Thanks. Good morning. My name is Chris Horvers. I'm JP Morgan's Leisure and Broadlines and Hardlines retail analyst. With me today, my great pleasure of welcoming the Hasbro management team, including CEO Chris Cocks and CFO Gina Goetter. We will open it up to audience questions after a period of time, so please jump in and make this as interactive as possible. So starting at a high level, Chris, you've been in the role for a little over two years now. Can you share with us what you think your biggest deliverables have been so far during that time, and what are your high-level priorities going forward?
Great. Yeah, I think I would package the deliverables and the priorities, a 2-for-1. So, I think one of the biggest deliverables has been defining the business and defining the strategy of where we want Hasbro to grow, and that's as a games, IP, and toy company. Three separate lines of businesses, three different kinds of products, three different market opportunities, and sets of growth potential, and challenges and opportunities. You know, on the deliverables and accomplishments front, our games business has been growing consistently for the last decade at, you know, a mid-single-digit to high single-digit CAGR. When you include board games in that, and you exclude our licensed business, which I put into IP, it's a 30% operating profit margin, $1.5-$1.6 billion-dollar total business.
Pretty nice opportunity in a very growing market that I think we've been delivering again and again on, whether it's Wizards of the Coast or more recently in our board game segment. On IP, you know, that's a super high margin business for us. That's really taking all of the beloved brands that Hasbro has and, working with other great partners, in a, low capital intensive environment, where basically our net revenue is, effectively our operating profit. You know, that's been growing over the last four or five years at, a mid to high teens growth rate. Digital licensing, I think, has been a real win there.
Most recently with MONOPOLY GO!, which is the most successful mobile launch in history in North America and Europe, and Baldur's Gate 3, along with our more traditional consumer packaged goods licensing business, as well as our shift in entertainment from owned and operated to more of an outsourced model. You know, as a result, you know, when you include the cost of entertainment inside of there, that's a business that's in the 40%-50% margin range, that's been growing at a 17%-18% growth rate over five years, with some monster hits that aren't just one-offs, but actually are annuities for us, which are gonna be paying dividends for us over a long time. And then last but not least is our toy business.
I think our toy business has been probably the more challenging of the three businesses, but I think we've been putting in a lot of good work to restructure that business, lower our costs. We have a $750 million net cost savings goal per year that we feel well on track to achieving. The majority of those costs come from the toy business and the infrastructure surrounding it. Not only I think are we doing a good job of getting the cost structure right, I also think we're starting to see some indications in the market like we see with Furby, like we see most recently with Peppa Pig, and our Play-Doh business, that not only are we getting the cost right, but we're getting the innovation right and starting to drive share as well.
Great. So, Gina, happy one-year anniversary at-
It's only been a year?
Yeah.
It's only been a year.
It's been a very, very productive year for you-
It's been a productive year.
For sure. You've accomplished a lot in that time, got inventories in a great spot. You've driven a lot of operational cost savings. You know, this classic question: What are the biggest surprises that you've encountered over the past year, both positive and negative? And is your focus now any different from what it was, say, six months ago?
Hmm, that's a good question. So surprises, I'll start with the positive surprises. I think coming in, I knew that we had a treasure trove of IP and great brand strength. Really seeing that come to life, and it's not just the size of the businesses as measured by revenue, but really the impact and the resonance that our brands have across the globe. That's been a positive surprise. And obviously, as Chris talked about, just the strength that that brings to our IP and the value of that IP when you think about it from a business model standpoint. The second surprise, I would say, is really within the gaming, everything gaming, whether it's our board games, the digital games, where we're headed on video games, the economics surrounding all of those different business models.
You know, I have a CPG background, so the whole gaming world was new to me, and so walking in and really understanding how and how we are making money, how we can make money in the future was pretty powerful. On the negative surprise side, I would call out really our profitability and the cost structure around toys. Again, my CPG background has taught me that margins in a CPG business should have two digits, not just one digit. And so it's one where a lot of my time and focus was in the first year has been on assessing where the opportunities are and getting that cost culled out of, you know, the P&L in the first year, and setting up that pathway for what's to come in terms of cost out in 2025 and 2026.
