Greetings, and welcome to a.k.a. Brands Holding Corp.'s second quarter 2023 earnings conference call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Emily Schwartz, Head of Investor Relations and Corporate Communication. Thank you, Ms. Schwartz. You may begin. Good afternoon. Thank you for joining a.k.a. Brands' second quarter 2023 conference call to discuss the results released this afternoon, which can be found on our website at ir.aka-brands.com. With me on the call today is Ciarán Long, Interim Chief Executive Officer and Chief Financial Officer. Before we get started, I'd like to remind you of the company's safe harbor language. Management may make forward-looking statements which refer to expectations, projections, and other characterizations of future events, including guidance and underlying assumptions. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those expressed. For a further discussion of risks related to our business, please see our filings with the SEC. Please note, we assume no obligation to update any such forward-looking statements. This call will contain non-GAAP financial measures such as Adjusted EBITDA and Adjusted EBITDA margin. Reconciliations of these non-GAAP measures to the most comparable GAAP measures are included in our earnings release furnished to the SEC and available on our website. With that, I'll turn the call over to Ciarán. Thanks, Emily. Good afternoon, everyone, and thanks for joining our call to discuss the second quarter. We continue to execute against our strategic initiatives and have made significant improvements in our operating efficiencies, which enabled us to deliver on our EBITDA and cash flow expectations for the quarter. We also continue to strengthen our balance sheet by way of strategically reducing our inventory and paying down our debt. Importantly, we are increasing our addressable market, particularly in the U.S., by introducing our brands to new customers through our direct-to-consumer and omni-channel initiatives. Net sales for the second quarter were $136 million. The U.S. delivered $80 million of net sales, which was in line with our expectations and represented a 12% increase on a two-year basis. The U.S. continues to be our largest and most robust region. We remain keenly focused on expanding our brand's presence and increasing awareness in this market. We are very pleased with the ongoing progress. The in-line performance in the U.S. was dampened by continued macro pressures and consumer challenges that we're facing in the Australia region. In addition to the macro environment, we have identified opportunities that we are aggressively addressing, which I'll provide further color on in a few minutes. Despite the softer than anticipated net sales in Australia, there are a lot of green shoots and highlights to take away from the quarter. I'm very pleased that we delivered $5.6 million of Adjusted EBITDA and $10 million in operating cash flow, in line with expectations. Importantly, despite our Net Sales decline from the second quarter last year, we were able to deliver the same level of EBITDA, which is a testament to the discipline and incredible work the teams have done to build structural efficiencies across our operating model while controlling expenses. As I mentioned, we continued to strategically reduce our inventory, which is down 26% year-over-year and down 16% from the year-end of 2022. We also further reduced our debt with a $12.5 million payment in the second quarter, or a 16% reduction from the end of 2022. We're incredibly pleased with our omni-channel initiatives as we're attracting new customers and creating buzz around our brands, particularly in the U.S. As we move through the back half of the year, we have three key priorities: First, we will continue to chase demand and build brand awareness through increasing fashion newness, attracting new customers through our next generation marketing tactics, and expanding our omni-channel initiatives. Second, we will continue to improve our operations by driving greater efficiencies and bringing inventory down further. Third, we will continue to strengthen our balance sheet by paying down additional debt through the remainder of the year. I'm very proud of the team's focus and execution across our initiatives, and I want to thank them for their continued commitment and drive. Now I'll share a few highlights from our brands, and then I will walk you through the financials. Starting with our women's brands, Princess Polly remains our largest brand and continues to appeal to customers with on-trend fashion and next-generation marketing activations. As mentioned last quarter, we are refining our marketing spend and increasing fashion newness across our brands. These efforts are aimed at both attracting new customers and fostering loyalty among existing customers. Given the fast and efficient test and reorder merchandising approach, Princess Polly released 100 new styles per week in the second quarter and saw a very strong sell-through rate, particularly in dresses. They launched their Princess Polly branded merchandise in the beginning of the year, which supports strong brand affinity and loyalty. Based on the success and positive customer reception, they will be expanding this collection and will release 20 new logo branded styles in the back half of the year. On the marketing front, as we approach the fall, Princess Polly has targeted merchandise drops and marketing events to coincide with key moments for their customers: back to school, sorority rush, and homecoming.... Based on the success of the spring break and summer Jeep tours, they're launching a Jeep tour on college campuses across California to meet customers face-to-face and build relationships. As next generation marketing experts, Princess Polly remains laser focused on reaching their customers across multiple platforms. They continue to grow their TikTok presence and fine-tune the efficiency. Based on successful community engagement and customer contents on TikTok and refreshed organic and paid strategies, they increased their reach in TikTok views by over 300% sequentially compared to the first quarter. Equally as exciting as Princess Polly's direct-to-consumer initiatives, is the success of their omni-channel initiatives. I'm excited to announce that Princess Polly and PacSun have expanded their wholesale relationship. Beginning tomorrow, Princess Polly will go live in 100 PacSun stores across the U.S., up from 15 stores in the initial test. The early success with the Pacsun partnership gives us great confidence in Princess Polly's ability to expand its market reach and significantly grow the business over time in both the U.S. and internationally. We're also looking forward to the opening of Princess Polly's first store in the Century City Mall in Los Angeles next month. As a reminder, we believe this location is the perfect strategic fit for Princess Polly's first store, given the high volume of Gen Z and millennial shoppers in the open air mall daily. We continue to evaluate more retail locations for Princess Polly, and we'll use the learnings from the Century City store to develop our plans for future stores. Petal & Pup is also making impressive progress on both their direct-to-consumer initiatives and their omni-channel tests. They launched 26% more new styles in the second quarter versus the first quarter and continued to see strong sell-through in their newness. Similar to Princess Polly, additional to their social media and brand marketing, Petal & Pup is also using events and sponsorships to reach new and existing customers. They hosted five in-person events in the second quarter, engaging both influencers and customers and building broader awareness, including a large-scale activation at the Country Music Awards Festival in Nashville in June. We're also excited that as Petal & Pup continues to gain traction in the U.S., they are launching their first influencer capsule collection, designed and curated by Nina Evans, a popular U.S.-based content creator, in August. Petal & Pup's omni-channel initiatives are also exceeding our expectations. As announced last quarter, the brand is currently live and performing well on Target marketplace, demonstrating that demand for Petal & Pup is strong. We continue to pursue opportunities to attract new customers to the brand and boost awareness through marketplaces and select wholesale engagements. We're very encouraged by Petal & Pup's initial success with marketplaces. We're leveraging the learnings to inform marketplace tests across the other brands in our portfolio. Shifting to our streetwear brands, we remain pleased with the momentum that Culture Kings is gaining in the US, where it continues to disrupt the US streetwear industry. The Las Vegas store is performing ahead of our expectations. We are equally pleased with the positive impact it has had on our online sales. Culture Kings embodies the collision of music, fashion, and culture, and they're bringing this to life in the U.S. through unique marketing activations, partnerships, and their signature retailtainment e-commerce stores. The second quarter is a great testament to the power of the Culture Kings brand beyond just the in-store events. As momentum builds, Culture Kings began marching across the U.S. with their first partnership beyond the West Coast, with the Lyrical Lemonade Summer Smash Music Festival in Chicago in June. As sponsors of an official stage, they curated an exclusive merchandising collection and the iconic Culture Kings basketball court activation, further enhancing their impact and presence at the event. Based on the success of the Rolling Loud sponsorship in L.A. earlier in the year, they expanded the partnership and were named the official streetwear brand for the Rolling Loud Music Festival in Miami in July. Culture Kings sponsored a branded stage and full-size basketball court, which was open to the more than 250,000 festival goers over the event. The brand also designed an exclusive Rolling Loud capsule collection, which was available to shop at a pop-up store on festival grounds and on the Culture Kings website. In the second quarter, Culture Kings also deepened their sports partnerships and furthered their collaboration with the UFC. Culture Kings showcased and was the top-selling booth at UFC X, a fully immersive UFC fan experience in Las Vegas during International Fight Week in June. Their merchandise sold out in a few hours, the team quickly leveraged our in-house design and print facility to print and overnight more inventory, showcasing both the incredible demand for Culture Kings as well as the brand's flexibility and speed to chase and replenish in under 24 hours. The Las Vegas flagship is an incredible marketing machine where the brand can host exciting one-of-a-kind events and activations. In the second quarter, popular mixed martial arts fighters, Charles Oliveira and Chito Vera, held the most attended in-store event to date, featuring a 22-foot MMA fight