Simply Good Foods Co (SMPL) 2024 Q3 法說會逐字稿

Greetings and welcome to The Simply Good Foods Company Fiscal Third Quarter 2024 Conference Call. (Operator Instructions) As a reminder, this conference is being recorded.

您好，歡迎參加 Simply Good Foods Company 2024 年第三季財年電話會議。 （操作員指示）謹此提醒，本次會議正在錄製中。

I would now like to turn the conference over to your host, Mr. Mark Pogharian, Vice President of Investor Relations for The Simply Good Foods Company. Thank you, sir. You may begin.

現在我想將會議交給主持人 Mark Pogharian 先生，他是 The Simply Good Foods Company 投資者關係副總裁。謝謝你，先生。你可以開始了。

Thank you, operator. Good morning. I'm pleased to welcome you to The Simply Good Foods Company earnings call for the fiscal third quarter ended May 25, 2024. Geoff Tanner, President and CEO; and Shaun Mara, CFO, will provide you with an overview of results, which will then be followed by a Q&A session.

謝謝你，接線生。早安.我很高興歡迎您參加 The Simply Good Foods Company 截至 2024 年 5 月 25 日的第三財季財報電話會議。財務長 Shaun Mara 將為您提供結果概述，然後進行問答環節。

The company issued its earnings release this morning at approximately 07:00 AM Eastern Time. A copy of the release and accompanying presentation are available under the Investors section of the company's website at www.thesimplygoodfoodscompany.com. This call is being webcast and an archive of today's remarks will also be available.

該公司於今天上午東部時間上午 07 點左右發布了財報。新聞稿和隨附簡報的副本可在該公司網站 www.thesimplygoodfoodscompany.com 的投資者部分取得。這次電話會議正在網路直播，今天的演講檔案也將提供。

During the course of today's call, management will make forward-looking statements that are subject to various risks and uncertainties that may cause actual results to differ materially. The company undertakes no obligation to update these statements based on subsequent events. A detailed listing of such risks and uncertainties can be found in today's press release and the company's SEC filings.

在今天的電話會議期間，管理層將做出前瞻性聲明，這些聲明受到各種風險和不確定性的影響，可能導致實際結果出現重大差異。本公司不承擔根據後續事件更新這些聲明的義務。此類風險和不確定性的詳細清單可以在今天的新聞稿和公司向 SEC 提交的文件中找到。

Note that on today's call, we will refer to certain non-GAAP financial measures that we believe will provide useful information for investors. Due to the company's asset-light, strong cash flow business model, we evaluate our performance on an adjusted basis as it relates to EBITDA and diluted EPS. Please refer to today's press release for a reconciliation of the historical non-GAAP financial measures to the most comparable measures prepared in accordance with GAAP.

請注意，在今天的電話會議上，我們將提及某些非公認會計準則財務指標，我們相信這些指標將為投資者提供有用的信息。由於公司輕資產、現金流強勁的業務模式，我們在調整後的基礎上評估我們的業績，因為它與 EBITDA 和稀釋每股收益相關。請參閱今天的新聞稿，以了解歷史非公認會計原則財務指標與根據公認會計原則編制的最具可比較指標的調節表。

The company completed the acquisition of OWYN in the fourth quarter of fiscal '24. Therefore, results for the 13 and 39 weeks ended May 25, 2024, exclude OWYN. Additionally, the reference to the legacy Simply Good Foods during today's conference call encompasses The Simply Good Foods business, excluding OWYN.

該公司於2024財年第四季完成了對OWYN的收購。因此，截至 2024 年 5 月 25 日的第 13 週和第 39 週的結果不包括 OWYN。此外，今天的電話會議中提到的 Simply Good Foods 的遺產涵蓋了 Simply Good Foods 業務，不包括 OWYN。

I'll now turn the call over to Geoff Tanner, President and CEO.

現在我將把電話轉給總裁兼執行長 Geoff Tanner。

Thank you, Mark, and good morning. Thank you for joining us. Today, I will recap Simply Good Food's financial results and the performance of our brands. Then Shaun will discuss our financial results in more detail before we wrap it up with a discussion of our fiscal 2024 outlook and take your questions.

謝謝你，馬克，早安。感謝您加入我們。今天，我將回顧 Simply Good Food 的財務表現和我們品牌的表現。然後，肖恩將更詳細地討論我們的財務業績，然後我們將討論 2024 財年展望並回答大家的問題。

We're pleased with our fiscal third quarter financial results that were slightly better than our estimates. Simply Good Food's third quarter results were led by continued Quest growth as well as strong gross margin improvement. Retail takeaway in the combined measured and unmeasured channels was about 5% and as expected outpaced net sales growth of 3.1%.

我們對第三財季的財務表現感到滿意，該業績略優於我們的預期。 Simply Good Food 第三季的業績得益於 Quest 的持續成長以及毛利率的強勁改善。綜合衡量和未衡量通路的零售外送約為 5%，正如預期的那樣，超過了 3.1% 的淨銷售額成長。

Quest retail takeaway was driven by strong salty snacks growth and Atkins performance sequentially improved by month during the quarter. Additionally, e-commerce growth for both Quest and Atkins continued to be solid. More on this in a bit.

Quest 零售外送受到鹹味零食強勁增長和阿特金斯本季業績環比改善的推動。此外，Quest 和阿特金斯的電子商務成長持續強勁。稍後會詳細介紹這一點。

Q3 gross margin was 39.9%, a 320-basis-point increase versus the year ago period, primarily due to lower ingredient and packaging costs. Higher gross profit enabled investments in growth initiatives, while also resulting in an increase in Q3 adjusted EBITDA of 7.9% to $71.9 million. The OWYN acquisition closed earlier this month and the business is tracking to the acquisition model and full calendar year 2024 net sales we initially outlined.

第三季毛利率為 39.9%，比去年同期成長 320 個基點，主要是由於原料和包裝成本下降。更高的毛利促進了對成長計畫的投資，同時也導致第三季調整後 EBITDA 成長 7.9%，達到 7,190 萬美元。 OWYN 的收購已於本月初完成，該業務正在追蹤我們最初概述的收購模式和 2024 年全年淨銷售額。

I'm pleased to announce that Mark Olivieri, CEO of OWYN, has joined Simply Good Foods as the SVP and GM of OWYN, and is a member of our Executive Leadership team. Mark and I are excited to work together to unlock the value of our combined business and deliver shareholder value through both revenue growth, margin expansion, and cost synergies.

我很高興地宣布，OWYN 執行長 Mark Olivieri 已加入 Simply Good Foods，擔任 OWYN 的高級副總裁兼總經理，並且是我們執行領導團隊的成員。馬克和我很高興能夠共同努力，釋放我們合併後業務的價值，並透過收入成長、利潤率擴張和成本協同效應為股東創造價值。

We're very pleased with our execution in Q3. Quest acceleration and Atkins revitalization plans are on track and we reaffirm our full-year fiscal 2024 net sales outlook for the legacy business. Specifically, we expect net sales to increase around the midpoint of the company's long-term algorithm of 4% to 6%, including the benefit of a 53rd week.

我們對第三季的執行感到非常滿意。 Quest 加速和阿特金斯振興計劃正在按計劃進行，我們重申了對傳統業務的 2024 財年全年淨銷售前景。具體來說，我們預計淨銷售額將在公司長期演算法的中點附近成長 4% 至 6%，其中包括第 53 週的收益。

The OWYN acquisition closed on June 13, and we anticipate Q4 net sales to be in the $25 million to $30 million range. Total company adjusted EBITDA growth is expected to increase about 8% compared to last year and versus our previous estimate of 6% to 8%. Shaun will provide greater detail on our performance in the subsequent section.

OWYN 收購已於 6 月 13 日完成，我們預計第四季淨銷售額將在 2,500 萬美元至 3,000 萬美元之間。與去年相比，公司調整後 EBITDA 成長率預計將成長約 8%，而我們先前的預測為 6% 至 8%。肖恩將在接下來的部分中提供有關我們表現的更多詳細資訊。

The next slide provides you with a perspective of nutritional snacking category growth as well as our retail takeaway performance within the IRI MULO + C-store universe and in the combined measured and unmeasured channels. Nutritional snacking category growth in the measured channel universe was 6.4%, driven primarily by volume.

下一張投影片為您提供了營養零食品類成長的視角，以及我們在 IRI MULO + 便利商店領域以及可測量和不可測量組合通路中的零售外送業績。在所測通路範圍內，營養零食品類成長了 6.4%，這主要是由銷售量推動的。

This category continues to be a standout performer and is increasingly a focus of our retail partners as they look for growth opportunities. Legacy Simply Good Foods retail takeaway in measured channels increased 2.9%, driven by Quest volume growth. Atkins performance improved compared to last quarter but was still off versus last year.

這個類別仍然表現出色，並且越來越成為我們尋求成長機會的零售合作夥伴的焦點。在 Quest 銷售成長的推動下，Legacy Simply Good Foods 在可測通路的零售外賣量成長了 2.9%。阿特金斯的業績較上季有所改善，但仍低於去年。

Our e-commerce business continues to do well and resulted in legacy combined measured and unmeasured channel POS growth of 5%. Note that if we had acquired OWYN at the beginning of Q3, retail takeaway in measured channels in the combined measured and unmeasured universe would have been 6.4% and 8%, respectively.

我們的電子商務業務持續表現良好，導致傳統的測量和未測量通路 POS 成長了 5%。請注意，如果我們在第三季初收購 OWYN，則在已測量和未測量的組合中，已測量通路的零售收益將分別為 6.4% 和 8%。

Let me now turn to Quest. In Q3, retail takeaway in measured channels increased 13.5%, driven by volume. Growth was solid across key retail channels, driven by an increase in both household penetration and buy rate.

現在讓我談談 Quest。第三季度，在量的推動下，可測通路的零售外送成長了13.5%。在家庭滲透率和購買率提高的推動下，主要零售通路的成長穩健。

Quest retail takeaway improved sequentially from Q2 to Q3, with a key driver being the new Quest advertising campaign that began in March. We're pleased with the advertising that we believe will continue to drive higher household penetration and overall brand growth.

