back half of the year.

值得注意的是，隨著新娘單位數量的增加，新娘依戀率也一直在增加。因此，我們現在在商店的滲透率已經上升了 90% 到 90% 以上，我們正​​在展望第三季。我想說的是，時尚的依戀率也在增加。因此這也提供了利潤的擴大。我們預計這些組成部分將在今年下半年繼續為我們提供利潤率的擴大。

With respect to thinking about the quarters and what we expect for holiday, the back -- our guidance range enables us, as I said, to be at the mid-point, top-line, or better, you can see what the third quarter is. And so we're very pleased with the assortment that we have lined up for the back half, for the Bridal assortment. The amount of newness that's coming in is also in Bridal, and we expect the Engagement recovery to continue.

關於季度的思考以及我們對假期的預期，我們的指導範圍使我們能夠處於中間點、頂線或更好的水平，您可以看到第三季度的情況。因此，我們對後半部分新娘系列的品種感到非常滿意。新娘禮服也迎來大量新品，我們預計訂婚禮服的復甦還將繼續。

And also bear in mind, like, that December is a very important and critical timing for engagements as we head into that, the holiday selling period. So we believe that we're -- our assortments is strong. we're seeing a strong response. And we're seeing the Engagement recovery happen. Although, as Gina mentioned, it's a little bit slower, than we had anticipated.

另外請記住，12 月對於參與度來說是一個非常重要且關鍵的時間點，因為我們即將進入假日銷售期。因此我們相信，我們的產品種類很豐富。我們看到了強烈的反響。我們看到了參與度的恢復。不過，正如吉娜所提到的，它比我們預期的要慢一點。

The customer is more cautious, visiting -- 15% higher visit rate before they actually make the purchase. So all of that is considered within our guidance. But to your point, fourth quarter is important. And we see that we're prepared for it.

客戶更加謹慎，在實際購買之前訪問率提高了 15%。所以所有這些都在我們的指導範圍內。但正如你所說，第四季很重要。我們看到我們已經準備好了。

Got it. And then just to go back to the gross margin. Juts, where there was a lot of talk on the last conference call about the promo environment, the competitions, what was going on that you guys spoke at length about that. Can you just give us an update three months later? How is that playing out?

知道了。然後回到毛利率。Juts，在上次電話會議上，我們討論了很多關於促銷環境、比賽以及正在發生的事情，你們對此進行了詳細的討論。能告訴我們三個月後的最新消息嗎？進展如何？

Is anything worsening? Is it improving? Is it flat lining, just at a high level? That would probably be helpful too.

有什麼情況惡化嗎？有改善嗎？它是平襯嗎，只是處於高水準嗎？這也許也會有幫助。

Well, we have included in our guidance, Ike, is the idea that the competitive environment will remain as such and that we are prepared with flexibility within our guidance for promotion. And we will continue to -- with the balanced strategy of newness at strong margins, particularly in Fashion, and pacing of promotions to meet the competitive dynamic. So we will be leveraging the same components that we did in the second quarter for the balance of the year.

艾克，嗯，我們已經在我們的指導中包含了這樣的想法，即競爭環境將保持不變，並且我們已在指導中為晉升做好了靈活的準備。我們將繼續推行均衡的策略，在高利潤率的基礎上不斷推出新品，尤其是在時尚領域，並調整促銷節奏以適應競爭情勢。因此，我們將利用與第二季相同的組件來完成全年剩餘工作。

Got it. Thank you.

知道了。謝謝。

Paul Lejuez, Citi.

花旗銀行的 Paul Lejuez。

Can you say what Engagement units are running year-to-date and quarter-to-date? And curious what do you have to see in 4Q to hit the plus 5% for the year? And then within that Engagement units being up quarter-to-date, I guess, it sounds like sales are still down. So maybe can you talk about the average ticket engagement and how that average ticket looks in Naturals specifically versus like Lab. specifically when you compare it to last year?

您能說一下今年迄今為止和本季迄今參與單位的運作情況嗎？您是否很好奇，第四季需要看到什麼才能實現全年 5% 的成長？然後，我想，在本季迄今的參與度單位上升的情況下，聽起來銷售額仍然下降。所以也許您可以談談平均票價參與度以及 Naturals 與 Lab 的平均票價具體情況如何。具體和去年相比如何？

Sure. Paul. Why don't I start on that? And then Joan, you can jump in. I think in terms of units, as Joan was just saying, we said in our prepared remarks, the Engagement recovery is happening.