cage with over 1,000 fans showing up for the in-store event. Additionally, as Culture Kings deepens its relationship in sports in the U.S., they collaborated with New Era and WNBA stars, Arike Ogunbowale- DiJonai Carrington, who hosted a live shopping and Q&A event in the store during All-Star Weekend. On the print and licensing side, Culture Kings extended its collaboration with Dreamville, with an exclusive collaboration and an in-store event with JID and hip hop duo, EarthGang. We're excited for the upcoming licensed merchandise collabs with fan favorites and '90s revival, Pokemon and Looney Tunes. We remain pleased with the performance of Culture Kings' in-house brands, which come at higher gross margins, including mnml, which remains a top 10 brand at Culture Kings online and in-store. We also continue to be encouraged that Culture Kings is bringing new customers to mnml and integrating mnml products into Culture Kings' marketing and activations. In the second quarter, mnml launched a gifting strategy for the WNBA, and Las Vegas player, A'ja Wilson, received her WNBA championship ring in full mnml outfit, and over 20 WNBA players have been spotted wearing mnml across social media since. Before I provide more detail on the P&L, I want to give you more color on our three regions. As I mentioned, the U.S. continues to be our strongest region and will be the most significant driver of growth. In the first half of the year, the U.S. accounted for 59% of total revenues, up from 52% from the comparable period last year, and the region continues to be an increasingly more important part of our portfolio growth and profitability. Second quarter Net Sales in the U.S. were $80 million, which was down 3% compared to last year, but up 12% on a two-year stack. Beginning this quarter and going forward, we're slightly adjusting our financial reporting structure to include New Zealand in the Australia region, giving the proximity and interconnectedness of the two countries. You can now find historical financial information for the updated region in our filing. In the Australia region, net sales for the second quarter were $48 million, down 28% compared to last year and down 24% on a constant currency basis. In the first half of the year, the Australia region accounted for 35% of total company revenues, down from 42% in the first half of 2022. Similar to the U.S., the Australian consumer has been challenged post-pandemic. However, the environment there has remained more challenging than we anticipated. They've had 12 interest rate increases over the last 12 months, which is particularly impactful as the majority of the country have variable rate mortgages, leading to increased consumer pressure as we've gone through 2023. In addition to the macro challenges, we have also identified areas of opportunities across our brands in the region. Our teams are keenly aligned with our philosophy to manage inventories below our forward demand expectations. We are building further operational efficiencies, and we're honing in on demand creation initiatives. We have completed a holistic SKU streamline initiative to focus on faster selling SKUs, which will improve overall operating effectiveness and allow for stronger and fresher merchandise season after season. Importantly, Culture Kings is also adding productive third-party footwear brands such as Salomon and Clarks. While we feel good about the quality and quantity of our women's brands inventory as we head into their strong spring and summer seasons, we're also evaluating partnerships with select off-price retailers in Australia to move through aged inventory faster, while remaining focused on our newness and overall profitability. While we anticipate that the consumer will remain challenged for the remainder of 2023 and into 2024, we're confident that these actions will benefit the Australia region over the longer term, while enabling us to manage the business appropriately in the current demand environment. The rest of the world delivered $8 million in net sales, which was down 12% from the second quarter in the prior year. As our focus is on the U.S. in the short term, our strategic decisions to shift marketing dollars from the U.K. and Europe in the third quarter of last year continues to impact trends in these regions. I'll give you more detail on the P&L before taking your questions. For the second quarter, Net Sales were $136 million, a decline of 14% compared to the second quarter last year. On a constant currency basis, Net Sales were down 11% compared to last year. Total orders for the second quarter were 1.7 million, are flat in a two-year stack and down 11% to last year. Order volume was impacted by overall lower demand in the Australia region and lower conversion across regions. As we ramped up marketing efforts and the flow of newness normalized, we saw improvements in traffic. However, conversion rates continued to lag prior year trends as customers remained somewhat more selective in their purchasing behavior. We served 3.6 million active customers on a trailing twelve-month basis, which is flat sequentially to the first quarter of 2023. Average order value of $82 decreased 4% compared to the second quarter last year on a reported basis and was flat in constant currency. Our return rate for the second quarter was 20.5%, which remains one of the lowest among our peers. Moving to profitability. Gross Margin in the second quarter was 56.9%, compared to 55.2% in the same period last year, or up 170 basis points, above