So my areas of focus, you know, how it's different from when I first started, clearly, the toy turnaround is top of mind and making sure that we've got the cost structure set. But it's not just about getting, you know, that profit margin right, but it's creating the fuel for the business so that we can reinvest back into the brands, 'cause that's where the keeping those brands healthy and strong, keeping that IP valuable, is a huge asset to Hasbro. So we have to do that by investing more in marketing, investing more in innovation. So getting cost out, getting the P&L right, will enable all of that.
On the second hand, kind of go to the other side of our equation, all things gaming, and it's making sure that we have our strategies set for, you know, what we want to be when we grow up, is kind of how I kind of joke about it internally. What does the business model need to look like? Where are the avenues for growth? And are we making the right trade-offs within our capital framework to ensure that the cash and the investment is there to fuel that growth? And then lastly, a lot of my role is focused on the guts of the operation and making sure that how the business is running, what our operating cadence looks like.
Do we have the right processes and systems and tools that we're making, again, all of the appropriate investments to make sure that the company is running as efficiently as possible? So I'd say those are, those are my big three as we look at the next twelve months.
Just going a little off script, just like the guts of the operation, because you are well known as an operational CFO. So, you know, where you want to advance the most operationally, to improve sort of just the process, the information flow, but also the margin flow?
Yeah, good question. I mean, obviously we did quite a bit of work on our inventory processes at the end of the year. A lot of that was kind of brute force in us getting in and ripping some things apart. We now have to put the right underlying demand planning and the supply planning processes and systems in place, so we're not using brute force. Like, that's just the way that the business is running. So that would be one example. We are rolling out what we call Integrated Business Planning that really connects all of the facets of our business that we have a very seamless and efficient flow of information across the organization, starting with: What do we want our product portfolio to look like? What do we think we can sell?
How are we gonna produce it? And then kind of what are all the actions and pivots we should be taking to keep the business healthy? So that Integrated Business Planning process is new to Hasbro. That's not typically how the company had been running, and so it's requiring a lot of retooling, not only of organizational structures, but of the underlying systems, and kind of independent processes underneath, so that we can create that efficiency.
And then just from one quick follow-up on that, just in terms of, like, how quickly can you get the systems put in place?
Mm-hmm.
Process can change fast, but-
Right
- systems need to come behind that as well.
Yeah. Yeah, the good thing, maybe this is another positive surprise. I've never worked in a company where we have one global SAP system. Usually, even some of the best companies have multiple instances of SAP. Hasbro has one instance of SAP. That's unusual, and so all of the info is there. It's now about how do we get it out and get it into the hands of the business, the business leaders? So that's where our focus has been. So thankfully, we don't have to do a very expensive ERP implementation. We're now all about building tools on top of that.
We just got done actually with a flawless execution of a supply planning implementation, where we updated all of our systems that kinda generate the demand kind of signal to our suppliers, and we were successfully able to. We had 31 suppliers, most of them that don't speak English as a first language, and none of them had any issues with the go live. And that just, you know, that was something that we just did. We're now focused on getting our demand planning systems up and running. And then the last piece that we'll do towards the tail end of this year is get our financial consolidation and reporting system up. Again, today, Hasbro operates a lot in Excel spreadsheets.
All of these tools then allow us to get out of that spreadsheet detail and run the business a lot more efficiently.
Fantastic. So, going back to the digital game, it's been a, you know, large and emerging part of the story the last few years. Can you talk about your efforts here? How do you think about the strategy going forward, and what's your goals in terms of launching new titles?
Yeah. So, I think if there's a through line on our strategy, it's really repositioning and focusing on play. Play is the center of everything that Hasbro has done, will do, and is doing right now. It's how we engage our end users. It's how we make money. It's how ultimately we profit and grow, and I think occasionally, and frankly, relatively recently, we maybe lost sight of that. We got excited by trying to create cultural moments as opposed to a whole bunch of great and powerful personal ones, and it's the personal moments that are embedded in play and the friendships you make and the memories you make, that's what really makes the company special. So I think another thing that makes the company special is the capacity to change with how play tastes change.
You know, Hasbro is very lucky in that, while I think most people think of us as a toy company, our brands and most of our profit, and frankly, a majority of our revenue, comes from consumers over the age of 13. We already have brands that span generations and span lifetimes. We're not just constrained to, like, the 2- to 8-year-old segment, which frankly is a relatively declining segment as birth rates shrink, in most countries around the world. So we have a growth TAM associated with us. Probably the biggest element of that growth TAM is digital. It's either the confluence of physical and digital play or, it's just pure digital play in the form of video games and mobile games.
