Planet 13 Hldgs Inc Nev

Good day, everyone, and welcome to the Planet 13 Q1 2026 Financial Results Conference Call. At this time, I would like to hand the call over to Mr. Mark Kindersma. Please go ahead, sir.

Thank you. Good afternoon, everyone, and thanks for joining us today. Planet 13 Holdings First Quarter 2026 Financial Results were released today. The press release of the company's quarterly report for 10Q, including the NDNA and financial statements, are on... They are available on the SEC website, EDGAR, and CR+, as well as on our website, plan13.com. Before I pass the call over to management, we'd like to remind listeners that portions of today's discussion include forward-looking statements. The forward-looking statements in this conference call are made as of the date of this call. There can be no assurances that such information will prove to be accurate or that management's expectations or estimates of future developments, circumstances, or results will materialize. Risk factors that could affect results are detailed in the company's public filings that are made available to the United States Securities and Exchange Commission and on CDER+. We encourage listeners to read those statements in conjunction with today's call. As a result of these risks and uncertainties, the results or events predicted in these four living statements may differ materially from actual results or events. In addition, we will refer to both GAAP and non-GAAP financial measures. For information regarding our non-GAAP financial measures and reconciliations to most directly comparable GAAP measures, please refer to today's press release posted on our website. Plan 13's financial statements are presented in U.S. dollars and results during this call are in U.S. dollars unless otherwise indicated. On the call today, we have Larry Schaeffler, co-chairman and co-CEO, Bob Brozek, co-chairman and co-CEO, and Steve McClain, interim CFO. We'll now pose the call over to Larry Schaeffler, co-chairman and co-CEO. Larry?

Good afternoon and thank you for joining us. Q1 was a transition quarter. that reflected the cost of the strategic repositioning we've executed over the past several quarters in quest for better cash flow, with the benefits beginning to show up in our April results. I'll walk through our operational performance, Steve will take you through the financials, and Bob will cover the strategic picture, including the exciting federal regulatory developments that have changed the landscape of our industry. In Q1, the superstar, including Dazed, generated 9.3 million up marginally from Q4. The Las Vegas tourism environment showed early signs of stabilization in the quarter, with visitor volume returning in modest year-over-year growth in March. That said, the broader market remains approximately 7% below the 2024 levels, and visitor spending behavior continues to reflect that softer baseline. The remaining headwind at the Superstore is cannabis-specific, unlicensed hemp operators on the strip, and continued illicit market activity. Clark County passed an ordinance in March implementing stricter regulations on intoxicating hemp products with an effective date in mid-July. That action, combined with the federal hemp restrictions taking effect in November, addresses what has been structurally a structural competitive imbalance in the Las Vegas market. We expect to see operational benefits emerge in the back half of the year as enforcement takes effect. Days continue to perform well, with revenue up approximately 47% year over year, demonstrating what a Drew Cannabis destination experience can deliver. Our neighborhood store network generated $10.9 million in revenue in T1, with Florida representing $8 million of that total. As a reminder, Q4 included a one-time benefit from the Florida loyalty of cruel adjustment that did not repeat. Adjusting for that item and for our California exit, the underlying neighborhood network was approximately flat sequentially, consistent with Q1 being the trough on a like-for-like basis. April results showed sequential improvements across all three neighborhood markets, Florida, Illinois, and Nevada. Combined, our Superstore had a neighborhood network and generated $20.2 million in total retail in Q1. April monthly retail performance was tracked consistent with the operating plan we built for Q2, and we expect Q2 to be the first quarter that reflects our repositioned portfolio are without the transition drag. Wholesale revenue was 0.9 million down from 2 million in Q4 with decline entirely attributable to our California wholesale exit. The story underneath that headline is in Nevada, where wholesale revenue grew approximately 41% sequentially in Q1. The third consecutive quarter of sequential growth in a direct result of the wholesale team restructuring what we executed in 2025. That progress is in a Nevada market that remains structurally pressured, reflects the operational work that this team is delivering. Q1 was the cost of doing the structural work, exiting California, completing the wagon trail consolidation, and rationalizing our cost base. Q2 is the first quarter where the repositioned business operated without those transitions under the results. The macro environment is not going to help us. We're still dealing with weak tourist traffic, a tough price environment, and now at least the impact of illicit hemp. But the operating model is now where we've been working to get it, and the early Q2 data is encouraging. With that, I'll turn it over to Steve to walk through our financials.