Clever Leaves Holdings Inc (CLVR) 2022 Q4 法說會逐字稿

Good afternoon and welcome to the Clever Leaves Q4 and full-year 2022 earnings call. (Operator Instructions) Please note, this event is being recorded.

下午好，歡迎來到 Clever Leaves Q4 和 2022 年全年收益電話會議。 （操作員說明）請注意，正在記錄此事件。

I'd now like to turn the conference over to Ms. Jackie Keshner, Director of Investor Relations. Please go ahead.

我現在想將會議轉交給投資者關係總監 Jackie Keshner 女士。請繼續。

Good afternoon, everyone, and thank you for participating in today's conference call to discuss Clever Leaves' financial results for the fourth quarter and full year ended December 31, 2022. Joining us today are Clever Leaves' CEO, Andres Fajardo; and the company's CFO, Hank Hague.

大家下午好，感謝您參加今天的電話會議，討論 Clever Leaves 截至 2022 年 12 月 31 日的第四季度和全年的財務業績。今天加入我們的是 Clever Leaves 的首席執行官 Andres Fajardo；以及公司的首席財務官 Hank Hague。

Before I introduce Andres, I remind you that during today's call, including the question-and-answer session, statements that are not historical facts, including any projections or guidance, statements regarding future events or future financial performance or statements of intent or belief are forward-looking statements and are covered by the Safe Harbor disclaimers contained in today's press release and the company's public filings with the SEC.

在我介紹安德烈斯之前，我提醒你，在今天的電話會議中，包括問答環節，非歷史事實的陳述，包括任何預測或指導，關於未來事件或未來財務業績的陳述或意圖或信念的陳述都是前瞻性陳述包含在今天的新聞稿和公司提交給美國證券交易委員會的公開文件中的安全港免責聲明中。

Actual outcomes and results may differ materially from what is expressed in or implied by these forward-looking statements. Specifically, please refer to the company's Form 10-K for the year ended December 31, 2022, which was filed prior to this call as well as other filings made by Clever Leaves with the SEC from time to time. These filings identify factors that could cause results to differ materially from those forward-looking statements.

實際結果和結果可能與這些前瞻性陳述中表達或暗示的內容存在重大差異。具體而言，請參閱公司在本次電話會議之前提交的截至 2022 年 12 月 31 日止年度的 10-K 表格，以及 Clever Leaves 不時向美國證券交易委員會提交的其他文件。這些文件確定了可能導致結果與那些前瞻性陳述存在重大差異的因素。

Please also note that during this call, management will be disclosing adjusted EBITDA, adjusted gross profit, and adjusted gross margin. These are non-GAAP financial measures as defined by SEC Regulation G. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measures and a statement disclosing the reasons why company management believes that adjusted EBITDA, adjusted gross profit, and adjusted gross margin provide useful information to investors regarding the company's financial conditions and results of operations are included in today's press release that is posted on the company's website.

另請注意，在此電話會議期間，管理層將披露調整後的 EBITDA、調整後的毛利和調整後的毛利率。這些是 SEC 法規 G 定義的非 GAAP 財務指標。將這些非 GAAP 財務指標與最直接可比的 GAAP 指標進行調節，並披露公司管理層認為調整後 EBITDA、調整後毛利和調整後毛利的原因的聲明margin 向投資者提供有關公司財務狀況和經營業績的有用信息，這些信息包含在今天發佈在公司網站上的新聞稿中。

With that, I will turn the call over to Andres.

有了這個，我會把電話轉給安德烈斯。

Thank you, Jackie, and good afternoon, everyone. Our fourth-quarter and full-year results reflect the strategic progress we have made across our target markets as well as the development of a leaner, more efficient operational foundation for our business.

謝謝你，傑基，大家下午好。我們的第四季度和全年業績反映了我們在目標市場取得的戰略進展，以及為我們的業務打造更精簡、更高效的運營基礎。

Across our key metrics, our full-year performance came in line with our revised 2022 financial outlook. In fact, the 90% year-over-year growth that we generated within our cannabinoid business for the year allowed us to exceed our revised topline guidance target, even as we continue to experience revenue headwinds stemming from broader macroeconomic pressures in our noncannabinoid business.