當然。保羅。我為何不從那開始呢？然後瓊，你可以加入了。我認為就單位而言，正如瓊剛才所說，我們在準備好的發言中說過，參與度恢復正在發生。

And all of the data that we track indicates that, that will continue to accelerate throughout this fiscal year. But our guidance doesn't need that in order for us to deliver. In other words, if the pace of unit growth that we're seeing right now just flattens to where it is, and continues through the year, we would still deliver within our guide.

我們追蹤的所有數據都表明，這一趨勢將在整個財年持續加速。但我們的指導並不需要這樣做就能實現目標。換句話說，如果我們現在看到的單位成長速度穩定在目前的水平，並持續到全年，我們仍然能夠實現我們的指導目標。

So we see that everything that we're looking at, external data like searches across different search engines as well as the proprietary milestones that we track. Those are at their highest that we've seen them. So up 900 basis points versus last year in terms of number of couples ready to get engaged. So we see a good tailwind on Engagements, but we don't have to have that in order to achieve our guide.

因此，我們看到的所有內容，外部資料（例如跨不同搜尋引擎的搜尋）以及我們追蹤的專有里程碑。這些是我們所見過的最高值。因此，準備訂婚的情侶數量比去年增加了 900 個基點。因此，我們看到參與度方面出現了良好的順風，但我們不必擁有這樣的順風就能實現我們的指導目標。

And then you also asked a question about LCD. We have had a strategy since beginning to trade customers up if they're interested in LCD. And we have continued to do that. So we actually see a higher ATV on LCD pieces than we do in natural. We see a higher attachment rate of ESA on LCD as a result.

然後您也問了一個關於 LCD 的問題。從一開始，我們就有一項策略，就是為對 LCD 有興趣的客戶提供升級服務。我們一直在做這件事。因此，我們實際上看到 LCD 碎片的 ATV 比自然碎片的 ATV 更高。結果我們看到 ESA 在 LCD 上的附著率較高。

So in that context, our team has worked very hard to maintain strong value across diamonds. And we're also seeing a lot of great innovation come on natural diamonds. I think we're getting to a point where consumers seem to understand the difference.

因此，在這種背景下，我們的團隊一直努力保持鑽石的強勁價值。我們也看到許多關於天然鑽石的偉大創新。我想我們已經達到了消費者似乎能夠理解其中差異的程度。

They understand the specialness and uniqueness of natural diamonds and are very interested in that context and that's the value that has been able to have over time. But they understand that with LCD, they have an opportunity potentially to trade up because it's cheaper, there's more availability.

他們了解天然鑽石的特殊性和獨特性，並對此非常感興趣，而這正是鑽石隨著時間的推移所具有的價值。但他們明白，有了 LCD 螢幕，他們就有機會進行升級，因為 LCD 螢幕更便宜，而且可用性更高。

Got it. And just to follow up with the plus 5% for the year, would that be consistent with the high end of guidance then?

知道了。那麼，如果只是為了跟進今年 5% 的增幅，這是否與預期上限一致？

Yes. When you think of the guidance range, it's a minus 5% to plus 5% units in Bridal. But to Gina's earlier comments, I would say, Paul, there's a several scenarios to hit our overall high end of guide, we have Fashion running positively right now. We have Bridal units running positive. So there's a combination of outcomes to deliver the high end of guide, but one of those combinations has the high end at plus 5% units for Bridal.

是的。當您考慮指導範圍時，Bridal 中的單位是 -5% 到 +5%。但對於吉娜之前的評論，我想說，保羅，有幾種情況可以達到我們整體的高端指導，目前我們的時尚業務運作良好。我們的新娘單位正在積極運作。因此，有多種結果組合可以提供指南的高端，但其中一種組合的高端是新娘裝單位數加上 5%。

And, sorry, right. And then what do you need to do in the fourth quarter to get to that plus 5%?

抱歉，對的。那麼你需要在第四季做些什麼才能達到 5% 的增幅呢？

The fourth quarter is -- would be toward high single-digit, low double-digit in Bridal units to get to the high end of the guide. And importantly, the trajectory that we're on today shows that quarter-to-date in the third quarter is that we're running up units in Bridal. So it's a positive trend for us.

第四季度，新娘單位的數量將達到高個位數、低兩位數，以達到指南的高端。重要的是，我們今天的軌跡表明，第三季迄今為止，我們的新娘服裝銷售正在增加。所以這對我們來說是一個正面的趨勢。

Thank you, guys. Good luck.