Quest 零售外送從第二季到第三季連續改善，關鍵驅動因素是 3 月開始的新 Quest 廣告活動。我們對廣告感到滿意，我們相信廣告將繼續推動更高的家庭滲透率和整體品牌成長。

In Q3, we estimate total unmeasured channel retail takeaway increased about 12% as e-commerce strength was partially offset by softness in specialty channels. Quest Q3 e-commerce POS was solid and increased about 16%.

第三季度，我們估計未衡量的通路零售外送總額增加了約 12%，因為電子商務的強勢被專業通路的疲軟部分抵消。 Quest Q3 電商 POS 表現穩健，成長約 16%。

For perspective, total unmeasured channels in Q3 were nearly 23% of total Quest retail sales. Quest bar and snacks retail takeaway in measured channels increased about 2% and 27%, respectively.

從長遠來看，第三季未衡量的通路總額佔 Quest 零售總額的近 23%。 Quest bar和零食零售外送在實測通路分別成長約2%和27%。

We're particularly pleased with our salty snacks POS growth of nearly 50%, which is a standout in the category and represents about 25% of Quest's measured channels retail sales. The new advertising debuted with a strong emphasis on Quest chips, which is where we have seen the largest increase in household penetration, as we witnessed the explosive growth of chips.

我們對鹹味零食 POS 成長近 50% 感到特別滿意，這在該類別中表現突出，約佔 Quest 測量通路零售額的 25%。新廣告一亮相就重點強調了Quest晶片，這是我們看到家庭滲透率增幅最大的地方，因為我們見證了晶片的爆炸性增長。

The size of the total addressable salty snacks market suggests significant and continued upside on this business. As a result, we are working on a multifaceted acceleration plan that includes growth levers such as flavors, pack types, and channel expansion. In Q3, bar segment growth within the nutritional snacking category slowed to about 1%.

鹹味零食市場總量的規模顯示該業務具有顯著且持續的成長空間。因此，我們正在製定多方面的加速計劃，其中包括口味、包裝類型和通路擴張等成長槓桿。第三季度，營養零食類別中的營養棒細分市場成長放緩至 1% 左右。

This was primarily due to better for you or bars that have significantly less protein, if any, that declined low-single-digits on a percentage basis versus last year. Sports performance bars, which primarily have higher levels of protein, increase mid-single digits, driven by the increased distribution of some new entrants into the measured channel universe.

這主要是因為對您來說更好，或者蛋白質含量顯著減少（如果有的話）的能量棒與去年相比，百分比下降了低個位數。由於一些新進業者進入測量渠道宇宙的分佈增加，主要含有較高水平蛋白質的運動表現棒增加了中個位數。

Quest bar growth is in line with the total bar segment, but it's not what we expect from the leading protein bar brand in the market. In response, we have accelerated our bar innovation and we're very excited about these innovative products that are tracking to launch in the second half of fiscal 2025 and beyond.

Quest 能量棒的成長與整個能量棒細分市場一致，但這並不是我們對市場領先蛋白質棒品牌的預期。作為回應，我們加快了巧克力棒的創新，我們對這些創新產品感到非常興奮，這些產品預計將在 2025 財年下半年及以後推出。

Over the remainder of the year, we expect low-double-digit POS growth and continued household penetration and buy rate gains, driven by innovation, distribution, and the new marketing campaign.

在今年剩下的時間裡，我們預計在創新、分銷和新行銷活動的推動下，POS 將實現低兩位數的成長，家庭滲透率和購買率將持續成長。

Quest has been one of the most innovative brands in the category, supported by a world-class R&D team, the multi-year pipeline is strong, and we expect innovation to be a lever of growth for a long time. March new product launches such as Strawberry Frosted Cookies and Iced Coffee are progressing nicely and are in line with our estimates.

Quest 一直是該類別中最具創新性的品牌之一，擁有世界一流的研發團隊的支持，多年的產品線強大，我們預計創新將成為長期成長的槓桿。草莓磨砂餅乾和冰咖啡等 3 月新產品的推出進展順利，符合我們的預期。

As we mentioned last quarter, I'm very excited for the upcoming bake shop platform, starting with high-protein muffins and brownies that launch in the fall 2024. Based on conversations with retail customers, we expect very strong support for the bake shop launch, that will also be underpinned by a comprehensive marketing plan as part of the, It's Basically Cheating advertising campaign.

正如我們上季度提到的，我對即將推出的烘焙店平台感到非常興奮，首先是2024 年秋季推出的高蛋白鬆餅和布朗尼蛋糕。得到非常強有力的支持，這也將得到全面的行銷計劃的支持，作為「這基本上是作弊」廣告活動的一部分。

Turning to Atkins Q3, retail takeaway in the IRI MULO + C-store universe and the combined measured and unmeasured channels were off 9% and 5%, respectively. Strong e-commerce growth continued, driven by Amazon, whose POS growth was 16%.

就阿特金斯第三季而言，IRI MULO + 便利商店領域的零售外賣以及綜合測量和未測量管道分別下降了 9% 和 5%。在亞馬遜的推動下，電子商務持續強勁成長，其 POS 成長率為 16%。

In Q3, the competitive in-store merchandising and programming comp was more normalized versus Q2, and as you'll note in the chart on the slide, Atkins POS trends sequentially improved during the quarter.

在第三季度，與第二季度相比，具有競爭力的店內銷售和編程競爭更加規範化，正如您在幻燈片圖表中註意到的那樣，阿特金斯 POS 趨勢在本季度連續改善。

The Atkins revitalization plan is progressing as scheduled. Some elements of the plan are in the market now, and we expect all elements to be in the market in the second half of fiscal year 2025.

阿特金斯振興計劃正在按計劃進行。該計劃的部分內容現已投放市場，我們預計所有內容將在 2025 財年下半年投放市場。

While early the innovation we accelerated to market is performing well and is in line with our estimates. We're also pleased with the amount and quality of innovation we're bringing to market in the coming months, some of which you'll see in the middle of the slide.

雖然我們加速推向市場的早期創新表現良好，並且符合我們的預期。我們也對未來幾個月推向市場的創新數量和品質感到滿意，其中一些創新您將在幻燈片中間看到。

While fall shelf set discussions continue, our fiscal 2025 innovation pipeline has helped us greatly during our discussions with retailers. Most retailers will be replacing non-performing items with these new products.

雖然秋季貨架設置的討論仍在繼續，但我們在與零售商的討論過程中，2025 財年的創新管道為我們提供了很大幫助。大多數零售商將用這些新產品替換不良商品。

As a result, we believe we'll maintain distribution at most brick-and-mortar retailers, with the exception of the club channel. Now, it's not uncommon for club customers to wait and decide on innovation after they analyze performance in other retail channels.

因此，我們相信我們將維持在大多數實體零售商的分銷（俱樂部通路除外）。現在，俱樂部客戶在分析其他零售通路的績效後等待並決定創新的情況並不罕見。

The second major revitalization pillar is new advertising. Over the past year, the relevance and cultural conversation around weight has changed and significantly increased in volume, much of it driven by the new weight loss drugs.

第二個主要的振興支柱是新廣告。在過去的一年裡，圍繞體重的相關性和文化對話發生了變化，並且數量顯著增加，其中大部分是由新的減肥藥物推動的。

In response to the shift, earlier this month, we shot new advertising that will be on air in late summer. The revised advertising refocuses on weight management, more strongly communicates the benefit of the brand's unique macronutrient profile and emphasizes Atkins as a sustainable and diet-free way to weight management.

為了應對這一轉變，本月早些時候，我們拍攝了將於夏末播出的新廣告。修改後的廣告重新聚焦於體重管理，更強烈地傳達了該品牌獨特的常量營養素的優勢，並強調阿特金斯是一種可持續且無需節食的體重管理方式。

We believe this messaging links better to the evolving consumer views and conversation on weight wellness. While still early, overall, we feel like we're tracking towards stabilizing the business and we're somewhat encouraged by the consumption trends that have slightly improved each month this past quarter.

我們相信這些資訊能夠更好地與不斷變化的消費者觀點和有關體重健康的對話聯繫起來。總體而言，雖然還處於早期階段，但我們感覺我們正在朝著穩定業務的方向前進，並且上個季度每個月的消費趨勢都略有改善，這讓我們感到有些鼓舞。

Given the strong execution of the revitalization plan, and as we look to fiscal 2025, we're now in a position to move to the next phase of the Atkins journey. Specifically, we'll focus on Atkins ROI and optimizing our investment levels on the brand as part of ensuring Atkins is a long-term, sustainable and profitable business. Historically, we've always done this evaluation.

鑑於振興計畫的有力執行，以及我們展望 2025 財年，我們現在已準備好進入阿特金斯之旅的下一階段。具體來說，我們將重點關注阿特金斯的投資回報率並優化我們對該品牌的投資水平，以確保阿特金斯成為長期、可持續和盈利的企業。從歷史上看，我們一直在進行這種評估。

However, the COVID slowdown and the innovation outage that followed resulted in some low ROI investments to support short-term performance and preserve shelf space. As we look to fiscal 2025 and beyond, we'll work to eliminate trade and marketing investments that don't meet specific ROI hurdles.

然而，新冠疫情放緩以及隨之而來的創新中斷導致一些投資回報率較低，無法支持短期業績並保留貨架空間。展望 2025 財年及以後，我們將努力消除不符合特定投資報酬率障礙的貿易和行銷投資。

This will have a short-term impact on sales growth, but it's necessary to build Atkins back to a sustainable brand for the long-term. To conclude, I'm very pleased with how the team is executing. We're confident we have the right plans in place to bring Atkins back to growth. However, as we have previously stated, it will take some time to get there.

這將對銷售成長產生短期影響，但有必要將阿特金斯打造為長期可持續發展的品牌。總而言之，我對團隊的執行方式非常滿意。我們相信我們已經制定了正確的計劃來使阿特金斯恢復成長。然而，正如我們之前所說，實現這一目標還需要一些時間。

Turning to OWYN, the acquisition closed on June 13. This is a strategically and financially compelling acquisition of a fast-growing, on-trend protein shake in our aisle. OWYN increases our exposure in the shake segment by about 400 basis points to 23% of our total sales.

