Williams-Sonoma Inc (WSM) 2021 Q4 法說會逐字稿

Welcome to the Williams-Sonoma, Inc. Fourth Quarter and Fiscal Year 2021 Earnings Conference Call. Today's conference is being recorded. (Operator Instructions)

歡迎參加 Williams-Sonoma, Inc. 第四季度和 2021 財年收益電話會議。今天的會議正在錄製中。 （操作員說明）

I would now like to turn the call over to Jeremy Brooks, Chief Accounting Officer and Head of Investor Relations. Please go ahead.

我現在想將電話轉給首席會計官兼投資者關係主管 Jeremy Brooks。請繼續。

Good afternoon, and thank you for joining our fourth quarter and fiscal '21 earnings call. I'd like to remind you that during this call, we will make forward-looking statements with respect to future events and financial performance, including guidance for fiscal '22 and our long-term outlook. Although we believe these statements reflect our best estimates and all available information, we cannot make any assurances that these statements will materialize, and actual results may differ significantly from our expectations. The company undertakes no obligation to publicly update or revise any of these statements to reflect events or circumstances that may arise after today's call.

下午好，感謝您參加我們的第四季度和 21 財年財報電話會議。我想提醒您，在本次電話會議期間，我們將對未來事件和財務業績做出前瞻性陳述，包括對 '22 財年的指導和我們的長期展望。儘管我們相信這些陳述反映了我們的最佳估計和所有可用信息，但我們不能保證這些陳述將成為現實，實際結果可能與我們的預期有很大差異。公司不承擔公開更新或修改任何這些聲明以反映今天電話會議後可能出現的事件或情況的義務。

Additionally, we will refer to certain non-GAAP financial measures. These measures should not be considered replacements for and should be read together with our GAAP results. A reconciliation of non-GAAP measures to the most directly comparable GAAP measures along with an explanation of how and why we use these measures appears in Exhibit 1 to the press release we issued earlier today. This call should also be considered in conjunction with our periodic and annual filings with the SEC.

此外，我們將參考某些非公認會計準則財務指標。這些措施不應被視為替代我們的公認會計原則結果，而應與我們的公認會計原則結果一起閱讀。非 GAAP 措施與最直接可比的 GAAP 措施的對賬，以及我們如何以及為何使用這些措施的解釋，請參見我們今天早些時候發布的新聞稿的附件 1。此電話還應與我們向 SEC 提交的定期和年度文件一起考慮。

Finally, the call is being recorded, and a replay will be available on our Investor Relations website. Now I'd like to turn the call over to Laura Alber, our President and Chief Executive Officer.

最後，通話將被錄音，我們的投資者關係網站上將提供重播。現在我想把電話轉給我們的總裁兼首席執行官勞拉·阿爾伯。

Thank you, Jeremy. Good afternoon, everyone, and thank you all for joining us. We're thrilled to deliver a strong finish to fiscal 2021, driving record results with a Q4 comp of 10.8% and operating margin expansion of 310 basis points. These results reflect the resilience in our business model as we successfully navigated unprecedented challenges within the supply chain, material and labor shortages and capacity limitations from our incredible consumer demand. This resilience, coupled with continued execution in our growth initiatives, fueled an annual comp of 22%, operating margin expansion of 350 basis points, and EPS growth of 64% to $14.85 per share.

謝謝你，傑里米。大家下午好，感謝大家加入我們。我們很高興能夠在 2021 財年取得強勁的業績，以 10.8% 的第四季度業績和 310 個基點的營業利潤率擴大創紀錄的業績。這些結果反映了我們商業模式的彈性，因為我們成功應對了供應鏈中前所未有的挑戰、材料和勞動力短缺以及來自我們令人難以置信的消費者需求的產能限制。這種彈性，加上我們在增長計劃中的持續執行，推動了 22% 的年復合增長率、350 個基點的營業利潤率增長和 64% 的每股收益增長至 14.85 美元。

Our 3 key differentiators, our in-house design, our digital-first channel strategy and our values, continue to provide the framework for execution both in our core business and in our growth areas like B2B, Marketplace, cross-brands and our global business, which excitingly have all gained traction faster than predicted and demonstrate to us that we are well positioned to continue to take share in this industry.

我們的 3 個關鍵差異化因素、我們的內部設計、我們的數字優先渠道戰略和我們的價值觀，繼續為我們的核心業務和 B2B、市場、跨品牌和我們的全球業務等增長領域提供執行框架，令人興奮的是，所有這些都比預期更快地獲得了牽引力，並向我們證明我們有能力繼續在這個行業中佔有一席之地。

First, let's spend some time on our top line performance in the fourth quarter. Throughout fiscal 2021, we continued a deliberate reduction in our site-wide promotional cadence in all of our brands. Instead, we shifted our focus on delivering aspirational and inspirational content, and our customers clearly responded. This pricing power is entirely a function of our differentiated and sustainable product offering that our customers know and love. And further, despite the highly promotional environment in the fourth quarter, we made a conscious decision to maintain this pricing integrity and not pursue incremental top line at the cost of our merchandise margins. In fact, we delivered gross margin expansion of 290 basis points in the quarter. Further, this pricing power has allowed us the flexibility to absorb supply chain costs and aggressively fund marketing efforts.

首先，讓我們花一些時間在第四季度的收入表現上。在整個 2021 財年，我們繼續故意降低所有品牌的全站促銷節奏。相反，我們將重點轉移到提供有抱負和鼓舞人心的內容上，我們的客戶做出了明確的回應。這種定價能力完全是我們客戶了解和喜愛的差異化和可持續產品的功能。此外，儘管第四季度的促銷環境非常好，我們還是有意識地決定保持這種定價的完整性，而不是以我們的商品利潤為代價來追求增加的收入。事實上，我們在本季度實現了 290 個基點的毛利率增長。此外，這種定價能力使我們能夠靈活地吸收供應鏈成本並積極資助營銷工作。

Our bottom line performance in the fourth quarter speaks for itself. We drove operating margin of 21% and a 37% increase in EPS, both of which demonstrate the durability of our earnings power through execution in our core and growth initiatives, which I'm excited to update you on now.

我們在第四季度的業績不言而喻。我們推動了 21% 的營業利潤率和 37% 的每股收益增長，這兩者都通過執行我們的核心和增長計劃證明了我們盈利能力的持久性，我很高興現在向您介紹這些計劃。

Our B2B business continues to outperform, building its book of business to $753 million in 2021. B2B is an underserved and fractured industry as we continue to take share in this white space, servicing businesses that need high-quality, sustainable furnishings at good price points. Furthermore, our in-house design capabilities offering the wide breadth of aesthetics across our brands, coupled with our industry-leading global sourcing and supply chain operations, allows us to take this service to the next level. Our B2B business has tremendous potential to contribute to our results. Our growth targets continue to climb as we unlock new opportunities. And not only is our B2B business model accretive to our gross margin but even more accretive to op margin as a result of the fixed operating costs. We continue to exceed our own expectations for this business. And longer term, we believe this is one of our biggest opportunities.

我們的 B2B 業務繼續表現出色，到 2021 年將其業務賬簿增至 7.53 億美元。B2B 是一個服務不足且支離破碎的行業，因為我們繼續在這個空白領域佔有一席之地，為需要高質量、可持續家具且價格合理的企業提供服務.此外，我們的內部設計能力為我們的品牌提供廣泛的美學，加上我們行業領先的全球採購和供應鏈運營，使我們能夠將這項服務提升到一個新的水平。我們的 B2B 業務有巨大的潛力為我們的業績做出貢獻。隨著我們釋放新機遇，我們的增長目標繼續攀升。我們的 B2B 商業模式不僅增加了我們的毛利率，而且由於固定的運營成本，甚至更多地增加了營業利潤率。我們繼續超越我們對這項業務的期望。從長遠來看，我們相信這是我們最大的機會之一。

Another contributor to our success has been our global strategy. We're franchise first with strong retail and digital execution. During 2021, global achieved record revenue up 23% over last year with strong earnings growth. Core company-owned markets of Canada and U.K. achieved record results for the year and the quarter. Franchise continues to be a growth vehicle with the critical markets of the Middle East, Mexico and India providing a large diverse growth base. With our systems investment in our new digital platform and large cost reductions in warehousing, transportation and delivery, we expect to exceed our record results in 2022.

我們成功的另一個因素是我們的全球戰略。我們首先擁有強大的零售和數字執行能力。 2021 年，全球收入比去年增長 23%，收入增長強勁，創歷史新高。加拿大和英國的核心公司擁有的市場在本年度和本季度取得了創紀錄的業績。特許經營仍然是一種增長工具，中東、墨西哥和印度等關鍵市場提供了龐大的多元化增長基礎。隨著我們對新數字平台的系統投資以及倉儲、運輸和交付成本的大幅降低，我們預計在 2022 年將超過我們創紀錄的業績。

Marketing is another component that sets us apart and drove results in FY '21. Customers who shop across our brands generate 3 to 4x more revenue than the single brand customer. And we've seen incredible results this past year due to our continued marketing efforts. In fiscal '21, approximately 60% of our sales came from cross-brand customers, a record high in terms of percent to total. And our cross-brand customer counts grew faster than those of the single-brand customer.

營銷是另一個讓我們與眾不同並推動 21 財年業績的組成部分。使用我們品牌購物的客戶產生的收入是單一品牌客戶的 3 到 4 倍。由於我們持續的營銷努力，我們在過去一年中看到了令人難以置信的成果。在 21 財年，我們大約 60% 的銷售額來自跨品牌客戶，佔總銷售額的百分比創歷史新高。我們的跨品牌客戶數量增長速度快於單品牌客戶。

While new customer acquisition is always a priority and continues to grow, we believe we have even more upside by increasing our share of wallet with our existing customer base. Core to this strategy are 3 things. First, our cross-brand loyalty program, The Key. We continue to see record levels of customer engagement and an all-time high membership. Second, our recently launched cross-brand credit card. This card reached its 6-month anniversary, producing cardholder spend and cross-brand activity that has exceeded our expectations. And third, we are focused on personalization efforts in our digital marketing. We continue to leverage our in-house managed first-party data across our brands, which positions us for the cookieless future that is rapidly approaching. Remember, our multifaceted loyalty program generates benefits across our portfolio and is a clear competitive advantage a few of our peers offer.

