Wayfair Inc (W) 2023 Q1 法說會逐字稿

Good day, and welcome to the Wayfair Q1 2023 Earnings Release Conference Call. (Operator Instructions) And finally, I would like to provide all participants that this call is being recorded. Thank you. I'd now like to welcome James Lamb to begin the conference. James, over to you.

美好的一天，歡迎來到 Wayfair 2023 年第一季度收益發布電話會議。 （操作員說明）最後，我想向所有參與者說明此通話正在錄音中。謝謝。我現在歡迎 James Lamb 開始會議。詹姆斯，交給你了。

Good morning and thank you for joining us. Today, we will review our first quarter 2023 results. With me are Niraj Shah, Co-Founder, Chief Executive Officer, and Co-Chairman; Steve Conine, Co-Founder and Co-Chairman; and Kate Gulliver, Chief Financial Officer and Chief Administrative Officer. We will all be available for Q&A following today's prepared remarks.

早上好，感謝您加入我們。今天，我們將回顧 2023 年第一季度的業績。和我一起的是聯合創始人、首席執行官兼聯合主席 Niraj Shah； Steve Conine，聯合創始人兼聯合主席；首席財務官兼首席行政官 Kate Gulliver。在今天準備好的發言之後，我們都可以接受問答。

I would like to remind you that our call today will consist of forward-looking statements, including, but not limited to, those regarding our future prospects, business strategies, industry trends and our financial performance, including guidance for the second quarter of 2023. All forward-looking statements made on today's call are based on information available to us as of today's date. We cannot guarantee that any forward-looking statements will be accurate although we believe that we have been reasonable in our expectations and assumptions. Our 10-K for 2022, our 10-Q for this quarter and our subsequent SEC filings identify certain factors that could cause the company's actual results to differ materially from those projected in any forward-looking statements made today. Except as required by law, we undertake no obligation to publicly update or revise any of these statements, whether as a result of any new information, future events or otherwise.

我想提醒您，我們今天的電話會議將包括前瞻性陳述，包括但不限於關於我們未來前景、業務戰略、行業趨勢和我們財務業績的陳述，包括 2023 年第二季度的指導。在今天的電話會議上做出的所有前瞻性陳述均基於截至今天我們可獲得的信息。儘管我們相信我們的預期和假設是合理的，但我們不能保證任何前瞻性陳述都是準確的。我們 2022 年的 10-K、本季度的 10-Q 以及我們隨後向美國證券交易委員會提交的文件確定了某些可能導致公司實際業績與今天所做的任何前瞻性陳述中預測的業績存在重大差異的因素。除非法律要求，否則我們沒有義務公開更新或修改任何這些聲明，無論是由於任何新信息、未來事件或其他原因。

Also, please note that during this call, we will discuss certain non-GAAP financial measures as we review the company's performance, including adjusted EBITDA, adjusted EBITDA margin and free cash flow. These non-GAAP financial measures should not be considered replacements for and should be read together with GAAP results. Please refer to the Investor Relations section of our website to obtain a copy of our earnings release and investor presentation, which contain descriptions of our non-GAAP financial measures and reconciliations of non-GAAP measures to the nearest comparable GAAP measures.

此外，請注意，在本次電話會議期間，我們將在審查公司業績時討論某些非 GAAP 財務指標，包括調整後的 EBITDA、調整後的 EBITDA 利潤率和自由現金流。這些非 GAAP 財務指標不應被視為替代，應與 GAAP 結果一起閱讀。請參閱我們網站的投資者關係部分，獲取我們的收益發布和投資者介紹的副本，其中包含對我們的非 GAAP 財務措施的描述以及非 GAAP 措施與最接近的可比 GAAP 措施的調節。

This call is being recorded and a webcast will be available for replay on our IR website. I would now like to turn the call over to Niraj.

此通話正在錄製中，我們的 IR 網站上將提供網絡廣播以供重播。我現在想把電話轉給 Niraj。

Thank you, James, and good morning, everyone. We're pleased to reconnect with you today to share the details of our first quarter results. Last August, we shared a road map laying out our path to profitability. The first step was getting back to adjusted EBITDA breakeven. Through a focus on our three core initiatives of driving customer supplier loyalty, nailing the basics and cost efficiency, we've made significant strides in improving our offering and customer experience while simultaneously reducing our cost structure.

謝謝你，詹姆斯，大家早上好。我們很高興今天再次與您聯繫，分享我們第一季度業績的詳細信息。去年 8 月，我們分享了一份路線圖，列出了我們實現盈利的途徑。第一步是回到調整後的 EBITDA 盈虧平衡點。通過專注於提高客戶供應商忠誠度、鞏固基礎和成本效率這三個核心舉措，我們在改善產品和客戶體驗方面取得了重大進展，同時降低了成本結構。

Collectively, these efforts have resulted in increasing market share and a significant reduction in operating expenses versus last quarter, getting us to nearly adjusted EBITDA breakeven in Q1. And we're excited to share that we expect to have positive adjusted EBITDA in the second quarter.

總的來說，這些努力導致市場份額增加，運營費用與上一季度相比大幅減少，使我們在第一季度幾乎達到調整後的 EBITDA 收支平衡。我們很高興與大家分享我們預計第二季度調整後的 EBITDA 為正。

We've always known and now we are clearly demonstrating that the Wayfair model is inherently profitable and that there is considerable opportunity in front of us to rapidly drive further margin expansion while investing for future growth. We've reached this profitability milestone in spite of the difficult macro environment our business has operated for the better part of the year.

我們一直都知道，現在我們清楚地表明，Wayfair 模式本身是有利可圖的，我們面前有相當多的機會可以在為未來增長進行投資的同時迅速推動進一步的利潤擴張。儘管我們的業務在今年大部分時間都在艱難的宏觀環境中運營，但我們已經達到了這一盈利里程碑。

Our category, in particular, has been impacted more than others with sales first turning down in March of 2022 and now contracting approximately 20% year-over-year according to many of the sources we follow. While traffic remains challenged, our conversion levels have held steady and our work on nailing the basics and driving customer supplier loyalty is leading to sustained market share growth.

根據我們跟踪的許多消息來源，我們的品類受到的影響尤其大於其他品類，銷售額在 2022 年 3 月首次下降，現在同比收縮約 20%。雖然流量仍然面臨挑戰，但我們的轉化率水平一直保持穩定，我們在鞏固基礎和提高客戶供應商忠誠度方面的工作正在導致市場份額持續增長。

In the second quarter, we're seeing improving year-over-year order trends, and we're just coming off the back of our seventh Way Day event. At the beginning of the year, as we planned a denser promotional calendar for 2023, we decided to try a 3-day format for Way Day. We are very pleased by the engagement from both our suppliers and our shoppers to the extra day.

在第二季度，我們看到訂單趨勢同比有所改善，而且我們剛剛結束第七屆 Way Day 活動。今年年初，由於我們為 2023 年計劃了更密集的促銷日曆，因此我們決定為 Way Day 嘗試 3 天的形式。我們對供應商和購物者參與額外的一天感到非常高興。

It's a testament to the hard work and the quality of execution of the team that our model of fast delivery, great availability, and sharp pricing, it's firing on all cylinders, even as we are making meaningful adjustments to our cost base. As we've done for several quarters, I want to update you on different parts of the business in the lens of our three key initiatives, starting with cost efficiency.

這證明了團隊的辛勤工作和執行質量，即我們的快速交付、良好的可用性和銳利的定價模型，它正在全速運轉，即使我們正在對我們的成本基礎進行有意義的調整。正如我們幾個季度所做的那樣，我想從成本效率開始，從我們的三個關鍵舉措的角度向您介紹業務的不同部分。

As part of our $1.4 billion total annualized cost actions that we outlined in January, you've heard us refer to $500 million coming from operational cost savings. These cost savings initiatives are multifold and manifest across all aspects of our value chain as we're now starting to see some of the benefits of these savings flow through in our gross margin, I want to take a few moments to share some further examples of these initiatives and provide you some more perspective on our progress.

作為我們在 1 月份概述的 14 億美元年度化成本行動的一部分，您聽說我們提到 5 億美元來自運營成本節約。這些成本節約舉措是多方面的，體現在我們價值鏈的各個方面，因為我們現在開始看到這些成本節約的一些好處體現在我們的毛利率中，我想花點時間分享一些進一步的例子這些舉措，並為您提供更多關於我們進展的觀點。

As we started down the road of driving cost efficiency, our overarching goal was to actually enhance the customer and supplier experience, even as we looked for areas of savings. One of the ways we do that is by reducing damage rates, both on specific products as well as in the aggregate.

當我們開始推動成本效率的道路上時，我們的首要目標是實際增強客戶和供應商的體驗，即使我們正在尋找節省的領域。我們這樣做的方法之一是降低特定產品和總體產品的損壞率。

In instances where we see rising incident rates, we take a proactive stance in working with our suppliers to identify specific weak points and improved packaging. Our strength in data science and technology allows us to take this to the next level, using information on damage rates to compose better search results for shoppers.

在我們發現事故率上升的情況下，我們採取積極主動的態度與供應商合作，找出具體的薄弱環節並改進包裝。我們在數據科學和技術方面的實力使我們能夠將其提升到一個新的水平，使用有關損壞率的信息為購物者提供更好的搜索結果。

This is one of many factors that has driven our overall incidence rate down by over 15% since last summer. By prioritizing items that we know consistently delayed our shoppers we create a better experience, save on after order service expenses and driving a much higher likelihood of generating a repeat order in the future.

自去年夏天以來，這是使我們的總體發病率下降超過 15% 的眾多因素之一。通過對我們知道一直拖延購物者的商品進行優先排序，我們創造了更好的體驗，節省了訂單後服務費用，並提高了未來產生重複訂單的可能性。

Lower cost of delivery directly translates to lower retail prices for consumers. So another area that we focused on recently is optimization of our last mile costs. Every product sold on Wayfair is classified as either a small or large parcel. Though to expectations, our small parcels average 30 pounds and can actually go as high as 150 pounds in some cases.

較低的交付成本直接轉化為消費者較低的零售價格。因此，我們最近關注的另一個領域是優化我們的最後一英里成本。在 Wayfair 上銷售的每件產品都被歸類為小包裹或大包裹。儘管出乎意料，我們的小包裹平均重 30 磅，在某些情況下實際上可能高達 150 磅。

Our small parcel orders are shipped through carriers like FedEx and as you would expect, are less expensive to deliver than large parcel items, most of which are fulfilled through our middle and last mile Wayfair delivery network, where all trucks are staffed with 2-person teams rather than just a single driver due to the heavy and bulky nature of the products.

我們的小包裹訂單通過 FedEx 等承運商運送，正如您所期望的那樣，運送費用低於大包裹物品，其中大部分是通過我們的中間和最後一英里 Wayfair 遞送網絡完成的，所有卡車都配備 2 人由於產品笨重，因此需要團隊而不是單個驅動程序。

Many items will straddle the line between small or large. So we've sharpened our data analytics tools that decide whether a product is classified as a large parcel or not. For some items, large parcel clearly makes sense. The higher cost of delivery is more than offset by the reduced damage rates from the extra care. In other cases, we may see that shipping times and damage rates are indifferent, in which case class finding item as a small parcel creates a more compelling retail price while preserving the customer experience.