轉向 OWYN，此次收購於 6 月 13 日完成。 OWYN 將我們在奶昔細分市場中的份額增加了約 400 個基點，達到我們總銷售額的 23%。

Importantly, OWYN's growth is outpacing the category, and we expect the brand to benefit from continued distribution and velocity gains given our go-to-market scale, capabilities, and category adviser relationships with almost all top retailers. OWYN reaches a new consumer segment for Simply Good, namely consumers thinking plant-based, allergy-free, simple ingredient options.

重要的是，OWYN 的成長速度超過了同類產品，考慮到我們的市場規模、能力以及與幾乎所有頂級零售商的品類顧問關係，我們預計該品牌將從持續的分銷和速度提升中受益。 OWYN 為 Simply Good 開拓了一個新的消費群體，即考慮植物性、無過敏、簡單成分選擇的消費者。

However, as we have discussed, what's equally exciting is that OWYN is increasingly crossing over to appeal to mainstream consumers. In the sense, OWYN further strengthens our leadership position with retailers as we jointly work with them to accelerate category growth.

然而，正如我們所討論的，同樣令人興奮的是 OWYN 越來越多地透過跨界來吸引主流消費者。從某種意義上說，OWYN 透過與零售商共同加速品類成長，進一步鞏固了我們在零售商中的領導地位。

We remain confident in our ability to effectively integrate OWYN into our business and deliver on the acquisition model commitments. To align with our fiscal year-end 2025, we will achieve the majority of the synergies on the onset or first day of fiscal 2026.

我們對有效地將 OWYN 融入我們的業務並兌現收購模式承諾的能力充滿信心。為了與 2025 財年結束保持一致，我們將在 2026 財年開始或第一天實現大部分綜效。

To summarize Simply Good Foods is uniquely positioned as the $1.4 billion net sales leader in the nutritional snacking category with a diversified portfolio across brands and product forms. The relevance of the category and demand for our products only continues to increase, as more and more consumers turn away from high-carb, high-sugar foods, seeking high protein, low-sugar, low-carb options.

總而言之，Simply Good Foods 擁有獨特的定位，是營養零食類別中 14 億美元淨銷售額的領先者，擁有跨品牌和產品形式的多元化產品組合。隨著越來越多的消費者放棄高碳水化合物、高糖食品，尋求高蛋白、低糖、低碳水化合物的選擇，該類別和對我們產品的需求的相關性只會繼續增加。

We believe our category and our brands represent the future of food and beverage and we have three uniquely positioned brands that are aligned around these consumer megatrends. Consumers trust our brands to help them achieve their wellness goals. As such, we're focused on our innovation and marketing plans to provide consumers with products to help them in their journey.

我們相信我們的品類和品牌代表了食品和飲料的未來，我們有三個定位獨特的品牌，與這些消費者大趨勢保持一致。消費者相信我們的品牌可以幫助他們實現健康目標。因此，我們專注於我們的創新和行銷計劃，為消費者提供產品來幫助他們的旅程。

I'm thankful every day for our talented employees. Our team is excited and passionate about our brands and helping consumers achieve their goals. We will continue to execute our strategic priorities that should enable us to deliver on our long-term growth objectives that ultimately drive increased shareholder value.

我每天都感謝我們才華橫溢的員工。我們的團隊對我們的品牌和幫助消費者實現他們的目標感到興奮和熱情。我們將繼續執行我們的策略重點，這將使我們能夠實現長期成長目標，最終提高股東價值。

Now I'll turn the call over to Shaun who will provide you with some greater financial details.

現在我將把電話轉給肖恩，他將為您提供一些更詳細的財務詳細資訊。

Thank you, Geoff. Good morning, everyone. Total Simply Good Foods' third quarter net sales of $334.8 million increased $10 million or 3.1% versus the year ago period and was driven by Quest volume growth. North American net sales increased 3.2% and international net sales declined 2.4% versus the year ago period.

謝謝你，傑夫。大家，早安。 Total Simply Good Foods 第三季淨銷售額為 3.348 億美元，與去年同期相比增加了 1,000 萬美元，即 3.1%，這主要受到 Quest 銷售成長的推動。與去年同期相比，北美淨銷售額成長 3.2%，國際淨銷售額下降 2.4%。

As Geoff stated earlier, retail takeaway of 5% in combined measured and unmeasured channels was greater than the net sales growth. This was largely due to incremental trade investments supporting Atkins.

正如 Geoff 之前所說，已測量和未測量通路綜合零售額的 5% 高於淨銷售額成長。這主要是由於支持阿特金斯的增量貿易投資。

Moving on to other P&L items for the quarter, gross profit was $133.6 million, an increase of $14.4 million from the year ago period, resulting in gross margin of 39.9%. The 320-basis-point increase versus the year ago period was primarily due to lower ingredient and packaging costs as well as reduced freight costs.

看看本季的其他損益項目，毛利為 1.336 億美元，比去年同期增加 1,440 萬美元，毛利率為 39.9%。與去年同期相比增加了 320 個基點，主要是由於原料和包裝成本以及貨運成本的降低。

Including OWYN, we expect total company Q4 gross margin to be around 38%, excluding the typical non-cash inventory step-up related to the acquisition. Adjusted EBITDA was $71.9 million, an increase of $5.2 million from the year ago period. Selling and marketing expenses were $36.5 million versus $30.2 million, largely due to higher marketing investments and growth initiatives.

包括 OWYN 在內，我們預計公司第四季總毛利率約為 38%，不包括與收購相關的典型非現金庫存增量。調整後 EBITDA 為 7,190 萬美元，比去年同期增加 520 萬美元。銷售和行銷費用為 3,650 萬美元，對比 3,020 萬美元，主要是由於行銷投資和成長計畫的增加。

GAAP G&A expenses were $31.5 million, an increase of $1 million versus the year ago period. The increase was primarily due to higher employer-related costs, stock-based compensation, and corporate expenses, excluding stock-based compensation, as well as fees associated with last year's term loan amendment and executive transition costs, Q3 G&A increased $3 million to $26.5 million, driven by higher employer-related costs.

GAAP G&A 費用為 3,150 萬美元，比去年同期增加 100 萬美元。這一增長主要是由於雇主相關成本、股票薪酬和公司費用增加（不包括股票薪酬）以及與去年定期貸款修改和高管過渡成本相關的費用，第三季度一般管理費用增加了300 萬美元，達到26.5 美元百萬，由雇主相關成本上升推動。

Finally, net interest income and interest expense was $4.1 million, a decline of $3.1 million versus Q3 last year. The decline was due to lower debt balances versus the year ago period. Our Q3 effective tax rate was 24.5%, about the same as the year ago period. We continue to anticipate our full year fiscal 2024 effective tax rate to be around 25%. As a result, net income was $41.3 million versus $35.4 million last year.

最後，淨利息收入和利息支出為 410 萬美元，比去年第三季減少 310 萬美元。下降的原因是債務餘額較上年同期減少。我們第三季的有效稅率為 24.5%，與去年同期大致相同。我們繼續預期 2024 財年全年有效稅率約為 25%。結果，淨利潤為 4,130 萬美元，而去年為 3,540 萬美元。

Moving on to year-to-date results, net sales of $955.6 million increased nearly 4% compared to last year. Gross profit was $365.6 million, resulting in gross margin of 38.3%, a 220 basis point increase versus the year-ago period. We're pleased with our gross margin progress in fiscal 2024.

來看今年迄今的業績，淨銷售額為 9.556 億美元，與去年相比成長了近 4%。毛利為 3.656 億美元，毛利率為 38.3%，較去年同期成長 220 個基點。我們對 2024 財年毛利率的進展感到滿意。

However, we anticipate that input cost inflation will be a headwind and most likely will result in gross margin compression in fiscal 2025, particularly in the second half. Adjusted EBITDA was $191.7 million, an increase of 7.5% from the year ago period. Net interest income and interest expense was $13.8 million, a decline of $8.7 million versus last year. The year-to-date tax rate was 24.2%.

然而，我們預期投入成本通膨將是一個阻力，很可能會導致 2025 財年毛利率壓縮，特別是在下半年。調整後 EBITDA 為 1.917 億美元，較去年同期成長 7.5%。淨利息收入和利息支出為 1,380 萬美元，比去年減少 870 萬美元。年初至今稅率為24.2%。

As a result, net income was $110 million versus $96.9 million last year. The next slide provides you with a reconciliation of reported and adjusted diluted EPS. Third quarter reported EPS was $0.41 per share diluted compared to $0.35 per share diluted for the comparable period in 2023.

結果，淨利潤為 1.1 億美元，而去年為 9,690 萬美元。下一張投影片為您提供了報告和調整後的稀釋每股盈餘的調節表。第三季攤薄後每股收益為 0.41 美元，而 2023 年同期攤薄後每股收益為 0.35 美元。

Adjusted diluted EPS was $0.50 compared to $0.44 in the year ago period. Note that we calculated adjusted diluted EPS as adjusted EBITDA less interest income, interest expense, and income taxes. Please refer to today's press release for an explanation and reconciliation of non-GAAP financial measures.

調整後攤薄每股收益為 0.50 美元，去年同期為 0.44 美元。請注意，我們計算調整後稀釋每股盈餘為調整後 EBITDA 減去利息收入、利息支出和所得稅。請參閱今天的新聞稿，以了解非公認會計原則財務指標的解釋和調節。

Moving to the balance sheet and cash flow, as of May 25, 2024, the company had cash of $208.7 million. Year-to-date cash flow from operations was $167 million, an increase of about 50% or $56 million, principally due to adjusted EBITDA growth and improvements in working capital. Term loan debt at the end of the third quarter was $240 million. Subsequent to the Q3 quarter end on June 13, we completed the OWYN acquisition.

轉向資產負債表和現金流，截至 2024 年 5 月 25 日，該公司擁有現金 2.087 億美元。年初至今，營運現金流為 1.67 億美元，成長約 50%，即 5,600 萬美元，主要是由於調整後的 EBITDA 成長和營運資本的改善。第三季末的定期貸款債務為 2.4 億美元。 6 月 13 日第三季結束後，我們完成了對 OWYN 的收購。

The cash purchase price of $280 million was funded through a combination of cash on our balance sheet and incremental borrowings under our outstanding credit facility of $250 million. The company expects to pay down a portion of the $490 million in total term loan debt during the balance of fiscal 2024 and is targeting a net debt to adjusted EBITDA ratio of around 1.25 times by fiscal year-end August 2024.