雖然新客戶獲取始終是一個優先事項並繼續增長，但我們相信，通過增加我們在現有客戶群中的錢包份額，我們會有更大的優勢。這個策略的核心是三件事。首先，我們的跨品牌忠誠度計劃 The Key。我們繼續看到創紀錄的客戶參與度和空前的會員人數。第二，我們最近推出的跨品牌信用卡。這張卡迎來了 6 個月的周年紀念，產生的持卡人消費和跨品牌活動超出了我們的預期。第三，我們專注於數字營銷中的個性化工作。我們繼續在我們的品牌中利用我們內部管理的第一方數據，這使我們為快速接近的無 cookie 未來做好了準備。請記住，我們的多方面忠誠度計劃為我們的投資組合帶來了好處，並且是我們的一些同行提供的明顯競爭優勢。

As a digital-first company, we are in constant pursuit of incremental improvement to our customers' shopping journey online. We've improved several product finding and purchasing experiences on our website, from improved room styling, native registry applications and the removal of friction in the checkout process. Additionally, we relentlessly focus on continued optimization and automation in our DCs and logistics networks to improve our service time.

作為一家以數字為先的公司，我們不斷追求逐步改善客戶的在線購物之旅。我們改進了我們網站上的一些產品查找和購買體驗，包括改進房間樣式、本地註冊應用程序和消除結帳過程中的摩擦。此外，我們堅持不懈地專注於配送中心和物流網絡的持續優化和自動化，以改善我們的服務時間。

On the sustainability front, we take great pride in the progress we are making with our impact initiatives and ESG leadership across the home furnishings industry. Notable accomplishments in this quarter included our second annual inclusion in Bloomberg's Gender-Equality Index, being recognized as #21 on Barron's 100 Most Sustainable Companies, and receiving an A rating from CDP for leadership in supplier engagement and our work with suppliers on tackling climate change. These commitments are reflected in the high-quality sustainable products that we offer our customers and continue to distinguish our company and our brands.

在可持續發展方面，我們對我們在家居行業的影響力舉措和 ESG 領導力方面取得的進展感到非常自豪。本季度的顯著成就包括我們第二次入選彭博社的性別平等指數，在巴倫周刊 100 家最具可持續性的公司中排名第 21，並在供應商參與和我們與供應商合作應對氣候變化方面獲得 CDP 的 A 級評級.這些承諾反映在我們為客戶提供的高質量可持續產品中，並繼續使我們的公司和品牌脫穎而出。

Our values are both central in our actions and embedded in our products. We always want to provide our customers with transparency. And each day, we commit ourselves to maintaining the highest level of integrity and ethical standards. We are deeply saddened by the war in Ukraine, and we stand with Ukrainians and all people who oppose war and its atrocities on family and the home. Related to product and business with Russia, we have no operations in Russia. And as the situation between Russia and Ukraine escalated, our team identified a handful of products of Russian origin, which we are no longer selling.

我們的價值觀既是我們行動的核心，也是我們產品的核心。我們始終希望為客戶提供透明度。每一天，我們都致力於保持最高水平的誠信和道德標準。我們對烏克蘭的戰爭深感悲痛，我們與烏克蘭人和所有反對戰爭及其對家庭和家庭的暴行的人站在一起。與俄羅斯的產品和業務相關，我們在俄羅斯沒有業務。隨著俄羅斯和烏克蘭之間的局勢升級，我們的團隊發現了一些俄羅斯原產的產品，我們不再銷售這些產品。

And now let's turn to the performance of our brands. West Elm delivered an 18.3% comp in the fourth quarter with all categories driving strong growth. Customers responded well to new products, including bestsellers in bedroom, dining, storage and occasional categories. Additionally, new categories such as bath, kids and kitchen also contributed to incremental growth. On the full year, West Elm delivered a comp of 33.1%, building to a 48.3% on a 2-year basis and continuing to build velocity in its mission to become a $3 billion brand.

現在讓我們談談我們品牌的表現。 West Elm 在第四季度實現了 18.3% 的同比增長，所有類別都推動了強勁增長。客戶對新產品反應良好，包括臥室、餐廳、存儲和偶爾類別的暢銷產品。此外，浴室、兒童和廚房等新品類也促進了增長。全年，West Elm 實現了 33.1% 的回報率，在 2 年的基礎上增長到 48.3%，並繼續加快其成為 30 億美元品牌的使命。

Pottery Barn delivered another high-performance quarter with a 16.2% comp, driven by strong core franchises in key categories. Q4 results were enhanced by a strong seasonal decorating business and inspiring seasonal bedding and entertaining. On the full year, Pottery Barn celebrated a record year with a comp of 23.9%, building to a 39.1% on a 2-year basis. Also, we're delighted to report that Pottery Barn has surpassed the halfway mark on its commitment to plant 3 million trees in 3 years to restore vulnerable forests. Our partner, Arbor Foundation, follows the best practices and the latest science to ensure maximum impact and promote biodiversity. And even better, based on the tremendous success of this program, our other brands have joined the effort, doubling our commitment to planting 6 million trees by 2023. We couple this with commitments to responsibly harvest wood and a robust sustainability story.

Pottery Barn 在關鍵類別的強大核心特許經營權的推動下，又以 16.2% 的業績實現了另一個高績效季度。強勁的季節性裝飾業務和鼓舞人心的季節性床上用品和娛樂活動增強了第四季度的業績。全年，Pottery Barn 以 23.9% 的比例慶祝了創紀錄的一年，在 2 年的基礎上達到 39.1%。此外，我們很高興地報告說，Pottery Barn 已經超過了承諾在 3 年內種植 300 萬棵樹以恢復脆弱森林的承諾。我們的合作夥伴 Arbor Foundation 遵循最佳實踐和最新科學，以確保產生最大影響並促進生物多樣性。更好的是，基於該計劃的巨大成功，我們的其他品牌也加入了努力，將我們到 2023 年種植 600 萬棵樹的承諾翻了一番。我們將這一承諾與負責任地採伐木材的承諾和強大的可持續發展故事相結合。

Now I'd like to talk about Pottery Barn Kids and Teen. As we indicated during our third quarter call, we were not entirely immune to the ripple effect from delays resulting from the supply chain disruption around the world. In particular, the shutdown in related backlogs from Vietnam had a larger impact on our children's home furnishings business, which ran a negative 6.1% comp for the quarter. Unfortunately, we expect to feel this impact at least through the second quarter this year. Despite the supply chain pressure, strength in the business includes our baby business, which is delivering growth through our offering of GREENGUARD Gold furniture, along with additional volume from our in-store and online baby registry. Also, we delivered record results in our seasonal trim business as customers enjoy the holidays. Pottery Barn Kids and Teen delivered a full year comp of 11.6%, building to a 28.2% on a 2-year basis.

現在我想談談 Pottery Barn Kids 和 Teen。正如我們在第三季度電話會議中指出的那樣，我們並非完全不受全球供應鏈中斷造成的延誤所產生的連鎖反應的影響。特別是，越南相關積壓訂單的關閉對我們的兒童家居用品業務產生了更大的影響，該業務本季度的業績為負 6.1%。不幸的是，我們預計至少會在今年第二季度感受到這種影響。儘管存在供應鏈壓力，但我們的業務優勢包括我們的嬰兒業務，該業務通過我們提供的 GREENGUARD Gold 家具以及我們的店內和在線嬰兒登記處的額外數量實現增長。此外，由於客戶享受假期，我們的季節性裝飾業務取得了創紀錄的業績。 Pottery Barn Kids and Teen 全年實現了 11.6% 的收益，在 2 年的基礎上達到 28.2%。

Our Williams-Sonoma business drove a fourth quarter comp of 4.5% on top of a 26.2% comp last year, with growth driven by demand for entertaining at home and gift-giving. We continue to focus our strategy on expanding our exclusive product and Williams-Sonoma branded product to drive growth. We are pleased with improvements in the digital experience on the website that are driving conversion, and our store optimization strategy is working. Our high-impact store remodels and our market consolidation efforts are driving improved operating margins. On the full year, Williams-Sonoma delivered a comp of 10.5%, building to a 34.3% on a 2-year basis. One of our key components of growth is our Williams-Sonoma Home business. Given the strength of the Williams-Sonoma brand name, our expertise in the furniture category and the clear opportunity in the high-end home market, we believe that Williams-Sonoma Home is one of our biggest growth opportunities.

我們的 Williams-Sonoma 業務在去年同期增長 26.2% 的基礎上推動了第四季度 4.5% 的增長，增長受到家庭娛樂和送禮需求的推動。我們繼續將戰略重點放在擴展我們的獨家產品和 Williams-Sonoma 品牌產品上，以推動增長。我們對推動轉化的網站數字體驗的改進感到高興，並且我們的商店優化策略正在發揮作用。我們的高影響力商店改造和我們的市場整合努力正在推動提高營業利潤率。全年，Williams-Sonoma 實現了 10.5% 的補償，在 2 年的基礎上達到 34.3%。我們增長的關鍵組成部分之一是我們的 Williams-Sonoma Home 業務。鑑於 Williams-Sonoma 品牌的實力、我們在家具類別的專業知識以及高端家居市場的明顯機會，我們相信 Williams-Sonoma Home 是我們最大的增長機會之一。

In summary, we're immensely proud of our accomplishments and record results this fiscal year. I am confident that we will continue to raise the bar and extend this momentum in fiscal 2022. So far, in the first quarter, we continue to see strong sales and margins. We have a robust lineup of growth initiatives and operational improvements planned for this year. And as we look further, we are confident in our long-term outlook, driving at least mid- to high single-digit comps with top line growth to $10 billion by 2024 and operating margins relatively in line with fiscal 2021.

總而言之，我們為我們在本財年取得的成就和創紀錄的業績感到無比自豪。我有信心，我們將在 2022 財年繼續提高標準並擴大這一勢頭。到目前為止，在第一季度，我們繼續看到強勁的銷售和利潤率。我們計劃在今年推出一系列強大的增長計劃和運營改進。隨著我們進一步展望，我們對我們的長期前景充滿信心，到 2024 年，至少推動中高個位數的收入增長至 100 億美元，營業利潤率與 2021 財年相對一致。

Before I pass the call to Julie to go through the financials in more detail, I want to thank our entire team for never slowing down. I'm endlessly grateful for their outstanding work, their creative energy and their relentless focus. I am privileged to work alongside this talented group of people. And with that, I'd like to turn the call to Julie.