在我們的關鍵指標中，我們的全年業績與我們修訂後的 2022 年財務展望一致。事實上，我們今年在大麻業務中產生的 90% 的同比增長使我們能夠超過修訂後的收入指導目標，即使我們繼續經歷非大麻業務更廣泛的宏觀經濟壓力帶來的收入逆風。

From a cost perspective, we expect that the steady expense reductions and restructuring initiatives we implemented throughout the year will allow us to operate with greater operational and capital efficiency. As we continue to progress our strategy, we remain focused on further optimizing our foundation in 2023.

從成本的角度來看，我們預計我們全年實施的穩步削減開支和重組舉措將使我們能夠以更高的運營和資本效率運營。隨著我們繼續推進我們的戰略，我們將繼續專注於在 2023 年進一步優化我們的基礎。

At the outset of 2022, we announced a refined strategic focus for Clever Leaves. In this new approach, we aligned our commercial efforts on a select set of international core markets with near-term catalysts, and we worked diligently to optimize our cost structure and balance sheet to best support these pipeline opportunities. I am proud to say that we made progress on these fronts during the year.

2022 年初，我們宣布了 Clever Leaves 的改進戰略重點。在這種新方法中，我們將我們在一組選定的國際核心市場的商業努力與近期催化劑結合起來，我們努力工作以優化我們的成本結構和資產負債表，以最好地支持這些管道機會。我很自豪地說，這一年我們在這些方面取得了進展。

On the commercial side, we announced several new partnerships for our extract and flower products, and we activated, ramped and expanded some of our key commercial pathways across our target markets of Australia, Brazil, Germany, and Israel. In addition, we welcomed the completion of Colombia's regulatory framework for dry flower exports and continued our preparations for launching our own commercial flower shipments out of Colombia.

在商業方面，我們宣布了我們的提取物和花卉產品的幾個新合作夥伴關係，並且我們在澳大利亞、巴西、德國和以色列的目標市場激活、擴大和擴展了一些關鍵的商業途徑。此外，我們歡迎哥倫比亞完成乾花出口監管框架，並繼續準備從哥倫比亞推出我們自己的商業花卉運輸。

One significant recent strategic step we announced earlier this year is the wind-down of all of our operations in Portugal and transitioning our operational focus solely to Colombia. In line with our ongoing restructuring initiatives, we work to have our Portuguese flower cultivation, post-harvest process, and manufacturing activities, ceasing pool by the end of the first quarter of 2023.

我們今年早些時候宣布的一項重要戰略舉措是結束我們在葡萄牙的所有業務，並將我們的業務重點完全轉移到哥倫比亞。根據我們正在進行的重組計劃，我們致力於在 2023 年第一季度末停止我們的葡萄牙花卉種植、採後加工和製造活動。

Currently, we're exclusively cultivating our flower strains in Colombian greenhouses, where we expect to leverage our expansive, mature, environmentally sustainable, and cost-effective production infrastructure. With over 1.8 million square feet of fully built-out cultivation capacity and the EU GMP certifications for the production of both cannabis extracts and dry flower, we have significant capacity to meet consumer demand and reach our key international markets. In addition, Colombia's lower cost structure and optimal agricultural climate continue to give us a critical competitive advantage, allowing us to drive greater production and cost efficiencies.

目前，我們專門在哥倫比亞的溫室中培育我們的花卉品系，我們希望在那裡利用我們廣闊、成熟、環境可持續和具有成本效益的生產基礎設施。憑藉超過 180 萬平方英尺的完全建成種植能力和生產大麻提取物和乾花的歐盟 GMP 認證，我們有能力滿足消費者需求並進入我們的主要國際市場。此外，哥倫比亞較低的成本結構和最佳的農業氣候繼續為我們提供關鍵的競爭優勢，使我們能夠推動更高的生產和成本效率。

With our existing production infrastructure, we believe we are well positioned to ramp quickly in Colombia to serve our global customer base while maintaining our focus on growing premium and commercially viable strains. As we have previously shared, we expect Colombia flower sales to be a significant avenue of growth for us this year as we've worked diligently to improve the quality and key characteristics of our flowers such as THC content, terpene profile, bud size and density.