2.8 億美元的現金購買價格是透過我們資產負債表上的現金和 2.5 億美元未償信貸額度下的增量借款來提供資金的。該公司預計將在 2024 財年餘額期間償還 4.9 億美元定期貸款債務總額中的一部分，並目標是到 2024 年 8 月財年結束時淨債務與調整後 EBITDA 的比率約為 1.25 倍。

Capital expenditures in Q3 and year-to-date were $0.7 million and $1.8 million, respectively. In fiscal 2024, we continue to expect CapEx to be in the $8 million to $10 million range. In fiscal 2024 we anticipate net interest expense to be around $22 million to $24 million, including non-cash amortization related to the deferred financing fees.

第三季和年初至今的資本支出分別為 70 萬美元和 180 萬美元。 2024 財年，我們繼續預期資本支出將在 800 萬至 1,000 萬美元範圍內。 2024 財年，我們預計淨利息支出約為 2,200 萬至 2,400 萬美元，包括與遞延融資費用相關的非現金攤提。

Now to wrap up, as Geoff stated earlier, we're on track and feel good about the remainder of the year. We reaffirm our full-year fiscal 2024 net sales outlook for the legacy business. Specifically, we expect net sales to increase around the midpoint of the company's long-term algorithm of 4% to 6%, including the benefit of the 53rd week.

現在總結一下，正如傑夫之前所說，我們正在步入正軌，並且對今年剩餘時間感覺良好。我們重申對傳統業務的 2024 財年全年淨銷售前景。具體來說，我們預期淨銷售額將在公司長期演算法的中點附近成長4%至6%，其中包括第53週的收益。

OWYN's 11-week contribution to Q4 net sales is expected to be in the $25 million to $30 million range. We continue to expect that ingredient and packaging costs will be lower in Q4 versus last year. As I stated earlier, including OWYN, we expect total company Q4 gross margin to be around 38% excluding the non-cash inventory step-up related to the acquisition. In Q4, OWYN adjusted EBITDA contribution is negligible.

OWYN 對第四季淨銷售額的 11 週貢獻預計將在 2,500 萬美元至 3,000 萬美元之間。我們仍預期第四季的原料和包裝成本將低於去年。正如我之前所說，包括 OWYN 在內，我們預計公司第四季總毛利率約為 38%，不包括與收購相關的非現金庫存增加。第四季度，OWYN 調整後的 EBITDA 貢獻可忽略不計。

Given our solid year-to-date performance, we have narrowed our total Simply Good Foods adjusted EBITDA outlook. Specifically, we now expect adjusted EBITDA to increase about 8% compared to last year and versus our previous estimate of 6% to 8%.

鑑於我們今年迄今的穩健表現，我們縮小了 Simply Good Foods 調整後 EBITDA 的整體預期。具體來說，我們現在預計調整後的 EBITDA 將比去年增長約 8%，而我們先前的預測為 6% 至 8%。

We appreciate everybody's interest in our company and we're now available to take your questions.

我們感謝大家對我們公司的興趣，我們現在可以回答您的問題。

(Operator Instructions) Matt Smith, Stifel.

（操作員說明）Matt Smith，Stifel。

The category growth profile remains a standout for food at home and you've talked about a successful shelf reset for Atkins. So a couple of questions here. Can you provide more detail on why you're lowering investment spend behind the brand, despite the strong category and scale Atkins has? And how are you thinking about the growth potential of Atkins next year, given the lower investment spend?

品類成長概況仍然是家庭食品中的佼佼者，您也談到了阿特金斯的成功貨架重置。這裡有幾個問題。儘管阿特金斯擁有強大的品類和規模，您能否提供更多細節，說明為什麼您要降低品牌背後的投資支出？鑑於投資支出較低，您如何看待阿特金斯明年的成長潛力？

Yeah, good morning. Yeah, no, you're right. The nutritional snacking category continues to be a standout, especially versus the rest of the store, most recent trends, plus six, plus seven, and almost all of that volume, obviously, fueled by more and more consumers seeking the macro profile that our products offer. High protein, low sugar, low carb. And obviously, we're seeing an increase in demand for beverage and hydration. And we continue to believe the category has a long runway for growth. And as leaders, category captains at most retailers, we believe we're uniquely positioned to continue to lead that growth.

是的，早安。是的，不，你是對的。營養零食類別仍然脫穎而出，尤其是與商店的其他產品相比，最近的趨勢，加上六，加上七，幾乎所有的銷量，顯然是由越來越多的消費者尋求我們產品的宏觀形象所推動的提供。高蛋白、低糖、低碳水化合物。顯然，我們看到對飲料和水的需求正在增加。我們仍然相信該類別有很長的成長空間。作為大多數零售商的領導者和品類領導者，我們相信我們具有獨特的優勢，可以繼續引領這一成長。

To your question on investment, and particularly on Atkins, we look at across the portfolio, Matt, Quest as a scaled growth driver, we now have OWYN in the mix. So a component of the decision on Atkins is taking a step back and evaluating investment through a portfolio lens.

對於您關於投資的問題，特別是關於阿特金斯的問題，我們將整個投資組合、Matt、Quest 視為規模增長的驅動力，現在我們將 OWYN 納入其中。因此，選擇阿特金斯的決定的一個組成部分是退後一步，透過投資組合的角度評估投資。

As we dive deeper into Atkins, it's clear that to some extent we've overinvested in marketing and trade as a percentage of sales. And we've looked with more of an ROI lens and identified some low-performing ROI trade events, low-performing marketing events, and as we work to build Atkins to be a long-term sustainable business, we believe that we have an opportunity to take a harder look at some of these investments. And again, as we think about investing across the portfolio, what is the best use of our investment, as we think now across three brands.

當我們深入研究阿特金斯時，很明顯，在某種程度上，我們在行銷和貿易方面的投資佔銷售額的百分比過高。我們更加重視投資回報率，並發現了一些投資回報率低的貿易活動、行銷活動，當我們努力將阿特金斯打造成長期可持續發展的企業時，我們相信我們有機會更仔細地審視其中一些投資。再次，當我們考慮對整個投資組合進行投資時，我們現在對三個品牌的投資的最佳用途是什麼。

Now with that being said, we still believe in Atkins, still very confident in the future growth of that business, especially given the increased focus on weight management. We're fully committed to the revitalization plan. As we've noted before, it will take some time. But as we said on the scripted remarks, we do expect a one-time impact from just taking a harder look at some of those lower ROI events and investments in marketing and trades.

話雖如此，我們仍然相信阿特金斯，對該業務的未來成長仍然充滿信心，特別是考慮到人們越來越關注體重管理。我們完全致力於振興計劃。正如我們之前指出的，這需要一些時間。但正如我們在腳本化評論中所說的那樣，我們確實希望透過更仔細地審視一些投資回報率較低的事件以及行銷和交易投資來產生一次性影響。

Thanks, Geoff. And Shaun you called out some gross margin pressure in fiscal '25 due to inflation. Is that for the legacy business or are you including the headwind from the mix of OWYN acquisition? And how are you thinking about the pricing dynamic in the category? We've seen some large brands announce incremental pricing. Do you expect overall category growth to benefit from pricing or do you expect that to be more targeted brand-by-brand?

謝謝，傑夫。 Shaun，您指出了 25 財年因通貨膨脹而產生的毛利率壓力。這是針對傳統業務還是您將 OWYN 收購帶來的不利因素納入考量？您如何看待該類別的定價動態？我們已經看到一些大品牌宣布增量定價。您預期整體品類的成長是否會受惠於定價，還是您預期定價會更有針對性？

A lot of questions there, Matt. Let's break them down a little bit. So as it relates to inflation next year there's going to be a little bit of impact on OWYN obviously, with the RTD business, it's going to be a lower margin business than the rest of the portfolio, and we're certainly not at a fully synergized level at this point in time. However, the bigger impact really is going to be the inflation we see on ingredients.

有很多問題，馬特。讓我們把它們分解一下。因此，由於它與明年的通貨膨脹有關，顯然會對 OWYN 產生一點影響，對於 RTD 業務，它將是利潤率低於投資組合其他業務的業務，而且我們當然還沒有完全了解此時的協同水平。然而，更大的影響實際上是我們在原料上看到的通貨膨脹。

And let me just, bear with me here, I'm going to step back a little bit because it's principally cocoa we call CLI or coatings, layers and inclusions. So if you go back in time at the end of February, when we did our Q2 results, we basically, at that point in time cocoa was spot prices about 6,000 a metric ton. First couple of weeks in March, we closed the books, updated our fiscal '24 outlook. Cocoa traded sideways but weren't too concerned because we're covered through fiscal '24.

請允許我在這裡，我要稍微退一步，因為它主要是可可，我們稱之為 CLI 或塗層、層和內含物。因此，如果你回到 2 月底，當我們公佈第二季度業績時，基本上，當時可可現貨價格約為每噸 6,000 美元。 3 月的前幾週，我們關閉了帳目，更新了 24 財年展望。可可橫盤交易，但並不太擔心，因為我們已經過了 24 財年了。

Over the next two weeks, I mean, when we got to the conference call on April 4, the spot prices were now nine and a half thousand metric ton, about a 60% increase in a month. So at that point in time, it's on our radar for '25. But we're trying to determine if the 60% price increase in one month is the new norm and what that means for '25.

我的意思是，在接下來的兩週內，當我們參加 4 月 4 日的電話會議時，現貨價格現在是九噸半，一個月內上漲了約 60%。因此，在那個時間點，它就出現在我們 25 年的雷達上。但我們正在嘗試確定一個月內 60% 的價格上漲是否是新常態，以及這對 25 年意味著什麼。

So we're remembering, if you take a step back, we don't procure cocoa directly. We basically have that like we do with like a whey or a casein. We work with our suppliers to procure that cocoa and turn it into what we call coatings, layers and inclusions, which we use in our products. It's not a major ingredient in and of itself, but coatings, layers and inclusions are about $125 million.

