Goodfood Market Corp.

Good morning, ladies and gentlemen, and welcome to the Good Food Q2 2023 earnings conference call and webcast. At this time, all participants are in a listen-only mode. Following the presentation, we will conduct a question and answer session. As a courtesy to others, we ask that each participant limit themselves to one question and one follow-up. Instructions will be provided at that time for how to queue up for a question. Please note that questions will be taken from financial analysts only. If anyone has difficulties hearing the conference, please press star followed by zero for operator assistance at any time. I would like to remind everyone that this conference call is being recorded today, Wednesday, April the 12th at 8 a.m. Eastern Time. Furthermore, I would like to remind you that today's presentation may contain forward-looking statements about Goodfood's current and future plans, expectations and intentions, results, level of activity, performance, goals or achievements, or other future events or developments. As such, please take a moment to read the disclaimer on forward-looking statements on slide 2 of the presentation. I would now like to turn the meeting over to your host for today, Jonathan Ferrari, Goodfood's Chief Executive Officer. Mr. Ferrari, you may begin.

Thank you. Bonjour à tous et bienvenue à l'appel conférence de marché Goodfood pour présenter nos résultats financiers du second trimestre de l'exercice 2023, clos le 4 mars. Good morning, everyone, and welcome to this call for Good Food Market Corp. to present our financial results for the second quarter of fiscal 2023, ended March 4th. I'm joined on the call today by Neil Cuggie, Good Foods President and Chief Operating Officer, and Ross Awamur, Chief Financial Officer. Our press release reporting this quarter's results was published earlier this morning. It can be found on our website at makegoodfood.ca and on CDAR. Please be aware that we will refer to certain metrics and non-IFRS measures where possible. These measures are identified and reconciled to the most comparable IFRS measures in our MDNA. Finally, let me remind you that all figures expressed on today's call are in Canadian dollars unless otherwise stated. I will now turn to slide three, which reviews Good Food's progress on the three key drivers of our turnaround execution. Over the past 12 months, we have worked diligently to turn around good food. This commitment had three pillars of execution. One, a simpler balance sheet. Two, reaching profitability and improving cash flows. And three, generating profitable growth. We are encouraged by the progress made in the turnaround, and our team is excited about the path forward. Looking more closely at the three drivers, One, our balance sheet is now cleaner and more solid. We have refinanced our credit facilities, providing meaningful financial flexibility. We have also exited 13 operating facilities, removing nearly $47 million in lease liabilities since last year and reducing outflows related to these leases. We also strengthened our balance sheet by completing a financing transaction with partner Investissement Québec, insiders and existing shareholders, further demonstrating the belief in our successful turnaround execution. Second, we delivered this quarter on our commitment to reaching profitability. Through operational efficiencies and price adjustments, we built structural strength in our gross margin, which surpassed 40% for the first time. Combined with our relentless cost cutting, driving $45 million of annual SG&A reductions, excluding marketing since last year, We delivered adjusted EBITDA of $3 million this quarter for a margin of 7%. Our profitability and low capital expenditures have driven a free cash flow use of $2 million this quarter, a $25 million year-over-year improvement, gaining momentum towards positive free cash flow. Three, our focus began to shift towards growth during the quarter. We re-engaged in key brand ambassador partnerships and introduced product lines to broaden our audience with new paleo and keto meals supported by an exciting marketing campaign with Montreal Canadiens Captain Nick Suzuki. We also rolled out our first VIP customer loyalty program and continue to establish restaurant collaborations to provide a further differentiated offering to our customers. Lastly, We are implementing significant enhancements to our tech platform with an eye towards improving conversions and stickiness. We are pleased with the progress made on our turnaround drivers and the momentum we have to fully reach our goals of continued profitability, positive cash flows, and growth in the coming quarters. On that note, Ross Aouameur, our newly promoted CFO, will now provide additional details on our financial performance. Over to you, Ross.

Thank you, John.