憑藉我們現有的生產基礎設施，我們相信我們有能力在哥倫比亞迅速擴大規模，為我們的全球客戶群提供服務，同時繼續專注於不斷增長的優質和商業上可行的菌株。正如我們之前分享的那樣，我們預計哥倫比亞花卉銷售將成為我們今年增長的重要途徑，因為我們一直在努力提高我們花卉的質量和關鍵特徵，例如 THC 含量、萜烯概況、花蕾大小和密度.

Our Colombian operations house a genetic discovery and development platform, comprising of outside strains from major cannabis brands and in-house development products. And we expect that successful output from the program will expand as we accelerate our dry flower production and continue making key product market-fit improvements for our core geographies.

我們在哥倫比亞的業務擁有一個基因發現和開發平台，包括來自主要大麻品牌的外部菌株和內部開發產品。我們預計，隨著我們加快乾花生產並繼續為我們的核心地區改進關鍵產品的市場適應性，該計劃的成功產出將會擴大。

We're currently on track to complete our first commercial flower shipment from Colombia to Australia by early in the second quarter. We have completed some early test shipments with a focus on scaling our shipping process once our initial commercial shipment is complete. With our first commercial shipment targeted for Australia, we then aim to ramp shipments to Germany, the UK, and Israel by the end of the second half of this year.

我們目前正按計劃在第二季度初完成從哥倫比亞到澳大利亞的第一批商業花卉運輸。我們已經完成了一些早期的測試發貨，重點是在我們的初始商業發貨完成後擴展我們的發貨流程。我們的第一批商業貨物針對澳大利亞，然後我們的目標是在今年下半年年底前增加對德國、英國和以色列的出貨量。

We believe our robust and efficient foundation in Colombia will allow us to optimally launch our flower exports while supporting the continued growth of our extract business. We have continued to focus exclusively on THC flower product development while using our existing inventory for extract sales. We have significantly reduced our Colombian harvest year over year to manage the inventory buildup and focus on the right strains.

我們相信，我們在哥倫比亞穩健高效的基礎將使我們能夠以最佳方式啟動花卉出口，同時支持我們提取物業務的持續增長。我們繼續專注於 THC 花卉產品開發，同時使用我們現有的庫存進行提取物銷售。我們逐年大幅減少了哥倫比亞的收成，以管理庫存積累並專注於正確的菌株。

And this decrease in new harvests, our ongoing extraction and processing costs, and the forthcoming incremental cost contributions related to the harvest and post-harvest processes for dry flower will pressure our all-in cost per gram in the near term. However, we believe that rightsizing our inventory levels will allow us to be efficient with our cash spending besides having some reduction in cost to produce our cannabinoid products as we do not have the higher expenses related to our Portugal operations going forward.

新收成的減少、我們持續的提取和加工成本，以及即將到來的與乾花的收穫和收穫後過程相關的增量成本貢獻，將在短期內給我們每克的總成本帶來壓力。然而，我們認為，合理調整我們的庫存水平將使我們能夠提高現金支出的效率，此外還可以降低生產大麻素產品的成本，因為我們沒有與未來的葡萄牙業務相關的更高費用。

The operational footprint optimization, which resulted in the wind-down of our Portugal operations, was part of a broader effort we have been working on to optimize our cash use. In March, we went through a leadership change that resulted in profound restructuring of the company's executive team and top-level organization, which was in line with a focused strategy for profitable growth.

運營足跡優化導致我們在葡萄牙的業務逐漸減少，這是我們一直致力於優化現金使用的更廣泛努力的一部分。 3 月，我們進行了領導層變動，對公司的執行團隊和高層組織進行了深刻重組，這與盈利增長的重點戰略相一致。

Similarly, we reduced and rightsized headcount across all of our operations, optimized spending across all our functions and reassessed all CapEx projects, resulting in an 82% CapEx reduction as compared to 2021. From a balance sheet perspective, we paid off two of our largest remaining pieces of debt. In sum, we implemented various restructuring activities that we believe will allow us to drive greater cost and cash use savings in 2023.