在我將電話轉給朱莉以更詳細地了解財務狀況之前，我要感謝我們整個團隊從未放慢腳步。我對他們出色的工作、他們的創造力和不懈的專注心存感激。我很榮幸能與這群才華橫溢的人一起工作。有了這個，我想把電話轉給朱莉。

Thank you, Laura, and good afternoon, everyone. We are pleased to report another quarter and fiscal year of outstanding financial results with revenues and profits at the highest levels we have seen. The demand for our proprietary products remains strong. Our growth strategies continue to thrive. Our operating model, which is difficult to replicate, continues to set us apart from the competition. And all of these, plus our proven ability to dynamically operate in a complex macro environment, continues to demonstrate that we are well positioned to succeed long term in this industry.

謝謝你，勞拉，大家下午好。我們很高興地報告另一個季度和財政年度的出色財務業績，收入和利潤處於我們所見過的最高水平。對我們專有產品的需求依然強勁。我們的增長戰略繼續蓬勃發展。我們難以復制的運營模式繼續使我們在競爭中脫穎而出。所有這些，加上我們在復雜宏觀環境中動態運作的成熟能力，繼續證明我們有能力在這個行業取得長期成功。

Moving to our fourth quarter results in more detail. Net revenues surpassed $2.5 billion with another quarter of double-digit comparable brand revenue growth at 10.8%. These strong top line results were across both channels, including retail at a 20% comp and e-commerce at a 7.2% comp on top of last year's 47.9% for a 55.1% 2-year stack.

轉到我們的第四季度更詳細的結果。淨收入超過 25 億美元，可比品牌收入再增長一個季度，達到 10.8% 的兩位數。這些強勁的收入結果來自兩個渠道，包括零售佔 20%，電子商務佔 7.2%，而去年的 47.9% 為 55.1% 的 2 年堆棧。

By brand, West Elm delivered an 18.3% comp on top of 25.2% last year. Pottery Barn accelerated from the third quarter to a 16.2% comp. Williams-Sonoma drove a 4.5% comp on top of last year's 26.2%. And our emerging brands accelerated to a 30.3% comp. In the children's home furnishings businesses, Pottery Barn Kids and Teen, comps were a negative 6.1%. This is below their third quarter year-to-date trend of approximately 20% as these brands were the most impacted during the fourth quarter by the supply chain issues from the COVID-related closure of Vietnam.

按品牌劃分，West Elm 比去年的 25.2% 增長了 18.3%。 Pottery Barn 從第三季度加速到 16.2%。威廉姆斯-索諾瑪在去年的 26.2% 的基礎上推動了 4.5% 的競爭。我們的新興品牌加速到 30.3%。在兒童家居用品業務中，Pottery Barn Kids 和 Teen 的銷售額為負 6.1%。這低於其今年第三季度約 20% 的趨勢，因為這些品牌在第四季度受到與 COVID 相關的越南關閉的供應鏈問題的影響最大。

Moving down the income statement. Gross margin came in at a record 45.0%, a 290 basis point expansion over last year. The strength of our merchandise margins drove almost all or 270 basis points of this expansion. Our strategic decision to preserve our pricing integrity by eliminating site-wide promotions was once again a clear success. This pricing power enabled us to absorb increased freight and product costs while still delivering strong, profitable merchandise sales.

向下移動損益表。毛利率達到創紀錄的 45.0%，比去年增長 290 個基點。我們商品利潤率的強勁推動了此次擴張的幾乎全部或 270 個基點。我們通過取消全站促銷來保持定價完整性的戰略決策再次取得了明顯的成功。這種定價能力使我們能夠吸收增加的運費和產品成本，同時仍然提供強勁、有利可圖的商品銷售。

Occupancy costs at 7.7% of net revenues leveraged approximately 20 basis points, resulting from another quarter of higher sales and lower occupancy dollar growth. Occupancy dollars increased 6.7% to approximately $193 million, which includes a full quarter of incremental costs from our new East Coast distribution center to further support our customer demand, partially offset by our ongoing retail optimization efforts from additional store closures and reduced rent. In fiscal year '21, we closed an additional 37 stores and are on track to close approximately 25% of our total retail fleet.

占淨收入 7.7% 的佔用成本提高了約 20 個基點，這是由於另一個季度的銷售額增加和占用美元增長降低。入住費用增長 6.7% 至約 1.93 億美元，其中包括我們新的東海岸配送中心為進一步支持我們的客戶需求而增加的整整一個季度的成本，部分被我們持續關閉商店和降低租金的零售優化工作所抵消。在 21 財年，我們又關閉了 37 家商店，並有望關閉我們總零售車隊的約 25%。

SG&A also leveraged 20 basis points to a historical low of 24% despite absorbing higher year-over-year advertising costs from our reduced spend last year. Leverage was driven by employment and general expenses, which includes lower incentive compensation during the quarter due to timing and the year-over-year benefit from our ongoing retail recovery, various operational efficiencies during the holiday season and overall strong financial discipline throughout.

SG&A 也將槓桿率提高了 20 個基點，達到 24% 的歷史低點，儘管我們去年減少了支出，但同比增加了廣告成本。槓桿率是由就業和一般費用推動的，其中包括由於時間安排和我們持續零售復甦帶來的同比收益、假日季節的各種運營效率以及整個強勁的財務紀律，本季度的激勵薪酬較低。

As a result, we delivered another quarter of record profitability with operating income growth of 28% to $525 million and our highest ever operating margin at 21%, expanding 310 basis points over last year and approximately 500 basis points higher than our last 3 quarters this year. This resulted in diluted earnings per share of $5.42, up 37% from last year's record fourth quarter earnings per share of $3.95. These fourth quarter results, combined with our outperformance we have seen throughout 2021, allowed us to deliver another year of substantial growth and outperformance.

因此，我們實現了另一個季度創紀錄的盈利能力，營業收入增長 28% 至 5.25 億美元，營業利潤率達到 21% 的最高水平，比去年擴大了 310 個基點，比我們過去三個季度高出約 500 個基點年。這導致每股攤薄收益為 5.42 美元，比去年創紀錄的第四季度每股收益 3.95 美元增長 37%。這些第四季度的業績，加上我們在整個 2021 年看到的出色表現，使我們能夠實現又一年的大幅增長和出色表現。

On the top line, these full year highlights include an additional $1.5 billion in net revenues, growing to over $8.2 billion, including comparable brand revenue growth of 22% on top of last year's 17% or a 39% 2-year stack; e-commerce growing to a 14.3% comp and a 58.8% 2-year comp with our e-commerce mix at 66% of total revenues; retail growing at a 43.2% comp despite traffic levels at negative 16% to 2019; a second consecutive year of double-digit growth across all brands with significant acceleration across our 2 largest brands, with West Elm at a 33.1% comp, Pottery Barn at a 23.9% comp, Williams-Sonoma at a 10.5% comp on top of last year's 23.8%; our emerging brands, Rejuvenation and Mark and Graham combined, delivering another year of accelerating double-digit growth; our global business growing 23% to over $425 million; and our cross-brand initiatives outperforming with our business-to-business division growing 109% to over $750 million in demand and contributing approximately 500 basis points to our total company comp.

最重要的是，這些全年亮點包括額外的 15 億美元淨收入，增長至超過 82 億美元，其中可比品牌收入在去年的 17% 或 39% 的 2 年堆棧基礎上增長了 22%；電子商務增長到 14.3% 的比較和 58.8% 的 2 年比較，我們的電子商務組合佔總收入的 66%；儘管到 2019 年的客流量水平為負 16%，但零售業的增長率為 43.2%；所有品牌連續第二年實現兩位數增長，我們的兩個最大品牌顯著加速增長，West Elm 佔 33.1%，Pottery Barn 佔 23.9%，Williams-Sonoma 佔 10.5%。年的23.8%；我們的新興品牌 Rejuvenation 和 Mark and Graham 合併，實現了又一個加速兩位數增長的一年；我們的全球業務增長 23%，超過 4.25 億美元；我們的跨品牌計劃表現出色，我們的企業對企業部門的需求增長了 109%，超過 7.5 億美元，為我們的公司總收入貢獻了大約 500 個基點。

On the bottom line, this top line strength and strong financial discipline throughout enabled us to grow 2021 operating income to $1.5 billion, over $0.5 billion and 52% higher than last year. Operating margin at 17.7% on the year expanded 350 basis points over last year and was more than 2x higher than our 2019 and prior operating margin levels. This was driven by gross margins expanding to record levels or 500 basis points above last year to 44% despite increased costs associated with supply chain disruptions throughout the year. This operating income strength resulted in EPS of $14.85, which was $5.81 or 64% above last year and drove our return on invested capital to an all-time high at 57.9%.

歸根結底，這種頂線實力和強大的財務紀律使我們能夠將 2021 年的營業收入增長到 15 億美元，超過 5 億美元，比去年增長 52%。營業利潤率為 17.7%，比去年增加了 350 個基點，比我們 2019 年和之前的營業利潤率水平高出 2 倍以上。這是由於毛利率擴大至創紀錄水平或比去年高出 500 個基點至 44%，儘管全年供應鏈中斷導致成本增加。這種營業收入的強勁導致每股收益為 14.85 美元，比去年高出 5.81 美元或 64%，並使我們的投資資本回報率達到 57.9% 的歷史新高。

On the balance sheet, we ended the year with strong liquidity levels with a cash balance of $850 million and no debt or amounts outstanding on our line of credit. The strength of our business generated operating cash flow of almost $1.4 billion during fiscal year 2021, which has allowed us to fund the operations of the business, to invest over $225 million in capital expenditures primarily in technology and supply chain, and to return nearly $1.1 billion to shareholders in the form of $188 million in dividends and 900 million in share repurchases. These decisions reflect our confidence in the sustainability of our growth and our commitment to maximizing returns for our shareholders.

