Jason English : Okay. Okay. And Kevin, I’ve had a lot of debate with investors recently around sort of normalized earnings. I think probably everyone’s having that date. But one key point of it really does rest at gross profit. And I know you aspire to get back to historical gross margins in time. But one way we’re looking at it is around unit economics with the notion that gross profit per unit is probably a more reasonable near-term target of what a normalized gross profit would look like. What, if any, holes do you see in that thought process? And if you think gross profit per unit should be a lot higher than it was in fiscal ’19, can you give us an understanding of better explanation of kind of why and maybe where you might be able to achieve that?
Kevin Jacobsen : Jason, I would say we aspire to do both. I mean you start by rebuilding gross profit and ultimately rebuild gross margin over time. For us, it will be the same drivers we’ve talked about. We’re going to continue to execute the pricing actions that we’ve taken. And as we’ve said, we don’t have any additional plans to take further pricing this fiscal year based on our cost forecast. But we’ll continue to drive pricing. We’ll continue to drive cost savings and supply chain optimization. That’s the way that we think puts us in a position to first recover gross profit and then ultimately keep going to recover gross margin Typically, I’d say in a normal environment, the work we do on cost savings is enough to offset a normalized level of inflation and allow us to build margins over time.
And that allows us to continue to invest in our brands and continue to set the company have to deliver value over the long term. Obviously, we’re dealing with a very unique environment right now with the unprecedented level of cost inflation. And so that’s why we’re leaning into pricing. I’d like to believe over time as we get to a normalized environment, as you described, we get back to more of our consistent model where we’re really driving cost savings, and that’s allowing us to offset inflation and build margin over time, but we’re not in that environment right now. So we’re leaning more aggressively into pricing. But I think ultimately, it’s always both. We start by rebuilding gross profit and then we ultimately work to rebuild gross margin over time.
Operator: Our next question will come from Kevin Grundy with Jefferies.
Kevin Grundy : Great. Question for both of you really on investment spending. I guess, sort of what I’m trying to connect the dots here. So you’re still targeting 10% of sales for the year. You’re about 9% in the first half. Kevin, I think you mentioned so that implies actually an acceleration in the back half of the year. Can you guys comment for a moment, I guess, on destinations for the spend? Number two, why we would not expect to see a little bit more of an acceleration, if that’s the case, why not more of sort of an immediate top line payback and understanding that some of this is sort of more longer term in nature? Could be great to get your thoughts on that. And then the third piece, because I think kind of coming away from the call, there’s going to be, I suspect, a view that the gross margin guidance may be a little bit conservative given the strong performance in the front half of the fiscal year.
What’s your feeling on potential reinvestment? Understanding it’s along still there’s still ways to get back to where you’d like to from a gross margin perspective. But how are you feeling about potential reinvestment this year could you exceed on your gross margin guidance? What’s the likelihood that you would sort of lean in here and reinvest given some of the promising signs you’ve seen on the top line.