同樣，我們減少並調整了我們所有業務的員工人數，優化了我們所有職能部門的支出，並重新評估了所有資本支出項目，與 2021 年相比，資本支出減少了 82%。從資產負債表的角度來看，我們還清了我們最大的兩個項目剩餘的債務。總之，我們實施了各種重組活動，我們相信這些活動將使我們能夠在 2023 年推動更多的成本和現金使用節省。

Finally, in our noncannabinoid segment, we experienced some headwinds across certain channels as retailers reduced inventory levels at the warehouse level. During the fourth quarter, this primarily occurred across our smoke shop and alternative channels, and nearly all of our channels saw reduced unit volumes as a result of broader macroeconomic pressures on consumer spending.

最後，在我們的非大麻素領域，由於零售商降低了倉庫層面的庫存水平，我們在某些渠道遇到了一些不利因素。在第四季度，這主要發生在我們的煙店和其他渠道，由於更廣泛的宏觀經濟壓力對消費者支出的影響，我們幾乎所有渠道的銷量都出現了下降。

To help mitigate these effects, we've implemented select pricing increases, and we're closely monitoring how macroeconomic conditions evolve over the coming months. That said, we believe that the depth and breadth of our retailer and distribution relationships will help us navigate further variability in this segment.

為了幫助減輕這些影響，我們實施了部分價格上漲，並且我們正在密切關注未來幾個月宏觀經濟狀況的演變。也就是說，我們相信我們的零售商和分銷關係的深度和廣度將幫助我們應對這一細分市場的進一步變化。

With the significant improvements we've made to our cost structure and the minimum CapEx required by our Colombian operations, we have built a leaner operational framework for this business, one that I believe will allow us to make greater progress towards cash flow positivity.

隨著我們對成本結構和哥倫比亞業務所需的最低資本支出做出的重大改進，我們為這項業務建立了一個更精簡的運營框架，我相信這將使我們能夠在現金流正向方面取得更大進展。

From a commercial standpoint, we expect to concentrate our efforts on the core target markets we've announced for this year: Australia, Brazil, Israel, Germany, the United Kingdom, and Colombia, as we build upon the market pathways we have developed and positioned ourselves for additional near- and long-term catalysts in these markets going forward.

從商業角度來看，我們希望將我們的努力集中在我們今年宣布的核心目標市場：澳大利亞、巴西、以色列、德國、英國和哥倫比亞，因為我們建立在我們已經開發和為未來這些市場的更多近期和長期催化劑做好準備。

I will describe our opportunities and objectives in these markets in greater detail later in the call. But first, I'd like to turn the call over to our CFO, Hank Hague, who will discuss our fourth-quarter and full-year financial performance in greater detail. Hank?

我將在稍後的電話會議中更詳細地描述我們在這些市場中的機會和目標。但首先，我想將電話轉給我們的首席財務官 Hank Hague，他將更詳細地討論我們第四季度和全年的財務業績。漢克？

Thank you, Andres.

謝謝你，安德烈斯。

Starting with our quarterly results. Our revenue in the fourth quarter of 2022 increased 10% to $4.6 million compared to $4.2 million in the year ago period. Our cannabinoid segment revenues grew 71% year over year as we continued to ramp commercial pathways across our core markets. In particular, we have continued to gain traction in Brazil as we increase sales of our approved products. We have also generated momentum in Australia and had solid contributions from sales of our APIs in Israel.