在資產負債表上，我們以強勁的流動性水平結束了這一年，現金餘額為 8.5 億美元，我們的信用額度沒有債務或未償還金額。我們的業務實力在 2021 財年產生了近 14 億美元的經營現金流，這使我們能夠為業務運營提供資金，將超過 2.25 億美元的資本支出投資於主要用於技術和供應鏈的資本支出，並獲得近 1.1 美元的回報以 1.88 億美元的股息和 9 億美元的股票回購的形式向股東支付 10 億美元。這些決定反映了我們對增長可持續性的信心以及我們為股東實現最大回報的承諾。

Moving down the balance sheet. Merchandise inventories were $1.246 billion, increasing 24% over last year, which includes inventory in transit. Inventory on hand increased 14.8% but was still negative 13% on a 2-year basis. Given the significant macro supply chain disruptions throughout the year and the ongoing strong customer demand, we are still below optimal levels. As a result, we expect to see elevated back order levels continue until the back half of 2022.

向下移動資產負債表。商品庫存為 12.46 億美元，比去年增長 24%，其中包括在途庫存。現有庫存增加了 14.8%，但在 2 年的基礎上仍為負 13%。鑑於全年宏觀供應鏈嚴重中斷以及客戶需求持續強勁，我們仍低於最佳水平。因此，我們預計延期交貨水平將持續到 2022 年下半年。

Now let me turn to our expectations for the future. As Laura said, we remain very optimistic in the long-term outlook of the business. Our business remains strong as we enter Q1 with momentum in our core businesses and our growth initiatives continuing. As a result, for both fiscal year 2022 and beyond, we are reiterating our previously provided financial outlook of mid- to high single-digit comp growth with operating margins relatively in line with fiscal year 2021. We estimate revenues will reach $10 billion by fiscal year 2024, with our brands accelerating or reaching our prior committed targets faster, including Pottery Barn expanding to $3.5 billion in revenues; West Elm adding $1 billion in revenues to over $3.3 billion; Williams-Sonoma will reach almost $1.6 billion in revenues; and our Pottery Barn Kids and Teen businesses will grow to $1.4 billion.

現在讓我談談我們對未來的期望。正如勞拉所說，我們對業務的長期前景仍然非常樂觀。隨著我們進入第一季度，我們的業務保持強勁勢頭，我們的核心業務和我們的增長計劃仍在繼續。因此，對於 2022 財年及以後的財年，我們重申我們之前提供的中高個位數複合增長的財務前景，營業利潤率與 2021 財年相對一致。我們估計到本財年的收入將達到 100 億美元2024 年，隨著我們的品牌加速或更快地達到我們先前承諾的目標，包括 Pottery Barn 的收入擴大到 35 億美元； West Elm 的收入增加了 10 億美元，超過 33 億美元； Williams-Sonoma 的收入將達到近 16 億美元；我們的 Pottery Barn 兒童和青少年業務將增長到 14 億美元。

This expected top line growth will also be fueled by growth across our strategic initiatives, such as our B2B business doubling to $1.5 billion in revenues, our Marketplace business growing 20% annually to nearly $700 million, our emerging brands expanding to a combined revenue of over $600 million, and our global operations continuing to expand in size to $700 million. And we are confident we can drive this top line growth profitably due to leverage across the P&L from ongoing higher sales growth; additional accretion from our accelerating growth initiatives that have a higher operating margin profile; an accelerating shift online where the operating margin is higher; strong merchandise margins from the pricing power our proprietary and vertically integrated products provide; continued occupancy leverage from further store closures and reduced rents; various long-term supply chain efficiencies, such as automation and better in-stock inventory levels; and leverage from overall strong financial discipline throughout, keeping expense growth below sales growth.

這一預期的頂線增長也將受到我們戰略計劃的增長的推動，例如我們的 B2B 業務收入翻番至 15 億美元，我們的市場業務每年增長 20% 至近 7 億美元，我們的新興品牌擴大到超過6 億美元，我們的全球業務規模繼續擴大到 7 億美元。我們有信心，由於持續較高的銷售增長對損益表的影響，我們能夠以盈利的方式推動這一收入增長；從我們的加速增長計劃中獲得額外收益，這些計劃具有更高的營業利潤率；營業利潤率更高的線上加速轉變；我們的專有和垂直整合產品提供的定價能力帶來了強大的商品利潤；進一步關閉商店和降低租金帶來的持續入住率；各種長期供應鏈效率，例如自動化和更好的庫存水平；並從整體強大的財務紀律中發揮槓桿作用，使費用增長低於銷售增長。

Our capital allocation plans for 2022 will continue to first prioritize investments into the business and then return excess cash to our shareholders. We expect to invest approximately $350 million in the business, with over 80% of the spend prioritized on technology and supply chain initiatives primarily to support e-commerce, including the addition of a new automated distribution center in Arizona. We also expect to return excess cash to our shareholders in the form of increased quarterly dividend payouts and elevated share repurchases.

我們 2022 年的資本分配計劃將繼續優先考慮對業務的投資，然後將多餘的現金返還給我們的股東。我們預計將在該業務上投資約 3.5 億美元，其中 80% 以上的支出優先用於技術和供應鏈計劃，主要用於支持電子商務，包括在亞利桑那州增加一個新的自動化配送中心。我們還希望以增加季度股息支付和增加股票回購的形式向我們的股東返還多餘的現金。

For dividends, we announced earlier today another double-digit increase in our quarterly dividend, up 10% or $0.07 to $0.78 per share. We also announced our Board has approved a new share repurchase authorization to $1.5 billion, which will replace the remaining amount outstanding under our prior authorization. We continue to believe that our stock price remains undervalued given our projections for growth and profitability. This new authorization will allow us the flexibility to opportunistically invest in our own stock and drive long-term financial returns.

對於股息，我們今天早些時候宣布我們的季度股息再次實現兩位數增長，增長 10% 或 0.07 美元至每股 0.78 美元。我們還宣布，我們的董事會已批准一項新的股票回購授權，金額為 15 億美元，這將取代我們事先授權下的剩餘未償金額。鑑於我們對增長和盈利能力的預測，我們仍然認為我們的股價仍然被低估。這項新授權將使我們能夠靈活地投機投資我們自己的股票並推動長期財務回報。

As we begin our next fiscal year, our focus remains on executing against our opportunities to drive long-term elevated top and bottom line growth. We believe we are uniquely positioned to continue to take market share and profitably. Long-term macro trends should continue to favor our business, including a strong housing market driving ongoing investment in the home, an accelerating shift to e-commerce, and the increasing importance to the consumer of sustainability and being a values-driven company. And this, combined with our accelerating growth initiatives, our strong operating cash flow and liquidity and a proven track record of strong financial discipline give us the confidence to reiterate our accelerated long-term growth and profitability outlook and to drive strong financial returns for our shareholders.

在我們開始下一個財政年度時，我們的重點仍然是抓住機遇，推動長期高增長的頂線和底線增長。我們相信我們具有獨特的優勢，可以繼續佔據市場份額並實現盈利。長期宏觀趨勢應繼續有利於我們的業務，包括強勁的房地產市場推動對房屋的持續投資，加速轉向電子商務，以及對消費者日益重視的可持續性和成為一家價值驅動的公司。再加上我們加速增長的計劃、強勁的經營現金流和流動性以及強大的財務紀律的良好記錄，使我們有信心重申我們加速的長期增長和盈利前景，並為我們的股東帶來強勁的財務回報.

I would now like to also thank all of our associates and business partners for all that they do for our company. It is their ongoing commitment that has enabled us to deliver another year of financial outperformance and to reward all of our stakeholders.

我現在還要感謝我們所有的員工和業務合作夥伴，感謝他們為我們公司所做的一切。正是他們的持續承諾使我們能夠再創一年的財務業績並獎勵我們所有的利益相關者。

I would now like to open the call for questions. Thank you.

我現在想打開提問的電話。謝謝你。

(Operator Instructions) And our first question comes from Max Rakhlenko of Cowen and Co.

（操作員說明）我們的第一個問題來自 Cowen and Co. 的 Max Rakhlenko。

Just curious, on the new businesses, what can you share about how much higher margins those businesses are? And then as they continue to grow over time, how much do you think that they'll contribute to the business longer term and offset any normalization that we'll see otherwise?

只是好奇，關於新業務，你能分享一下這些業務的利潤率有多高嗎？然後隨著時間的推移，它們繼續增長，您認為它們會對業務的長期貢獻有多大，並抵消我們將看到的任何正常化？

Yes. These businesses are incredibly accretive to op margin. We haven't disclosed the amount, but it's something that we're super excited about because as you can see, for example, with B2B and the volume that, that is driving and the bigger piece that is becoming of our comp, it has a significant benefit to the operating margin at the same time into our earnings. And so we're very excited about that growth trajectory.

是的。這些業務極大地增加了營業利潤率。我們沒有透露金額，但我們對此感到非常興奮，因為正如你所看到的，例如，對於 B2B 和正在推動的交易量以及正在成為我們公司的更大部分，它有營業利潤率的顯著收益同時轉化為我們的收益。因此，我們對這一增長軌跡感到非常興奮。

And I thought, Max, that you were asking the question about some of our smaller brands. And in the case of those brands, they're still so small that there's actually runway for improvement in their profit profiles because we still aren't big enough to get the great sourcing leverage that we do in our larger brands. So they're very profitable. As you would imagine, they are today but they can be -- we see a really strong opportunity to improve these margins further as they grow.

我想，Max，你問的是我們一些小品牌的問題。就這些品牌而言，它們仍然很小，以至於實際上它們的利潤狀況仍有改善的空間，因為我們仍然不夠大，無法獲得我們在更大品牌中所做的巨大採購槓桿。所以他們非常有利可圖。正如您所想像的那樣，它們現在是，但它們可以是——我們看到了一個非常強大的機會，可以隨著它們的增長進一步提高這些利潤率。

Our next question comes from Anthony Chukumba of Loop Capital Markets.

我們的下一個問題來自 Loop Capital Markets 的 Anthony Chukumba。

Congrats to a strong finish to an incredibly strong year. My first question, you talked about the cross-brand and you've got The Key cross-brand loyalty program. Can you just give us an update in terms of the number of members that you have? If I recall it correctly, last time -- last number [that I know you said was] about 12 million members.

恭喜您在令人難以置信的強勁一年中取得圓滿成功。我的第一個問題，您談到了跨品牌，並且您有 The Key 跨品牌忠誠度計劃。您能否就您擁有的成員數量向我們提供最新信息？如果我沒記錯的話，上次——我知道你說的最後一個數字是 1200 萬會員。

Yes. Anthony, it's Felix. I can tell you -- I don't believe we're sharing the numbers, but I can tell you that's significantly up. And as Laura said, program to date, life to date were at an all-time high. And with the introduction of the credit card this year this past August, we're starting to see our dividends pay off in a big way in terms of cross-shopping. We believe this is one of our biggest opportunities as a company. It's increasing our share of wallet. And The Key, both from a multi-tender loyalty perspective and the credit card, are key drivers for that initiative.