I think we have a pretty good head of steam under our belts in terms of driving relevance inside of digital play. We do it in three ways. The first way is licensing. So we work with some of the best partners in the industry. We pick areas that it would be difficult for us to be able to replicate their capabilities, so things like mobile, for instance. We work with them and leverage our brands to build monster hits, and those hits can be everywhere from, like, Scrabble to Yahtzee With Buddies to MONOPOLY GO!, which should, you know, provide us with a nice little bit of tailwind this year and likely in future years going forward, just based on the momentum of it. That's a very high-margin business for us.
It's a very low-risk business for us as well, and I think Hasbro is arguably one of the biggest digital licensors now in the world as a result of success that we've had with partners like Scopely and Zynga and Larian. The second area that we focus on is extensions of our physical play, and so that's things like we do with Magic: The Gathering Arena or D&D Beyond, or even kind of like lighter aspects like we do with World of Peppa Pig. That basically takes a great physical play experience, extends it into the digital realm at pretty high margins and pretty decent growth for us. You know, that's a several hundred million dollar business for us in kind of like a 40%+ margin range, that has a great, decent growth potential for us.
Then last but not least, we've started five digital game studios to get into triple-A publishing and also games as a service publishing. Now you might say, "Hey, that's pretty risky, and takes a heck of a lot of capital." Well, we're moderating that capital over the course of a decade, and we're funding it—we're self-funding it wholly within the digital P&L, based on the strength of our games as a service extensions of our physical games, as well as our licensing games. Just to keep in mind, MONOPOLY GO! will pay for the production costs of our digital studios this year, and likely for several years to come, by itself.
It's a self-contained P&L that's highly balanced across partners and owned and operated, with a great brand portfolio, that we're taking our time and doing it right, and I think it's gonna be a long-term growth pillar for us.
Great dovetail to MONOPOLY GO! So you talked on the first quarter call, you could reach minimum threshold, revenue threshold earlier than expected, happening in the second quarter. Would love to hear any update that you have around the GO! business.
We'll just take out our money tree. I feel like every time we say MONOPOLY GO!, the joke that we had coming out of earnings was, for every company that said AI, their stock shot up. For us, if we say MONOPOLY GO! That's when, that's what made our stock move. So look, yeah, the game is continuing to perform very well. And, you know, coming out of the quarter, Q1, we really didn't see any sort of material kind of degradation in the top line. April just finished. April was strong. Looked about the same as what we were seeing kind of play through the first couple of months within the quarter. So yeah, we're optimistic.
I don't think we're gonna change our guidance today on what we see for MONOPOLY GO! Well, you know, we report earnings at the end of July. We'll have a better update then.
Definitely feels like we've landed on free parking, though.
So I guess, can you, can you talk about the monetization of MONOPOLY GO!? Obviously, there's. You take a royalty off the game. I think everyone would like to understand the math behind the royalty, but, you know, just can you share anything in terms of how that P&L flows through beyond, hitting when you get past this minimum revenue threshold? And, and are there other ways that you can also monetize the MONOPOLY GO! brand?
I'll do the second one. So how the model works, and what's assumed in our current guidance, is that we book the minimum guarantee for the first couple quarters of this year. We've been very public, that minimum guarantee is $5 million a quarter, so that's what's in our assumption. Once we hit a cumulative royalty value that started back when we started the contract, that then kicks us up to earning more than that minimum guarantee. Based on the math that we had coming into the year, we thought that was gonna be in the back half of 2024. Again, based on the momentum, there's some inklings that we could do that, book that above that minimum sooner. How the math works is there's obviously revenue. They get to deduct the platform fees, and then they get to deduct a certain percentage of marketing.
Obviously, those levers we don't control. We don't know how much they're spending on marketing. Sometimes we find out after they've done it, sometimes they give us a little bit of a heads-up, but that is not our call to make of how much they're spending on marketing. And so, once you deduct all that, you're left with a revenue pool with which we then earn a royalty on. So the big variables that we're trying to model out, and again, you know, Chris has an expression, "This is an N of one." You know, there's very few games that have had this type of success.