從我們的季度業績開始。與去年同期的 420 萬美元相比，我們在 2022 年第四季度的收入增長了 10%，達到 460 萬美元。隨著我們繼續在核心市場拓展商業渠道，我們的大麻素部門收入同比增長 71%。特別是，隨著我們增加批准產品的銷量，我們在巴西繼續獲得關注。我們還在澳大利亞產生了勢頭，並從我們在以色列的 API 銷售中獲得了可觀的貢獻。

As Andres mentioned, we continued to experience softness in our noncannabinoid segment revenues as a result of inventory reductions across most of our channels as well as the timing of inventory orders among our distributors. This primarily reflected broader macroeconomic headwinds, and we are working closely with our partners to mitigate these pressures through select pricing increases, marketing measures, and other initiatives. As these conditions persist, we are working to improve our visibility on how sell-through dynamics may evolve within our distributor network.

正如 Andres 所提到的，由於我們大多數渠道的庫存減少以及我們的分銷商庫存訂單的時間安排，我們的非大麻素部門收入繼續疲軟。這主要反映了更廣泛的宏觀經濟逆風，我們正在與我們的合作夥伴密切合作，通過選擇提高價格、營銷措施和其他舉措來緩解這些壓力。由於這些情況持續存在，我們正在努力提高我們對銷售動態如何在我們的分銷商網絡中演變的可見性。

Our all-in cost per gram of dry flower equivalent in the fourth quarter of 2022 was $3.46 per gram compared to $0.47 per gram in the year ago period. The year-over-year increase was driven by our significantly reduced harvest in Colombia as well as the costs we have incurred related to processing our existing inventory for extract sales. Our fourth-quarter cost per gram also reflects higher expenses related to our Portugal operations, which we are in the process of winding down.

我們在 2022 年第四季度每克乾花的總成本為每克 3.46 美元，而去年同期為每克 0.47 美元。同比增長的原因是我們在哥倫比亞的收成大幅減少，以及我們為處理現有提取物銷售庫存而產生的相關成本。我們第四季度的每克成本也反映了與葡萄牙業務相關的更高費用，我們正在逐步縮減該業務。

In Colombia, we have continued to focus on rightsizing our harvest and preparing for smokable dry flower exports. This includes focusing exclusively on THC harvests rather than hemp and CBD, and thereby continuing to use our existing hemp and CBD inventory for extraction. We believe that our costs will ultimately moderate to more advantageous levels as we ramp dry flower production to meet customer demand. We also expect our flower products to eventually comprise a greater share of our product portfolio, and that our extract costs will remain at similar or lower levels to what we've driven historically.

在哥倫比亞，我們繼續專注於調整我們的收成並為可吸乾花出口做準備。這包括專注於 THC 收穫而不是大麻和 CBD，從而繼續使用我們現有的大麻和 CBD 庫存進行提取。我們相信，隨著我們提高乾花產量以滿足客戶需求，我們的成本最終將降低到更有利的水平。我們還預計我們的花卉產品最終將在我們的產品組合中佔據更大的份額，並且我們的提取物成本將保持在與我們過去推動的水平相似或更低的水平。

Following the announcement of our wind-down in Portugal, we expect to leverage the cost advantages we've been able to drive in Colombia, where our harvest production costs have remained low due to optimal environmental conditions and the maturity of our operations. Consistent with what we have announced in January, our flower cultivation in Portugal has now fully ceased, and we are solely cultivating our flower products in Colombia.

在我們宣布結束在葡萄牙的業務後，我們希望利用我們在哥倫比亞實現的成本優勢，由於最佳的環境條件和成熟的運營，我們的收穫生產成本一直保持在較低水平。與我們在 1 月份宣布的一致，我們在葡萄牙的花卉種植現已完全停止，我們僅在哥倫比亞種植我們的花卉產品。

Our gross profit in the fourth quarter of 2022, which included an inventory provision of $0.9 million, improved to $0.7 million compared to negative $0.3 million in the year ago period, which included a $3 million inventory provision. Our adjusted gross profit, which excluded the inventory provisions, was $1.6 million in the fourth quarter of 2022 compared to $2.7 million in the year ago period.

我們在 2022 年第四季度的毛利潤（包括 90 萬美元的存貨撥備）從去年同期的負 30 萬美元（其中包括 300 萬美元的存貨撥備）增至 70 萬美元。 2022 年第四季度，我們調整後的毛利潤（不包括庫存準備金）為 160 萬美元，而去年同期為 270 萬美元。

This reflects an adjusted gross margin of 35.2% compared to 64.1% in the year ago period. The increase in our gross profit reflects our revenue growth and lower inventory provision compared to the year ago quarter, while the margin impacts reflect the continued revenue headwinds we've experienced within our noncannabinoid business.

