Samy Zekhout: Yes, we — at the time we give the guidance there because, frankly, I have to say, I mean, so far, of course, we indeed have covered, I mean, for the year, that’s obviously because we are now, frankly, at the level where we are. But getting into the nature, we’re starting effectively to lock some of the deals available in the market, there is effectively some deflation on fish, some slight inflation on some of the veggies. I mean some of them more than others. And we are really trying to look at the market dynamics to frankly, make sure that we remain competitive versus the other players in the market. And frankly, we have a COGS structure that enabled us to adjust the price as necessary through promotion as we move forward to stay competitive there.
But definitely, after two years of heavy inflation, we are seeing effectively a flattening and a decline in some of the categories. I mean, fish as an example, and a bit of an increase on the rest. So rest assured we’ll keep you up to date, I mean, at this stage, but we are maintaining the strategy of trying to grasp as much as we can from the market in order to really help create value to invest in business.
Steve Powers: Okay. That’s very helpful. And last question, if I could. As the — I think everyone is trying to kind of get a pulse and try to track your progress on volume recovery and market share improvement as you make good on the investments that you’re currently making. As we do that from the outside, is tracked channel data a good barometer of your progress? Or is there a reason to believe that tracked channel performance will either lead or lag total portfolio performance?
Stefan Descheemaeker: Well, directionally, it’s okay, absolutely. But then they have some puts and takes when obviously, you have the difference between sell in and sell out. You also have the food service, the piece. Then some countries are not covered as well. But directionally, it’s okay. And then definitely with Tony, we can obviously help you to be a bit further — I mean, more precise with the difference between, let’s say, the numbers as such that are publicly available and then how to get to the final number. But directionally, it’s okay.
Operator: [Operator Instructions] Our next question comes from the line of Jon Tanwanteng with CJS Securities.
Peter Lukas: It’s Peter Lukas for Jon. You guys covered most of the stuff here in the prepared remarks and Q&A, but if you could just kind of maybe summarize the biggest puts and takes you’re seeing in regards to working capital and cash flow expectations going forward.
Samy Zekhout: Yes. I think as we have mentioned in our — I mean cash flow is absolutely an essential critical measure for us because it drives effectively a lot of the commitment we have to driving shareholder value and through effective capital allocation. So we clearly have been investing a lot of efforts in order to step up our performance in all of the areas of working capital. I mean, let me make — get them one by one, if you want, I mean on receivables is clearly something where we have to clearly get the perfect match between the overall receivable and the collection. And honestly, at this stage, we’re really making a very good progress and have set of our performance, I mean, from that end, not necessarily in the change itself, but in the efficiency of collecting effectively money beyond our receivable.
On inventory in payables, the point there was, as you recall, a year ago, we have stepped up our inventory, I mean, because of all of the conditions we have with the disruption in supply, with war and with specific supply issue, I mean, relating to some of the ingredients and we have taken the journey of the supply chain team has done an extraordinary work there to really drive down our inventory in order to support our business requirement. And you see that in a customer service level that are very good. And at the same time, you’ve seen a step change in improvement in our inventory that has been down together with our receivable that have now integrated is shown, the one-off effect of the past, particularly the unfair trade practice that has, let’s say, dragged an impact on the overall payables.
So net-net, if you want receivable, clearly, huge focus on a per market basis to make sure we perform in line with expectations. Inventory on a journey of taking the overall inventory level down while making sure that we maintain top performance in the area of customer service and the totality of all of that is really enabling to free up an amount of cash that is enabling our performance. So from a cash flow standpoint, we just reiterate the point that this business is designed to deliver 90% to 95% of free cash flow conversion, which, I mean, amounts to €250 million for this year, and we intend to continue to do that and to do each and every effort to even generate more cash beyond — on top and beyond that in this and the out-years.
Peter Lukas: Very helpful. And then just last one for me. What is your expected net interest expense following the repricing?
Samy Zekhout: For the repricing, we’ll get back to you. Let me tell you the interest expense with the overall for the year, we’d be expecting probably around 118 million, 110 million, 150 million, I mean, overall for 2023.
Operator: And we have reached the end of the question-and-answer session. And I’ll now turn the call back over to Stefan Descheemaeker for closing remarks.
Stefan Descheemaeker: Thank you for your participation on today’s call. After the unique challenges of 2022, we continue to deliver organic sales growth while protecting our margins and investing in the long-term health of the business. Our A&P program is poised to drive growth. Our supply chain is in great shape and our RGM capabilities are expanding with each new quarter. We are already looking forward to an exciting 2024 of volume and market share recovery. Once again, we are on track to deliver our ambitious financial objective for 2023 and beyond. Thank you all. Operator, back to you.
Operator: Thank you. And this concludes today’s conference, and you may disconnect your lines at this time. Thank you for your participation.