是的。安東尼，我是菲利克斯。我可以告訴你——我不相信我們在分享這些數字，但我可以告訴你，這已經大大增加了。正如勞拉所說，迄今為止的計劃，迄今為止的生活都處於歷史最高水平。隨著今年八月信用卡的推出，我們開始看到我們的紅利在交叉購物方面得到了很大的回報。我們相信這是我們作為一家公司最大的機會之一。它增加了我們的錢包份額。從多方忠誠度的角度和信用卡的角度來看，The Key 都是該計劃的關鍵驅動力。

Got it. And then just if I can get one quick follow-up. Is there any way you can kind of dimensionalize the, I guess, lost sales in Kids and Teen given the global supply chain issues? I mean it's just such a stark slowdown, as you pointed out.

知道了。然後，如果我能得到一個快速的跟進。考慮到全球供應鏈問題，你有什麼辦法可以量化兒童和青少年的銷售損失？我的意思是，正如你所指出的，這只是一個明顯的放緩。

Yes. I mean I think if you did the math, what I had said on -- in my script that their year-to-date run rate was about 20% and -- but for sort of these supply chain issues, we had no reason to believe that their business won't remain as strong. So if -- you can do the math on that and come up with how much immense in the fourth quarter. And certainly, had they delivered where they had come in, we would have been at the higher end of our implied guidance. So it was a decent impact to the fourth quarter, unfortunately.

是的。我的意思是，如果你計算一下，我說過的話——在我的劇本中，他們年初至今的運行率約為 20%——但是對於這些供應鏈問題，我們沒有理由相信他們的業務不會保持強勁。因此，如果-您可以對此進行數學計算，並得出第四季度的巨大數字。當然，如果他們在他們進來的地方交付，我們就會處於我們隱含指導的高端。因此，不幸的是，這對第四季度產生了不錯的影響。

Our next question comes from Cristina Fernandez of Telsey Advisory Group.

我們的下一個問題來自 Telsey 諮詢集團的 Cristina Fernandez。

I wanted to ask, when you think about mid- to high single-digit growth in 2022, how are you thinking about industry growth, if any, demand for the home furnishings industry versus market share gains?

我想問一下，當您考慮 2022 年的中高個位數增長時，您如何看待行業增長，如果有的話，對家居行業的需求與市場份額的增長？

Sure. No. We all acknowledge there's a great deal of uncertainty in the world we live in today, from rising interest rates to global conflicts. But what gives me confidence is that we operate in an industry that is really large and fragmented. And still, more than half of the sales are generated from smaller brick-and-mortar retailers. And this provides us a huge opportunity. And as we enter the endemic, 2 things are clear to us: people have reprioritized what's important to them and people love their home. And there's no doubt they're going to continue to entertain, cook and work more in their homes. And in talking to a lot of CEOs, I believe hybrid work is really here to say.

當然。不，我們都承認我們今天生活的世界存在很大的不確定性，從利率上升到全球衝突。但讓我有信心的是，我們在一個非常龐大且分散的行業中運營。儘管如此，超過一半的銷售額來自較小的實體零售商。這為我們提供了一個巨大的機會。當我們進入流行病時，有兩件事對我們很清楚：人們重新確定了對他們來說重要的事情的優先級，人們熱愛他們的家。毫無疑問，他們將繼續在家中更多地娛樂、烹飪和工作。在與許多 CEO 交談時，我相信混合工作確實是要說的。

So whether the total industry grows or not, the macro shifts and changes in the way we live, combined with our key differentiators and our long-term growth prospects leads us to believe that we're going to have the ability to continue to take market share and grow. And honestly, I believe there is no one in a stronger position to disrupt the home furnishings industry than us.

因此，無論整個行業是否增長，我們生活方式的宏觀轉變和變化，再加上我們的主要差異化因素和我們的長期增長前景，讓我們相信我們將有能力繼續佔領市場分享和成長。老實說，我相信沒有人比我們更能顛覆家居行業。

And then as a follow-up but perhaps for Julie, in your -- the ability to maintain the operating margin this year, should we think about the gross margin and expenses both being in line with 2021? Or will one be better improvement year-over-year versus 2021?

然後作為後續行動，但也許對於朱莉來說，在您今年保持營業利潤率的能力方面，我們是否應該考慮毛利率和費用都與 2021 年保持一致？或者與 2021 年相比，一年比一年有更好的改進？

Yes. I mean obviously, we're not providing guidance on the line items. We're focused on maintaining our operating margin at these incredibly elevated levels as I think, I said, they're more than 2x where we were in 2019. And so our commitment is to be able to maintain these levels. And so through all the different line items that I went through, we have that opportunity to do it. Some may go up. Some may go down.

是的。我的意思很明顯，我們沒有提供有關訂單項的指導。我們專注於將我們的營業利潤率維持在這些令人難以置信的高水平，我認為，我說，它們是我們在 2019 年的 2 倍以上。因此，我們的承諾是能夠維持這些水平。因此，通過我經歷的所有不同的項目，我們有機會這樣做。有些可能會上漲。有些可能會下降。

But at the end of the day, because we have the ability to leverage the P&L with the higher sales, we've got the accelerating growth initiatives that I just answered a question about, that as those continue to move forward like with B2B, we have the opportunity to drive that operating margin to maintain at the same levels. We've got our merchandise margins that are incredibly strong. And given our proprietary product and vertical integration, we can maintain those despite higher prices on product and freight and supply chain efficiencies and on and on. There's many things, many levers that we're using to continue to maintain these elevated op margins. And so it will depend which line it lands on. But I would say for modeling purposes, I would hold them flat at this point.

但歸根結底，因為我們有能力利用損益表來提高銷售額，我們已經有了我剛剛回答的一個問題的加速增長計劃，隨著這些計劃像 B2B 一樣繼續向前發展，我們有機會將營業利潤率保持在相同水平。我們的商品利潤率非常高。鑑於我們的專有產品和垂直整合，儘管產品、貨運和供應鏈效率等價格上漲，我們仍可以維持這些。有很多事情，我們正在使用許多槓桿來繼續保持這些較高的運營利潤率。所以這將取決於它落在哪條線上。但我會說，出於建模目的，我會在這一點上將它們保持平緩。

And our next question comes from Chuck Grom of Gordon Haskett.

我們的下一個問題來自 Gordon Haskett 的 Chuck Grom。

This is Greg Sommer on for Chuck Grom. My first question is just if you could maybe give us some color on the cadence of demand throughout the quarter and along those lines, if you've seen any indicators of trade down or fatigue by the customer. And then I have a quick follow-up.

這是 Chuck Grom 的 Greg Sommer。我的第一個問題是，如果您看到任何交易下降或客戶疲倦的跡象，您是否可以給我們一些關於整個季度和沿著這些線的需求節奏的顏色。然後我有一個快速跟進。

Yes. I mean we did see a really strong start to the fourth quarter. We saw a little bit of a dip during the holiday selling weekend where I think that was pretty common amongst most retailers. And then we came out of that even stronger in January. And as we've entered into the first quarter, we made a strategic decision to not chase the sales. And that's the reality. We could have been much more promotional, and we didn't do any site-wide promo. And so at the end of the day, we still delivered, whatever, 10.8%, double-digit comps with incredible operating margins and earnings. And so that is what we remain committed to continue to do. And we're just excited to see that, that strength is continuing.

是的。我的意思是，我們確實看到了第四季度的強勁開局。在假日銷售週末期間，我們看到了一些下滑，我認為這在大多數零售商中很常見。然後我們在一月份變得更加強大。隨著我們進入第一季度，我們做出了不追逐銷售的戰略決定。這就是現實。我們本來可以做更多的促銷活動，而且我們沒有做任何網站範圍的促銷活動。因此，在一天結束時，我們仍然交付了 10.8% 的兩位數收益，以及令人難以置信的營業利潤率和收益。這就是我們仍然致力於繼續做的事情。我們很高興看到這一點，這種力量正在持續。

Okay. And then just a quick follow-up, did you guys provide a demand comp for 4Q?

好的。然後只是快速跟進，你們是否提供了 4Q 的需求補償？

We didn't, but it's relatively in line. So -- and again, on that, that doesn't mean that we don't have elevated back orders. We still have elevated back orders. We're still encouraging -- incurring supply chain challenges, as Laura alluded to, but the reality is that we haven't been able to bring down those backwards to the level that we'd like. And so therefore, we're continuing to hold those and continue to hold demand in line with net, which obviously we're always paying attention to. We want -- the most important thing is our customer and making sure they get the product in a timely fashion. But from a financial perspective, certainly, it's opportunity as those products come in for delivery.

我們沒有，但它相對符合要求。所以 - 再說一次，這並不意味著我們沒有增加的延期交貨訂單。我們仍然有大量的延期交貨。正如勞拉所暗示的那樣，我們仍然令人鼓舞——引發供應鏈挑戰，但現實是我們無法將這些倒退降低到我們想要的水平。因此，我們將繼續持有這些，並繼續將需求與淨值保持一致，顯然我們一直在關注這一點。我們想要——最重要的是我們的客戶，並確保他們及時獲得產品。但從財務角度來看，這些產品交付時當然是機會。

Our next question comes from Simeon Gutman of Morgan Stanley.

我們的下一個問題來自摩根士丹利的 Simeon Gutman。

This is Michael Kessler on for Simeon. First question, for many retailers, because the expectation for 2022 was that transactions or units are probably not growing but you have price as an offset and a driver, we're hearing anywhere 5%, 10%, 15%, 20% year-over-year price growth. So your sales guy is quite good guiding to growth. I mean we're assuming there's maybe a potential for some real price inflation within that, which means units could be down. I guess is that the right framework? And if it is, how should we feel about that? Does it mean there's more risk or more upside to the guide? And does it mean, if that's true, that growth could slow in '23 if pricing normalizes? So I guess how does that -- what does that tell you? How is that -- how do you frame that?