所以我們要記住，如果你退後一步，我們不會直接購買可可。我們基本上就像乳清或酪蛋白一樣。我們與供應商合作採購可可並將其轉化為我們在產品中使用的塗層、層和內含物。它本身並不是主要成分，但塗層、塗層和內含物的價值約為 1.25 億美元。

So I think if you've seen the news on cocoa and where it is right now, spot prices have lingered particularly higher over the last four plus months. Commentary from our ingredient suppliers changed that they're indicating that the pricing outlook for the second half of our fiscal '25, so beginning calendar year '25 is going to be significantly higher. We're typically covered about five to six months, so we have good visibility into the end of our calendar year or through the first half of '25 fiscal year.

因此，我認為，如果您看過有關可可的新聞及其目前的情況，您會發現現貨價格在過去四個多月裡一直徘徊在特別高的水平。我們的原料供應商的評論發生了變化，他們表示我們 25 財年下半年的定價前景，因此從 25 日曆年開始將顯著更高。我們的保險期限通常約為五到六個月，因此我們可以很好地了解日曆年末或 25 財年上半年的情況。

That said, I think inflation is going to be an issue potentially in the second half of the year. So the real impetus behind the push on where we think inflation is next year is really around the cocoa market. And we're going to look at all the levers we got to pull. We typically try to get productivity as an offset for that. We will continue to work on that, and we are working on that, but we will look at pricing and look at pricing as a lever to pull. We've done that obviously in the past and we'll continue to look at that.

也就是說，我認為通貨膨脹將成為今年下半年的潛在問題。因此，推動我們明年通膨水平的真正推動力實際上是可可市場。我們將研究我們必須拉動的所有槓桿。我們通常會嘗試提高生產力來彌補這一點。我們將繼續努力，我們正在努力，但我們將專注於定價並將定價視為拉動的槓桿。我們過去顯然已經這樣做了，我們將繼續關注這一點。

So I don't know if I got all your questions, Matt, but hopefully it gives you a flavor.

所以我不知道我是否得到了你所有的問題，馬特，但希望它能讓你有所了解。

You got it. Thanks, Shaun. I'll pass it on.

你說對了。謝謝，肖恩。我會把它傳遞下去。

Alexia Howard, AllianceBernstein.

亞歷克西婭·霍華德，聯博公司。

Just a couple of quick ones, actually sticking with the puts and takes for fiscal '25 for you, you've talked about the inflation. Are there other things on the radar? I know you're not going to give us guidance for this year, obviously, but just that the list of the high-level levers for next year that we should be thinking about as we pull together our models.

只是幾個簡單的問題，實際上是堅持 25 財年的看跌期權和看跌期權，您已經談到了通貨膨脹。雷達上還有其他東西嗎？顯然，我知道您不會為我們提供今年的指導，而只會為我們在整合模型時應該考慮的明年的高級槓桿清單。

Maybe I'll start, and I'll turn it over to Shaun. I'd say, reiterating on Matt's question, continues to be very bullish on the category, up 6% to 7% and sustaining that level, which is impressive. Quest continues to outperform double-digit consumption right now, and it's certainly seen by consumers and retailers as the disruptor in the category. We continue, we'll continue to fuel that business, Alexia, with advertising, which we debuted in March, which had almost an immediate impact on sales. So we'll continue to feel that.

也許我會開始，然後我會把它交給肖恩。我想說的是，重申馬特的問題，我仍然非常看好該類別，上漲 6% 至 7%，並維持這一水平，這令人印象深刻。 Quest 目前的表現持續超過兩位數的消費水平，消費者和零售商無疑將其視為該類別的顛覆者。我們繼續，我們將繼續透過廣告來推動 Alexia 業務，我們在三月推出了廣告，幾乎對銷售產生了即時的影響。所以我們會繼續感受到這一點。

We've got some exciting innovation coming on Quest, particularly the bake shop platform launch, which is high protein muffins and brownies. And we still see distribution opportunities. And I should probably circle chips in particular, almost as a phenomenon, really, given the growth we're seeing there, nearly run rating $300 million right now, and we see nothing, but upside given the total addressable market there. So I would say on Quest continue to be very bullish about the growth we can deliver there.

我們在 Quest 上推出了一些令人興奮的創新，特別是推出了烘焙店平台，推出高蛋白鬆餅和布朗尼蛋糕。我們仍然看到分銷機會。我可能應該特別圈出晶片，幾乎將其視為一種現象，真的，考慮到我們在那裡看到的增長，目前的評級接近3 億美元，而且我們看不到任何東西，但考慮到那裡的總可尋址市場，還有上升空間。因此，我想說 Quest 繼續非常看好我們可以在那裡實現的成長。

I've talked about Atkins, we remain confident in the long-term trajectory of that business, particularly given the increased conversation and cultural relevance around weight, driven by the weight loss drugs. We'll continue to fuel the revitalization plan and all the elements within. As I mentioned to Matt's question, we're just taking a harder look at some of those lower ROI investments and trade and marketing.

我已經談到了阿特金斯，我們對該業務的長期發展軌跡仍然充滿信心，特別是考慮到在減肥藥物的推動下，圍繞體重的對話和文化相關性不斷增加。我們將繼續推動振興計劃及其中的所有要素。正如我在回答馬特的問題時所提到的，我們只是更仔細地審視一些投資回報率較低的投資以及貿易和行銷。

And then, of course, we closed on OWYN a couple of weeks ago, and that shows tremendous momentum. So there's a lot to be very positive about. And then, as Shaun talked about previously, we have to probably deal with inflation, cocoa-driven inflation in the back half, in particular of our fiscal next year. So there's some puts and takes, a lot to be to feel very positive about. We do expect a short-term impact to Atkins as we remove that lower ROI investment. And of course, as Shaun said, we'll pull the levers we need to manage inflation.

當然，幾週前我們關閉了 OWYN，這顯示出巨大的勢頭。因此，有很多值得積極的事情。然後，正如肖恩之前談到的那樣，我們可能必須在下半年應對通貨膨脹，可可驅動的通貨膨脹，特別是明年的財政年度。因此，有一些調整和調整，很多事情都值得感到非常積極。我們確實預計，當我們取消投資報酬率較低的投資時，會對阿特金斯產生短期影響。當然，正如肖恩所說，我們將動用控制通膨所需的槓桿。

But Shaun, what would you add to that?

但是肖恩，你想補充什麼？

Yeah, I mean, I take a step back in terms of your modeling. I think we've had a long-term algorithm that we think is right for the business, 4% to 6% top-line growth, bottom line, a little better than that from a leverage standpoint. It's very early in our '25 planning process, so we're certainly not at a point to provide guidance, but as we look at where we are right now, I'd say the headwinds we talked about for Atkins will impact the top-line. The inflation issues we talked about will impact the bottom line. So we're probably organically more at the bottom end of that range for both top and bottom than we are for the top end.

是的，我的意思是，我在你的建模方面退一步。我認為我們已經有了一個適合業務的長期演算法，4% 到 6% 的頂線成長，底線，比從槓桿的角度來看要好一點。現在還處於我們 25 年規劃過程的早期階段，所以我們當然還不能提供指導，但當我們看看我們現在所處的位置時，我想說我們為阿特金斯討論的逆風將影響頂部 -線。我們談到的通膨問題將影響利潤。因此，我們可能在頂部和底部都處於該範圍的底部，而不是頂部。

That said, it's probably better than most of the food segment overall. The other thing I would say is, as you think about OWYN, which is not in the numbers I just gave you, top- and bottom-line growth for fiscal '25 versus '24 should be strong. Now, obviously, a part of that is it's a full year versus about 11 weeks, give or take, but that will add about the high-single-digit top-line growth and it will add about mid-single-digit bottom-line growth to the '24 numbers.

也就是說，它可能比整個食品領域的大多數產品都要好。我要說的另一件事是，正如您對 OWYN 的看法（這不在我剛剛給您的數據中），與 24 財年相比，25 財年的頂線和底線增長應該會很強勁。現在，顯然，其中一部分原因是，這是一整年，而不是大約 11 週，無論如何，但這將增加高個位數的頂線增長，並將增加大約中個位數的底線增長到' 24數字。

The only other point I'll make, Alexia, as you guys are working through your models, just keep in mind that fiscal '24 is a 53-week year. Fiscal '25 is a 52-week year. So that extra week is about a point and a half overall. So the numbers I gave you were all 52 to 52. So you got to take about a point and a half off of that because you're going to have a lapping impact from the year before. So I don't know if that answers your question, but that's directionally how I'd say we are right now.

Alexia，我要說的唯一另一點是，當你們正在研究模型時，請記住 24 財年是 53 週的一年。 25 財年有 52 週。因此，額外的一周總共大約是一個半點。所以我給你的數字都是 52 到 52。 所以你必須減少大約一個半，因為你會比前一年產生圈數影響。所以我不知道這是否回答了你的問題，但這就是我現在所說的方向。

Great. Thank you very much. I'll pass it on.

偉大的。非常感謝。我會把它傳遞下去。

John Baumgartner, Mizuho securities.

約翰·鮑姆加特納，瑞穗證券。

Just maybe first off, I wanted to ask about Atkins and the go-forward look for that business. You look at the distribution points in the Nielsen data, they continue to decline. In the last couple of quads in the data, the volume velocities are stabilized and are getting back to growth for bars, which is a good first step. But the distribution and volume velocities are still pretty firmly negative for a huge swath of the rest of the subcategories.

也許首先，我想詢問阿特金斯以及該業務的未來前景。你看一下尼爾森數據中的分佈點，它們持續下降。在數據的最後幾個四邊形中，體積速度穩定並恢復到條形增長，這是良好的第一步。但對於其餘大部分子類別來說，分佈速度和體積速度仍然相當明顯為負數。

I'm curious, as you go through this revitalization, I'm trying to better understand the extent to which some of these subcategories just need to be eliminated, or whether they were just originally overdistributed, and there is a role in the portfolio, but just a much smaller role going forward. How are you thinking about the breadth of subcategories going forward and maybe how far along they are in terms of distribution adjustments?

我很好奇，當你經歷這次振興時，我試圖更好地了解其中一些子類別需要在多大程度上被消除，或者它們是否只是最初被過度分配，以及在投資組合中發揮作用，但未來的作用小得多。您如何看待未來子類別的廣度以及它們在分佈調整方面的進展如何？

Yeah. So as you said, when I came to Simply, I took a look at the true health of Atkins. It's a great brand in a sense, it pioneered this category. However, as we've discussed on previous calls, the brand was perceived as a little dated. Recent innovation had been poor, and we had an opportunity to sharpen some of our commercial execution price points. So we developed the revitalization plan.

