Andre Maciel : Yes. Hi, Cody, thanks for the question. So as well noted, we are finishing Q4 growing about 10%. And we just have a new round of price that we just implemented. So that certainly has a positive effect in the first half of the year. We expect gradually throughout the year for us to be — as we circulate the price increases from last year that we end up landing in the second half on something closer to our long-term growth algorithm, okay? Being said that, the growth in 2023 is all driven by price. So volume is still negative. Obviously, it improves throughout the quarters as we start to lap the prices. But even at the end of the year, will still be negative. That’s something that as we think about the future, it’s not the negative balance that we want.
We want a good balance as we think about top line growth between price and volume. And we’re going to talk a lot about that the next week in CAGNY. We have contemplated the guidance and increased level of elasticity compared to what we saw in 2022, but still not the way up to the historical levels. In terms of what gives confidence. So you saw the sell-out for the industry to our Q4 was still very strong. In fact, if you look at sell-out elastic, just looking at price and volume based on the sell-out, Q4 was better than any other quarter in the year. Now we obviously need to — we need to keep actively monitoring and we are because throughout this year, we can see maybe consumers will change the behavior. Carlos, do you want to comment something on that?
Carlos Abrams-Rivera : The one thing I would add there, Cody, is the fact that we also are making sure that we continue to expand in terms of — in the number of formats and price points that we offer within our categories to make sure we maintain the consumers that have been with us over the last couple of years. So that is — means that if you look at the data, for example, in Q4, those earnings over $100,000 in consumers, actually with that particular group, we actually grew over 13% in terms of consumption. And at the same time, we’re making sure that as consumers going to club, we are actually increasing the number of offerings, whether it’s Mac & Cheese and JELL-O in terms of club and those consumers are going to dollar stores, we’re actually improving the number of SKUs that we have available to them.
So that way, there’s a point in which they can come into the category and those who are choosing to look at value in terms of club sizes, we also have those formats. So it is for us to be agile in terms of how we think about the consumer continue to change, and we’ve been having an offer that provides the best value for them regardless of the socioeconomic situation.
Operator: Our next question comes from Ken Goldman with JPMorgan.
Ken Goldman : Just hoping to get a better sense of the magnitude of the gross margin improvement you’re expecting this year. And besides the obvious ones in terms of the cadence of inflation, if there’s any considerations we should have about maybe the timing from quarter-to-quarter of that improvement?
Miguel Patricio : Andre, please?