So you're trying to measure out what that degradation is gonna be as you kind of move month to month, and then you're also trying to guess what they're gonna spend on marketing, and that has varied. It really has not been a consistent kind of percentage every single month. So we've made an estimate based on what we've seen the past few months play out, and again, based on momentum, you could see a day where we're booking a little bit more in Q2, but time will tell. We'll report out in July.
Then, in terms of how we're extending it, well, we already have a board game based off of it.
I've heard of it.
Yeah, yeah. It's nice that It's certainly good for the Monopoly brand, that Scopely's spending hundreds of millions of dollars per year advertising the business. I don't think it's an accident that Monopoly's back to be the number one board game, and number one overall, I think, gaming property-
Mm-hmm
- inside of, games outside of TCGs. So it feels good. That, and we also have a, a movie coming out with our partners at Lionsgate and Margot Robbie at LuckyChap, so it's nice to have Barbie on our side.
Can you talk about how do you think about the ability to have a new digital game every sort of 12-18 months, and, you know, and how much will you reflect off of the sort of sustained momentum around MONOPOLY GO!?
Yeah, so I think in terms of, like, our own self-published games, either by the end of 2025 or beginning of 2026, we will likely start to have 1-2 games coming out from our publishing studios every year. I'd be lying if I said when Take-Two chooses to launch Grand Theft Auto isn't a factor in how we're thinking about timing, so we'll probably want to give that juggernaut a wide berth, mostly because-
Exactly
-all of us will want to play it. So, we're thinking about that, but I think our output for between 2026 to 2030 is 1-2 new digital game launches per year. And then on licensing, you know, we have a large number of licensors. We literally have deals, hundreds of deals in place between casino gaming and mobile gaming and console and PC gaming. And that's a little bit of variability, but I think between MONOPOLY GO!, our casino gambling licenses, and then just kind of, like, the thrum of all the different deals that we have in place, that should be a steady performer for us over the next several years.
We have about 15 minutes left, so would love to have any audience questions.
Right up here.
First question is for Gina.
Mm-hmm.
So you came in, you said you were reviewing some of the biggest surprises around capital allocation, sorry. Where was the place you felt like the capital was being, again, I use this word rather intentionally, most irrationally applied in terms of, wow, you really would've thought people would've had a little more discipline around putting capital towards these ends?
Got it. So capital allocation wasn't a surprise. It was the cost and the profitability of the business, but from a capital allocation surprise, I think we were spending a bit too much money on the toys, the tooling business. So a large part of toy is just the quick turnover and innovation of products, and that was leading to a lot of SKU proliferation. Well, for every SKU, there came an element of capital that we had to go and install within our manufacturers. So that was one of the areas that, as we moved into 2024, we SKU rationalized. You know, we took quite a few SKUs off the table.
We got that inventory under control, and we took some of the capital away from tooling so that we can go and invest it back into some of the growth levers of the business. So it was more of a, you know, our step up in capital spending has been, you know, it's been relatively flat for the past few years. It's been more about taking from toy and making sure that our gaming and all things gaming is funded.
Just a quick follow-up on that. So is your FP&A process now a little more disciplined around making sure that that doesn't happen again?
Absolutely, yes. Including, you know, obviously, with our board, we're reviewing capital returns on a more regular basis. But yes, we've put that as one of the processes that we've put in place when we talk about operational rigor, where we're reviewing projects and making sure the return proposition is there to support it.
And just one more for Chris. You used when you were talking about the opportunity in digital. Unfortunately, I get a little caught up in word usage. You said the word, "I think."
Oh.
That our best opportunities are in digital and the mix of physical and digital. Is it a thing, or do you have some, like, better conviction around that?
Oh, it definitely is. Sorry, I don't have a script in front of me, so y eah. Yeah, yeah, digital. I think there's there we go.
There we go.
There will always be a significant business for physical play. People want to gather around a table, kids want to have a physical totem to play with, parents want their kids to have it, and collectors want physical things. But the growth market, like the thing that's going to grow at, you know, high single- digits, low double- digits, it's going to be in digital. It's going to be in things that we can't even imagine. You know, you'll hear people talk metaverse, you'll hear people talk AI-powered games, you'll hear people talk crypto-based games.
It's all that stuff is just buzzwords that means it's an emerging digital play environment where more and more things are going to be gamified, and I think, and I know companies that are positioned inside of that and making smart bets on that will be able to profit from it.