許多項目將跨越大小之間的界限。因此，我們改進了數據分析工具，以決定產品是否屬於大包裹。對於某些物品，大包裹顯然是有意義的。更高的交付成本被額外護理降低的損壞率所抵消。在其他情況下，我們可能會發現運輸時間和損壞率無關緊要，在這種情況下，將商品分類為小包裹會在保持客戶體驗的同時創造更具吸引力的零售價格。

Our ability to optimize shipping costs has been further enhanced by our efforts to drive more suppliers through CastleGate with multiple benefits that accrue to the customer and to Wayfair. Improved forward positioning means fewer logistical touch points and therefore, less fulfillment expense, while also resulting in a lower risk of damage and faster delivery times.

我們通過 CastleGate 推動更多供應商的努力進一步增強了我們優化運輸成本的能力，這為客戶和 Wayfair 帶來了多重好處。改進的前向定位意味著更少的物流接觸點，因此，更少的履行費用，同時也導致更低的損壞風險和更快的交貨時間。

In fact, the percentage of items on the site with speed badging hit a new record high in the first quarter of this year. These are just 2 examples across a multifaceted initiative with more than 70 distinct areas of savings. All of which adds up to the more than $500 million I mentioned earlier.

事實上，在今年第一季度，網站上帶有速度標記的項目百分比創下了歷史新高。這些只是涉及 70 多個不同節省領域的多方面計劃中的 2 個示例。所有這些加起來就是我之前提到的 5 億多美元。

In a few minutes, Kate will talk more specifically about the financial flow-through here, but I want to acknowledge the speed and thoroughness with which our team has executed on these work streams. Since we started this process last summer, we've now achieved more than half of the targeted savings on an annualized basis and are making steady progress towards completing the remainder by year-end.

幾分鐘後，凱特將在這裡更具體地討論財務流程，但我想感謝我們團隊在這些工作流中執行的速度和徹底性。自從我們去年夏天開始這個過程以來，我們現在已經實現了每年一半以上的目標節省，並且正在朝著年底前完成剩餘部分的目標穩步前進。

These are durable process-oriented savings that we expect will create improved economics and efficiency on every single order placed and which we believe will lead to higher savings when the volume growth returns. I mentioned it earlier, but it bears repeating. We're extremely proud that even as we have driven these considerable changes across our business, we are still seeing strong market share expansion.

這些是持久的面向流程的節省，我們預計這將提高每一個訂單的經濟性和效率，並且我們相信當銷量增長恢復時，這將帶來更多的節省。我之前提到過，但值得重複。我們非常自豪，即使我們在整個業務中推動了這些巨大的變化，我們仍然看到市場份額的強勁擴張。

Our second key initiative is driving customer and supplier loyalty every day. And the best evidence of our progress here comes from the market share picture. We collect market share data from several sources, such as conversations with our suppliers, third-party research, and credit card data. The picture we are seeing across all sources has unified over the past several quarters, a clear resounding win in share for Wayfair.

我們的第二個關鍵舉措是每天提高客戶和供應商的忠誠度。我們在這方面取得進展的最好證據來自市場份額圖。我們從多個來源收集市場份額數據，例如與供應商的對話、第三方研究和信用卡數據。我們在過去幾個季度看到的所有來源的情況都統一了，這是 Wayfair 在份額方面的明顯勝利。

Lipid data, one of the major credit card data providers, recently published their publicly available first quarter home goods market share index for the United States, which shows us in the #1 position with ongoing share capture for several quarters. A similar story is playing out in our second largest market, Canada, where we have seen robust share capture since last summer as we made big unlocks to speak more specifically to our shoppers in the region.

Lipid Data 是主要的信用卡數據提供商之一，最近發布了他們公開的美國第一季度家居用品市場份額指數，該指數顯示我們在幾個季度的持續份額捕獲中排名第一。類似的故事也在我們的第二大市場加拿大上演，自去年夏天以來，我們在加拿大看到了強勁的市場份額，因為我們進行了大量解鎖以更具體地與該地區的購物者交流。

Across our efforts to drive customer loyalty, we recently launched filters to search for products fulfilled from Canada, which our customers in the region love and are highlighting items that are positioned within the country. Our Canadian customers appreciate the added benefit of surfacing items with faster delivery speeds, competitive retail prices and lower incidence rates.

在我們提高客戶忠誠度的努力中，我們最近推出了過濾器來搜索從加拿大發貨的產品，我們在該地區的客戶喜歡這些產品，並突出顯示位於該國境內的產品。我們的加拿大客戶很欣賞以更快的交付速度、有競爭力的零售價格和更低的發生率對物品進行表面處理的額外好處。

We've also launched a best-in-class French experience for our Wayfair.ca shoppers and host Canada-specific promotional events like Victoria Day and Canada Day sales to speak more directly to our customers in the country. During these moments, we have partnered with Canadian influencers and celebrities to further connect with our shoppers and offer them items they will love.

我們還為我們的 Wayfair.ca 購物者推出了一流的法國體驗，並舉辦了維多利亞日和加拿大日銷售等加拿大特有的促銷活動，以更直接地與該國的客戶交流。在這些時刻，我們與加拿大有影響力的人和名人合作，進一步與我們的購物者建立聯繫，並為他們提供他們喜歡的商品。

As with the U.S., our core recipe in Canada has never been in a better place, strong availability, competitive pricing and fast delivery have kept customers coming back. And this ties nicely to the third of our key initiatives, nearing the basics. In that spirit, we recently enabled detailed end-to-end international tracking on Canadian orders that originate from the United States.

與美國一樣，我們在加拿大的核心配方從未處於更好的位置，強大的可用性、有競爭力的價格和快速的交貨讓客戶成為回頭客。這與我們接近基礎的第三項關鍵舉措密切相關。本著這種精神，我們最近對源自美國的加拿大訂單啟用了詳細的端到端國際跟踪。

Most shoppers previously could only see the detailed location of their northbound order once it did cross the border. Our Canadian customers now have full visibility to where their items are at each stage of fulfillment, which reduces the volume of post-order service inquiries.

大多數購物者以前只能在北行訂單越過邊界後才能看到其詳細位置。我們的加拿大客戶現在可以完全了解他們的物品在每個履行階段的位置，從而減少了訂購後服務查詢的數量。

On the theme of service, we've also strengthened our Canada-based customer service team. We find out having domestic agents who understand the unique needs of their local shopper, reduces the number of follow-ups, and immediately improves the customer experience. The true meaning of nailing the basics.

在服務主題方面，我們還加強了位於加拿大的客戶服務團隊。我們發現國內代理商了解當地購物者的獨特需求，減少跟進次數，並立即改善客戶體驗。釘牢基礎的真正含義。

As I wrap up, I want to zoom back out for a moment. For several quarters now, we've laid out a road map for a return to profitability. Along the way, we told you that we intend to be both thoughtful and expeditious as we chart out this journey. And while we still have more road ahead of us, we see our progress over the past 9 months as a true proof point that the plan is working.

當我結束時，我想縮小一下。幾個季度以來，我們已經制定了恢復盈利的路線圖。一路上，我們告訴過你，我們打算在規劃這段旅程時既周到又迅速。雖然我們還有更多的路要走，但我們將過去 9 個月的進展視為該計劃正在奏效的真實證據。

We're as confident as we've ever been that Wayfair will emerge stronger for it on the other side. Now with that, let me hand it over to Kate to walk through our financials for the quarter.

我們一如既往地相信 Wayfair 會在另一方面變得更強大。現在，讓我把它交給凱特，讓她了解我們本季度的財務狀況。

Thanks, Niraj, and good morning, everyone. I want to echo Niraj's enthusiasm at the promising signs we are seeing for 2023. Our team has been working hard to execute the plan we outlined in 2022, and we couldn't be more pleased to see the output now beginning to manifest in the results.

謝謝，Niraj，大家早上好。我想回應 Niraj 對我們看到的 2023 年充滿希望的跡象的熱情。我們的團隊一直在努力執行我們在 2022 年制定的計劃，我們很高興看到現在開始在結果中體現出來.

So let's dive into the first quarter figures. Net revenue for the quarter came in at $2.8 billion, down 7.3% year-over-year. We are seeing a return to more traditional seasonality in our business and are encouraged by the improving trends we see in order growth. As we shared before, we expected order volume and active customer count to pick up as inflationary prices abated, and we are starting to see evidence of this dynamic playing out.

因此，讓我們深入研究第一季度的數據。本季度淨收入為 28 億美元，同比下降 7.3%。我們看到我們的業務回歸到更傳統的季節性，並且我們看到訂單增長的改善趨勢令我們感到鼓舞。正如我們之前分享的那樣，我們預計訂單量和活躍客戶數量會隨著通脹價格的下降而回升，而且我們開始看到這種動態正在發揮作用的證據。

The picture between our geographic segments remains largely unchanged with net revenue in our U.S. segment down 5% year-over-year, and our international segment down 14.4%, excluding the impact of FX.

我們地區分部之間的情況基本保持不變，美國分部的淨收入同比下降 5%，國際分部下降 14.4%，不包括外彙的影響。

I'll now move further down the P&L. As I do, please note that the remaining financials include depreciation and amortization, but exclude equity-based compensation, related taxes and other adjustments. I will use the same basis when discussing our outlook as well.

我現在將進一步向下移動損益表。和我一樣，請注意其餘財務包括折舊和攤銷，但不包括基於股權的薪酬、相關稅費和其他調整。在討論我們的前景時，我也會使用相同的基礎。

Gross margin had another stellar quarter, coming in at 29.7%, even as we maintained a robust promotional calendar. Our team continues to make meaningful headway on our operational cost savings, as Niraj discussed, and you are beginning to see that flow through to this line. New York described these savings is process oriented, meaning they will hold and, in some cases, improve as our volume increases, and he noted that we've achieved over half of our targeted annualized savings.

毛利率有另一個出色的季度，達到 29.7%，即使我們保持了強勁的促銷日曆。正如 Niraj 所討論的那樣，我們的團隊繼續在運營成本節約方面取得有意義的進展，並且您開始看到這一點流向這條生產線。紐約描述這些節省是面向過程的，這意味著它們將保持並在某些情況下隨著我們數量的增加而改善，他指出我們已經實現了目標年化節省的一半以上。

Some of which you're starting to see show up in gross margin, while the rest we have passed on to price. It's important to note that we see these savings as structural margin expansion on the road map to our longer-term target gross margins in the mid-30s range. Last quarter, I mentioned that as we see these savings begin to accrue, we may choose to reinvest some of them in the customer experience through sharper pricing.

您開始看到其中一些出現在毛利率中，而其餘的我們已經傳遞給價格。重要的是要注意，我們將這些節省視為路線圖上的結構性利潤率擴張，以達到我們 30 年代中期的長期目標毛利率。上個季度，我提到當我們看到這些節省開始累積時，我們可能會選擇通過更優惠的定價將其中一些重新投資於客戶體驗。

The mix will be dictated by the macro environment we see over the duration of the year. However, I think one important point to make here is that our operative goal is to maximize the gross profit dollars generated across a multi-quarter horizon. We can do this in 2 ways. The first is passing the savings directly on to incremental gross profit, driving a higher gross margin. The second is to sharpen our pricing, letting the operational savings offset the impact from a reduced take rate, effectively netting out to a gross margin that remains unchanged, but on the results in more orders and more repeat business.