這是西蒙的邁克爾凱斯勒。第一個問題，對於許多零售商來說，因為對 2022 年的預期是交易或單位可能不會增長，但你有價格作為抵消和驅動因素，我們聽到的任何地方都會增長 5%、10%、15%、20% -價格同比增長。所以你的銷售人員很好地指導了增長。我的意思是我們假設其中可能存在一些實際價格上漲的可能性，這意味著單位可能會下降。我想這是正確的框架嗎？如果是，我們應該如何看待它？這是否意味著該指南存在更多風險或更多優勢？這是否意味著，如果這是真的，如果定價正常化，23 年的增長可能會放緩？所以我猜這是怎麼回事 - 這告訴你什麼？怎麼樣——你是如何構圖的？

Sure. Good question. So as you know, it's really important to us that we provide our customers a product that is well designed, sustainable and the best value in the market, and that's where we've won. Of course, costs have gone up. And so we -- not only did we stop site-wide promotions, but we've strategically taken price increases carefully where we could. And if prices to us come down, we would give our customers a break on some products because we always want to offer them the best value. Right now, I will tell you that I believe that we are doing that, and that's why our sales growth is higher than our industry and versus our peers. But it's something we're going to stay very humble about and we check it all the time. We're constantly checking our products and our prices versus our competition and innovating to ensure that we have products that our customers can't buy at the competitors. This is a really key part of our strategy.

當然。好問題。如您所知，我們為客戶提供設計精良、可持續且市場上最具價值的產品對我們來說非常重要，這就是我們獲勝的地方。當然，成本上升了。所以我們 - 我們不僅停止了網站範圍內的促銷活動，而且我們在策略上盡可能謹慎地採取了價格上漲措施。如果對我們來說價格下降，我們會讓我們的客戶在某些產品上休息一下，因為我們總是想為他們提供最好的價值。現在，我會告訴你，我相信我們正在這樣做，這就是為什麼我們的銷售增長高於我們的行業和同行的原因。但這是我們將保持非常謙虛的事情，我們會一直檢查它。我們不斷檢查我們的產品和我們的價格與我們的競爭對手並進行創新，以確保我們擁有客戶無法從競爭對手那裡購買的產品。這是我們戰略的一個非常關鍵的部分。

As it relates to units versus AUR growth, I expect even though we saw increase in units last year to see it -- to be more flat this year. On the unit growth, that's my expectation. That's what's implied in this guidance. But we are very confident in this guidance for all the factors that we've gone through already, both our differentiators, our growth initiatives and the reality that we have a big back order log that needs to come in sometimes. It hasn't come in yet, but it should come in. And we're thinking -- unfortunately and I hate to move the state out constantly, but the supply chain issues continue to be many and varied that we think it's going to be at the back half of this year now because you can -- everyone I know is reading the same news and there's all sorts of things that continue to go on. And so our focus continues to be to really give our customers a great service.

由於它與單位與 AUR 增長有關，我預計即使我們去年看到單位增加也會看到它——今年會更加持平。關於單位增長，這是我的預期。這就是本指南中所暗示的內容。但是，對於我們已經經歷的所有因素，我們對這一指導非常有信心，包括我們的差異化因素、我們的增長計劃以及我們有時需要輸入大量延期交貨的現實。它還沒有進來，但它應該進來。我們在想——不幸的是，我討厭不斷地把這個州搬出去，但供應鏈問題仍然多種多樣，我們認為這將是現在在今年下半年，因為你可以——我認識的每個人都在閱讀同樣的新聞，而且各種各樣的事情還在繼續。因此，我們的重點仍然是真正為我們的客戶提供優質服務。

And to that point, while I have the floor, I'll just also make the comment that we are seeing our customer calls to be reduced and less escalations from our customers. So I think despite these disruptions that we all know are occurring, we are still competitively offering faster lead times and we are doing a good job communicating with our customers -- or a better job, I should say, communicating with our customers about the push up.

在這一點上，雖然我有發言權，但我也會發表評論說，我們看到客戶的來電減少了，客戶的升級也減少了。所以我認為，儘管我們都知道這些中斷正在發生，但我們仍然在提供更快的交貨時間方面具有競爭力，並且我們在與客戶溝通方面做得很好——或者我應該說，與我們的客戶溝通推動方面做得更好向上。

Okay. Great. That was all really helpful. If I could just ask one quick follow-up. This is maybe more of a technicality type of question. I think your prior language had been talking about the long-term operating margin guidance being at least levels of 2021. I think now we're just saying more relatively in line at least for 2022. Obviously, the base is now higher than where it was a quarter ago or you guided a quarter ago. Is there anything to read into that or just kind of basic language?

好的。偉大的。這真的很有幫助。如果我能問一個快速的跟進。這可能更像是一個技術性問題。我認為您之前的語言一直在談論長期運營利潤率指導至少是 2021 年的水平。我認為現在我們只是說至少在 2022 年相對一致。顯然，現在的基數高於它的水平是一個季度前，或者你指導了一個季度前。有什麼可以讀到的或者只是一種基本的語言？

No.

不。

You got it.

你說對了。

Yes. You got it.

是的。你說對了。

And we can go to Jason Haas of Bank of America.

我們可以去美國銀行的傑森哈斯。

The first one is just on the B2B business. I'm curious just what trends you're seeing there and how you're thinking about that in 2022.

第一個只是針對 B2B 業務。我很好奇您在那裡看到了哪些趨勢，以及您在 2022 年對此有何看法。

Awesome. So as we said, B2B grew over 100%, and it just continues to go. I think I've revised my estimates every time I've gotten on this call. I decided not to give estimates anymore because I keep undershooting it. That's embarrassing as well. The market for B2B is enormous. And as I said earlier, no one is really doing a very good job. And so because we have in-house design products, which allow us to do specific product development for our clients and also our supply chain, we can deliver it together and give them a great experience and just a couple of fun, different projects, pipeline, book of business.

驚人的。正如我們所說，B2B 增長超過 100%，而且還在繼續增長。我想我每次接到這個電話時都會修改我的估計。我決定不再給出估計，因為我一直低於它。這也很尷尬。 B2B 的市場是巨大的。正如我之前所說，沒有人真的做得很好。所以因為我們有內部設計產品，這使我們能夠為我們的客戶和我們的供應鏈進行特定的產品開發，我們可以一起交付它並給他們一個很好的體驗，只是幾個有趣的、不同的項目、管道，業務書。

So our stadium and arena work continues to build momentum. We had big projects for the San Diego Padres and the New York Mets. In hospitality, we're seeing a promising and encouraging return of our large Marriott brand standard business. In health care, we're building a strong relationship with a big account. I don't think we can say the name yet but we're excited about that. We are doing large residential -- working with large residential developers, like related companies. And a fun one that I really think is great is Churchill Downs, and we're working with Woodford Reserve on that. And then the last, which is also awesome and really relevant, is Under Canvas, which is a premier, luxury glamping company, and we're furnishing their camps across the country adjacent to the leading national parks. So that just gives you a sense of what we're doing. So there's new book of business and then there's the businesses that just continue to go because we have more units and there's also replacement.

因此，我們的體育場和競技場工作繼續發展勢頭。我們有聖地亞哥教士隊和紐約大都會隊的大項目。在酒店業，我們看到我們的大型萬豪品牌標準業務帶來了充滿希望和令人鼓舞的回報。在醫療保健領域，我們正在與一個大客戶建立牢固的關係。我認為我們還不能說出這個名字，但我們對此感到很興奮。我們正在做大型住宅——與大型住宅開發商合作，比如相關公司。丘吉爾唐斯是我認為很棒的一個有趣的地方，我們正在與伍德福德保護區合作。最後一個也是非常棒且真正相關的，是 Under Canvas，這是一家首屈一指的豪華豪華露營公司，我們正在全國各地與主要國家公園相鄰的地方佈置他們的營地。所以這只是讓你了解我們在做什麼。所以有新的業務書籍，然後是繼續發展的業務，因為我們有更多的單位，而且還有替代品。

That's great color. And then just as a follow-up, I wanted to ask about the inventory on the balance sheet being up. I know -- I think it's Julie who touched on it in the prepared remarks, but just curious if you could give any color in terms of how much of that is just inventory being stuck out in the ports versus what you have on hand and just sort of overall how you feel about your inventory position.

這顏色真好。然後作為後續行動，我想詢問資產負債表上的庫存是否增加。我知道 - 我認為是朱莉在準備好的評論中談到了它，但只是好奇你是否可以給出任何顏色，其中有多少只是滯留在港口的庫存與你手頭上的東西，只是您對庫存狀況的總體感覺。

Yes. I said in my prepared remarks that about 14.8% of the 24% increase is on-hand inventory. So the delta is what's in transit of that 24%. So a sizable portion of it is still on the water. And obviously, there's been some delays in bringing that inventory in for a myriad of reasons that certainly with our scale and sophistication, we're much better at maneuvering through that and getting it in a lot quicker, more effectively than others, but we're not immune to it. And so we're definitely working through those factors. But certainly, we're nowhere near where we want to be. We're not at optimal levels with a negative 13% of on-hand inventory on a 2-year basis. When you look at our sales growth at a 39% comp on a 2-year basis, we have a lot of room to go. And so it's a huge opportunity for the company. And hopefully, by the back half of the year, we'll be in a much better position.

是的。我在準備好的評論中說，在 24% 的增長中，約有 14.8% 是現有庫存。所以三角洲就是這 24% 的運輸過程中的東西。所以它的很大一部分仍然在水面上。很明顯，由於種種原因，我們的規模和復雜性肯定會因為我們的規模和復雜性而出現一些延遲，我們更擅長於操縱它，並且比其他人更快、更有效地獲得它，但我們'不能免疫它。所以我們肯定在努力解決這些因素。但可以肯定的是，我們離我們想去的地方還很遠。我們沒有處於最佳水平，2 年的現有庫存為負 13%。當您查看我們以 2 年為基礎的 39% 的銷售額增長時，我們還有很大的發展空間。所以這對公司來說是一個巨大的機會。希望到今年下半年，我們會處於更好的位置。

And the next question comes from Adrienne Yih of Barclays.