謝謝你們。祝你好運。

Thank you.

謝謝。

Lorraine Hutchinson, Bank of America.

美國銀行的洛林‧哈欽森 (Lorraine Hutchinson)。

Thank you. Good morning. Has the volatility in Lab-Created-Diamond prices changed your customers' perception of that as an option? I'd just be curious to hear the feedback you're hearing from customers and if it's different between Bridal and Fashion?

謝謝。早安.實驗室製造鑽石價格的波動是否改變了您的客戶對此選擇的看法？我只是好奇想聽聽您從顧客那裡聽到的回饋，以及新娘和時尚之間是否有何不同？

Lorraine, thanks for the question. So I think the interesting thing is we tend to think of lab-created as a new phenomenon, but it's been broadly available in jewelry since 2019. So the story of Lab Diamond pricing dropping has been a consistent story over that time period.

洛林，謝謝你的提問。所以我認為有趣的是，我們傾向於認為實驗室製造是一種新現象，但自 2019 年以來它已廣泛應用於珠寶。因此，Lab Diamond 價格下降的故事在那段時間內一直存在。

And what we're seeing is that consumers are understanding that. They're seeing that with lab created, they have a point-in-time opportunity to trade-up to potentially a larger diamond but that -- I don't believe they have the expectation that it will hold its value necessarily over time in the same way that natural diamonds traditionally have.

我們看到消費者已經理解了這一點。他們看到，有了實驗室製造的鑽石，他們就有機會在某個時間點換取更大的鑽石，但我不認為他們期望它一定會像傳統的天然鑽石一樣隨著時間的推移保持其價值。

So I think we're seeing a more educated consumer over time about the difference. And I do think that it is somewhat different, at least that's what our research would indicate and our jewelry consultants is that it is somewhat different in Engagement and Fashion.

所以我認為，隨著時間的推移，我們會看到消費者對差異的認識更加深刻。我確實認為它有些不同，至少我們的研究表明是這樣，我們的珠寶顧問也認為在訂婚和時尚方面它有些不同。

So Fashion LCD offers the chance really to add bling to pieces where it would have been too expensive to do that, previously. So we see continued opportunity to trade-up to higher ATVs in Fashion using LCD.

因此，Fashion LCD 確實為物品增添了光彩，而先前這樣做的成本過於昂貴。因此，我們看到使用 LCD 的時尚型 ATV 仍有升級機會。

Thank you.

謝謝。

Jim Sanderson, Northcoast Research.

吉姆·桑德森（Jim Sanderson），Northcoast Research。

Just wanted to talk a little bit more about marketing spending. I think you mentioned that you might see an acceleration in the current quarter in anticipation of holidays. But can you step back and give us an idea of how you expect this dollar budget to grow over time? Is that -- are you starting to lean into marketing as an investment to drive stronger foot traffic? Is that something that could be a near-term pressure point on operating income, just how we should look at that line item?

只是想多談一點有關行銷支出的事情。我記得您提到過，由於假期臨近，本季可能會加速成長。但是您能否退一步來說，告訴我們您預計這個美元預算會隨著時間的推移如何成長？是的——您是否開始傾向於將行銷作為一項投資來吸引更多的客流量？這是否會成為近期營業收入的壓力點，我們該如何看待這個項目？

Sure. Jim, we see marketing as a real area of competitive advantage for our company. We are far and away the biggest spender in the jewelry category across all of our different banners. And so we, as a result of that, create great partnerships with all of our partners, whether that's Google or Meta or our agencies who are working to bring us data that we can use our loyalty data to match with and create more personalized marketing. So we've been leaning into investments in marketing.

當然。吉姆，我們認為行銷是我們公司真正的競爭優勢領域。在我們所有的不同品牌中，我們是珠寶類別中花費最多的企業。因此，我們與所有合作夥伴建立了良好的合作夥伴關係，無論是谷歌、Meta 還是我們的代理機構，他們都致力於為我們提供數據，我們可以使用忠誠度數據進行匹配，從而創造更加個性化的營銷。因此我們一直傾向於對行銷進行投資。

I think, gosh, since our transformation began because we've continued to see a great opportunity to drive more traffic to our winning brands. And as we've spent more time differentiating what each of these banners or brand stands for, it just makes more and more sense. I think it might have been a couple of calls ago, I talked about the fact that while as of the end of last year, we're 9% share of the jewelry category. We now have positioned our banners to appeal to 80% of jewelry customers.

