Meghan Frank : In terms of the P&L, we don’t break out MIRROR separately given it’s now embedded in our membership program. But what I will share is that it’s a very small portion of our revenue this year and was also a very small portion of our five-year plan. We have moderated investment levels, and we’ll continue to do so and continue to see dilution improving.
Operator: The next question comes from Alex Straton from Morgan Stanley.
Alex Straton : Congrats on another good quarter. Two quick ones from me. The first is just on the big increase you mentioned in new guests, I think a 30% level or so. Could you share any learnings you have on how those new guests compare to existing guests? And then secondly, on the 40% to 45% of the business that’s core, any insight you can give us on the split of the rest of the business, I guess, the newer categories and what they represent? And whether they have similar full price sell-through rates to that legacy business?
Calvin McDonald : Thanks, Alex. In terms of the new guests, we have — one of the benefits of the brand is we see good success across guests across all age demographics. So that remains very healthy, both acquisition as well as engagement. We have seen a very healthy growth in our younger guest base, in particular, over the past 12 and 18 months, and that continued. But overall, we would wait a little bit on the younger but very healthy overall, and seeing, as I indicated, very healthy numbers in terms of engagement of existing guests, the new guests, how those cohorts are shopping and engaging on a frequent basis and migrating up through the category offering that we have.
Meghan Frank: And I’d share in terms of category breakdown of the balance of inventory outside of the 40% to 45% core, we’re pleased with the seasonal nature of our product and the aging of that inventory. And in terms of by category, it be positioned relative to our Power of Three x2 plan in terms of category growth.
Operator: The next question comes from Rick Patel from Raymond James.
Rick Patel : Congrats on all the progress. I was hoping you could talk about your expectations for growth in North America for the new year. You’ve made a lot of progress already in the market. So I’m curious what you see as the strongest growth levers as we think about channels and product segments.
Meghan Frank : So in terms of North America, we’re looking at achieving our low double-digit expectation that we shared as part of our Power of Three x2. And sorry, can you remind me the second half of your question?
Rick Patel : Yes. Just with the strongest growth levers are as we think about channels and products
Meghan Frank : Yes. I would say I’d frame that also in that context. So we have our 15% average growth rate annually as part of that plan, with a goal to 4x international business, double our men’s business, double our e-commerce business, and that also included low double-digit North America growth as well as low double-digit women and store growth.
Operator: The next question comes from Dana Telsey from Telsey Advisory Group.
Dana Telsey : Congratulations on the results. As you think about the product margin puts and takes for 2023, how do you think about them and the markdowns which are normalized with 2019 levels, how do you see that evolving as we go through the year? Is there any cadence or shape that we should be mindful of?