下一個問題來自巴克萊的 Adrienne Yih。

Congratulations to the entire team. The year was fantastic. The quarter was fantastic. So Laura, I want to go back to the competitive landscape. And I'd like to hear your thoughts on how much of the industry was in sort of small chains, independents prepandemic. Where have they gone? And then other competitors -- and I'll just name, like RH has moved higher pricing and maybe create some white space. So I really am curious. When you say competitors, can you help us understand like who is the national chain that you compete against for West Elm, for Pottery Barn? Because when I think about kind of where people would go, it really comes down to those 2 names and not a lot of others. So that's my first one. Sorry, it's so long-winded.

祝賀整個團隊。這一年太棒了。這個季度太棒了。所以勞拉，我想回到競爭格局。我想听聽你對這個行業有多少是在某種小型連鎖店，獨立的大流行前夕的看法。他們去哪兒了？然後是其他競爭對手——我只想說，比如 RH 已經提高了定價，可能會創造一些空白。所以我真的很好奇。當您說競爭對手時，您能否幫助我們了解您與 West Elm、Pottery Barn 競爭的國家連鎖店是誰？因為當我想到人們會去哪裡時，它真的歸結為這兩個名字，而不是很多其他名字。所以這是我的第一個。對不起，它太囉嗦了。

And then, Julie, can you help us out with Q1 shaping? It seems like if you look at normal seasonality, there's more opportunity in Q1 from an op margin standpoint.

然後，朱莉，你能幫助我們進行第一季度的塑造嗎？如果你看一下正常的季節性，從運營利潤率的角度來看，第一季度的機會似乎更多。

Thanks, Adrienne. So I wish there was better market data frankly. I mean we try to piece it together. But the -- before the pandemic, we saw even higher amount being done on the street with brick-and-mortar retailers, and it was part of, I think, an investor deck like 3 years ago that we said it's not going to be 80% done brick-and-mortar. It's going to be moving online. And so even before the pandemic happened, we were talking about the opportunity, as people move online, to be one of the clear winners online. And so that is about as much data as I have. I mean you can see it in your local towns where it's changed a lot on the street.

謝謝，阿德里安。所以坦率地說，我希望有更好的市場數據。我的意思是我們試著把它拼湊起來。但是——在大流行之前，我們看到在街上與實體零售商合作的金額甚至更高，我認為，這是像 3 年前那樣的投資者套路的一部分，我們說這不會是80% 是實體店完成的。它將轉移到網上。因此，甚至在大流行發生之前，我們就在談論隨著人們上網的機會，成為網上明顯的贏家之一。這就是我擁有的數據量。我的意思是你可以在你當地的城鎮看到它，在街上它發生了很大的變化。

Now in terms of head-to-head competition, it's really hard to find somebody who does what we do, which is great. But there's a lot of people selling pieces and parts. And the big ones that we -- people talk about the specialty people, but truly, we're thinking about the really big ones who tend to have value-priced products that are not anything like our products nor do they put the whole house together. I'm resisting the temptation to call them by name, but you know who they are. And then the specialty retailers, a lot of the specialty retailers -- first of all, they don't have the same digital capabilities. They don't have multiple brands. They don't have multiple aesthetics. And then also, they don't design their own products, which may appear that they do. They do a lot of other things, I think, well. But they don't necessarily have products that you can't find elsewhere if you try hard enough.

現在就正面交鋒而言，真的很難找到能做我們所做的事情的人，這很棒。但是有很多人在賣零件。而我們的大人物——人們談論的是專業人士，但實際上，我們正在考慮那些往往擁有與我們的產品不同的物超所值產品的真正大人物，他們也不會將整個房子放在一起.我拒絕直呼他們的名字，但你知道他們是誰。然後是專業零售商，很多專業零售商——首先，他們沒有相同的數字能力。他們沒有多個品牌。他們沒有多重美學。而且，他們不設計自己的產品，而這看起來是他們自己設計的。我認為，他們還做了很多其他事情。但如果你足夠努力，他們不一定有你在其他地方找不到的產品。

And so that's really one of the most important competitive differentiators. And then add to it that there's nobody else who -- that makes that Barron's list who's in home furnishing, not one. We're the only home furnishings retailer on the Barron's list of top sustainable companies. And we know our customers care about that, and they'd rather buy from someone who is also sustainable. And frankly, they're happy to spend a little bit more because it's important to them to know how their products are made and what chemicals are used and all those things. And we -- you saw us. I hope everybody saw the new impact report that we put out and all the pieces and parts of improving our footprint. And we're certainly not done, but we're going to continue to step it up and announce even bigger goals when we get up to Earth Day, and I'm excited about those goals. So there's a lot of work to be done there, but we're ahead. We're in a leadership position already, and we intend to stay there on sustainability and high-quality, durable products.

因此，這確實是最重要的競爭優勢之一。然後再補充一點，沒有其他人——這使得巴倫的家居用品名單上沒有一個人。我們是巴倫可持續發展公司名單中唯一的家居用品零售商。我們知道我們的客戶關心這一點，他們寧願從同樣可持續的人那裡購買。坦率地說，他們很樂意多花一點錢，因為了解他們的產品是如何製造的、使用了哪些化學品以及所有這些對他們來說很重要。而我們——你看到了我們。我希望每個人都能看到我們發布的新影響報告以及改善我們足蹟的所有內容。我們當然還沒有完成，但我們將繼續加緊努力，並在地球日到來時宣布更大的目標，我對這些目標感到興奮。所以那裡有很多工作要做，但我們領先。我們已經處於領先地位，我們打算在可持續性和高質量、耐用的產品方面保持領先地位。

Adrienne, on the Q1 question. I mean obviously, you know we don't provide guidance on a quarterly basis. I'm sure you're asking from a directional standpoint. I don't think there's anything that's really noteworthy to call out that's different than sort of the normal run rate. So I don't think there's anything to highlight at that point. We're super excited, obviously, about the incredible guidance we gave on the year and the fact that we are committed to holding operating margins on the year. So I think that's our focus.

Adrienne，關於 Q1 的問題。我的意思很明顯，你知道我們不會按季度提供指導。我敢肯定你是從方向的角度來問的。我認為沒有什麼與正常運行速度不同的真正值得注意的地方。所以我認為在這一點上沒有什麼需要強調的。顯然，我們對我們在這一年提供的令人難以置信的指導以及我們致力於在這一年保持營業利潤率這一事實感到非常興奮。所以我認為這是我們的重點。

And then, Julie, just one short follow-up. What is the criteria for closing stores? Because clearly, you are closing four-wall profitable stores, which is, for a retailer, a very, very difficult decision to make. Laura, I know you talked about this before, having a hurdle rate for profitability and that's how you keep driving the profits up. So when you're looking at that 25% of square footage, your stores, how are you making that decision each year?

然後，朱莉，只是一個簡短的跟進。關店的標準是什麼？因為很明顯，你正在關閉四壁盈利的商店，對於零售商來說，這是一個非常非常困難的決定。勞拉，我知道你之前談到過這個，有一個盈利的門檻率，這就是你不斷提高利潤的方式。因此，當您查看 25% 的面積時，您的商店，您每年是如何做出這個決定的？

Yes. I mean I think one of the first things that makes us different obviously is the size of our e-commerce business. When you look at other retailers, they don't have that choice. And so we're making decisions. One of the decisions we're looking at is the profitability on our e-commerce business and comparing that to the retail stores. And so do we want that sale in retailer? Do we want it on the e-commerce side? But that's one factor.

是的。我的意思是，我認為讓我們明顯不同的第一件事是我們電子商務業務的規模。當您查看其他零售商時，他們沒有這種選擇。所以我們正在做決定。我們正在考慮的決策之一是我們電子商務業務的盈利能力，並將其與零售店進行比較。那麼我們想要在零售商那裡進行銷售嗎？我們想要它在電子商務方面嗎？但這是一個因素。

We're also looking at the store. And is it brand enhancing? Is there other reasons to have the store? Because certainly, stores are incredibly important to us from a service aspect for our customers. And so -- but we haven't given out the exact metric, but I would say that's one way to think about it. You know what our operating margins have been historically in e-commerce, and I think that's sort of an interesting spot to think about. We definitely want to make sure that the sale is profitable.

我們也在看這家店。它是品牌提升嗎？開店還有其他原因嗎？因為當然，從為客戶提供服務的角度來看，商店對我們來說非常重要。所以 - 但我們沒有給出確切的指標，但我會說這是考慮它的一種方式。你知道我們在電子商務中的營業利潤率歷來是多少，我認為這是一個值得思考的有趣地方。我們絕對希望確保銷售是有利可圖的。

And we're really happy to see that, as I said, specifically in Sonoma. But really across the board, our retail optimization strategy is really working. We're seeing the new stores, the remodeled stores beat our expectations, and we're seeing better transfer from the closed stores. And then our fantastic real estate team has -- last year, I mean we renegotiated 90% of our leases that came up for renewal.

正如我所說，我們真的很高興看到這一點，特別是在索諾瑪。但實際上，我們的零售優化策略確實奏效了。我們看到了新店，改造後的商店超出了我們的預期，我們看到關閉的商店有更好的轉移。然後我們出色的房地產團隊 - 去年，我的意思是我們重新談判了 90% 的續約租約。

So there's a lot of good stuff going on with the retail profitability, and our teams at retail continue to innovate. I mean I -- we've talked about how strong they were during the pandemic in helping us do Design Chat, design services. Even though our stores were closed, we kept them employed. And they have paid us back in spades with loyalty and passion and creativity, and they continue to be really the face of our brands. And so much of our business is done with these design appointments, and we're doing it now virtually too. And that's something that -- I mean we're not just dabbling. It's a big piece of our business, and it's supported by ever-improving tech capabilities so that people can really imagine how things will look in their home when they're making the purchasing decision and eliminate mistakes that so many of us make when we do a whole room or a whole house.

因此，零售盈利能力有很多好處，我們的零售團隊繼續創新。我的意思是我 - 我們已經討論過他們在大流行期間幫助我們進行設計聊天和設計服務的能力。即使我們的商店關門了，我們也讓他們繼續工作。他們以忠誠、熱情和創造力回報了我們，他們仍然是我們品牌的代言人。我們的大部分業務都是通過這些設計任命完成的，我們現在實際上也在這樣做。這就是——我的意思是我們不只是涉足。這是我們業務的重要組成部分，並且得到了不斷改進的技術能力的支持，因此人們在做出購買決定時可以真正想像他們家中的情況，並消除我們許多人在購買時犯的錯誤整個房間或整個房子。

And our next question comes from Brian Nagel of Oppenheimer.