Thank you.
A follow-up to the gentleman's first question is. I've had this question before. You know, your focus on investing in the business, investing in opportunities around digital gaming versus funding the dividend.
Well-
Well, we're doing both.
I was going to say, we're doing both.
Mm-hmm.
I mean, our capital allocation is, job one is to invest in the core business. Job two then is to pay the dividend, our commitment to the dividend, and then three, we've said, is to get our debt leverage, you know, keep making progress on our debt leverage ratios.
Understood. We had a great conversation last year. I learned so much about the Magic business. You know, what do you think the biggest misperceptions that you hear about that? And I assume there's a lot in terms of that brand and the opportunity to continue sort of the passion around the brand and your ability to continue to grow this very high margin revenue stream.
I think people. Gosh, I keep saying, "I think," sorry.
I know.
So people think of the Magic business, especially when they first learn of it or are just learning of it, like it's a video game, like it's a, a triple-A video game or kind of a flash in the pan because either they've only vaguely heard of it or, they've heard of it, but it really just isn't for them, and so how could this be this big for this long? Anyone who's bet against the Magic business for the last 15 years has lost. And, you know, consider me a wholehearted bull on the future of Magic and the durability of that franchise. Are we going to be able to grow it at the same very rapid rate we've grown it from 2018 to 2023? I'd like to, but I think that's a stretch in terms of what we give in terms of projections.
Do I think it will grow? Do I think it'll be as vibrant, even more vibrant ten years from now than it is today? Definitely, yes.
Understood. So can you talk about the visibility that you have, you know, this year, next year, and maybe even further out in terms of the Universes Beyond pipeline?
It's really good. So I don't even just think. So next year we have Final Fantasy, which will be coming out. We'll have our first of several Marvel sets that we have coming out, and then we've got a stacked cast of IP that we haven't even announced yet. You know, we just did Assassin's Creed, I think, just started pre-orders, and we just did Fallout. Basically name a video game, name a hardcore kind of tabletop gaming property, name a movie or a comic book-like property, and we are at least having discussions with them. It's a huge opportunity for each of those IPs, because no one else in the trading card space is kind of opening up their platform and allowing it to be a multi-IP platform like Magic, and no one else can deliver the scale that Magic can deliver.
So maybe, how do you think about. One of the questions I get, I've received, and I understand the essence and spirit of the question is: Is Marvel the right type of content for Magic, given it's more hero-oriented versus something more classic, you know, sort of Magic-esque, like a Lord of the Rings?
Well, Fallout, which is one of my favorite IPs, that just blew the doors off of the place in a smaller form factor with Commander Decks. That's the most successful Commander series that we've ever done and continues to break records. You could almost argue that we could have done a large set for something like Fallout based on how well it's done, and there might be future collaborations with Fallout. So when I look at an IP like Marvel and the rabid fan base it has, the very deep lore it has, the huge cast of characters and worlds it has, that is custom-made for a game like Magic.
You know, pairing, like, the very deep fan base that we have, the all the different kinds of powers that we like to have and different kinds of cards. It's literally a playground for a game like Magic, and I think a fantastic pairing.
Great. So, turning to the consumer product side, I guess, how would you characterize their current environment for toys? Obviously, big COVID winning category. We're hearing some green shoots occur. You talked a little bit about that on the call, but there's also a lot of mixed reads out there on the U.S. consumer, and versus the momentum that you talked about in April. So, you know, what are any observable trends that you're seeing out there? Why do you think there's, there is this rising tide beyond, you know, the Easter shift?
I don't know if it's just the Easter shift, 'cause that was purely a timing thing. I think the. I believe, I know.
Mm.
See, now we're all gonna be doing it all day.
Mm.
But retailer inventories, let's start there, overall for the category, are in a much healthier spot than where they were a year ago. That just sets up a different dynamic with retailers when you're talking to them about shelf sets, and distribution, and the plans for the holidays. There's just a more receptivity to what we are putting out there, so that was what we saw play through in the first part of the year. Our trends, the POS trends themselves, are a bit improved from even what we thought coming in, so the momentum that we're seeing, broadly speaking, not just in our categories, but across the segment, are better. That will lend to, you know, more favorable sell-ins as we get closer to the holiday season.
