“We continue to expect marketing and digital investment to be approximately 17% to 19% of net sales in fiscal ‘23.”

In context

“ucts and recent innovation. Our digitally led strategy continues to serve us well. Q1 digital consumption trends were up over 30% year-over-year. Digital channels drove 14% of our total consumption in Q1 as compared to 13% a year ago. Gross margin of 68% was up approximately 390 basis points compared to prior year. We saw gross margin benefits from price increases, cost savings and margin a creative mix. These gross margin benefits more than offset the impact of elevated transportation costs we experienced in the quarter. On an adjusted basis, SG&A as a percentage of sales was 45% compared to 47% last year. Marketing and digital investment for the quarter was approximately 16% of net sales flat to a year ago and was lower than expected due to a timing shift in spend out of Q1 and into Q2. We continue to expect marketing and digital investment to be approximately 17% to 19% of net sales in fiscal ‘23. Q1 adjusted EBITDA was 32 million up 46% versus last year and adjusted EBITDA margin was approximately 26% of net sales. Adjusted net income was 21 million, or $0.39 per diluted share, compared to 14 million or $0.27 per diluted share a year ago. The increase across profitability metrics was driven by our strong sales growth, improved gross margin and a shift in timing for marketing and digital investments. Our liquidity remains strong with a combination of our cash balance and access to our revolving credit facility sitting at approximately $172 million. We ended the quarter with 72 million in cash on hand, compared to a cash balance of 63 million a year ago. Our ending inventory balance was $70 million down from 85 million in March. As Tarang mentioned, our ending inventory levels in Q1”