我們的下一個問題來自 Oppenheimer 的 Brian Nagel。

Congrats on another nice quarter.

恭喜又一個不錯的季度。

Thank you.

謝謝你。

So my question -- and I know we've talked about supply chain a bunch already, but I want to just talk about it more. As you look at the supply chain dynamic that's impacting Williams-Sonoma, is it -- do you think -- again, recognizing how fluid the situation is out there, are dynamics getting worse? Or are they staying the same? And then as you think about the duration of this and we talk to you now about the issues persisting pretty far into '22, are there levers that Williams-Sonoma could pull or things that -- that you guys have not pulled yet that from an internal standpoint could help to mitigate some of these pressures?

所以我的問題——我知道我們已經討論了很多供應鏈，但我想多談談。當您看到影響 Williams-Sonoma 的供應鏈動態時，您是否認為，再次認識到情況有多不穩定，動態是否會變得更糟？還是他們保持不變？然後，當您考慮這一持續時間時，我們現在與您討論一直持續到 22 年的問題，Williams-Sonoma 是否可以拉動槓桿或其他東西——你們還沒有從內部立場是否有助於減輕其中一些壓力？

So I mean it's so funny how dynamics are worse. We were talking about this the other day. And our perspective is that this year is going to be about the same as last year, and we thought nothing could be worse than last year. So I would say it's as bad as last year. It's a horrible comment, but I mean we're realist about this. We're expecting it to be stops and starts. We see all sorts of things, COVID stop-and-starts. We see material labor shortages. Now the terrible war will have some impact. And so these are all things that are happening to everyone in the industry in all consumer businesses.

所以我的意思是動態變得更糟真是太有趣了。前幾天我們在談論這個。我們的觀點是，今年將與去年大致相同，我們認為沒有什麼比去年更糟了。所以我會說它和去年一樣糟糕。這是一個可怕的評論，但我的意思是我們對此很現實。我們預計它會停止和開始。我們看到各種各樣的事情，COVID 時斷時續。我們看到物質勞動力短缺。現在可怕的戰爭將產生一些影響。因此，這些都是在所有消費業務的行業中發生在每個人身上的事情。

But the reason we are so confident is that we have an incredible team and scale. We're the 13th largest container importer. We have great relationships with our vendors and our shippers that allows us to expedite production and inventory flow. And we're going to -- we tend to be very worried about what could happen and create contingency plans for these things as much as we can. And so we're also, at the same time, looking at how do we control what we can control better, i.e., time to process an order and to get it to our customer. And that is why we're continuing to regionalize our distribution network so we're closer to our customers and we give them incredible service with even fewer damages.

但我們如此自信的原因是我們擁有一支令人難以置信的團隊和規模。我們是第 13 大集裝箱進口商。我們與供應商和托運人有著良好的關係，這使我們能夠加快生產和庫存流動。我們將——我們傾向於非常擔心可能發生的事情，並儘可能多地為這些事情制定應急計劃。因此，我們同時也在研究如何更好地控制我們可以控制的東西，即處理訂單並將其交付給客戶的時間。這就是為什麼我們繼續對我們的分銷網絡進行區域化，以便我們更貼近我們的客戶，我們為他們提供令人難以置信的服務，並且損失更少。

There's a lot. I think Julie gave a great summary of all the operating margin levers that we have in our company and -- as well as we've done. We believe there's still a lot of room to improve particularly in the supply chain. And I don't think that we have to -- we can do -- there's many of them that I expect to happen this year. But we also know that there are some things that we haven't predicted yet that are likely to come our way as well.

有很多。我認為朱莉對我們公司擁有的所有營業利潤率槓桿進行了很好的總結，以及我們已經完成的工作。我們認為仍有很大的改進空間，尤其是在供應鏈方面。而且我認為我們不必——我們可以——我預計今年會發生很多事情。但我們也知道，有些事情我們還沒有預料到，也可能會發生。

That's helpful. And then as a quick follow-up, and I guess somewhat related to that, you talked about the, I guess, I would say, lack of promotions. Lack of widespread promotions is a driver of upside to the margins here in the quarter. And I think we've discussed this before, but how do you think about the sustainability? Is the ability of Williams-Sonoma now to drive better, say, full price sell-through more a function of internal initiatives such as the merchandising? Or are you still really benefiting from the supply chain constraints, in a way this lack of product being within the channel?

這很有幫助。然後作為快速跟進，我想與此有些相關，你談到了，我想，我會說，缺乏促銷活動。缺乏廣泛的促銷活動是本季度利潤率上漲的驅動因素。我認為我們之前已經討論過這個問題，但是您如何看待可持續性？ Williams-Sonoma 現在是否能夠更好地推動全價銷售，是否更多地取決於商品推銷等內部舉措？或者您是否仍然真正從供應鏈限制中受益，在某種程度上缺乏產品在渠道內？

No. It's really, I'd say, more than even either one of those things. It was a mindset shift that it wasn't a good idea to have a price go up and down on a product that you're selling on a regular basis. You will see us take markdowns. We will miss on fashion. We will have things that are overstocked. I know that you've seen us take markdowns. Those are not what I'm talking about. Where we've been talking about not running site-wide promotions that you see others run, you saw many people run during the holiday season. You can still pull them up and look at them now. And really, it's a measure. Our pricing power is a measure of our merchandise and product initiatives internally and the strength of our brands.

不，我想說，這真的比其中任何一種都重要。這是一種思維方式的轉變，讓您定期銷售的產品價格上漲和下跌並不是一個好主意。你會看到我們降價。我們會錯過時尚。我們會有庫存過剩的東西。我知道你已經看到我們降價了。這些不是我要說的。我們一直在談論不運行您看到其他人運行的站點範圍的促銷活動，您看到很多人在假期期間運行。你現在仍然可以把它們拉起來看看。真的，這是一個衡量標準。我們的定價能力是衡量我們內部商品和產品計劃以及我們品牌實力的指標。

I appreciate it. Congrats again.

我很感激。再次恭喜。

Thank you.

謝謝你。

Thank you.

謝謝你。

And we can go to Seth Basham of Wedbush Securities.

我們可以去 Wedbush Securities 的 Seth Basham。

This is Matt McCartney on for Seth. Just real quick, just want to revisit the price volume sort of equation for this year. Is it fair to kind of think about volumes being down in the first half given the supply chain issues and then sort of picking up in the back half, maybe even growing and then kind of coming out to that flattish balance for the full year?

這是賽斯的馬特麥卡特尼。真的很快，只是想重新審視今年的價格數量等式。考慮到供應鏈問題，考慮到上半年的銷量下降，然後在下半年有所回升，甚至可能增長，然後全年達到持平的平衡，這是否公平？

Sorry. Are you talking about units? Are you talking about -- what are you talking about? I'm trying to understand your question.

對不起。你說的是單位嗎？你在說什麼——你在說什麼？我試圖理解你的問題。

I'm taking about just pricing aside, just units first half versus second half given the supply chain issues.

考慮到供應鏈問題，我只考慮定價，只是上半年與下半年的單位。

No. I wouldn't assume that at all. I think it's just a function of we have incredibly strong sales that we've been chasing inventory on for a long period of time. And so we're continuing to chase that inventory, which is maintaining elevated back order levels, but we're still having strong sales going forward. There will still be unit sales that occur as we move throughout the year. I don't think there's anything to tie the number of units to -- relative to inventory receipts with supply chain in the first half.

不，我根本不會這麼認為。我認為這只是我們擁有令人難以置信的強勁銷售的一個功能，我們長期以來一直在追逐庫存。因此，我們繼續追逐庫存，這維持了較高的延期交貨水平，但我們仍然擁有強勁的銷售前景。隨著我們全年搬遷，仍然會有單位銷售。我認為沒有什麼可以將單位數量與上半年的供應鏈庫存收據聯繫起來。

Okay. That's helpful. And then just one last question here. Just wondering about your ability to sort of pass on price. You're mentioning your pricing power. Is there any sort of a differentiation on a brand level where you're seeing perhaps more pricing power or maybe even less pricing power?

好的。這很有幫助。然後這裡只是最後一個問題。只是想知道你傳遞價格的能力。你提到了你的定價能力。在品牌層面是否存在任何差異，您可能會看到定價能力更強，甚至定價能力更低？

I wouldn't -- no. We've been very careful, and there's a fine line. We want to make sure, as I said, that we're giving our customers great value. So it's a judgment by product category. And we're doing a lot of testing in every single brand. And we are seeing success in the pricing increases that we've had to take because cost increases have gone up as well. But we also at the same time -- remember, because we care so much about keeping our range of customers, we continue to increase the amount of opening price point products. So even though something might have to go up in price, we also are bringing in a bunch of opening price point products so we can really keep pushing our customer acquisition. And we have worked with our vendors to really value engineer and still build our same quality and sustainability profiles into these products so that we don't just become a very expensive set of brands.

我不會——不。我們一直非常小心，而且有一條細線。正如我所說，我們希望確保我們為客戶提供了巨大的價值。所以是根據產品類別來判斷的。我們正在對每個品牌進行大量測試。我們看到了我們不得不採取的價格上漲的成功，因為成本上漲也上升了。但我們同時 - 請記住，因為我們非常關心保持我們的客戶範圍，我們繼續增加開盤價產品的數量。因此，即使某些產品的價格可能會上漲，我們也會引入一系列開放價位產品，這樣我們就可以真正繼續推動我們的客戶獲取。我們已經與我們的供應商合作，真正重視工程師，並且仍然在這些產品中構建我們相同的質量和可持續性配置文件，這樣我們就不會只是成為一組非常昂貴的品牌。

Ladies and gentlemen, that's all the time we have for questions today. I'd like to hand the call back to the management team for any additional or closing remarks.

女士們，先生們，這就是我們今天的所有提問時間。我想將電話轉回給管理團隊，以獲取任何補充或結束語。

Well, thank you all. Really appreciate your questions and your enthusiasm and your engagement and can't wait to see you all in person.

嗯，謝謝大家。非常感謝您的問題、熱情和參與，迫不及待地想與大家見面。

Ladies and gentlemen, that concludes today's conference call. We thank you for your participation. You may now disconnect.

女士們，先生們，今天的電話會議到此結束。我們感謝您的參與。您現在可以斷開連接。