是的。所以正如你所說，當我來到Simply時，我了解了阿特金斯的真實健康狀況。從某種意義上說，這是一個偉大的品牌，它開創了這個類別。然而，正如我們在之前的電話中討論過的那樣，該品牌被認為有點過時了。最近的創新很差，我們有機會提高一些商業執行價格點。因此我們制定了振興計劃。

Now, one of the issues that we were addressing on Atkins was that we'd had a weak pipeline on the business for a couple of years, and as a result of that weak pipeline, we had lost some distribution to your point, Atkins, this is a business where innovation matters. It's a key driver. The buy rate on Atkins is high, almost double most other brands in the category. Those consumers are looking for variety, and when we don't bring it, we impact both velocity and distribution.

現在，我們正在解決的阿特金斯問題之一是，幾年來我們的業務管道薄弱，由於通路薄弱，我們失去了一些分銷管道，阿特金斯，這是一個創新至關重要的行業。這是一個關鍵的驅動因素。阿特金斯的購買率很高，幾乎是該類別中大多數其他品牌的兩倍。這些消費者正在尋求多樣性，如果我們不提供多樣性，我們就會影響速度和分銷。

So one of the first things I did when I came is we tried to really jump start innovation on Atkins. And I'm very pleased with how the team responded. We are bringing 17 new items to market, which will ship in the fall, which will largely hold our distribution flat. Still waiting for a couple of customers to come in to finalize those modular decisions but will largely hold flat other than the club channel, where in the club channel, they tend to wait on new products to make a decision.

因此，我來後做的第一件事就是嘗試真正推動阿特金斯的創新。我對團隊的回應感到非常滿意。我們將向市場推出 17 種新產品，這些產品將於秋季發貨，這將在很大程度上使我們的分銷持平。仍在等待一些客戶進來最終確定這些模組化決策，但除了俱樂部管道外，基本上保持不變，在俱樂部管道中，他們傾向於等待新產品來做出決定。

So I'm very pleased with how the team responded. I'm pleased with the quality of innovation, the number of new items, and that has helped us largely hold distribution flat outside of club as we go into fiscal 2025. As you've said, if you just go one click lower, our ready-to-drink business is performing pretty well, strongest part of our portfolio. Where we really needed the focus was on the bars, to your point. So I'm excited to see how these new products perform, which will start shipping in the fall. And as I said, they were absolutely critical to us to hold on to distribution.

所以我對團隊的反應非常滿意。我對創新的品質和新產品的數量感到滿意，這幫助我們在進入 2025 財年時在很大程度上保持了俱樂部以外的分配。飲業務表現良好，是我們投資組合中最強勁的部分。就您而言，我們真正需要關注的地方是酒吧。因此，我很高興看到這些新產品的表現如何，它們將於秋季開始發貨。正如我所說，它們對於我們保持分銷絕對至關重要。

Yeah, I think, John, keep in mind is, if you look at our business, we have the fall reset and the spring reset, I'd say 75%, 80% of our customer base is in the fall reset. So holding on distribution in the fall is a pretty big win for us. And I think it holds, actually talks to the innovation that Geoff mentioned because I think it's a big part of those guys recognizing that there's opportunity for the brand to continue to grow. And the stuff that we have coming in, especially some of the RTD strong stuff, will be positive overall for the portfolio.

是的，我想，約翰，請記住，如果你看看我們的業務，我們有秋季重置和春季重置，我想說我們 75%、80% 的客戶群處於秋季重置。因此，保持秋季的分銷對我們來說是一個相當大的勝利。我認為它確實成立，實際上與傑夫提到的創新有關，因為我認為這是這些人認識到該品牌有機會繼續發展的重要原因。我們推出的產品，尤其是一些 RTD 強大的產品，總體上將對投資組合產生正面影響。

I mean, those 17 new items, John, they're all swapped, right? So we're not gaining shelf space. As a result of that innovation, it enables us to hold on to it.

我的意思是，約翰，那 17 個新物品都被交換了，對吧？所以我們沒有獲得貨架空間。由於這種創新，它使我們能夠堅持下去。

Okay. And then quickly on OWYN, I'm just curious if you can discuss the latest thoughts regarding the immediate growth plans. How you're thinking about building distribution out of the gate, any specific channels that are a focus for you? And then in terms of investment, how are you thinking about any immediate needs for brand building or any tweak to the product itself, new flavors, formulations, any reinvestment here and in the near future? Thank you.

好的。然後很快就 OWYN，我很好奇您是否可以討論有關近期增長計劃的最新想法。您如何考慮建立分銷管道？然後在投資方面，您如何考慮品牌建立的任何直接需求或對產品本身的任何調整、新口味、配方，以及現在和不久的將來的任何再投資？謝謝。

So we're really excited about OWYN, which we closed a couple of weeks ago. It's strategically and financially very compelling. Increases our exposure in the shape segment by about 400 basis points to 23% of our total sales. It reaches a new consumer segment. And as we've said on previous calls, I think what excites me most about OWYN is the brand is starting to cross over to appeal to mainstream consumers, which represents obviously a much larger TAM.

因此，我們對幾週前關閉的 OWYN 感到非常興奮。它在戰略上和財務上都非常引人注目。將我們在形狀細分市場的份額增加約 400 個基點，達到總銷售額的 23%。它觸及了新的消費群。正如我們在之前的電話中所說，我認為 OWYN 最讓我興奮的是該品牌開始跨界吸引主流消費者，這顯然代表著更大的 TAM。

And then the ability of our scaled go-to-market capabilities are only going to help drive distribution and velocity. OWYN is performing very well. They're on track for calendar 2024 of $120 million and consumption is very strong. It's around 120% and measured channels a little lower online. And we expect the business to certainly at least double in the next four years.

然後，我們規模化的上市能力只會有助於推動分銷和速度。 OWYN 的表現非常出色。他們預計在 2024 年實現 1.2 億美元的收入，而且消費非常強勁。約為 120%，線上測量管道略低。我們預計該業務在未來四年內至少會翻倍。

Now, in terms of the levers, I like to think about OWYN and the growth of OWYN in three concentric circles. The first is growth of the core and that's largely driving distribution of existing products. The 20-gram, the 32-gram shake. There is a lot of distribution upside and the team, the OWYN team continues to expand doors and get new accounts as the business continues to perform.

現在，就槓桿而言，我喜歡思考 OWYN 以及 OWYN 在三個同心圓中的成長。首先是核心業務的成長，這在很大程度上推動了現有產品的分銷。 20克，32克奶昔。隨著業務的持續發展，OWYN 團隊有很大的分銷優勢和團隊不斷擴大業務並獲得新客戶。

The second circle would be continuing to appeal to mainstream consumers, again, a much larger TAM. And given the formula improvements that we've recently put into market, we're certainly seeing increased crossover to mainstream consumers, which is driving velocity. And then I'd say the last circle would be expanding into new forms or formats, such as bars, potentially chips.

第二個圈子將繼續吸引主流消費者，同樣是一個更大的 TAM。鑑於我們最近投入市場的配方改進，我們肯定會看到主流消費者的交叉增加，這正在推動速度。然後我想說最後一個圓圈將擴展到新的形式或格式，例如條形，可能是晶片。

Now, as you think about investment, our thesis for the first year has been that OWYN will largely run somewhat independent for that first year, while we focus on integration, where there are opportunities to partner together, we'll certainly look at those. But the focus right now is letting OWYN run. Run their play. They're running it really well, while we work on integration, and then we'll be able to bring the full suite of capabilities of Simply to really accelerate that growth.

現在，當你考慮投資時，我們第一年的論點是，OWYN 在第一年將在很大程度上獨立運營，而我們專注於整合，如果有機會合作，我們肯定會考慮這些。但現在的焦點是讓歐文競選。運行他們的遊戲。他們運行得非常好，而我們則致力於集成，然後我們將能夠利用 Simply 的全套功能來真正加速成長。

Thanks, Geoff. Thanks, Shaun.

謝謝，傑夫。謝謝，肖恩。

Thanks, John.

謝謝，約翰。

Jon Andersen, William Blair.

喬恩·安德森，威廉·布萊爾。

I want to ask on Quest, I think you mentioned, chips have been very strong. I think you even mentioned a $300 million run rate at present. Could you comment I think another platform or another launch in recent years was a cracker under Quest. And I always thought of that as another opportunity to demonstrate the ability of the brand travel. Can you update us on where you stand with respect to the Quest brand in that particular vertical?

我想問一下關於Quest的問題，我想你提到過，晶片一直非常強大。我想你甚至提到了目前 3 億美元的運行率。你能評論一下嗎？我一直認為這是另一個展示品牌旅行能力的機會。您能否向我們介紹一下您對 Quest 品牌在特定垂直領域的立場？

And then if you could talk a little bit about the initial reception you've received from retailers, I assume at this point you've presented bake shop and what your expectations are in terms of distribution on that, that new launch in the fall? Thanks.

然後，如果您能談談您從零售商那裡收到的最初反應，我想此時您已經介紹了烘焙店，以及您對秋季新推出的分銷方面的期望是什麼？謝謝。

Yeah. So I'll talk about chips and then address the cracker question and come back on bake. So you're right, Quest is somewhat unique and that it has proven its ability to crossover to other categories. Quest is seen as the disruptor in the category, and we are certainly disrupting the salty snacks category. As I mentioned, run rate just crossed $300 million in retail sales and it's growing at about 50%.

是的。因此，我將討論薯片，然後解決餅乾問題，然後再回到烘烤。所以你是對的，Quest 在某種程度上是獨特的，並且它已經證明了其跨界到其他類別的能力。 Quest 被視為該類別的顛覆者，我們無疑正在顛覆鹹味零食類別。正如我所提到的，零售銷售額的運行率剛剛突破 3 億美元，並且正在以 50% 左右的速度成長。

And certainly chips has been the big driver of the increase in household penetration on Quest. Not only new to the brand, but also new to the category, which is why retailers are getting behind it in a big way. What excites me the most is the size of that addressable market. And as we continue to see the chips phenomenon, we continue to challenge ourselves on how big could this be. We have a rallying cry internally. We call think like a chip company, and we're in the process of executing a multi-levered plan to really accelerate that growth.