我想，天哪，自從我們的轉型開始以來，我們一直看到為我們的獲勝品牌帶來更多流量的絕佳機會。而且，隨著我們花更多時間來區分每個橫幅或品牌所代表的含義，它變得越來越有意義。我想可能是在幾次電話會議之前，我談到了這樣一個事實：截至去年年底，我們在珠寶類別中的份額為 9%。現在，我們已經將橫幅定位到能夠吸引 80% 的珠寶顧客的位置。

So we see that as a lot of headwind or headroom, I'm sorry, to really communicate what our value proposition is and how it's different to our customers. So I think the big picture answer to your question is, yes, we've been leaning into differentiating our banners and investing in both marketing capability and media dollars behind of that over time to really drive those brand equities and to drive traffic into our stores and online.

因此，我們認為這存在著很大的阻力或空間，很抱歉，我們需要真正傳達出我們的價值主張是什麼，以及它對我們的客戶有何不同。因此，我認為對你的問題總體的回答是，是的，我們一直傾向於區分我們的橫幅廣告，並隨著時間的推移在營銷能力和媒體資金方面進行投資，以真正推動品牌資產並為我們的商店和在線帶來流量。

(inaudible) sorry, Jim, just to dimension the question regarding spend dollars. We do expect dollars to be up for the year. And as we've said in both the -- reported in both the second quarter and third quarter, we see that as a part of the SG&A deleverage that we would expect.

（聽不清楚）抱歉，吉姆，我只是想問一下有關花費美元的問題。我們確實預計今年美元匯率將會上漲。正如我們在第二季和第三季的報告中所說的那樣，我們認為這是我們預期的銷售、一般和行政費用去槓桿的一部分。

Understood. And then going forward, though, should we think of that line item is something that would grow in tandem with revenue growth? Or do you expect to see some investment to drive broader brand awareness over the next several years? So I think that's really what I'm getting at.

明白了。那麼，展望未來，我們是否應該認為該專案將與營收成長同步成長？或者您預計在未來幾年內會看到一些投資來提高品牌知名度？我認為這確實就是我要說的。

Yes. The investment, we would expect to continue investment, Jim, while driving efficiencies in our spend. And as we refined our algorithms and the work that we're doing within our personalized marketing and all of those capabilities that we're building, we would expect to build efficiencies in. But clearly, it is an investment for us to continue to drive business. And as Gina said, foot-traffic online, so to speak, and in-store.

是的。吉姆，我們希望繼續投資，同時提高我們的支出效率。隨著我們演算法的完善以及個人化行銷工作以及我們正在建立的所有這些功能的不斷改進，我們希望提高效率。但顯然，這對我們繼續推動業務發展來說是一項投資。正如吉娜所說，客流量包括網路和店內。

Understood. Just a quick follow-up on the Lab-Grown-Diamond category. Could you update us on what your lab-grown mix is to date? How that's changed?

明白了。只是對實驗室培育鑽石類別的快速跟進。您能否向我們介紹一下目前您在實驗室培育的混合物的情況？發生了什麼變化？

So the mix is growing in terms of lab-grown. It's -- I think total sales is up like mid single-digit penetration to get to roughly a mid-teens. And then when we think about it from a diamond alone, it's a bit higher, but growing similarly in terms of penetration.

因此，就實驗室培育而言，混合物正在增長。我認為總銷售額會上升到個位數的中間水平，滲透率會達到大約十五六個百分點。然後，當我們只從鑽石的角度來考慮時，它會稍微高一些，但滲透力方面的成長也是相似的。

Thank you very much.

非常感謝。

Thank you.

謝謝。

Mauricio Serna, UBS.

Mauricio Serna 的瑞銀。

Just maybe could you talk a little bit more about -- just thinking about the guidance for the -- implied guidance for fourth quarter. If I want to get to like the low end of the range, I think I'm seeing like a high single-digit decline in total revenues for the third quarter, what would that scenario be? I guess, just you guys are trying to be conservative, but I just want to understand like what are the puts and takes for that particular scenario? And then I have another quick follow-up on margins.