這種組合將取決於我們在一年中看到的宏觀環境。但是，我認為這裡要說明的重要一點是，我們的運營目標是最大化跨多個季度產生的毛利潤美元。我們可以通過兩種方式做到這一點。首先是將節省的資金直接轉化為增量毛利，從而推動更高的毛利率。第二個是提高我們的定價，讓運營節省抵消降低採納率的影響，有效抵消毛利率保持不變，但對更多訂單和更多重複業務的結果。

We will balance this dynamic to keep driving optimal outcomes over time. Our plans are to reinvest some portion of further savings in price in order to drive more volume and maintain and grow our share position while also balancing gross margin expansion.

我們將平衡這種動態，以隨著時間的推移不斷推動最佳結果。我們的計劃是將進一步節省的部分資金再投資於價格，以增加銷量並維持和增加我們的份額，同時平衡毛利率的增長。

Moving on to customer service and merchant fees. We saw this line come in at 4.7% of net revenue in the first quarter. Advertising was 11.8% of net revenue as we are driving even better efficiency out of our paid channels, while we continue to face the same headwinds on the volume of free and direct traffic that we've seen for several quarters now due to the macro environment.

繼續討論客戶服務和商家費用。我們看到這條線在第一季度占淨收入的 4.7%。廣告占淨收入的 11.8%，因為我們正在提高付費渠道的效率，同時由於宏觀環境，我們繼續面臨幾個季度以來我們看到的免費和直接流量方面的同樣逆風.

Finally, our selling, operations, technology, general, and administrative expenses totaled $484 million. As a reminder, the majority of this expense line is related to our people and the remainder covers software and other G&A. You are seeing the majority of the savings from the January reduction in force reflected in this figure. And you should expect to see this number show further moderation in Q2 as we fully run rate the cash compensation piece of the $750 million of annualized labor savings that we have now completed.

最後，我們的銷售、運營、技術、一般和管理費用總計 4.84 億美元。提醒一下，這條費用線的大部分與我們的人員有關，其餘部分包括軟件和其他 G&A。您會看到該圖反映了 1 月份裁軍所節省的大部分資金。你應該期望看到這個數字在第二季度顯示出進一步的緩和，因為我們對我們現在已經完成的 7.5 億美元年度勞動力節省的現金補償部分進行了全面評估。

However, we don't see this at the end of our cost savings journey on SOTG&A and we plan to drive low single-digit sequential compression each quarter through year-end on top of what we've already accomplished. All combined, the outperformance on gross margin and advertising as well as strength in the top line contributed to a significant improvement in adjusted EBITDA and negative $14 million this quarter or nearly breakeven a substantial improvement compared to the negative $71 million in Q4 2022 and negative $113 million in Q1 2022.

然而，我們在 SOTG&A 的成本節約之旅結束時並沒有看到這一點，我們計劃在我們已經完成的工作的基礎上，在每個季度到年底推動低個位數的連續壓縮。總而言之，毛利率和廣告的出色表現以及收入的強勁表現導致本季度調整後的 EBITDA 顯著改善和負 1,400 萬美元，或接近盈虧平衡，與 2022 年第四季度的負 7,100 萬美元和負 113 美元相比有了顯著改善百萬在 2022 年第一季度。

Our U.S. business saw a second consecutive quarter of positive adjusted EBITDA at $29 million, and we nearly have the international adjusted EBITDA losses compared to Q4. We are excited to see the tangible benefits of our cost savings work materialize, and we remain tightly unified around our future profitability goals.

我們的美國業務連續第二個季度調整後 EBITDA 為 2900 萬美元，與第四季度相比，我們幾乎出現了國際調整後 EBITDA 虧損。我們很高興看到我們的成本節約工作帶來的實實在在的好處，並且我們圍繞未來的盈利目標保持緊密一致。

We ended the quarter with just over $1 billion of cash and highly liquid investments on our balance sheet and over $1.6 billion of total liquidity when including our revolving credit facility capacity. Net cash from operations was a negative $147 million and capital expenditures were $87 million, resulting in free cash flow of negative $234 million.

本季度結束時，我們的資產負債表上有超過 10 億美元的現金和高流動性投資，包括我們的循環信貸額度在內的總流動性超過 16 億美元。來自運營的淨現金為負 1.47 億美元，資本支出為 8700 萬美元，導致自由現金流為負 2.34 億美元。

As a reminder, the first quarter is almost always a seasonal cash outflow quarter for our business given the negative cash conversion cycle of our working capital following Q4 holiday peak. Now let's turn to guidance for the second quarter.

提醒一下，考慮到第四季度假期高峰後我們的營運資金出現負現金轉換週期，第一季度幾乎總是我們業務的季節性現金流出季度。現在讓我們轉向第二季度的指導。

Quarter-to-date gross revenue has been trending in the negative high single digits year-over-year, and we expect improvement due to the easier compares in May and June. We've also spoken recently to you about sequential trends and seasonality, and this trend would imply Q1 to Q2 sequential growth of just below positive 10% for net revenue.

季度至今的總收入同比呈負高個位數趨勢，我們預計由於 5 月和 6 月的比較容易有所改善。我們最近還與您討論了連續趨勢和季節性，這一趨勢意味著第一季度至第二季度淨收入的連續增長略低於 10%。

Despite the highly uncertain macro environment and the reduction in AOV due to deflation, we are excited by the ongoing improving trends in order volume and are seeing promising signs in the business. On gross margin, we would guide you to the 29% to 30% range that I framed earlier.

儘管宏觀環境高度不確定且通貨緊縮導致 AOV 下降，但我們對訂單量的持續改善趨勢感到興奮，並看到業務有希望的跡象。在毛利率方面，我們將指導您達到我之前設定的 29% 至 30% 的範圍。

We continue to expect customer service and merchant fees to be between 4% to 5% of net revenue and advertising to be between 12% and 13% for Q2. We forecast SOTG&A or OpEx, excluding equity-based compensation and related taxes, to come in between $460 million and $470 million showing some further improvement from Q1 levels as we fully run rate the savings from earlier in the year.

我們繼續預計第二季度客戶服務和商家費用將占淨收入的 4% 至 5%，廣告費用將在 12% 至 13% 之間。我們預測 SOTG&A 或 OpEx（不包括基於股權的補償和相關稅費）將在 4.6 億美元至 4.7 億美元之間，這表明我們對今年早些時候的節省進行了全面評估，與第一季度的水平相比有進一步改善。

So finally, as we've said several times already, if you follow the guidance I've just outlined, you should see positive adjusted EBITDA margins in the 0.5% to 1.5% range for the second quarter. Based on that range on adjusted EBITDA and the working capital dynamics as we move into the spring, you should see a sizable sequential improvement in free cash flow for Q2 relative to Q1.

所以最後，正如我們已經多次說過的那樣，如果你遵循我剛剛概述的指導，你應該會看到第二季度調整後的 EBITDA 利潤率在 0.5% 到 1.5% 之間。根據調整後的 EBITDA 範圍和我們進入春季時的營運資本動態，您應該會看到第二季度相對於第一季度的自由現金流有相當大的環比改善。

We are now reaching the first stage along our profitability path that we set out last August. So I want to touch on how we were thinking about the next stage, reaching mid-single-digit adjusted EBITDA margins and positive free cash flow. Let me provide an illustrative model to frame the full pro forma impact of the cost savings that you're seeing starting to flow through. To be clear, this isn't meant to be official guidance, but a framework to think about our cost initiatives holistically.

我們現在正處於去年 8 月制定的盈利路徑的第一階段。因此，我想談談我們如何考慮下一階段，達到調整後的中個位數 EBITDA 利潤率和正的自由現金流。讓我提供一個說明性模型來構建您看到的成本節約的完整預估影響。需要明確的是，這並不是官方指南，而是一個從整體上考慮我們的成本計劃的框架。

For simplicity, let's use our revenue level from 2022, roughly $12.25 billion top line and apply the pro forma annualized impact of our cost savings initiatives that are already well underway and will be fully enacted by the end of 2023. At that level, we would expect to see adjusted EBITDA margins in the low to mid-single-digit range as gross margins exceed 30% and SOTG&A reaches between 14% to 15% of net revenue due to the ongoing savings work I mentioned above.

為簡單起見，讓我們使用我們從 2022 年開始的收入水平，大約 122.5 億美元的收入，並應用我們已經在進行中並將在 2023 年底之前全面實施的成本節約計劃的預估年化影響。在那個水平上，我們會由於毛利率超過 30%，並且由於我上面提到的持續儲蓄工作，SOTG&A 達到淨收入的 14% 至 15%，預計調整後的 EBITDA 利潤率將處於中低個位數範圍內。

At that point, we have a cost model that is geared for significant leverage when revenue grows in the future, and we expect that many of our operational efforts will enable the next set of improvements on our road map. As we've said several times in the past, once we hit a mid-single-digit adjusted EBITDA margin range, we intend to treat that as a philosophical floor on profitability for the business from which we will then balance any growth in investment spending with a desire to also continually increase profitability.

在這一點上，我們有一個成本模型，可以在未來收入增長時發揮顯著的槓桿作用，我們預計我們的許多運營努力將使我們的路線圖上的下一組改進成為可能。正如我們過去多次說過的那樣，一旦我們達到中個位數的調整後 EBITDA 利潤率範圍，我們打算將其視為業務盈利能力的哲學底線，然後我們將從中平衡投資支出的任何增長並希望不斷提高盈利能力。

Now let me translate that into cash flow. As many of you know, there are 2 major bridging items between adjusted EBITDA and free cash flow for our business, working capital and capital expenditures. Our business operates on a negative cash conversion cycle. So working capital is a source of cash when revenue grows sequentially and vice versa. Thus, the impact of working capital will be entirely a function of your assumptions on revenue.

現在讓我將其轉化為現金流量。正如你們許多人所知，調整後的 EBITDA 和我們業務的自由現金流、營運資金和資本支出之間有 2 個主要的銜接項目。我們的業務在負現金轉換週期中運作。因此，當收入連續增長時，營運資金是一種現金來源，反之亦然。因此，營運資金的影響將完全取決於您對收入的假設。

If you assume capital expenditures at plus or minus $90 million per quarter, then the $12.25 billion run rate would also translate to positive free cash flow as well, absent the working capital dynamics. Now let me touch on a few housekeeping items for the second quarter.

如果你假設資本支出每季度正負 9000 萬美元，那麼 122.5 億美元的運行率也將轉化為正的自由現金流，但沒有營運資本動態。現在讓我談談第二季度的一些內務管理項目。

Please assume the following: equity-based compensation and related taxes of roughly $170 million to $200 million. This will be above trend in Q2 as a function of the seasonality of our compensation cycle. As a reminder, equity-based compensation is expensed at the share price as of the day the grants are originally approved. As a result, a portion of this is related to historical grants that remain in the P&L at elevated share prices given the share price volatility we have experienced.

請假設以下情況：基於股權的薪酬和相關稅費約為 1.7 億至 2 億美元。根據我們補償週期的季節性，這將高於第二季度的趨勢。提醒一下，基於股權的薪酬是按照最初批准撥款之日的股價計入費用的。因此，鑑於我們所經歷的股價波動，其中一部分與以高股價保留在損益表中的歷史贈款有關。

And the remainder will hit the P&L depending on the trajectory of the share price going forward on the date new grants are approved. Depreciation and amortization of approximately $102 million to $107 million, net interest expense of approximately $5 million to $6 million, weighted average shares outstanding equal to approximately $112 million and CapEx in a $90 million to $100 million range.

