Bill Quinn: Yes. Alex. So we do a quarterly survey with our customers, and that was one of the questions this quarter that we asked. Definitely a concern overall. We dug further into it, a small portion of customers are highly concerned. So that’s something that we need to watch. There’s definitely headlines out there. There could be some mitigation of what’s going to happen in October. But that’s definitely something that we’re going to continue to monitor and get more information from in terms of our customers.
Alex Perry: Perfect. And then just my last one, maybe Bob, on the margins, any help on sort of 3Q versus 4Q gross margin cadence? Is it fair? I think you had inventory getting better by 4Q. So is it fair to say 3Q gross margins down year-over-year and then some improvement on a Y-over-Y basis, in 4Q? Or how should we be thinking about that?
Bob Volke: Again, I think we’re not going to get into specific Q3, Q4 relationships. Obviously, Q4 is a higher volume sales quarter. So you get a little additional leverage on things like your store occupancy. Again, like Jared said earlier, launch calendars can kind of move a little bit between quarters, between periods. At this point in time, again, I think we’re obviously going to hopefully move through some of that older inventory more efficiently as we get through Q3, maybe a little bit less of that in Q4. I’ll let you kind of predict how that puts out in your own model. But again, I think we see that we’ll see a little bit more better back half in terms of comparison than we saw in the first half of the year.
Alex Perry: Perfect. Best of luck going forward.
Bob Volke: Thank you.
Bill Quinn: Thank you.
Operator: Our final question is from Sam Poser with Williams Trading. Please proceed with your question.
Sam Poser: Just two quick ones. Thank you. The — in the new market like Las Vegas, what kind of — are you seeing a subsequent e-commerce lift with that? And can you give us some idea of what you’re seeing how that all works, what the relationship is as you go into new markets?
Mike Longo: Yes. This is Mike. So in layman’s terms, we see e-commerce sales go up as we increase the store count in the community. It’s also though a component of why we open a store in a particular geography because we examined the direct-to-consumer sales in those ZIP codes, and we make it part of our algorithm and part of the proof of should we open a store. And so then when we actually open the store, we get an outsized portion of the sales in that ZIP code. And that allows us to continue to go down the path of being incremental and complementary to our major brand partners.
Sam Poser: Thanks. And then, Jared, to follow-up on one of the other questions just directly. With the launch product, are your allocations up year-over-year?
Mike Longo: Even he chuckle.
Jared Briskin: He did chuckle. I’ll answer it the same way I’ve answered, Sam. We’re very confident in our order book and very confident in the support that we’re getting from all of our key brands.
Sam Poser: Right. I understand that. Are they up year-over-year?
Jared Briskin: We’ll let you infer that based on our commentary.
Sam Poser: So if we wrote, yes, your inventories up, your allocations are up year-over-year, that would be correct based on your commentary?
Jared Briskin: We’re getting much more focus from our brand partners, yes.
Sam Poser: Okay. Well, that was easy. You could just have that to begin with. Continued success.
Jared Briskin: Thank you. We appreciate it.
Operator: Our next question is from John Lawrence with Benchmark Company. Please proceed with your question.
John Lawrence: Yes. Mike, when you look at in the history of Hibbett, college football has been important. How — as we start that, especially on the SEC, a lot of teams are expected to do very well. How important is that season for the company at this point?
Mike Longo: It’s — all sports are important to us. It’s part of the DNA of the company. It’s part of the culture of sport — that is part of our major brand partners, Ethos as well as ours. I’m surprised you didn’t leave with Army, but we’ll go with the SEC for just a moment. And yes, it’s important in all the other conferences as well. So college football, it’s interesting because it’s more of an event. It’s less about the game, and it’s more about a gathering of people celebrating the things that they have in common, whether it’s a team or it’s a sport or it’s their family or it’s just an opportunity to get together. And every time people gather they think about their personal appearance and they think about how they want to occur to their peers, their families and to each other and the self-pride that goes with it.
And that’s one of the things that’s just a really interesting business model because it really is an expression of your lifestyle and what you wear, and it starts with the toe and it works upwards. And that’s why we say toe-to-head so often. So football and any other thing that causes people to gather drive sales.
John Lawrence: Great, thank you. Good luck
Mike Longo : Thank you.
Operator: We have reached the end of the question-and-answer session. I would now like to turn the call back over to Mike Longo for closing comments.
Mike Longo: Thank you so much. We appreciate everyone coming on today and taking your time to — and spending it with us. We look forward to reporting Q3. Thanks.
Operator: This concludes today’s conference. You may disconnect your lines at this time, and we thank you for your participation.
