Green Thumb Indus Sub Vtg

Good afternoon and welcome to Green Thumb's first quarter 2023 earnings conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the conclusion of formal remarks. During the question and answer session, we would ask for a limit of one question per person. As a reminder, a live audio webcast of the call is available on the investor relations section of Green Thumb's website. and will be archived for replay. I'd like to remind everyone that today's call is being recorded. I will now turn the call over to Shannon Weaver, Vice President of Communications. Please go ahead.

Thank you, Betsy. Good afternoon, and welcome to Green Thumb's first quarter 2023 earnings call. I'm here today with founder and CEO Ben Kobler, President Anthony Georgiades, and our Chief Financial Officer Matt Faulkner. Today's discussion and responses to questions may include forward-looking statements which are subject to various risks and uncertainties that could cause our actual results to differ materially from these statements. These risks and uncertainties are detailed in the earnings press release issued today, along with the reports filed with the United States Securities and Exchange Commission and Canadian securities regulators, including the 2022 annual report filed on Form 10-K. This report, along with today's earnings release, can be found under the Investors section of our website. Green Thumb assumes no obligation to update or revise any forward-looking statements to reflect events or circumstances that may arise after the date of this call. Throughout the discussion, Green Thumb will refer to non-GAAP financial measures, including EBITDA and adjusted EBITDA. A reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures is included in our earnings press release and SEC and CEDAR filings. Please note all financial information is provided in U.S. dollars unless otherwise indicated. Thanks, everyone, and now here's Ben.

Thank you, Shannon. Good afternoon, everyone, and thank you for joining our first quarter 2023 conference call. I'll lead off with an overview of our results and some observations on the current state of the industry. Anthony will discuss our operations. Matt will dive into the financials. then we'll open the call to questions zooming out given that the industry is still feeling pricing compression inflationary pressure on input costs lack of progress in dc and limited access to capital we feel good about delivering solid results in the first quarter we posted 249 million in revenue gap net income was 9.1 million dollars or four cents per basic and diluted share Adjusted EBITDA was $76 million, or 31% of revenue, and more than 300 basis point improvement year-over-year. In the face of double-digit pricing compression, expanding margins more than 300 basis points year-over-year feels pretty good. Finally, our cash flow from operations was $75 million. The most important message I can convey this quarter is that Green Thumb remains a fiscally sound enterprise with a strong balance sheet including cash totaling $185 million at quarter end. The management team here appreciates this setup, which gives us the optionality as we continue to execute our long-term growth strategy in a patient and deliberate manner. As I said before, this is a marathon, not a sprint, and there will always be hurdles to jump. Luckily, our team is quite skilled at navigating challenges. We remain engaged and excited about the future and our ability to play offense with large amounts of cash and time on our side. At the end of 2022, legal cannabis industry in the US reached $26 billion and it's estimated by analysts to grow to $75 billion over the next decade. GreenThumb is in the fortunate position to strategically play this growth opportunity. We operate in attractive states that give us access to 50% of the US adult population, We don't need to shed any assets or close facilities to fund future initiatives. And we have the dry powder and cash flow to explore options that will create profitable growth and sustainable value. As Buffett has taught us, only when the tide goes out do you learn who has been swimming naked. I am confident that we have a great foundation, team, and board in place. Last week, we welcomed Ethan Nadelman, one of the nation's experts on drug policy reform to our board of directors. Ethan's deep understanding of the cannabis industry and passion for our mission make him a perfect fit for our board. Ethan's appointment will further strengthen our corporate governance, and we look forward to his contributions to the team. As we've discussed from the start, we have always been disciplined stewards of capital and resist growth for growth's sake. We can sleep at night by playing the long game. We have plenty of runway for meaningful growth as we scale our business in our 15 operating states, several of which have yet to launch adult use sales, such as Virginia, Minnesota, Maryland, and New York, to name a few. Like I said earlier, we have the capital to invest in expanding our platform. In 2023, we plan to open around 15 retail stores across Virginia, Pennsylvania, Minnesota, Nevada, and Florida. On April 17th, we added two new stores, Rise New Hope in Minnesota and Rise Grove City in Pennsylvania, bringing our total store count to 79. On the production side of the business, we will continue to make investments in our cultivation facilities and our product development. We are continuously inspired to pursue new and outstanding experiences for our consumers. For example, infused pre-rolls are one of the fastest growing categories in cannabis. And we recently added Show Dogs to the Dog Walker Pack, a new line of infused cannabis pre-rolls. Like our four-legged best friends, Show Dogs are the perfect companions for an elevated journey that's all about new experiences and even greater heights. On 4-20, we launched Show Dogs in Illinois and plan to expand to additional markets, including Massachusetts, Maryland, and Nevada later this year. I'm very proud of our family of brands that range across the cannabis value chain. We have something for everyone, from our premium brands to our value brands like Good Green and Anshan, the latter of which is gaining market share according to PDSA. Having these sought-after value brands is especially important when consumers are trading down during an economic squeeze. While we are seeing average tickets down, transactions continue to increase in our value segment. That's the beauty of a diversified portfolio in action, We want everyone to have access to safe, satisfying, and personally affordable well-being. It's easy to be passionate about your business when you know you're contributing to the well-being of millions of Americans. I want to thank our entire team for never losing sight of that. It drives each of us every day. We also will never lose sight of people left behind, those incarcerated for cannabis possession, the black and brown communities that have been disproportionately harmed by the failed war on drugs, and those struggling to participate in this great American growth story. Reversing this damage won't happen overnight, but we will continue to fight the good fight. Now, I'll turn the call over to Anthony to discuss our operations in more detail. Anthony?