其餘部分將根據新贈款獲得批准之日股價的走勢而達到損益。折舊和攤銷約為 1.02 億美元至 1.07 億美元，淨利息支出約為 500 萬至 600 萬美元，加權平均流通股約為 1.12 億美元，資本支出在 9000 萬至 1 億美元之間。

Before I wrap up, I want to take this opportunity to commend our entire team. Over the last 9 months, we've delivered tremendous cost efficiency, while at the same time bringing our offering to the strongest place it has been in years. We are excited about the improvements we are seeing in profitability and optimistic that the success of our core recipe will continue to drive our share gains deeper into 2023.

在結束之前，我想藉此機會表揚我們整個團隊。在過去的 9 個月裡，我們實現了巨大的成本效益，同時將我們的產品帶到多年來最強大的地方。我們對盈利能力的改善感到興奮，並樂觀地認為我們核心配方的成功將繼續推動我們的份額增長到 2023 年。

Thank you. And with that, Niraj, Steve and I will take your questions.

謝謝。接下來，Niraj、Steve 和我將回答您的問題。

(Operator Instructions) Your first question comes from the line of Alexandra Steiger from Goldman Sachs.

（操作員說明）您的第一個問題來自高盛的 Alexandra Steiger。

I do want to double-click on the comments around your Q2 revenue growth. How do you think about the key drivers here? What creates upside versus downside in the trajectory for Q2 including the contribution from an extra day for Way Day? Or put differently, could you maybe walk us through the assumption around customer growth, order growth that went into your guide?

我確實想雙擊有關您第二季度收入增長的評論。您如何看待這裡的關鍵驅動因素？是什麼在第二季度的軌跡中造成了上行與下行，包括 Way Day 額外一天的貢獻？或者換句話說，您能否向我們介紹您指南中關於客戶增長、訂單增長的假設？

Alexandra, thanks for your question. Yes. So I guess the way to think about it is, in general, the first half of this year, the promotional calendar, we've picked a more dense one. We did that in the back half of last year. That's in response to kind of the consumer environment and sort of what consumers are reacting to. And so when we plan that out at the beginning of this year, one of the things we did is we tried different formats last year, we ran 2 Way Day events. Other times, we've run 8-day, 6-day, 5-day, 3-day. We've run different sale links. So this year, we decided to try that sort of Way Day format of the 2 days and then the surprise extension. And we're happy with how that went. That's just one of kind of the many things we've done on the promotional calendar side in response to the macro.

亞歷山德拉，謝謝你的問題。是的。所以我想考慮的方式是，總的來說，今年上半年的促銷日曆，我們選擇了一個更密集的日曆。我們在去年下半年就這樣做了。這是對某種消費者環境和消費者反應的回應。因此，當我們在今年年初計劃時，我們所做的其中一件事就是去年嘗試了不同的形式，我們舉辦了 2 場 Way Day 活動。其他時候，我們運行 8 天、6 天、5 天、3 天。我們運行了不同的銷售鏈接。所以今年，我們決定嘗試這種為期 2 天的 Way Day 格式，然後再進行驚喜擴展。我們對進展情況感到滿意。這只是我們在促銷日曆方面為響應宏指令所做的眾多事情之一。

In terms of the Q2 revenue guide, I mean, we're guiding revenue based on what we're seeing happen, and a lot of that has to do with also underlying drivers in the business. Because it's -- you have the revenue level, but you have kind of what's happening? You mentioned kind of order count and customer count. And what we've been seeing, and you kind of see our active customer numbers, sequentially, we're seeing the sequential pattern hold. And sequentially, we're seeing strength in the business and the core drivers. And so for example, if you look at order growth, if you look at our largest brand, Wayfair.com, it has positive quarter-to-date in Q2 year-over-year order growth. And so there's a lot of different metrics that sort of we're able to see that led to the effect of the guidance we've given.

就第二季度收入指南而言，我的意思是，我們正在根據我們所看到的情況來指導收入，其中很多都與業務中的潛在驅動因素有關。因為它 - 你有收入水平，但你有什麼正在發生的事情？你提到了訂單數量和客戶數量。我們一直看到的，你可以看到我們的活躍客戶數量，順序地，我們看到順序模式保持不變。隨後，我們看到了業務和核心驅動力的實力。例如，如果您查看訂單增長，如果您查看我們最大的品牌 Wayfair.com，它在第二季度的訂單同比增長中有積極的季度至今。因此，我們可以看到很多不同的指標導致了我們給出的指導的效果。

Your next question comes from the line of Chris Horvers of JPMorgan.

你的下一個問題來自摩根大通的 Chris Horvers。

So just touching on that seasonality point. As you think about what you're seeing now, especially compared to a lot of other retailers, I think when all is said and done, they're going to have a pretty tough first quarter here. How are you thinking about that seasonality and the prospect of returning to revenue growth at the enterprise level over the next year.

所以只是觸及那個季節性點。當你考慮你現在所看到的情況時，尤其是與許多其他零售商相比，我認為當一切都說完之後，他們將在這裡度過一個非常艱難的第一季度。您如何看待這種季節性以及明年在企業層面恢復收入增長的前景。

Chris, thanks for your question. Let me throw out a couple of thoughts and Kate can chime in with some more thoughts of hers as well. I think the biggest thing to keep in mind when you talk about returning to growth is through the first half of this year, we still have unusual revenue compares because we didn't see kind of normal seasonality and normal -- kind of we didn't see revenue kind of normalize after sort of the long key COVID years until the middle of last year. So once you get to the middle of this year, if you go through the second half of this year, you now, when you think about year-over-year revenue, you have a kind of a base from a year ago that's normal and you have then what's happening now. And as I mentioned, quarter-to-date, for example, on Wayfair.com, orders are up year-over-year. And while that's not the entire enterprise, and that's just one metric, it's sort of gives you a feel of what's happening as we're getting to more of those normalized comps.

克里斯，謝謝你的提問。讓我拋出幾個想法，凱特也可以插嘴說出她的更多想法。我認為當你談論恢復增長時要記住的最重要的事情是今年上半年，我們仍然有不尋常的收入比較，因為我們沒有看到正常的季節性和正常 - 我們沒有'在經歷了漫長的關鍵 COVID 年之後，直到去年年中，收入才恢復正常。所以一旦你到了今年年中，如果你經歷了今年下半年，你現在，當你考慮同比收入時，你有一個一年前的基數，這是正常的，你有現在正在發生的事情。正如我所提到的，季度至今，例如，在 Wayfair.com 上，訂單同比增長。雖然這不是整個企業，而這只是一個指標，但它可以讓您了解隨著我們越來越多地使用這些標準化組件而發生的事情。

So I think honestly, it's -- the key is that our recipe is working. So what is that? That's availability, speed of delivery, great value. We're continuing to make a lot of improvements in the customer experience. We're seeing good traction and customer reaction to that. We're then, I think, doing a good job from a kind of order we offer a customer in terms of I mentioned the promotional events and how are we sort of responding to what the macro climate is and working with our suppliers to create that excitement. And then I think from a technical point you need the normal year ago period in order to have the revenue kind of play out where the sort of -- if the business is growing, you see growth. And if it's not growing, you don't see growth. You kind of need last year to be normal too.

所以老實說，我認為，關鍵是我們的配方有效。那是什麼？這就是可用性、交付速度、巨大的價值。我們將繼續在客戶體驗方面進行大量改進。我們看到了良好的牽引力和客戶對此的反應。然後，我認為，根據我提到的促銷活動以及我們如何應對宏觀氣候以及與我們的供應商合作創造這種情況，我們為客戶提供的訂單做得很好激動。然後我認為從技術角度來看，你需要正常的一年前時期才能讓收入發揮作用——如果業務在增長，你就會看到增長。如果它沒有增長，你就看不到增長。你去年也需要保持正常。

Yes. I guess what I'd add to that -- so I think Niraj touched on some of the seasonality pieces. We're also obviously seeing ongoing sustained market share gains. And I think that really speaks to the strength of the core offering. And so to your point, Chris, the macro environment remains somewhat uncertain, we feel very good about our ability to continue to capture share in that market and the strength of the core offering is evidenced by things like order volume in Wayfair.com U.S. turning positive quarter-to-date.

是的。我猜想我還要補充什麼——所以我認為 Niraj 談到了一些季節性作品。顯然，我們也看到了市場份額的持續增長。我認為這確實說明了核心產品的實力。所以就你的觀點而言，克里斯，宏觀環境仍然有些不確定，我們對我們繼續在該市場佔據份額的能力感到非常滿意，核心產品的實力可以從 Wayfair.com 的訂單量等方面得到證明。積極的季度至今。

Yes. And then on the pricing front, can you talk about how you think about your strategy overall now? And is it different from what it used to be, i.e., you have you have these very fulsome savings on the cost of goods line. I think you used to try to price to market and not necessarily lead the market on price. How are you thinking about your pricing strategy relative to the overall market level now?

是的。然後在定價方面，你能談談你現在如何看待你的整體戰略嗎？它與以前不同嗎？也就是說，你在商品線的成本上有這些非常可觀的節省。我認為您曾經嘗試根據市場定價，但不一定在價格上引領市場。您現在如何考慮相對於整體市場水平的定價策略？

Yes, Chris. So I don't know that our pricing philosophy is super different than what it's been for a long time, but just to be clear on what it is for -- so we measure affected the customer's reaction to our price levels. So the price elasticity by different types of goods, different tranches of price. That is a factor in deciding what margin levels we use in different areas of the catalog. One of the inputs to that is understanding competitively where the field is in terms of competitors at price because, obviously, that affects the price elasticity kind of dynamic as well. When goods get to be more heavily branded, the elasticity tends to reflect the need to be very tight to market on price as good get to be less branded and increasingly also exclusive, then there's a factor of kind of you guys need to offer the customer price value, but there's a wider band of how you can price.

是的，克里斯。所以我不知道我們的定價理念與長期以來的定價理念有很大不同，只是為了弄清楚它的用途——所以我們衡量了客戶對我們價格水平的反應。所以價格彈性受不同種類商品、不同檔次的價格影響。這是決定我們在目錄的不同區域使用何種保證金水平的一個因素。對此的輸入之一是競爭性地了解該領域在價格方面的競爭對手，因為很明顯，這也會影響價格彈性的動態。當商品品牌化程度更高時，彈性往往反映出對市場價格非常嚴格的需求，因為好的品牌化程度越來越低，而且越來越排他性，那麼你們需要為客戶提供一個因素價格價值，但是您可以在更廣泛的範圍內定價。

So we try to do that quite scientifically. And then the underlying thing we've been doing, which you cited is we've been focusing on taking out as much cost as possible so that we can have the margin we want at retail prices we like. And that's what we've been doing. And so a lot of our ability, if you've seen the gross margin has held -- the gross margin is kind of the way we've been able to improve the gross margin all structural savings. So they are not things that are fleeting at all. And we feel like we can continue to actually unlock value in terms of savings, then we can choose to we pass those to the customer and get sharper on price. Or do we put some of it into our margin and there's a balance of what we'll do. But our philosophy hasn't changed, but we're in a much stronger position than we would have been when inventory availability was poor or, frankly, even before we did some of the things that we've done that have advantaged us.