our expectations of roughly flat to last year. This Gross Margin upside was driven by improved full price sell-through, due to the increased newness, particularly in the U.S. and lower freight expenses. The teams have been hard at work improving our operational efficiencies over the last 12 months, and I'm very pleased with the incredible progress we've made. Selling expenses declined 21% to $36 million, compared to $45 million in the second quarter of 2022. Selling expenses were 26.4% of net sales and leveraged 220 basis points compared to the second quarter last year. I'm really proud of the incredible work the team has done on shipping carrier optimization, finding labor efficiencies, and improving our costs throughout the supply chain. Marketing expenses in the quarter were $80.4 million, compared to $19.1 million in the second quarter of 2022. On a rate basis, marketing expenses were 13.5% of Net Sales, compared to 12% of net sales in the second quarter of 2022, driven by lower effectiveness in the Australia region. Throughout the second quarter, we continued to ramp up our marketing investments in line with the increased newness in the assortment to drive top line improvements across brands. General and administrative expenses declined by 6% to $24.2 million in this, compared to $25.7 million in the second quarter of 2022. On a rate basis, G&A expenses were 17.8% of net sales, compared to 16.2% of Net Sales in the second quarter of 2022. The change in our rate basis was primarily driven by lower sales volume compared to the prior year. It is important to note that our expense base is largely fixed, and improvements in sales will require nominal incremental G&A expenses, supporting opportunities to leverage this line in the future. Adjusted EBITDA was $5.6 million, in line with our guidance, despite slightly lower than expected net sales. This compares to $5.9 million in the second quarter last year. Adjusted EBITDA margin for the second quarter of 2023 expanded to 4.1%, compared to 3.7% in the same period last year. Net loss was $5 million, or $0.04 per share in the second quarter of 2023, compared to net loss of $4.2 million, or $0.03 per share in the same period last year. Turning to the balance sheet. I want to reiterate that strengthening our balance sheet is a top priority for us, and I'm very proud of the actions we took over the last few quarters to lower our debt levels and improve inventory levels and working capital. We ended the quarter with $26 million in cash and cash equivalents and $120 million in debt. At the end of the second quarter, we had total liquidity of approximately $57 million. In the quarter, we continued to make additional debt repayments, bringing our total debt pay down to $24 million year-to-date. Additionally, in June, our board of directors authorized a share repurchase program to repurchase up to $2 million of shares of the company's common stock. In the second quarter, we repurchased 673,000 shares for a total cost of approximately $300,000. As mentioned, I'm really pleased with our inventory levels, which at the end of the quarter totaled $106 million, compared to $144 million at the end of the second quarter of 2022. Total inventory dollars were down 26%, and units were down 22% compared to last year. We feel confident in the overall composition, newness, and quality of our inventory and expect to see continued decline in inventory dollars and units in fiscal 2023 on a constant currency basis. Going forward, we expect to run the business with inventory growth below sales growth, and I'm encouraged that we return to this dynamic in the quarter. Along with maintaining a healthy balance sheet, generating strong cash flows is another key priority for us. In the second quarter, we generated $10.3 million of operating cash, which compared to cash use of $8.7 million in the second quarter of 2022. This $19 million year-over-year increase in operating cash flow was primarily driven by positive EBITDA and inventory improvements. In the quarter, we generated free cash flow of $8.5 million. As we look at the remainder of 2023 and beyond, we're excited by our brand's strategic initiatives and the channel expansion opportunities to drive heightened brand awareness. Based on the trends we're seeing with the consumer, primarily the continued pressure on the consumer in the Australia region, we're lowering our back half expectations to reflect the current environment. We now expect to deliver between $555 million and $565 million in net sales and between $21 million and $25 million in EBITDA for the year. For the third quarter, we expect to deliver net sales of between $138 million and $143 million, and Adjusted EBITDA in the range of $6 million-$8 million. To give more color in the middle of the P&L, we expect Growth Margin, selling expenses, and marketing rates in the third quarter to be similar to the rates in the second quarter of this year. Before I take your questions, I want to let you know that Jill continues to work through her medical issues. She's doing well and appreciates everyone's regards. Our priorities for the remainder of the year are clear. We are creating demand opportunities and reaching new customers through our direct-to-consumer growth initiatives and omni-channel expansion plans. We're diligently focused on improving and finding even more operating efficiencies by reducing our inventory and managing our expenses. ...We're taking the necessary steps to strengthen our balance sheet and pay down