So we still haven't materially changed our outlook. We do believe that our first half of the year is gonna be down around that 20%. That's what we saw play through in first quarter. We're saying Q2 is gonna look somewhat similar. A lot of that driven by either the brands that we've exited and moved to out- license, or the fact that, you know, we had a big Transformers movie in Q1, Q2 last year that shifted to the back half. It is no doubt that movies and entertainment slate drives the revenue pacing, and that is gonna be more back-half loaded. But we're optimistic with what we're seeing on shelf. We're optimistic with the conversations we're having with our retailers.
We're putting and saving more of our marketing dollars for when our new innovation hits. All of those shelf sets are starting to happen right now through the summer, and we've lined up our internal muscle around marketing behind that to really push that sell-through. So we're in a good spot for the holidays.
So it's a great dovetail. Can you talk a little bit about the innovation engine on the consumer product side and specifically Nerf as we get, you know, the holiday season? Nerf is such a big brand inside the company. It's and it's a very important brand for Christmas.
Yeah. So on innovation, we're doing better. Play-Doh continues to be doing very, very well. I'll just talk toys. Board games is doing very well and building share. I like what we're doing in preschool and dolls. Furby is doing well coming into the first half of the year. We think that'll be a winner in the second half. Baby Alive, I think we have a solid new lineup. That used to be a $120 million business for us, so I think there's some significant upside there. And then, you know, action figures, I really like what we're doing with Transformers. I think retailers are impressed by Transformers One, and I think that'll be a nice kind of family event movie come September, which will give us some tailwinds there.
Even on the Disney business, which has been, you know, having a little bit of a lull as their theatrical releases have been a little lighter over the last couple of years, we're seeing improvements inside of Star Wars and Marvel as well, so I feel good. When I look at the back half of the year on action, you know, Beyblade, I think, is gonna be one of the biggest toys of the year. It certainly was in Japan last year with Takara Tomy, so that feels good. Nerf, Nerf's important for us. I think it's far less important than it was maybe three years ago. You know, before, it used to be one of our biggest brands. Now, it's kind of like a mid-sized brand for us.
You know, I don't think we have it fully figured out, just to be transparent. I don't think it's gonna be a growth year for Nerf, but I think we're going to see a lot less decline from the Nerf business, and hopefully in the back half of the year with some new innovation that we have coming out, and some really good retailer support. We might be able to surprise on the upside.
I talk a lot with investors about our innovation becoming sharper. So it's not even though we're doing more in terms of quantity, but we're getting really tight with our execution and laser-focused on the consumer. We've kind of inverted and put the consumer at the center, not only in kind of what they wanna play with, but what price points they wanna be shopping at. Where do they wanna find these toys? Are they going online, and what does that mean in terms of how we kind of merchandise and support these businesses? All of the work that we did at the end of last year to take and call back SKUs, that's helped to sharpen our innovation. So as we move through this holiday, I think it will be a better execution.
A lot of the new thinking with the newer management team, you'll start to see that play through as we move into 2025.
Any audience questions? I have one more. Great. Oh, we have one.
Oh, here we go. Got it with 1 minute and 24 left.
If you could just spend the last bit just walking through the rationale on bringing game development in-house on the in-house studios. Just, you've obviously had success with Larian and going to the third party and leveraging best-in-class studios. Why take the risk on the studio side and put potentially those relationships or those quality of games at risk?
Yeah, so I think it's a combination of things. I think, first off, there's some variability in going with third party. You know, while we've had a couple big hits, we've also had a couple notable misses inside of licensing, so it's not necessarily a sure thing. And then last but not least, the second big thing I think is just having a power center for your brand and making sure that you have relevance. You know, if you only keep pulling the lever of third-party licensing, eventually the power dynamic shifts to the licensors because they're the one. They know you don't have another alternative. So I think we need to do both.
I think we need to work with licensors who are relevant on platforms that would be difficult for us to scale in, or we just don't have the kind of resources to go up against that. You know, casino gambling and mobile, I think, are two excellent examples. And then I think we have to show relevance and consumer ownership in other categories, and that's what we're doing with console and PC.
You, like, timed that to the second. That was impressive right there.
I didn't say, "I think.
No!
Thanks, Chris.
Awesome. Thank you so much. Thank you for joining us.
Thank you.
Yeah, thanks.
Thanks for having us.
Really appreciate it.