所以我們嘗試非常科學地做到這一點。然後我們一直在做的基本事情，你提到的是我們一直專注於盡可能多地降低成本，以便我們能夠以我們喜歡的零售價格獲得我們想要的利潤。這就是我們一直在做的。所以我們的很多能力，如果你看到毛利率一直保持不變——毛利率是我們能夠提高所有結構性儲蓄的毛利率的一種方式。所以它們根本不是轉瞬即逝的東西。而且我們覺得我們可以繼續在節省方面實際釋放價值，然後我們可以選擇將這些傳遞給客戶並在價格上獲得更優惠的價格。或者我們是否將其中的一部分放入我們的保證金中，然後我們將要做的事情保持平衡。但我們的理念沒有改變，但我們的處境比庫存可用性差時或坦率地說，甚至在我們做一些對我們有利的事情之前。

Yes. I think the thing that I'd add to that, Chris, is as Niraj mentioned, we're really seeing nicely in Q1, the benefit of those operational cost savings that we laid out in January. And that continues to be a lever for us that we can pull throughout the rest of the year as we balance both maintaining and ensuring ongoing price competitiveness in this market, but also flowing some of that through to the gross margin line. And as we said on the call, we're very focused on generating gross profit dollars over a multi-quarter period. And I think you'll see some of that balance play out through the rest of the year.

是的。克里斯，我想我要補充的是，正如 Niraj 提到的那樣，我們在第一季度確實看到了很好的效果，即我們在 1 月份提出的運營成本節約的好處。這對我們來說仍然是一個槓桿，我們可以在今年餘下的時間裡利用它，因為我們在維持和確保這個市場持續的價格競爭力之間取得平衡，同時也將其中的一部分流向毛利率線。正如我們在電話會議上所說，我們非常專注於在多個季度內產生毛利潤。而且我認為你會在今年餘下的時間裡看到一些平衡。

Your next question comes from the line of Brian Nagel of Oppenheimer & Co.

你的下一個問題來自 Oppenheimer & Co. 的 Brian Nagel。

Congrats on the progress here. Nice work.

祝賀這裡取得的進展。幹得好。

Thanks, Brian.

謝謝，布萊恩。

Thank you.

謝謝。

So a couple of questions. First off, can you discussed in your comments, just I guess, the near term kind of need capital needs here, but recognizing you haven't necessarily given longer-term guidance, but as we're looking at the business model and the business model continue to evolve here. How should we think about kind of that longer-term capital needs of the business?

所以有幾個問題。首先，您能否在您的評論中討論一下，我猜，短期內需要資本需求，但認識到您不一定給出長期指導，但我們正在研究商業模式和業務模型在這裡繼續發展。我們應該如何考慮企業的長期資本需求？

Yes. Thanks, Brian, for the question. So I want to frame up how we think about CapEx and the components of it. There's 3 key components to CapEx. One is that line item that you see that sight and software development costs. That's capitalized technology labor, so our tech team. And you should see that line continue to moderate a bit based on the reduction in force that you've seen and the ongoing efficiency in our labor force. And I think you saw that show up a bit this quarter.

是的。謝謝布賴恩提出這個問題。所以我想總結一下我們如何看待資本支出及其組成部分。資本支出有 3 個關鍵組成部分。一個是您看到的那個項目和軟件開發成本。那是資本化的技術勞動力，所以我們的技術團隊。你應該看到，根據你所看到的勞動力減少和我們勞動力的持續效率，這條線繼續有所緩和。而且我認為您在本季度看到了這一點。

That's about 60% of the total CapEx expenditure in the quarter. The remainder, the PP&E is really related to 2 things: one, ongoing investments in our logistics infrastructure, that's really designed to provide increased efficiency out of that network. And two, the build-out of our physical retail network. So in this year, that's a Wayfair store that will open in the spring of 2024 as well as 2 specialty retail brands that will open this year. The sort of mix of those is roughly equal for the remainder of the CapEx you obviously saw that line moderate a bit in the first quarter, and we remain -- as we do with every line item here, we're very focused on driving efficiency there and continuing to run that as tightly as possible.

這大約佔本季度資本支出總額的 60%。其餘的 PP&E 確實與兩件事有關：一是對我們物流基礎設施的持續投資，這實際上是為了提高該網絡的效率。第二，建立我們的實體零售網絡。所以在今年，這是一家將於 2024 年春季開業的 Wayfair 商店以及將於今年開業的 2 個專業零售品牌。對於資本支出的其餘部分，這些組合大致相等，你顯然在第一季度看到這條線有點緩和，我們仍然 - 就像我們對這裡的每個項目所做的那樣，我們非常專注於提高效率在那裡並繼續盡可能緊密地運行它。

Okay. No, that's very helpful. And then my second question, unrelated, you talked about just the -- probably say improving consumer metrics here that we're seeing early in 2023. Obviously, a lot going on with Wayfair and a lot of initiatives. So as you step back, how much of what you're seeing right now in terms of improved consumer interaction, do you think is a function of specific efforts on the part of Wayfair versus maybe some easing on external prices in this space.

好的。不，這非常有幫助。然後我的第二個問題，無關的，你談到了 - 可能會說我們在 2023 年初看到的改善消費者指標。顯然，Wayfair 和許多舉措正在發生很多事情。因此，當你退後一步時，你現在在改善消費者互動方面看到的有多少，你認為是 Wayfair 方面的具體努力的結果，而不是這個領域外部價格的一些放鬆。

Well, so let me answer that a couple of different ways. So we're clearly taking market share. So I think the outcome is relative to competitors. We're clearly doing meaningfully better because that's kind of like, I guess, the definition of kind of the market share. As to the why are we doing better than competitors I think it's less about what the competitors are doing, and it's more about what we're doing. And so when we mentioned that recipe, again, great availability, fast delivery, great retail prices, and then kind of coupling that with all the things we're known for around customer service and motive shopping experience and product discovery and being tailored for home and kind of proprietary delivery advantage on heavy bulky items. That's kind of what we've built the business on over 20 years. We had a disruptive couple of years in the middle. If you go back a couple of years ago, because the COVID phenomenon while the beginning was a nice boom for our business. Very quickly, it turned into a tough stretch when availability got tough.

好吧，讓我用幾種不同的方式來回答這個問題。所以我們顯然正在佔據市場份額。所以我認為結果是相對於競爭對手而言的。我們顯然做得更好，因為我想這有點像市場份額的定義。至於為什麼我們比競爭對手做得更好，我認為這與競爭對手在做什麼無關，而與我們在做什麼有關。因此，當我們再次提到該配方時，可用性高、交貨快、零售價高，然後將其與我們以客戶服務、動機購物體驗和產品發現以及為家庭量身定製而聞名的所有事物結合起來以及大件物品的專有交付優勢。這就是我們 20 多年來建立業務的基礎。我們中間經歷了混亂的幾年。如果你回到幾年前，因為 COVID 現像一開始對我們的業務來說是一個很好的繁榮。很快，當可用性變得困難時，它就變成了一個艱難的時期。

There's a lot of inflation, supply chain kind of short and drove shortages of goods. And our platform model didn't have the advantage that it has in normal times and in recession times. And most times or normal times of recession times, where you could argue whether we're in a recession time now because there's an overstock of goods or whether we're in kind of more of a normal time because consumers do have money. And so that could be semantics because clearly, the goods -- the home goods market is not kind of on fire, right? It's down year-over-year and it's tough. But we have a great value proposition. And then as the market gets healthier, we're set up for that to be a big tailwind because of kind of how we operate. So I do think it's due to our actions.

有很多通貨膨脹，供應鏈有點短，導致商品短缺。而且我們的平台模式在正常時期和衰退時期都沒有優勢。大多數時候或經濟衰退時期的正常時期，你可以爭論我們現在是否處於經濟衰退時期是因為商品積壓，或者我們是否處於正常時期因為消費者確實有錢。所以這可能是語義上的，因為很明顯，商品——家居用品市場並沒有火起來，對吧？它逐年下降，而且很艱難。但我們有一個很好的價值主張。然後隨著市場變得更加健康，由於我們的運營方式，我們已經準備好成為一個巨大的順風。所以我確實認為這是由於我們的行為。

Your next question comes from the line of Ygal Arounian from Citigroup.

你的下一個問題來自花旗集團的 Ygal Arounian。

I want to dig into the gross margins a little bit nice to see the outperformance. I just want to maybe get a better picture. So I may have misunderstood, but I believe the way you guys spoke about the cost efforts was that they would be more back half weighted. And then it looks like you're starting to see some of those benefits right now. So just -- maybe on the cost efforts versus kind of organic improvements around pricing or normalization within that? And then if increased cash at adoption is driving some improvements there as well.

我想深入了解一下毛利率，看看表現如何。我只是想拍一張更好的照片。所以我可能誤解了，但我相信你們談論成本努力的方式是他們會更偏向一半。然後看起來您現在開始看到其中的一些好處。所以只是 - 也許是關於成本努力與圍繞定價或規範化的有機改進？然後，如果採用時增加的現金也推動了那裡的一些改進。

Great. Thanks for the question, Ygal. Let me start the answer, and then maybe Kate can also jump in on the thoughts she wants to add. And let me start by describing sort of the gross margin evolution over time because if you go back 4 or 5 years, we had a gross margin that was more like a 24% type number. And back then, what we were describing to folks is that we had -- and originally, we described 3 pillars and then we updated described 4 pillars that was a runway of over 1,000 basis points. And what those 4 pillars were, one was what we were doing in logistics which was building out our own proprietary logistics, which today comprise of both the inbound ocean freight leg through Cascade forwarding, the CastleGate fulfillment operations, which is our warehousing capability and fulfillment capability and then what we're doing on last miles (inaudible), whether that be with partners through sortation and induction or whether that be our sales on the heavy bulky items and that could take out a lot of cost because excess miles both slows down deliveries, increases damage, but frankly drives up cost. So it's a very complicated but exciting area because of how you impact not just the customer getting an item faster, but you take out costs.

偉大的。謝謝你的問題，Ygal。讓我開始回答，然後也許凱特也可以加入她想補充的想法。讓我首先描述一下毛利率隨時間的演變，因為如果你回到 4 或 5 年前，我們的毛利率更像是 24% 的類型數字。那時，我們向人們描述的是我們擁有 - 最初，我們描述了 3 個支柱，然後我們更新了描述的 4 個支柱，這是一條超過 1,000 個基點的跑道。這 4 個支柱是什麼，其中之一是我們在物流方面所做的工作，即建立我們自己的專有物流，今天包括通過 Cascade 轉運的入境海運，CastleGate 履行業務，這是我們的倉儲能力和履行能力，然後是我們在最後一英里所做的事情（聽不清），無論是通過分類和歸納與合作夥伴合作，還是我們對大件商品的銷售，這可能會花費很多成本，因為超長里程都會減慢速度交貨，增加損壞，但坦率地說會增加成本。所以這是一個非常複雜但令人興奮的領域，因為你不僅會影響客戶更快地獲得商品，還會影響成本。

The second of the 4 pillars was what we were doing around our house brands. Which were basically our private label brands where we're creating curation, creating better merchandising experiences, and also increasingly doing that with items that are exclusive or semi-exclusive to us. And that allowed us back to the question about how do we price and price elasticity, that allows us to have a wider band in deciding how we price and drives up conversion as well.

