Turning Point Brands, Inc.

Good morning and welcome to the Turning Point brand's fourth quarter 2025 earnings conference call. All participants will be in listen-only mode. All lines have been placed on mute to prevent any background noise. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. Please note this event is being recorded. I would now like to turn the conference over to Andrew Flynn, Chief Financial Officer. Please go ahead.

Good morning, everyone. Earlier today, we issued a press release covering our fourth quarter results, available in the investor relations section of our website at www.turningpointbrands.com. During this call, we'll discuss consolidated and segment operating results, the operating environment, and our progress against our strategic plan. Before we begin, please refer to the forward-looking statements and risk factors in our press release and SEC filings. We'll also reference certain non-GAAP financial measures. Reconciliations and explanations are included in today's earnings release. With that, I'll turn the call over to our CEO, Graham Purdy.

Thanks, Andrew. Good morning, everyone, and thank you for joining our call. We are pleased with how the year wrapped up and the momentum we built for 2026. Revenue increased 29% to 121 million for the fourth quarter, including 41.3 million in modern oral net revenue. Adjusted EBITDA increased 14% to 30 million for the quarter. We are initiating 2026 modern oral gross revenue guidance at a range of 220 to 240 million in modern oral net revenue at a range of 180 to 190 million. As we've stated in the past, we are ready, willing, and able to increase our investment behind our white-pouch brands and expect a portion of that investment to be accounted for as contra revenue under GAAP. Accordingly, we think it's valuable for us to provide transparency into difference between gross and net to evaluate our progress over time. Our focus is on building lasting consumer relationships that require front-loaded investment. Once consumers enter the franchise, we tend to see consistent repeat purchasing that supports revenue over many years. While this category is still in the early stages, we believe the average consumers with lifetime value could last decades. In addition, we expect first quarter 2026 consolidated adjusted EBITDA to be between 24 and 27 million. We are currently working on several significant and exciting sales and marketing initiatives and investments for White Pouch. that make it difficult to accurately project EBITDA beyond Q1. Obviously, when looking back at 2025, we are most pleased with the growth of our white nicotine pouch brands. Their long-lasting, vibrant flavor options, comfortable mouthfeel, and flexible nicotine levels continue to win with consumers. Both Free and ALP have cultivated strong brand identities that resonate with their respective consumer bases. During the quarter, Net white pouch sales increased by 266% year-over-year, and gross sales increased 337%. We continue to make progress expanding freeze distribution to larger regional and national C-store chains, and ALP, already one of the top D2C pouch brands in America, has started to appear on bricks-and-mortar shelves in select retailer tests. Recall that we initially expected ALP to be exclusively D2C for all of 2025, Suffice it to say, we are pleased ALP is running ahead of schedule, and we expect it to significantly expand bricks-and-mortar distribution of ALP during Q2. We believe the nicotine pouch space, like most other nicotine businesses, will ultimately feature five to six widely distributed brands that command most of the market. Analyst expectations for the size of the category differ, but most believable approach, if not exceed, $10 billion in manufacturer's revenue by the end of the decade. Our Q4 performance and sales growth trajectory support our long-term target of double-digit market share in the category. In order to best position the company to capitalize on this multi-billion dollar opportunity, we have made and will continue to make significant investments in the business and refine our route to market strategy to prioritize free and out while continuing to generate strong cash flow from our heritage brands. Key investment initiatives include reallocating sales and marketing resources increasing the headcount of our sales force, improving our online presence, ramping up investment in chain accounts, pursuing brand enhancing partnerships, expanding to international markets, and building out U.S. manufacturing for our white pouch brands. We are pleased with our progress on the manufacturing front and expect to qualify the first production lines at our new Louisville factory over the next several months. We've been particularly encouraged by our ability to identify, and onboard new sales talent. We are ahead of schedule in our goal of doubling the size of our sales force. The rest of the Stoker segment portfolio also performed better than expected in the quarter. Overall, Stoker's net revenue increased 70% to $81 million, reflecting a 9% increase in our legacy brands and the aforementioned 266% increase in modern oral revenue. During the fourth quarter, ZXAG revenue was down 13% to $40 million and 9% sequentially. This decline was as anticipated and in line with expected opportunity costs with our laser focus on Modern Oral. With that, I'll hand the call over to Summer to walk through the progress of our key go-to-market initiatives.