當然，晶片是 Quest 家庭普及率提高的重要推動力。不僅是該品牌的新產品，而且是該類別的新產品，這就是零售商大力支持它的原因。最讓我興奮的是這個潛在市場的規模。當我們繼續看到晶片現象時，我們繼續挑戰自己，看看它能有多大。我們內部有一個戰鬥口號。我們稱之為像晶片公司一樣思考，我們正在執行一項多槓桿計劃，以真正加速這種成長。

Now, I would argue crackers as underneath that salty snack platform. It's one of my favorite products that we make. We got into some, I'd say, supply challenges with one of our co-packers, and we have just moved that over to a new one, which will free up capacity to be able to put support behind that. So in a sense, we had to throttle that demand down, couldn't promote it. Throttled back on driving new points of distribution, didn't advertise it. But now that we've moved to the new co-packer, that will enable that.

現在，我認為餅乾是鹹味零食平台的下面。這是我們生產的我最喜歡的產品之一。我想說，我們的一家代加工廠遇到了一些供應挑戰，我們剛剛將其轉移到一個新的工廠，這將釋放能力，以便能夠為其提供支援。所以從某種意義上來說，我們必須抑制這種需求，而不是促進它。減少了對新分銷點的推動，也沒有做廣告。但現在我們已經轉移到新的代加工廠，這將實現這一點。

And then to your question on bake, I'm excited. My favorite product in the portfolio is the brownie, 10 grams of protein, barely any sugar. And we have received tremendous support from customers. This is a disruption of the large salty snacks category and the retailers have really got behind this launch. We're going to launch it in a big way. It will be part of the, It's Basically Cheating campaign. And retailers look at this as just another example of expanding usage occasions and likely bringing new consumers into the category, which is why they're really getting behind it in a big way. I'm excited for this launch in the fall.

然後關於你關於烘焙的問題，我很興奮。產品組合中我最喜歡的產品是布朗尼蛋糕，含有 10 克蛋白質，幾乎不含任何糖。我們得到了客戶的大力支持。這是對大型鹹味零食類別的顛覆，零售商確實支持了這項推出。我們將大規模地推出它。這將是“這基本上是作弊”活動的一部分。零售商將此視為擴大使用場合並可能將新消費者帶入該類別的另一個例子，這就是他們真正大力支持的原因。我對秋季的推出感到興奮。

That's helpful. One quick housekeeping on OWYN. I was wondering if you could talk about any seasonality in the sales of that business. How we should be thinking about that going forward? And then just remind me on that the cadence of synergies, how much of the 10% I think you're targeting of OWYN revenue will kick in at the start of fiscal '26 and how much will come later than that? Thanks.

這很有幫助。 OWYN 上的快速清潔服務。我想知道您是否可以談談該業務銷售的季節性。未來我們該如何思考這個問題？然後提醒我一下協同效應的節奏，我認為您所設定的 OWYN 收入目標 10% 中有多少將在 26 財年開始時開始實施，還有多少會晚於該時間？謝謝。

Yeah, I think on the synergy side, almost all the synergies will basically hit in first month of fiscal year '26.

是的，我認為在綜效方面，幾乎所有綜效基本上都會在 26 財年的第一個月發揮作用。

About 80%. And then on seasonality, OWYN performs like the rest of the category, right. So the seasonality profile and the bump that we typically see New Year, New You, but there's nothing distinct in OWYN in terms of it being different, seasonality being different than the shakes category.

大約80%。然後就季節性而言，OWYN 的表現與該類別的其他產品一樣，對吧。因此，季節性概況和我們通常看到的「新年、新你」的衝擊，但 OWYN 沒有什麼不同之處，季節性與奶昔類別不同。

Great. Thank you very much.

偉大的。非常感謝。

Steve Powers, Deutsche Bank.

史蒂夫鮑爾斯，德意志銀行。

So Geoff, you started off talking about some of the, I guess, promising ROI you had seen on advertising and the March campaign around Quest. I couldn't quite glean from the commentary, whether that was validation of your expectations or if the ROI was ahead of expectations. And I'm just curious if what the answer there is and if it's making you think about leaning in further into broad-based brand marketing, take advantage of the returns you're seeing.

Geoff，你一開始就談到了你在廣告和圍繞 Quest 的三月活動中看到的一些有希望的投資回報率。我無法從評論中了解到這是否驗證了您的期望，或者投資回報率是否超出了預期。我只是好奇答案是什麼，以及它是否讓您考慮進一步深入廣泛的品牌行銷，並利用您所看到的回報。

Yeah, no, I mean, the short answer is that the advertising has performed ahead of my expectations. It's not normal to see a very short-term impact on sales with advertising, tends to be more of a medium-term build, medium-to-long. With Quest, it's very clear we've seen a short-term effect and a long-term effect on the business. It has clearly helped accelerate Quest versus our own internal forecast. And we're absolutely going to increase our investment as we head into fiscal '25.

是的，不，我的意思是，簡短的回答是廣告的效果超出了我的預期。廣告對銷售的短期影響並不正常，往往較多的是中期、中長期的影響。透過 Quest，我們很明顯地看到了對業務的短期影響和長期影響。與我們自己的內部預測相比，它顯然有助於加快 Quest 的速度。當我們進入 25 財年時，我們絕對會增加投資。

And this part ties back a little bit to the question on Atkins and thinking about the portfolio. When you have a brand that's growing double digits like Quest, and you turn on advertising and you see a result like we're seeing, we have to increase our investment behind that. So we're excited to keep investing in it. And I also say that It's Basically Cheating campaign idea, Steve, based on consumer reaction, social media monitoring, et cetera, has really resonated with consumers.

這部分與阿特金斯的問題和對作品集的思考有些關聯。當你擁有像 Quest 這樣的品牌以兩位數成長時，你打開廣告並看到像我們這樣的結果，我們必須增加背後的投資。因此，我們很高興繼續對其進行投資。我還說，史蒂夫是基於消費者反應、社群媒體監控等，這基本上是作弊活動理念，確實引起了消費者的共鳴。

Okay, perfect. That helps. And then I guess just pivoting to Atkins, on the one hand, I hear you're broadly on track with the revitalization plan, which is good. But then it does seem like there's some incrementality in what you're saying around fiscal '25 and some emphasis on cutting out some of those ineffective trade efforts and the like. So on the one hand, you're on track, but on the other hand, I'm hearing that the timeline of stabilization might be a bit further out in the horizon base case, so just want to play that back and see if that was fair?

好的，完美。這有幫助。然後我想，一方面，我想轉向阿特金斯，我聽說你們的振興計劃基本上步入正軌，這很好。但你在 25 財年所說的內容似乎確實有一些增量，並且有些強調削減一些無效的貿易努力等。因此，一方面，你已經步入正軌，但另一方面，我聽說穩定的時間線在地平線基本情況下可能會有點遠，所以只想回放一下，看看是否會這樣公平嗎？

I think that's a fair assessment. I mean coming in, the initial focus was to look at the health of the brand. As I said, we accelerated innovation. We've got new marketing that we're bringing to market. It's coming out in the fall, focus on upgrading the products and packaging refresh.

我認為這是一個公平的評估。我的意思是，最初的重點是關注品牌的健康狀況。正如我所說，我們加速了創新。我們正在向市場推出新的行銷方式。秋季上市，重點是產品升級和包裝更新。

As we dive deeper into it, Steve, and we had an ROI, put an ROI lens across all of the trade investment, across all of the marketing investment. There are just some investments that we don't think are the right investments as we think about building a long-term sustainable business.

當我們深入研究它時，史蒂夫，我們有一個投資回報率，在所有貿易投資和所有行銷投資中都放置了投資回報率鏡頭。當我們考慮建立長期可持續業務時，我們認為有些投資不是正確的投資。

But this is in no way an assessment on the health of the brand. It's all in service of building a brand that is a sustainable, long-term profitable business for us. And it's a necessary step we have to take in fiscal '25, which is why there probably will be a short-term sales impact from that, and we wanted to call that out for you guys. So I think your assessment is right.

但這絕對不是對品牌健康狀況的評估。這一切都是為了建立一個對我們來說是可持續的、長期盈利的業務的品牌。這是我們在 25 財年必須採取的必要步驟，這就是為什麼這可能會對銷售產生短期影響，我們想向你們指出這一點。所以我認為你的評價是正確的。

Yeah, I would also say, I mean, I think we knew when we started the revitalization plan, it was going to be a multi-quarter time frame. So I'm not so sure it's particularly different than we thought it was going to be. It's just maybe expectations got a little ahead of that as we saw some progress there.

是的，我還想說，我的意思是，我想我們知道當我們開始振興計劃時，這將是一個多季度的時間框架。所以我不太確定它跟我們想像的有什麼不同。只是可能期望有點超前，因為我們看到了一些進展。

So I think we're tracking pretty much where we thought we were going to be at this point in time, and certainly not where we think it is longer term. And I think all these investment decisions we're making are right for the portfolio and for the company overall. And honestly, I think it's the right aspect for us to take a look at now because I think we know where we are in the revitalization plan and now it's time to relook at where the investments are and what the right return on those are.

因此，我認為我們正在追蹤我們認為目前會達到的水平，當然不是我們認為的長期水平。我認為我們所做的所有這些投資決策對於投資組合和整個公司來說都是正確的。老實說，我認為這是我們現在應該考慮的正確方面，因為我認為我們知道我們在振興計劃中的位置，現在是時候重新考慮投資的位置以及這些投資的正確回報是什麼。

Steve, the one added point, perhaps on Atkins is that what does excite me about this business is the change in cultural conversation and relevance of weight, driven by these new weight loss drugs. And I believe this does represent a new wave of relevance for Atkins, not only for consumers who are on the drugs, but particularly for those that are coming off that achieve their goals.

史蒂夫，補充一點，也許在阿特金斯身上，讓我對這項業務感到興奮的是文化對話和體重相關性的變化，這些變化是由這些新的減肥藥物推動的。我相信這確實代表了阿特金斯的新一波相關性，不僅對於正在服用藥物的消費者，而且特別是對於那些正在實現目標的戒藥消費者。

And you're starting to see a lot of media out there, which is, I've achieved my goals, how do I hold on to these weight loss benefits? Which is why we just recently shot two weeks ago, new advertising for Atkins to really position Atkins as being able to help consumers on that journey. So I'm pleased with revitalization.