even more debt. We remain confident in the future of our brands and the long-term potential, and are committed to driving shareholder value through delivering both growth and profit. Now, we'll open it up for questions. Thank you. We will now be conducting a question and answer session. If you would like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two if you would like to remove your questions from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment, please, while we poll for questions. First question comes from the line of Oliver Chen with TD Cowen. Please go ahead. Hi, Ciarán. Thanks a lot. Regarding inventory, how would you contrast the inventory relative to sales as you think about, you know, Australia versus the U.S.? As we think about the Australia as well, what factors could be within your control? Sounds like it's a dynamic, cautious environment. Then second question on the gross margins. You had impressive full price selling, although we're in a pretty mixed consumer environment. Could you elaborate on, you know, how you achieved that, and what does the guidance assume going forward in terms of full price selling and promotion? Thanks a lot, Ciarán. Thanks, Oliver. Yeah, you know, I think it's, it's, it's really good to see the progress we've, we've made on inventory. It is certainly something we've been very focused on. You know, we're down $37 million, since, since Q2 last year. I think, look, that's gonna be a continued focus for us as we go through the back half of the year. We do want to see inventory dollars come down sequentially. I think as, as we think about the composition of the inventory, I think overall, we feel good about it. We feel good about the quantity of the inventory that we have. I think in Australia, I think, you know, the, the women's brands are, you know, fully on test and repeat, and with that, able to adjust inventory really quickly. Culture Kings isn't there, and we still, we still have work to do to get them on test and repeat. I think because of that, you know, we're seeing that their inventory, the newness isn't there, like we have with the other brands. That is impacting their comps, and I think we're, we're seeing that, we're seeing that even more so for Culture Kings in Australia, where the comps there aren't as good as the brands that are fully on test and repeat. I think, look, we are aggressively taking actions in Australia, you know. As we look to the peer set there, we also see them negative comping. We expect to be doing better. There's, there's a lot that we're doing on newness in products, but also just operational efficiencies that we want to make. You know, we're removing unproductive SKUs. We expect that to help with gross margins, marketing, productivity, and just actions really across all the brands and, and all of the areas. As it relates to, to gross margins, you know, yeah, it's great to see gross margins up, you know, nearly 170 basis points year-over-year. I think really that is a testament to that test and repeat model that we have now fully implemented at, at three of the brands. you know, and bringing newness, well, kind of that newness has allowed us to be better at full price selling. We do see the customers really reacting positively to that newness. You know, as it relates to the, to the back half of the year, we expect that we will be, you know, similar gross margins in Q3 to where we were in Q2. In Q4, we would expect them to be seasonally lower, as we've kind of seen for the last number of years. We expect it to be more promotional in Q4. For us, that's all contemplated in our guidance. Thank you. Best regards. Thank you. Next question comes from the line of Edward Yruma with Piper Sandler. Please go ahead. Hey, good afternoon. Thanks for taking the question. I guess, just first a follow-up on Oliver Chen's question. Given the trends in Australia, are you able to kind of, shift inventory around, or at least some of the orders and buys and put them in the U.S. versus Australia? Then a broader question. You know, you guys, mentioned a litany of alternative distribution model tests, right? The marketplace at Target, the stores, and some select wholesale. I guess, kind of what's the biggest needle mover in the medium term, and what could the potential impact of the P&L be? Thank you. Thanks, Edward. Yeah, as, as it relates to inventory, I think, you know. Look, we, we, we do feel really good about the overall composition. We've made a lot of progress bringing it down across all the brands and all the regions. I think for us, it's just not at the same pace at Culture Kings than we've been able to do on the other three brands. You know, with it being men's, you know, you know, and the, you know, the streetwear sector that Culture Kings is in, there's certainly a longer life there to the inventory and less of a fashion risk that we see on the other three brands. Overall, I think, you know, we, we feel good about it. You know, as there is opportunities, we are moving the pacing of some of the inventory and, you know, putting it in the U.S. rather than Australia. I think we'll be, we'll be good there overall. As, as it relates to the omni-channel opportunities, you know, I think as, as we've talked about, you know, focused in three areas, wholesale, some marketplaces, and then looking forward to opening our first store with Princess Polly in Q3. You know, I think. Shorter term, obviously, I think the Pacsun progress is, is, is just really nice to see for Princess Polly, you