Colabor Group Inc.

Good morning, ladies and gentlemen, and welcome to Colobor's third quarter 2021 results conference call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct a question and answer session open to analysts only. If at any time during this call you require immediate assistance, please press star zero for the operator. This call is being recorded on Friday, October 15, 2021. Before turning the meeting over to management, I would like to remind listeners that this conference call contains forward-looking information within the meaning of the applicable Canadian securities laws and subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. I refer the audience to the forward-looking statement as detailed in the presentation supporting this conference call and available on the company's website in the investor section under events and presentation at www.calabor.com. Furthermore, risks are discussed throughout the most recent MD&A under the heading risks. And I would like to turn the conference over to Louis Frenette, President and CEO of Calabor Group. Please go ahead, sir.

Thank you, Sylvie. Good morning, everyone, and welcome to Calabas Group's 2021 third quarter results conference call. This is Louis Frenette, President and Chief Executive Officer. Last evening, we released our earnings results for the 12th and 36th week period ended September 4th, 2021. The press release and disclosure documents can be found on our website and on cdar.com. Joining me today on this call is Pierre Banchet, our Chief Financial Officer, who, following my initial remarks, will provide an overview of our financial results. During the third quarter, consolidated revenues were up 8.8% year over year from reopening of on-premise dining activities. Our channel diversification and the initial implementation of our growth plan. This represents our second consecutive quarter of growth after the execution of our transformation plan and lapping of difficult COVID comparables. Consolidated adjusted EBITDA margins stood at 5.9%, down from the equivalent quarter last year. Lower subsidies, expense related to our spring buying show that happened in the fall Third quarter versus the second quarter this year additional Labor expense explain most by explain most of this variance. As many sector are experiencing the pandemic has worsened the effect of an already constrained Labor force force in the whole supply chain of our industry, and this has been particularly the case during the summer season. We believe that the combination of the gradual easing of lockdown measures and the ongoing labor scarcity has made it difficult to deliver more growth in the third quarter. Now, looking at our balance sheet, we have maintained a leverage ratio of 2.1 times and therefore remain in a comfortable situation. The inflationary pressure and labor shortage we are experiencing are slowing down our growth plan and putting pressure on our margins. However, the successful transformation of our operations over the past two years, the renewal of the management team and our focused efforts on our value-added activities will allow us to reduce the impact. With the refinancing of our balance sheet at the end of the first quarter, the resumption of the restaurant business and growth opportunity both organically and through acquisition, we are well positioned to continue creating value for all of our stakeholders. Looking ahead, our strategic priorities remain the same. Grow our distribution activities in the province of Quebec, further improve our operations, and raise our employee engagement. Before turning the call over to Pierre for a review of our financial results, I will quickly review our initial progress against these three pillars. Pillar one and two, grow our distribution activities in Quebec and further improve our operations. As you know, during the pandemic, we dedicated our efforts to diversify our channel, gain new institutional and retail clients. In recent quarters, with the imminent recovery of the restaurant industry, we have now turned our attention to profitably grow our distribution activities in Quebec. As stated before, since the first quarter of 2021, we have presently invested in various growth initiatives that should start paying off in 2022. These initiatives include hiring sales professionals to focus on our new strategic markets, implementing cross-selling initiatives to create synergies between our specialty offering and distribution network, aligning our offering with changes in consumer preference. And on September 9th, we launched our redesigned private label line. I am encouraged by the preliminary progress we are seeing from each of these action items that aims to set the table for a stronger 2022 by improving our value-added offering and competitive positioning. As for our third pillar, Raising employee engagement, the pandemic has brought this issue front and center. Since joining Calabar in November of 2019, I've paid significant attention to our employer brand and continually strive to improve our employee experience. This effect, we have recently concluded an agreement in principle to renew and improve the collective agreement with our unionized employees at our largest distribution center. This five-year agreement was approved by 99% of the employees. It better aligns our compensation practices with the industry, improves our competitiveness as an employer, and will help us attract and retain the best employees. As we are emerging from the worst of the health crisis and preparing for the recovery of the restaurants and hospitality industry, A motivated and engaged workforce is key for our next phase of growth. Also, yesterday we announced the appointment of Mr. Jean Gattuso as the new board member. Mr. Gattuso was still recently president and COO at Lassonde, where he started to work in 1987. His extensive food industry knowledge management experience and business successes will greatly benefit Calabar.

With this, Pierre, I turn the call over to you for a review of our financial results.