4 個支柱中的第二個是我們圍繞自家品牌所做的事情。這些基本上是我們的自有品牌，我們在其中創建策展，創造更好的營銷體驗，並且越來越多地使用我們獨有或半獨有的商品來做到這一點。這讓我們回到了我們如何定價和價格彈性的問題上，這讓我們可以在更廣泛的範圍內決定我們如何定價並提高轉化率。

The third was just around how is we concentrate volume with suppliers. And as their volume goes up, they can actually lower the price of the goods they sell while driving up their profit dollars. And so it's a win-win for them and for us and for the customer because in that sense, we can basically choose to keep some gross margin or pass it on, and that creates a very good dynamic. And then the last, which is the pillar we added was around supplier services. And this was as we started to offer services to suppliers outside of just us buying at wholesale and selling in retail and selling their item. And outside of what we're doing on CastleGate, on the logistics offerings.

第三個是關於我們如何集中供應商的數量。隨著銷量的增加，他們實際上可以降低所售商品的價格，同時提高利潤。因此，這對他們、我們和客戶來說都是雙贏的，因為從這個意義上說，我們基本上可以選擇保留一些毛利率或將其轉嫁，這創造了一個非常好的動力。然後是最後一個，這是我們添加的支柱是圍繞供應商服務。這是因為我們開始向供應商提供服務，而不僅僅是我們批發購買、零售銷售和銷售他們的商品。除了我們在 CastleGate 上所做的事情之外，還有物流產品。

The most notable one of which is our advertising offering where suppliers can advertise on our platforms to kind of drive their outcomes, and that's an ancillary high-margin revenue stream for us which is still, frankly, still in its early days. It's growing nicely, but it's still early. So those 4 topic areas, we each said, had hundreds of basis points in them each. And over time, we're going to unlock them, and then choose what of that we put into our gross margin, what of that we passed on to the consumer, which would allow us, obviously drive long-term profits because the lower prices drives more conversion, drives future orders, repeat orders, dollars per customer per year, et cetera.

其中最值得注意的一個是我們的廣告產品，供應商可以在我們的平台上做廣告以推動他們的成果，坦率地說，這對我們來說是一個輔助的高利潤收入來源，仍處於早期階段。它長得很好，但還早。所以這 4 個主題領域，我們每個人都說，每個都有數百個基點。隨著時間的推移，我們將解鎖它們，然後選擇我們將哪些投入我們的毛利率，哪些我們將其傳遞給消費者，這將使我們顯然能夠推動長期利潤，因為較低的價格推動更多轉化、推動未來訂單、重複訂單、每年每個客戶的美元等等。

And so what we've been doing is unlocking that road map. And what I mentioned earlier is you have a couple of year disruption in here in '21, '22, due to how COVID played out. And so the road map we have before that is still the road map we have now. We're back along it and moving along it aggressively. And that is creating a lot of benefit. So then specifically now to zoom in on the kind of over $1.4 billion of cost actions or specifically over $500 million of operational cost savings, which is part of that road map and how that plays out.

所以我們一直在做的是解鎖路線圖。我之前提到的是，由於 COVID 的表現，你在 21 年、22 年的這裡有幾年的中斷。因此，我們之前的路線圖仍然是我們現在的路線圖。我們沿著它回來並積極地沿著它移動。這創造了很多好處。因此，現在特別關注超過 14 億美元的成本行動，或者特別是超過 5 億美元的運營成本節省，這是該路線圖的一部分以及它是如何發揮作用的。

What that is, is that is a reflection of us both being aggressive on the long-term road map we've had an specifically also addressing a lot of inefficiencies that have prepped in a lot of which during the COVID period, which, again, have thrown us for a loop, but we're sort of well passed now in terms of executing tightly, and we're unlocking those savings and you're seeing those manifest in the way that we described where we choose what we put into our margin versus what we do on the retail price. But again, unlocking them in a structural way so we can keep this -- so they just build on each other versus kind of ebb and flow. And so that's kind of how we think about it and kind of how it's playing out. Kate, do you want to add anything to?

也就是說，這反映了我們都在長期路線圖上積極進取，我們還專門解決了許多低效率問題，這些問題在 COVID 期間已經準備好了，再次，已經讓我們陷入困境，但就嚴格執行而言，我們現在有點過關了，我們正在釋放這些節省，你會看到這些以我們描述的方式體現出來，我們選擇了我們投入的東西保證金與我們在零售價上所做的相比。但同樣，以一種結構化的方式解鎖它們，這樣我們就可以保持這一點——所以它們只是相互依賴，而不是潮起潮落。這就是我們對它的看法以及它的結果。凱特，你想添加什麼嗎？

Yes. I think you hit on it nicely in terms of the broad picture. And specific to the quarter, to your question on CastleGate, what I would add there is that the cost savings that we're talking about in the operational network go across our entire logistics infrastructure. So that would, of course, include the CastleGate piece of that logistics infrastructure, and we're very pleased with how that's manifesting. The other point that I make on gross margin while we're talking about it is -- and that I think is a little bit unique to Wayfair is that we're able to improve this gross margin during what has been a highly promotional period for the customer. And I think that shows the strength of our model and our ability to pass on that value to the customer support, frankly, our suppliers who want to pass on that value to the customer but do that well actually raising gross margin throughout 2022, and obviously, significant gross margin improvement this quarter and we expect that to sustain and grow from here.

是的。我認為你從大局來看很好地抓住了它。具體到這個季度，對於你關於 CastleGate 的問題，我要補充的是，我們在運營網絡中談論的成本節約涉及我們整個物流基礎設施。因此，當然，這將包括物流基礎設施的 CastleGate 部分，我們對它的表現方式感到非常滿意。在我們談論毛利率時，我提出的另一點是 - 我認為 Wayfair 的獨特之處在於，我們能夠在高度促銷期間提高毛利率客戶。而且我認為這顯示了我們模型的優勢以及我們將價值傳遞給客戶支持的能力，坦率地說，我們的供應商希望將價值傳遞給客戶但做得很好實際上在整個 2022 年提高了毛利率，而且顯然，本季度毛利率顯著提高，我們預計這將持續並從這裡增長。

Great. That's a really helpful answer. And then I want to follow up on the capital allocation question a little bit more. And maybe is (inaudible) Kate, you mentioned the physical store opportunity investment there. Just trying to understand, (inaudible), on that front, what the kind of ultimate goal is when -- what level of physical infrastructure is the right level that helps kind of build off of the online business?

偉大的。這是一個非常有用的答案。然後我想進一步跟進資本配置問題。也許是（聽不清）凱特，你提到了那裡的實體店機會投資。只是想了解，（聽不清），在這方面，最終目標是什麼——什麼水平的物理基礎設施是有助於建立在線業務的正確水平？

And then maybe second on international, right, margins going to continue, certainly an improvement quarter-over-quarter, a nice improvement, but continue to be well below the North American business. And so just how you think about the international business and the investment needed there?

然後可能在國際上排名第二，對吧，利潤率將繼續，當然比上一季度有所改善，這是一個不錯的改善，但繼續遠低於北美業務。那麼您如何看待國際業務和那裡所需的投資？

Sure. Ygal, why don't I start on the CapEx question and then Niraj can certainly chime in. So on the physical retail piece, just a level set on where we are today, we have 2 specialty retail or 3 specialty retail stores open the first -- those are small format sort of testing and helping us learn the model physical retail. The first large format waste air stores, we mentioned, will open in the spring of 2024 and we're opening 2 additional specialty retail stores this year. As with all new initiatives, we are really in a test and itery phase. So we want to be prudent and thoughtful about how we roll this out, learn from these first few stores and then determine further expansion based on that. But I think what you're seeing now is really us testing the model and starting to put a few players on the board there. I think Niraj probably can jump in on physical retail and then I'm happy to go back to your second question on the international margin trajectory.

當然。 Ygal，為什麼我不從資本支出問題開始，然後 Niraj 肯定會插話。所以在實體零售方面，就我們今天所處的水平而言，我們有 2 家專業零售店或 3 家專業零售店開設了第一家- 這些是小型測試，幫助我們學習模型實體零售。我們提到，第一家大型廢氣商店將於 2024 年春季開業，今年我們將再開設 2 家專賣店。與所有新舉措一樣，我們確實處於測試和迭代階段。因此，我們希望對我們如何推出這一點持謹慎和深思熟慮的態度，從最初的幾家商店中學習，然後在此基礎上確定進一步的擴張。但我認為你現在看到的實際上是我們在測試模型並開始讓一些參與者參與其中。我認為 Niraj 可能會涉足實體零售，然後我很高興回到你關於國際利潤率軌蹟的第二個問題。

I think I was going to touch on it slightly differently, which is also just to kind of zoom in on the beginning, what you said with our capital allocation questions. And by that, one way, I think, to answer your question is to think about this. The $1.4 billion of cost actions, that plan that we outlined was a plan that we think gets us back to being very focused, prioritizing the right actions, being very aggressive with that, making sure the recipe is intact. But what it didn't do was we didn't try to say, hey, how do you cut the cost structure to really optimize the business to maximize profitability today. What we left in is a very significant amount of expense on things that do not drive productive economic return today that we think could be meaningful in the future.

我想我會略有不同地觸及它，這也只是為了放大一開始，你在我們的資本配置問題中所說的內容。通過這種方式，我認為回答您的問題的一種方式是考慮這一點。 14 億美元的成本行動，我們概述的計劃是我們認為讓我們回到非常專注的計劃，優先考慮正確的行動，對此非常積極，確保配方完好無損。但它沒有做的是我們沒有嘗試說，嘿，你如何削減成本結構以真正優化業務以最大化今天的盈利能力。我們留下的是在今天不會推動生產性經濟回報但我們認為在未來可能有意義的事情上的大量支出。

And International, for example, is losing money as a segment, but we actually believe that we have real potential there. We have a household brand in 2 of the international markets we're in. We have input metrics we like in those markets. We have a more challenging macro in some of those. Physical retail, Kate mentioned super early, there, there's a lot of reasons, a lot of external proof around how omnichannel drives value. But we're in the early days. So we're going to -- right now, for example, we have a lot of CapEx going to open the first Wayfair large-format store. Obviously, that store today produces zero revenue.

例如，國際作為一個細分市場正在虧損，但我們實際上相信我們在那裡有真正的潛力。我們在我們所處的兩個國際市場中擁有家喻戶曉的品牌。我們在這些市場中擁有我們喜歡的輸入指標。我們在其中一些方面有更具挑戰性的宏。實體零售，凱特很早就提到了，那裡有很多原因，很多關於全渠道如何推動價值的外部證據。但我們還處於早期階段。所以我們要——現在，例如，我們有很多資本支出要開設第一家 Wayfair 大型商店。顯然，該商店今天的收入為零。

It's not open yet, right? And so that's an expense that we have. And so there's areas of the business where we're aggressively investing for the future. And we think that, that's wise, but we think we can actually be meaningfully profitable while doing that. And so that's kind of the way we balance in. So we're going to be careful not to have too many places that we're investing because each one needs appropriate amount of focus and prioritization in order to really have a shot at succeeding and breaking through. But we're also -- we also are keeping that Board of strategic initiatives that could be meaningful kind of there and investing in them in a healthy way so that they actually are set up to flourish. And that's kind of the way I think about it.