你開始看到很多媒體報導說，我已經實現了我的目標，我該如何維持這些減肥的好處？這就是為什麼我們兩週前剛拍攝了阿特金斯的新廣告，真正將阿特金斯定位為能夠在這趟旅程中幫助消費者。所以我對復興感到高興。

I'm particularly pleased with innovation and how it's largely enabled us to hold onto distribution. It's the right decision for the long-term to take a harder look at lower ROI and trade investments. But at a macro level, Atkins, there's an important role for Atkins to play in consumers lives within the category and we're committed to investing behind the business to get there.

我對創新以及它如何在很大程度上使我們能夠保持分銷感到特別滿意。從長遠來看，更仔細地審視較低的投資報酬率和貿易投資是正確的決定。但從宏觀層面來看，阿特金斯在該類別的消費者生活中發揮著重要作用，我們致力於在業務背後進行投資以實現這一目標。

Great. Thank you both. And Geoff, on that new advertising, did you -- sorry, did you say when that's likely to hit air?

偉大的。謝謝你們倆。傑夫，關於那個新廣告，你——抱歉，你有沒有說過什麼時候可能播出？

You should see that in the fall, Steve.

你應該在秋天看到這一點，史蒂夫。

Okay, very good. Thank you very much.

好的，非常好。非常感謝。

Brian Holland, D.A. Davidson.

布萊恩·霍蘭德，D.A.戴維森。

I'll just try to squeeze two questions into one here. First, on Quest, can you share whether -- or excuse me, the timing and how material the selling for the baked launch might be?

我將嘗試將兩個問題合而為一。首先，在 Quest 上，您能否分享一下——或者打擾一下，烘焙發布的銷售時間以及銷售量可能有多大？

And then just on Atkins, most of my questions around this have been answered. But if we just try to put a bow on it, consumption down year-on-year for five consecutive quarters now probably six in Q4, you talked about pulling back on some of the A&P or maybe taking a more targeted approach, maybe some rationalization of SKUs, et cetera, tying that all together, should we expect Atkins to be down in fiscal '25 year-on-year? Thanks.

然後就在阿特金斯，我的大部分問題都得到了解答。但如果我們只是想對此表示敬意，消費連續五個季度同比下降，現在可能是第四季度的六個季度，您談到了縮減一些 A&P，或者採取更有針對性的方法，也許進行一些合理化SKU等等，將所有這些結合在一起，我們是否應該期望阿特金斯在25 財年同比下降？謝謝。

Yeah, I mean, I'll hit that one first. Yeah, our expectation is Atkins will continue to be down in fiscal '25, driven by this harder look at lower ROI trade marketing investments.

是的，我的意思是，我會先打那個。是的，我們的預期是阿特金斯在 25 財年的表現將繼續下降，這是由於更嚴格地審視較低的投資回報率貿易行銷投資。

To your question on Quest and bake shop platform, again, this is another space that Quest is going to disrupt, the large sweet baked goods category. We have two muffins and a brownie that we're launching and the retailer reaction and support for this platform has been absolutely terrific as you would expect. This is a new to the category platform. They view it as another lever to drive household penetration, drive usage. And we, based on the commitments we've got from retailers, we expect strong, very strong merchandising support and we're very pleased with the sell-in and modular decisions that have been made by all customers, all channels.

對於您關於 Quest 和烘焙店平台的問題，這又是 Quest 將顛覆的另一個領域，即大型甜烘焙食品類別。我們正在推出兩個鬆餅和一個布朗尼蛋糕，而零售商對該平台的反應和支援絕對如您所期望的那樣出色。這是一個新的類別平台。他們將其視為推動家庭滲透率和使用率的另一個槓桿。基於我們從零售商那裡得到的承諾，我們期望獲得強大、非常強大的銷售支持，並且我們對所有客戶、所有管道所做的銷售和模組化決策感到非常滿意。

Kaumil Gajrawala, Jefferies.

考米爾·加吉拉瓦拉，傑弗里斯。

So as it relates to Quest and you think about chips and how well it's doing, now the rollout of bake shop, what is the right cadence in terms of timing to assure that you're not doing too many things at once? Obviously, chips are not new, but they very much seem to have a lot of momentum that maybe all the resources could be focused just on that piece of the business. So when we think about adding something new at this stage of the growth or something else, I'm just curious what the logic or calculus is and how you think about it?

因此，當它與 Quest 相關時，你會想到薯片及其表現如何，現在烘焙店的推出，在時間方面什麼是正確的節奏，以確保你不會同時做太多事情？顯然，晶片並不新鮮，但它們似乎有很大的動力，也許所有資源都可以集中在該業務上。因此，當我們考慮在這個成長階段添加新的東西或其他東西時，我只是好奇邏輯或演算是什麼以及您如何看待它？

Yeah, it's a really great question. It's the sort of thing we talk about a lot. I'll say that, reiterate that chips, we've been particularly excited about the performance of chips, say, in the last 18 months. Most recent period growing 50%, as I said, run rate of $300 million.

是的，這是一個很好的問題。這是我們經常談論的事情。我想說的是，重申一下晶片，我們對晶片的性能感到特別興奮，比如說，在過去 18 個月裡。正如我所說，最近一段時間增長了 50%，運行率為 3 億美元。

And we continue -- we're going to up, I'd say, up our sights on that business. I mentioned that think like a chip company strategy that we're developing. We had been working on bake shop for several years and there's a balance here between wanting to be first to market.

我們將繼續——我想說，我們將提高對該業務的關注。我提到像我們正在製定的晶片公司策略一樣思考。我們已經在烘焙店工作了好幾年，在想要率先進入市場之間需要保持平衡。

And to your point, making sure we have sufficient investment that we can put behind these platforms, again, in part the decision on Atkins to throttle back on some lower ROI investments does give us more fuel to invest behind Quest and you should expect a significant step up in advertising next year. In terms of a cadence, throw a number out there every couple two or three years, we could be bringing a new platform.

就你的觀點而言，確保我們有足夠的投資來支持這些平台，同樣，阿特金斯決定減少一些投資回報率較低的投資，確實給了我們更多的動力來投資Quest，你應該期待一個顯著的回報。就節奏而言，每隔兩三年就會推出一個數字，我們可能會帶來一個新平台。

But to your point, this is not something we would want to be bringing every year. We need to give these platforms the oxygen, the fuel they need. But part of our confidence and the ability to support both chips and bake shop is that in our planning for next year, there's a sizable step up in advertising and other investments on the Quest business.

但就您而言，這不是我們希望每年都帶來的東西。我們需要為這些平台提供它們所需的氧氣和燃料。但我們支持薯片和烘焙店的信心和能力的一部分是，在我們明年的規劃中，Quest 業務的廣告和其他投資將大幅增加。

And then I guess the last point is back to Steve's question, the performance of the advertising and how it has really accelerated chips is also a point of encouragement that this advertising can support different aspects of our business.

然後我想最後一點又回到了史蒂夫的問題，廣告的表現以及它如何真正加速晶片也是一個鼓勵點，這個廣告可以支持我們業務的不同方面。

Got it. And I guess you opened up the door for a follow-up, which was that some of the adjustments at Atkins opens up some ability to invest higher in Quest. Now that you have OWYN, how do you think of it in that context? Is there more pressure under -- do you have to squeeze on Atkins a little bit more because you have this entirely new business that's growing even faster than the Quest business? Like how are we thinking about the balance between the three?

知道了。我想你為後續行動打開了大門，阿特金斯的一些調整開啟了對 Quest 更高投資的能力。現在有了 OWYN，在這種背景下您如何看待它？是否有更大的壓力——您是否需要對阿特金斯施加更多壓力，因為您擁有比 Quest 業務成長更快的全新業務？例如我們如何考慮三者之間的平衡？

It's a good question. Not at this stage. So we're obviously two weeks into owning OWYN. Our plan is letting them run for a year. OWYN has a runway of growth in front of it for the next 12 to 18 months, that it will be very distribution-driven and that'll be our focus.

這是一個好問題。不是現階段。所以顯然我們已經擁有 OWYN 兩週了。我們的計劃是讓他們運作一年。 OWYN 在未來 12 到 18 個月內有一條成長跑道，它將非常受分銷驅動，這將是我們的重點。

And much like we did on Quest, when we acquired Quest, we focused on driving out distribution and then fueling marketing when we had that broader distribution footprint, which increases the ROI on the marketing investment. And that's a similar playbook we'll run on OWYN.

就像我們在 Quest 上所做的那樣，當我們收購 Quest 時，我們專注於推動分銷，然後在擁有更廣泛的分銷足跡時推動行銷，這會增加行銷投資的投資回報率。我們將在 OWYN 上運行類似的劇本。

So at some point, yes, we'll probably be sitting here having the discussions on how much marketing to move to OWYN versus Quest versus Atkins. But at this point, where OWYN is in its lifecycle, the growth trajectory, the runway of growth on OWYN, there's a significant distribution runway that we're going to get after, just like we did on Quest.

所以在某個時候，是的，我們可能會坐在這裡討論要將多少行銷轉移到 OWYN、Quest 和 Atkins。但在這一點上，OWYN 處於其生命週期、成長軌跡、OWYN 的成長跑道，我們將追求一條重要的分銷跑道，就像我們在 Quest 上所做的那樣。

Got it. Okay, great. Thank you, guys.

知道了。好的，太好了。感謝你們。

Thank you.

謝謝。

Thank you. Ladies and gentlemen that concludes our question-and-answer session. I'll turn the floor back to Mr. Tanner for any final comments.

謝謝。女士們、先生們，我們的問答環節到此結束。我將把最後的意見轉回給坦納先生。

Thank you very much for joining us today for our third quarter conference call. We'll talk to you guys all again next time in October, when we report fiscal fourth quarter and full year 2024 results. Thank you.

非常感謝您今天參加我們的第三季電話會議。我們將在下次 10 月再次與大家討論，屆時我們將報告第四財季和 2024 年全年業績。謝謝。

Thank you.

謝謝。

Thank you. This concludes today's conference call. You may disconnect your lines at this time. Thank you for your participation.

謝謝。今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與。