know, going from a test in 15 doors to now being in a, in 100 stores, you know, tomorrow is, is just really nice to see that over the last four or five months. I think as it relates to the kind of short, medium term, those wholesale opportunities are probably more impactful. Look, we've had really good progress across all of the tests, right? We've learned a lot, and we've learned a lot that we can apply in, in each of the brands in, in those omnichannel opportunities. We're just gonna continue to, to lean in, into each of them across the brands. I think overall, it will certainly be beneficial both to the comp and to our EBITDA dollars. Thank you. Thank you. Next question comes from the line of Alice Xiao with Bank of America. Please go ahead. Hi, thanks for taking my question. Can you elaborate on the monthly cadence of performance in the quarter, and also how trends have been quarter to date, both generally and by region or by category? Anything you can share quarter to date. Thank you. Sure, Alice. Yeah, I think as we, we went through the quarter, we, we saw, you know, overall in the business, we saw slight improvements as we went through Q2. We saw more improvements in Q2 in the U.S., and that really coming from, you know, obviously kind of lapping a, a tough June for us all last year, but also just from some of the omni-channel initiatives, we saw helpful as well. We saw pretty consistent, you know, pressure in the Australia region. Then as it relates to this quarter, what we're seeing in July is continued improvements in comps in the U.S., and we expect to be, and our guidance contemplates positive growth in the U.S. in Q3 and Q4. You know, we're seeing the same declines in Q3 quarter to date as we saw in Q2 for the Australia region. Thank you. Thank you. Next question comes from the line of Ike Boruchow with Wells Fargo. Please go ahead. Hey, thanks. Hey, Ciarán. Couple quick questions, I guess, just to the point of the last question. In Australia, so are you, are you baking in similar declines in the back half as you're seeing, so like kind of roughly down 30 in the back half? Then you had made a comment in your prepared remarks around that macro pressure lasting even into the first half of next year. I guess, you know, first question is, what's embedded in the back half? Then based on the pressure you're seeing in Australia, at what point do you believe is reasonable for, for the overall business to return to total top line growth? Sure. Thanks, Ike. You know, as we, as we think about the back half, I think you, you'll see kind of from the guidance, we're expecting the same, I would nearly think about it first, kind of same volume of dollars, by region in Q3 that we saw in Q2. You know, a small uplift on the top end of the guidance, and that coming from the U.S. region rather than the Australia region. You know, I think we expect comps in Q4, obviously, in Q4 to be better in both regions. Now, look, that's very much as well related to the, you know, the actions we took in Q4 last year, where we pulled pretty hard back on newness of inventory across the brands, but also very much on the marketing dollar spend across the brands last year, right? You know, in Q4 this year, we expect the marketing dollars up a little bit on a rate basis year-over-year, but from a volume perspective, you know, it'll be up in the high 20s year-over-year. I think, you know, with that level of marketing dollar increase, we would expect comps to be better in Q4 this year. Then I think as we think about next year, I think certainly as we kind of, you know, I would say kind of from me, like it's kind of past Q1 into Q2, I would expect us to be back positive comping in the overall business. You know, we certainly see the U.S. back positive comping in Q3. Look, it continues to be a large and larger part of our business. It's certainly the biggest opportunity for us from a growth perspective. We're very focused on it and seeing a lot of, you know, benefits from the omni-channel initiatives. I think, you know, leaning into all of those can get us back to positive growth. Got it. I'm sorry if I missed it, but I think I heard you say similar gross margin rate in the third quarter as what you saw in the second quarter. Sorry, I might have missed that. I didn't think I heard you comment on the full year gross margin. You had said up 100 basis points three months ago. I mean, I imagine it's higher than that now. Did I miss that, or can you give some color on the full year gross margin? Yeah, sure. Yeah, I talked about kind of Q3 being similar to Q2. I think, you know, from an overall perspective, yeah, we, we would expect to be kind of, I'm thinking up around 100 basis points. You know, as we think about the overall year, obviously, we're, we're kind of, we've been running higher than that so far year to date. I think, you know, I am expecting us to, you know, just have a little bit of room as we think about promotional activity in Q4, and particularly in the Australia region. Okay. Just reiterating the, the, the up 100, that you had already given? Yeah. Very cool. All right. Thank you. Bye. Thank you. A reminder to all the participants that you may press Star and One to ask a question. There are no further questions at this time. I would like to turn the floor back over to Ciarán Long for closing comments. Thanks, everybody. Appreciate your, your call and your questions, and looking forward to talking to you soon. Thank you. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.