也許您能否再多談一點關於第四季的隱含指引的想法。如果我想要達到這個範圍的低端，我認為我看到第三季的總收入會出現高個位數的下降，那會是什麼樣的情況？我想，你們只是想保持保守，但我只是想了解在這種特定情況下，利弊是什麼？然後我會再快速跟進一下利潤問題。

Yes. For the low end of guide, you're directing it to that direction, Mauricio, we assumed Engagement units on the low end could be down 5%, as we mentioned earlier. In Fashion could also be down low single digits. So as stay within our guidance range, we don't need to see the high -- we don't need to do better than the current trend that we're seeing.

是的。對於指南的低端，毛里西奧，您將其引導到那個方向，我們假設低端的參與單位可能會下降 5%，正如我們之前提到的。時尚領域的銷售額也可能出現個位數的下降。因此，為了保持在我們的指導範圍內，我們不需要看到高點——我們不需要做得比我們看到的當前趨勢更好。

So it's really -- we feel that what we're seeing in Q3 to date as well as the response to newness and the margin expansion we're seeing related to that, that we're squarely positioned with the guidance we have to be at the midpoint or better on revenue and towards the low- to middle-end of guidance on EBIT.

因此，我們確實認為，根據截至目前第三季的表現以及對新產品的反應和與此相關的利潤率擴張，我們的預期是，收入處於中間點或更高水平，息稅前利潤處於預期的中低端。

So really feel solid on the trajectory of the business and the flexibility that we factored into our guidance around promotion and the variability that we might see across the back half of the year. So the cost savings that we've outlined, we've increased to upto $200 million. That again also gives us flexibility in delivering on our margins.

因此，我們對業務的發展軌跡和靈活性感到非常有信心，這些靈活性已經融入我們的促銷指導中，並且考慮到了我們可能在下半年看到的變化。因此，我們列出的成本節約已增加到 2 億美元。這也為我們實現利潤提供了彈性。

Got it. And then just a quick follow-up on the fourth quarter on the margin side, actually, just doing the numbers again, like it does imply like a year-over-year expansion at operating margin, I think, over 300 basis points. Just trying to understand like where is that coming from? Is that like better gross margin acceleration, SG&A dollars are going to be down like high single-, low double-digits? Just trying to understand what is really contemplated into that really good fourth quarter?

知道了。然後只是對第四季度利潤率方面的快速跟進，實際上，只是再次計算數字，就像它暗示營業利潤率同比增長，我認為，超過 300 個基點。只是想了解它是從哪裡來的？這是否就像更好的毛利率加速一樣，銷售、一般和行政費用將下降到高個位數或低兩位數？只是想了解真正好的第四季到底考慮了什麼？

Yes. And what I would highlight for you is that we have deleveraged SG&A in both the second and third quarter. And as we are within positive comps that you'll see expansion come naturally from leveraging a fixed cost. We'll continue to drive Fashion as I've mentioned, and Services. And with the Engagement recovery, you can see a higher penetration of Services that will also help to expand margin in the quarter.

是的。我想向您強調的是，我們在第二季和第三季都降低了銷售、一般及行政費用的槓桿率。而且，由於我們處於積極的競爭環境中，您會看到擴張自然而然地透過利用固定成本而實現。正如我所提到的，我們將繼續推動時尚和服務。隨著參與度的恢復，您可以看到服務滲透率的提高，這也有助於擴大本季的利潤率。

So it's consistent leverage of our consistent drive on the tools that we have to leverage in newness services as well as the competitive pricing that we factored in as well as in the positive comp to help us offset or help us leverage on our fixed cost base. Those are the components.

因此，我們始終如一地利用新服務所需的工具、我們考慮的競爭性定價和積極的補償來幫助我們抵消或利用我們的固定成本基礎。這些就是組件。

Got it. And how much was the 53rd week from an SG&A dollar standpoint? Just to bear that in mind -- have that in mind?

知道了。從銷售、一般及行政費用角度來看，第 53 週的費用是多少？只是記住這一點——記住了這一點嗎？

We'll have to -- I don't have that off the top of my head. So we'll get back to you on that, Mauricio.

我們必須──我還不太清楚這一點。所以我們會就此事回覆您，毛里西奧。

Thank you so much. Yes.

太感謝了。是的。

Dana Telsey, Telsey Group.

達娜‧特爾西 (Dana Telsey)，特爾西集團 (Telsey Group)。

As you think about the margins on the Digital Banners, can you get -- and I think last quarter, you had some improvement of up to 300 basis points. How is that margin -- what are you seeing in terms of the Digital Banner margin now?