還沒開放吧？所以這是我們的費用。因此，我們正在為未來積極投資的業務領域。我們認為那是明智的，但我們認為這樣做實際上可以帶來有意義的利潤。這就是我們平衡的方式。所以我們要小心，不要在我們投資的地方太多，因為每個地方都需要適當的關注和優先次序，以便真正有機會取得成功和突破。但我們也 - 我們也保留了可能有意義的戰略計劃董事會，並以健康的方式對其進行投資，以便它們實際上能夠蓬勃發展。這就是我的想法。

Yes. The overall goal is invest and be profitable, right? We want to be driving profitable growth, and you'll see the sort of first marker on that and the adjusted EBITDA positive in Q2. On international margins, specifically this quarter, obviously, what you've seen there is significant reduction in the losses. We just about half the losses there. As we said on the last call, the cost takeout that we've done has been across the board. We are focused on driving the profitability everywhere that we operate. And as Niraj mentioned, we're pleased with some of the efforts that we see there. We spoke about Canada on the call and the market share gains in Canada and our prominence there. And the last thing I would add on those margins, just to keep in mind, we've spoken about this before, but we do have overhead allocation that goes both to the U.S. and to our international business. And so as we reduce our overhead costs been obviously working very hard on, you'll see some of that benefit flow through the international EBITDA margins as well.

是的。總體目標是投資並獲利，對吧？我們希望推動盈利增長，你會看到第一個標誌和第二季度調整後的 EBITDA 為正。在國際利潤率上，特別是本季度，很明顯，你所看到的損失顯著減少。我們那裡的損失只有一半左右。正如我們在上次電話會議上所說，我們所做的成本削減是全面的。我們專注於在我們經營的所有地方提高盈利能力。正如 Niraj 提到的，我們對在那裡看到的一些努力感到滿意。我們在電話會議上談到了加拿大，以及加拿大市場份額的增長以及我們在那裡的知名度。我要補充的最後一件事是，請記住，我們之前已經談過這個問題，但我們確實有分配給美國和國際業務的間接費用。因此，當我們明顯努力降低間接成本時，您會看到其中一些收益也通過國際 EBITDA 利潤率流動。

Next question comes from the line of Oliver Wintermantel from Evercore ISI.

下一個問題來自 Evercore ISI 的 Oliver Wintermantel。

If I look at the orders delivered, they're back to pre-pandemic levels using 1Q '20 as that. And the order value is still bigger. There's probably some -- still some inflation in there. If you look at that orders delivered number, is that now a good way to look at the business that back to pre-pandemic levels? And then on the order value, how much of that was inflation?

如果我查看交付的訂單，它們會回到使用 20 年第一季度的大流行前水平。而且訂單價值還是比較大的。可能有一些 - 那裡仍然存在一些通貨膨脹。如果您查看訂單交付數量，現在是否是查看業務恢復到大流行前水平的好方法？然後關於訂單價值，其中有多少是通貨膨脹？

Yes. I'm trying to think what would be helpful too. I mean I guess the way to think about it is on the inflation front, there's significant inflation, that inflation is well on its way of coming back out. And so one of the things we have mentioned is that starting a year ago, basically last summer, is really when the rest to get back intact. It started with availability getting better in the spring of last year. But as you went through the summer, speed got better. And then by late summer, price had gotten better. And what was really happening there is a lot of that was suppliers recognizing that shipping costs in particular ocean freight had abated and starting the price goods reflecting what their replacement cost of those items would be. Now that's going to take one because there's a lot of excess inventory that ring their way through and they don't have to say price at all to the future price right away. But the debt deflation is coming through. So there will be some deflation.

是的。我也在想什麼會有幫助。我的意思是，我想考慮它的方式是在通貨膨脹方面，通貨膨脹很嚴重，通貨膨脹正在回歸。所以我們提到的一件事是，從一年前開始，基本上是去年夏天，真的是在休息完好無損的時候。它從去年春天的可用性開始變得更好。但是當你度過夏天時，速度變得更好了。然後到了夏末，價格變得更好了。真正發生的事情有很多是供應商認識到運輸成本，特別是海運成本已經降低，並開始為商品定價，以反映這些商品的重置成本。現在這將需要一個，因為有很多過剩的庫存在他們的路上響起，他們根本不必馬上說出未來價格的價格。但債務通縮正在到來。所以會有一些通貨緊縮。

The thing I will point out though is this has been a question that we've got on a private call as well, we won't then the AOV decline be a drag on revenue. And one of the things we've pointed out is that what we've seen historically is actually that, is an accelerant on conversion, effectively on order count and customer count. And so when you're creating the revenue outlook, you've got to take kind of customer/orders multiply that by AOV, right, to get revenue. And it's -- while it's not kind of the easiest math to kind of think through, there's a very direct correlation there, and that's what we're seeing play out. And we mentioned orders, for example, on Wayfair.com are up quarter-to-date. And I think some of what's made comps hard is that, again, last year, first half had wonky comps as those ease, which they're easing here. And you get to the normal period, the back half of last year, that plays through. But I think these are, I think, the different moving parts.

不過，我要指出的是，這也是我們在私人電話中提出的一個問題，那麼 AOV 的下降不會拖累收入。我們已經指出的一件事是，我們從歷史上看到的實際上是轉化的促進劑，有效地提高了訂單數量和客戶數量。因此，當您創建收入前景時，您必須將某種客戶/訂單乘以 AOV，對，以獲得收入。它是——雖然這不是最容易思考的數學問題，但它們之間存在非常直接的相關性，這就是我們所看到的結果。我們提到過，例如，Wayfair.com 上的訂單是季度最新的。而且我認為一些讓 comps 變得困難的原因是，同樣，去年，上半年有不穩定的 comps 作為那些輕鬆的，他們正在放鬆。然後你進入了正常時期，即去年下半年，它一直在發揮作用。但我認為這些是不同的活動部分。

Yes. I would just reiterate to your question, we should see order volume improvement, right? So as the AOV, as you pointed out, which is still inflated, as that starts to moderate, we should see that order volume grow. And that then translates into customer growth. Those are the right underlying fundamentals, right? We'd rather have order volume and customer growth and AOV growth on a sustained period as we can then remarket to those customers, and they become engaged in the platform. So that is a trend that we are encouraged by.

是的。我只想重申你的問題，我們應該看到訂單量有所改善，對嗎？因此，正如您指出的那樣，AOV 仍然膨脹，隨著它開始緩和，我們應該看到訂單量增長。然後轉化為客戶增長。這些是正確的基本原理，對嗎？我們寧願讓訂單量、客戶增長和 AOV 持續增長，因為我們可以向這些客戶進行再營銷，他們就會參與該平台。因此，這是一個令我們感到鼓舞的趨勢。

Got it. And maybe in that regard on the gross margin side, have you seen any price elasticity there? Like your gross margins have gone up, which is great, but the revenues are still down. Is there a way for you to maybe reinvest more in price and get the revenues and orders up? Or have you not seen the price elasticity when you reduce prices?

知道了。也許在毛利率方面，您看到那裡有任何價格彈性嗎？就像你的毛利率上升了，這很好，但收入仍在下降。有沒有辦法讓你在價格上進行更多的再投資並增加收入和訂單？還是降價的時候沒看到價格彈性？

Well, this is what I tried to address earlier when I said about gross margin. That opportunity is definitely there, but we -- that's what we're doing. So in other words, we're continuing to unlock cost savings. We're then deciding what we put into price -- lowering price and what we put into our gross margin. And there's kind of a pretty heavy road map there. So there's definitely opportunity for us to continue and the plan is for us to continue to do that as we go through time.

好吧，這就是我之前談到毛利率時試圖解決的問題。這個機會肯定存在，但我們——這就是我們正在做的。所以換句話說，我們將繼續節省成本。然後，我們將決定我們對價格的投入——降低價格和我們對毛利率的投入。那裡有一張相當繁重的路線圖。所以我們肯定有機會繼續下去，我們的計劃是隨著時間的推移繼續這樣做。

Yes. Oliver, as you know, we have a very sophisticated pricing model mechanism. So this is something that we constantly are pressure testing. We said we'd achieved about half of those operational cost savings. So there's more to go there, and we can make a real-time decision on how much of that flows through to price to your point and generate future orders and how much of that flows directly through to gross margin, and that will depend a little bit on the market and what we're seeing with our customer.

是的。奧利弗，如你所知，我們有一個非常複雜的定價模型機制。所以這是我們不斷進行壓力測試的事情。我們說我們已經實現了大約一半的運營成本節約。因此，還有更多事情要做，我們可以實時決定其中有多少流向您的價格並生成未來訂單，以及有多少直接流向毛利率，這將取決於一點點位在市場上以及我們與客戶看到的情況。

Your next question comes from the line of Anna Andreeva from Needham.

你的下一個問題來自 Needham 的 Anna Andreeva。

One on active customers. You've seen some stability at the enterprise level in the last couple of quarters already. Just curious, what does that number look like for U.S. only? Just any color, what are you seeing in terms of gross adds and churn in the U.S. as some of the promo initiatives are clearly resonating with the consumer.

一個關於活躍客戶。在過去的幾個季度中，您已經看到企業級的一些穩定性。只是好奇，這個數字對於美國來說是什麼樣的？就任何顏色而言，您在美國的總增加量和流失率方面看到了什麼，因為一些促銷活動顯然引起了消費者的共鳴。

And then secondly, I wanted to follow up on advertising. So your sales came in on plan and advertising was below the range you had provided. Could you talk about what you're seeing there with the efficiencies? And what is working specifically?

其次，我想跟進廣告。所以你的銷售按計劃進行，廣告低於你提供的範圍。你能談談你在那裡看到的效率嗎？什麼是具體工作？

Yes. On the first question around active customers, I think we've tried to point out that sequentially, you're seeing that number start to stabilize. And we mentioned quarter-to-date on Wayfair.com, for example, order count is up quarter-to-date. In terms of the active customer account for the U.S., I'll let Kate comment on that. I don't know what...

是的。關於活躍客戶的第一個問題，我想我們已經試圖依次指出，你看到這個數字開始趨於穩定。我們在 Wayfair.com 上提到了季度至今，例如，訂單數量是季度至今的。關於美國的活躍客戶賬戶，我會讓凱特對此發表評論。我不知道什麼...

We actually -- we don't disclose the breakout, but I think you're pointing to a trend that you can see in the revenue breakout across the U.S. and the international business. And certainly, we've already mentioned the order piece in the U.S., that would probably naturally equate to customer improvements in the U.S. business relative to the international business. I think your second question was on AC&R leverage and how we're looking at that for the quarter.

我們實際上 - 我們沒有透露突破，但我認為你指出的趨勢可以在美國和國際業務的收入突破中看到。當然，我們已經提到了美國的訂單，這可能自然等同於美國業務相對於國際業務的客戶改進。我認為你的第二個問題是關於 AC&R 的槓桿作用以及我們如何看待本季度的槓桿作用。

Yes. Kate, can I just jump in on that and then you can maybe add thoughts to it. Yes. So advertising, again, that $1.4 billion kind of over $1.4 billion set of cost actions that we outlined in January to help folks try to understand everything we've been talking about since last summer but put it into context. We cited advertising on there as one of the items. I think it was the third item on the list is in a group of some other things. On advertising, here, I think it's important to understand how we think about the ad cost because I think there's sometimes some misconception. And so I think the easiest way to think about it is think of it as having 3 buckets of that cost.