當您考慮數位橫幅的利潤率時，您可以得到——我認為上個季度，您的利潤率已經提高了 300 個基點。利潤率怎麼樣—您現在看到的數位橫幅利潤率是多少？

And also, it sounds like Services continues to be meaningful. Is that an increasing contribution to margins? And then just a follow-up on the real estate side, what did you see during the quarter in terms of performance of the physical real estate, whether it's location or banner?

而且，聽起來服務仍然很有意義。這對獲利的貢獻是否增加？然後是關於房地產方面的後續問題，您在本季度看到了實體房地產的表現如何，無論是地點還是橫幅？

So the Digital Banners improvement in terms of comp -- we've indicated in the past that it was down [2%], and we're seeing it move to having a negative impact of 1 point in the back half of the year. So a 600 basis point sequential improvement in top-line for the Digital Banners.

因此，就數位橫幅廣告的營收改善而言，我們過去曾指出，它下降了 [2%]，而且我們看到它在下半年產生了 1 個百分點的負面影響。因此，數位橫幅的營收連續提高了 600 個基點。

That's helping us to offset some of the fixed costs as well or leverage some of the fixed costs. So we're seeing bottom-line margin expansion, albeit, Dana, it's slight at this point. And so -- but we'll continue to drive efficiencies there as we drive the top-line.

這也幫助我們抵銷部分固定成本或利用部分固定成本。因此，我們看到底線利潤率正在擴大，儘管目前幅度很小。所以 — — 但我們會在提高營收的同時繼續提高效率。

The integration itself is as Gina mentioned in her remarks that we have the majority of API fixed and we keep -- we are adding new vendors. But importantly, with respect to the Digital Banners, we're also adding finished products and some Fashion products, which will continue to drive expansion in their gross margin as well.

整合本身就像 Gina 在她的評論中提到的那樣，我們已經修復了大部分 API，並且我們正在添加新的供應商。但重要的是，就數位橫幅而言，我們還增加了成品和一些時尚產品，這也將繼續推動其毛利率的擴大。

So it's an important, a strategic move that the Digital banner team has made, and it's been helpful, and we'll see more of that coming into the fourth quarter. With respect to real estate, we've -- e-commerce overall for the quarter was relatively flat, the banner by banner. We were really pleased to see that Zales has -- with the influx of Fashion product into that business. We're seeing that help drive the e-commerce performance for that banner. And as we look overall, we -- our stores are well positioned.

所以這是數位橫幅團隊做出的一項重要策略舉措，而且它很有幫助，我們將在第四季看到更多這樣的舉措。就房地產而言，本季電子商務整體表現相對平穩，各大公司的表現均有所提升。我們非常高興地看到 Zales 將時尚產品引入該行業。我們看到這有助於提高該橫幅的電子商務表現。從整體來看，我們的商店定位良好。

We're renovating in anticipation of improved traffic, and we believe based on the testing that we've done and the stores that we've already completed that we'll see a nice lift on the top line relative to that as we complete the balance of the stores heading into holiday.

我們正在進行翻新，以期改善客流量，我們相信，基於我們已經完成的測試和已完成的商店，隨著我們在假期前完成商店的平衡工作，我們將看到收入大幅提升。

Thank you.

謝謝。

There are no further questions at this time. I'd now like to turn the call back over to Ms. Drosos for final closing comments.

目前沒有其他問題。現在，我想將電話轉回給德羅索斯女士，請她發表最後的結束語。

Well, thank you, everyone. We called out a number of competitive advantages today, but I'd like to end the call highlighting the same one that I started with this morning, our experienced, knowledgeable and dedicated team. Their execution is key to the accelerating momentum we are delivering in the business. So thank you all for joining our call today, and we look forward to speaking to you all again in December.

好吧，謝謝大家。今天我們列舉了許多競爭優勢，但在結束本次電話會議時，我想強調的還是我今天早上提到的同一個優勢，那就是我們經驗豐富、知識淵博、敬業的團隊。他們的執行力是我們業務加速發展的關鍵。非常感謝大家今天參加我們的電話會議，我們期待在 12 月再次與大家交談。

Thank you, ma'am. Ladies and gentlemen, this concludes your conference call for today. We thank you for participating and ask that you please disconnect your lines. Have a lovely day.

謝謝您，女士。女士們、先生們，今天的電話會議到此結束。感謝您的參與，並請您斷開線路。祝您有個愉快的一天。