是的。凱特，我能不能插話一下，然後你可以添加一些想法。是的。因此，再次宣傳我們在 1 月份概述的 14 億美元的超過 14 億美元的成本行動，以幫助人們試圖理解我們自去年夏天以來一直在談論的一切，但將其置於上下文中。我們將那裡的廣告列為其中一項。我認為這是列表中的第三項是一組其他內容。在廣告方面，我認為了解我們如何看待廣告成本很重要，因為我認為有時會存在一些誤解。因此，我認為考慮它的最簡單方法是將其視為具有 3 個成本桶。

And the first bucket, which is by far the largest bucket, think of that as kind of evergreen. And by evergreen what I mean is, these are different advertising channels that are highly measurable, that are run to very tight paybacks and that we are looking to increase our spend there. But within that payback constraint, that's very tight and very measurable. And how can we do that? We can do that with targeting. We can do that with different creative ad units. We can do that by helping the conversion on the traffic. And so that, we're continuing to maximize.

第一個桶是迄今為止最大的桶，可以將其視為常青樹。常青樹的意思是，這些是高度可衡量的不同廣告渠道，回報率非常低，我們希望增加在那裡的支出。但在回報限制範圍內，這是非常嚴格且非常可衡量的。我們該怎麼做？我們可以通過定位來做到這一點。我們可以使用不同的創意廣告單元來做到這一點。我們可以通過幫助流量轉換來做到這一點。因此，我們將繼續最大化。

Then there's a second bucket, which is generally top of funnel type advertising. So television would be kind of the poster child of this, but there's other things in this bucket. Those are channels that we can measure, but the error band around measurement there is larger. You can't measure them quite as precisely as you can measure that first bucket. So you -- the measurement methods there more triangulate in on what you believe the value is there. So inside that band, you could spend at the low end of the band or the high end of the band. And it would be within the band that you think is productive for the spend. But again, there's an arrow band there. And there, what we've done is we biased towards being lower in the band rather than being higher in the band, and we're getting good results from that.

然後是第二個桶，一般是漏斗型廣告的頂部。所以電視是這方面的典型代表，但這個桶裡還有其他東西。這些是我們可以測量的通道，但測量周圍的誤差範圍更大。你無法像測量第一個水桶那樣精確地測量它們。所以你 - 那裡的測量方法更多地根據你認為那裡的價值進行三角測量。因此，在該頻段內，您可以在頻段的低端或高端消費。它會在您認為對支出有成效的範圍內。但同樣，那裡有一個箭頭帶。在那裡，我們所做的是我們偏向於在頻段中處於較低位置而不是在頻段中處於較高位置，並且我們從中獲得了良好的結果。

And then the think of the third bucket as an R&D bucket. So these are advertising channels that do not yet operate at the payback we want them to, but we believe they could. So we're experimenting in these channels, figuring out what -- trying to find breakthroughs of what works, what doesn't work. And once you get to a productive approach there, we're getting the payback you want, you would then scale it. And these channels would then go into either bucket 1 or bucket 2 depending on what kind of advertising channel it is. There, what we've done is we've taken a top-down approach and saying, hey, what percent of our ad budget or how many dollars are we willing to put into R&D -- and then we take -- we're now seeing that amount and deciding, Well, which of these opportunities we see, do we want to invest in to get breakthroughs. And we're kind of doing that top down rather than bottoms up. Because bottoms up, you can end up with many different opportunities with many different ideas of what to test and it could add up to being a higher percentage of your total ad spend than you would like.

然後將第三個桶視為研發桶。因此，這些廣告渠道尚未達到我們希望的回報率，但我們相信它們可以。因此，我們正在這些渠道中進行試驗，弄清楚什麼——試圖找到有效的突破，什麼無效。一旦你在那裡採用了一種富有成效的方法，我們就會得到你想要的回報，然後你就可以擴展它。然後，這些渠道將根據廣告渠道的類型進入第 1 桶或第 2 桶。在那裡，我們所做的是採取自上而下的方法，然後說，嘿，我們願意將廣告預算的百分比或多少美元投入研發 - 然後我們採取 - 我們是現在看到這個數量並決定，好吧，我們希望在這些機會中投資哪些以取得突破。我們有點自上而下而不是自下而上。因為自下而上，您最終可能會遇到許多不同的機會，對要測試的內容有許多不同的想法，並且它可能會加起來佔您總廣告支出的百分比高於您的預期。

It will obviously (inaudible) your AC&R because it's running at a very high AC&R percentage. It's not a payback yet. And so by deciding top-down, again, there's some chance we're real excited about. So what we did is that's still a nice good amount of money to spend, but it's defined to make sure it doesn't grow to be too high a percentage (inaudible) doing it (inaudible) -- and that has also driven benefit in AC&R. So AC&R we've been able to make more efficient without hurting our ability to strategically use advertising to grow. And then remember, this is all with the headwind of the free paid mix, which we talked about on prior calls, which is the easiest way to think about this is the category is currently out of favor, right? We talked about the category being down 20% year-over-year.

它顯然（聽不清）您的 AC&R，因為它以非常高的 AC&R 百分比運行。這還不是回報。因此，通過自上而下的決定，我們有機會再次感到非常興奮。所以我們所做的是，這仍然是一筆可觀的支出，但它的定義是為了確保它不會增長到太高的百分比（聽不清）這樣做（聽不清）——這也推動了收益空調和空調。因此，我們能夠在不損害我們戰略性地使用廣告來實現增長的能力的情況下，提高 AC&R 的效率。然後記住，這完全是免費付費組合的逆風，我們在之前的電話會議上談到過，這是目前不受歡迎的類別最簡單的思考方式，對吧？我們談到該類別同比下降 20%。

Well, the category, it's a discretionary category, and it's interest will ebb and flow with the kind of broader economy. And then frankly, it has a bigger ebb and flow when you think about the COVID sort of boom at the very beginning of COVID, and then the kind of boom that followed it and the thing that people had a bust in which was travel, entertainment, restaurant spend, both of these boom-bust cycles will normalize out. They typically are more correlated to each other around the economy. And as it does, that prepaid mixture turn into being a tailwind because people are just naturally more interested in the category. The easiest illustrative example is if travel is in a boom cycle in homes not, if you get an e-mail from Booking.com and an e-mail from Wayfair, which one are you more likely to click on? Simply put. And that's kind of like that prepaid mix. So that's still a headwind. So that's kind of -- the ad costs gotten much more efficient due to what I described about the 3 buckets, and that's despite the headwind.

好吧，這個類別，它是一個可自由支配的類別，它的興趣會隨著更廣泛的經濟而起伏不定。然後坦率地說，當你想到 COVID 最開始時的 COVID 那種繁榮，然後是隨之而來的那種繁榮，以及人們在旅遊、娛樂方面遭遇蕭條的事情時，它有更大的潮起潮落，餐廳消費，這兩個繁榮-蕭條週期都會正常化。它們通常在經濟中彼此更相關。正如它所做的那樣，這種預付費組合變成了順風，因為人們自然而然地對該類別更感興趣。最簡單的示例是，如果旅行在家庭中處於繁榮週期，而不是，如果您收到一封來自 Booking.com 的電子郵件和一封來自 Wayfair 的電子郵件，您更有可能點擊哪一個？簡單的說。這有點像預付費組合。所以這仍然是一個逆風。所以這有點——由於我對 3 個桶的描述，廣告成本變得更有效率，儘管有逆風。

I think we just have time for one more question.

我想我們還有時間再問一個問題。

And our last question comes from the line of Curtis Nagle from BofA.

我們的最後一個問題來自美國銀行的 Curtis Nagle。

I guess 2 quick ones. One, how to think about, I guess, the inventory flow in the industry coming through the rest of the year. It seems like that's been a nice tailwind for you guys to think that continues -- maybe as surplus cleaning up a little bit. And then just any commentary in terms of, I guess, the latest thinking on addressing the 25 converts and kind of what's the strategy around that?

我猜是 2 個快速的。第一，我想如何考慮今年餘下時間該行業的庫存流動。看起來這對你們來說是一個很好的順風，讓你們認為這種情況會繼續下去——也許是清理了一點多餘的東西。然後只是任何評論，我想，關於解決 25 名皈依者的最新想法以及圍繞它的策略是什麼？

Yes Great. Let me answer the first part about inventory flow, and then may I'll turn it over to Kate to answer the second question about the convert. On the inventory flow, since last spring, suppliers have had excess inventory. And that, depending on the supplier and how aggressive they were on it and where they started from, some of the work their way through it, some are still working their way through it. Some believe they still -- it will take them into early next year to work their way through it. I'd be cautionary around thinking of that as a temporary sort of tailwind or temporary health. The way to think about it is actually the way the business model works is it our model works very well, whether there's kind of an appropriate amount of inventory or an excess amount of inventory. Because what it does is it basically allows the suppliers to lean in and compete against one another to put value in front of the customer. The excess inventory actually is a bit of a challenge right now because it came in at such a high-cost basis.

對，很好。讓我回答關於庫存流量的第一部分，然後我可以把它交給凱特來回答關於轉換的第二個問題。庫存流向方面，自去年春季以來，供應商庫存過剩。而且，這取決於供應商以及他們在這方面的積極程度以及他們從哪裡開始，一些工作通過它，一些仍在努力通過它。一些人認為他們仍然 - 它將把他們帶到明年初來完成它。我會謹慎地將其視為一種暫時的順風或暫時的健康。考慮它的方式實際上是商業模式的運作方式，我們的模式是否運作良好，無論是適當的庫存量還是過量的庫存量。因為它所做的基本上是允許供應商相互競爭，將價值擺在客戶面前。過剩庫存現在實際上是一個挑戰，因為它是在如此高的成本基礎上出現的。

Suppliers are not in a great position to necessarily be as aggressive as they would like to be. And as it normalizes, they then bring goods in that are at a more normal level actually, the wholesale costs and therefore, the retail costs will continue to decline as it normalizes out, not increase. And so that's kind of a (inaudible) based on the dynamic of what happened a year ago. But it's an important one to appreciate because as we get further into the cycle, we believe that our competitive position actually gets advantaged more, not disadvantaged.

供應商不一定能像他們希望的那樣積極進取。當它正常化時，他們會帶來實際上處於更正常水平的貨物，批發成本和因此零售成本將隨著正常化而繼續下降，而不是增加。因此，這有點（聽不清）是基於一年前發生的事情的動態。但這是一個值得重視的重要因素，因為隨著我們進一步進入周期，我們相信我們的競爭地位實際上會獲得更多優勢，而不是處於不利地位。

Just to touch on your question around the capital structure. So we -- you're referencing the 2025 to just remind everyone that a late 2025 maturity. And we believe we have multiple options at our disposal for how to manage this going forward, and we'll continue to be opportunistic there. So I'd point you to our September transaction, which is a liability management transaction, we pushed out some of the 2024 and 2025 maturities is the kind of thing that we might do going forward. I think that's a good example of how we look at it.

只是談談你關於資本結構的問題。所以我們——你提到 2025 年只是為了提醒大家 2025 年後期的成熟度。我們相信我們有多種選擇來處理未來的情況，我們將繼續在那裡投機取巧。所以我要指出我們 9 月份的交易，這是一項負債管理交易，我們推遲了一些 2024 年和 2025 年的到期日，這是我們未來可能會做的事情。我認為這是我們如何看待它的一個很好的例子。

Great. With that, thank you, everyone for joining.

偉大的。有了這個，謝謝大家的加入。

Thank you, everybody. Talk to you next quarter.

謝謝大家。下個季度再談。

That does conclude our conference for today. Thank you for participating. You may now all disconnect.

我們今天的會議到此結束。感謝您的參與。您現在可能會全部斷開連接。