這反映出調整後的毛利率為 35.2%，而去年同期為 64.1%。我們毛利的增長反映了我們的收入增長和與去年同期相比較低的庫存撥備，而利潤率的影響反映了我們在非大麻素業務中經歷的持續收入逆風。

Within that segment, we have also continued to mitigate margin pressures from wage inflation, rising transportation costs and both labor and material availability. We will continue monitoring these impacts and the broader status of labor and supply chain conditions as we progress further into 2023.

在該領域，我們還繼續緩解工資上漲、運輸成本上升以及勞動力和材料可用性帶來的利潤壓力。隨著我們進一步進入 2023 年，我們將繼續監測這些影響以及更廣泛的勞動力和供應鏈狀況。

In conjunction with our restructuring plan, we recorded a total restructuring charge of $26.9 million in 2022, which included $23.1 million in restructuring charges during the fourth quarter. This charge is primarily related to the Portugal wind-down inclusive of expenses related to severance and employee benefits, certain cash expenditures, provision for inventory that will not be sold, real estate and equipment costs which comprise of lease impairment along with property and equipment abandonment charges.

結合我們的重組計劃，我們在 2022 年記錄了 2690 萬美元的重組費用總額，其中包括第四季度的 2310 萬美元重組費用。這筆費用主要與葡萄牙縮減有關，包括與遣散費和員工福利相關的費用、某些現金支出、不會出售的存貨準備金、房地產和設備成本，包括租賃減值以及財產和設備廢棄收費。

Within the wind-down process itself, we've completed the bulk of our staff exits this month. We expect restructuring cash expenditures to persist through the first half of 2023. We expect to start seeing cost savings by the second quarter, and we believe we will be at a lower cash expenditure run rate starting in the third quarter. Taken together, with this timeline in mind, we expect our operational transition to Colombia and workforce reduction in Portugal to meaningfully reduce our cash burn going forward.

在結束流程本身中，我們本月完成了大部分員工離職。我們預計重組現金支出將持續到 2023 年上半年。我們預計到第二季度將開始看到成本節約，並且我們相信從第三季度開始我們將處於較低的現金支出運行率。綜上所述，考慮到這一時間表，我們預計我們向哥倫比亞的運營過渡和葡萄牙的裁員將顯著減少我們未來的現金消耗。

Operating expenses in the fourth quarter of 2022 were $29.5 million compared to $29.9 million in the year ago period. The operating expenses during the fourth quarter were driven by the $23.1 million restructuring charge, primarily related to the wind-down of our Portugal operations. Note that operating expenses in the fourth quarter of 2021 include the impact of an $18.5 million noncash goodwill impairment charge we recorded that quarter related to the acquisition of our Colombian operations in November 2019.

2022 年第四季度的運營費用為 2950 萬美元，而去年同期為 2990 萬美元。第四季度的運營費用是由 2310 萬美元的重組費用推動的，主要與我們葡萄牙業務的結束有關。請注意，2021 年第四季度的運營費用包括我們在該季度記錄的與 2019 年 11 月收購哥倫比亞業務相關的 1850 萬美元非現金商譽減值費用的影響。

Net loss in the fourth quarter of 2022 was $28.8 million compared to a net loss of $24 million in the year ago period. This was driven primarily by the $23.1 million restructuring charge we recorded during the quarter. Net loss in the year ago quarter included the impact of $18.5 million noncash goodwill impairment charge in addition to higher noncash share-based compensation expense, inventory provision, and noncash interest expense recognized in connection with the conversion feature related to our 2024 convertible note with Catalina LP. Net loss in the year ago quarter was partially offset by the gain on remeasurement of warrant liability and continued cost-cutting measures.

2022 年第四季度的淨虧損為 2880 萬美元，而去年同期為淨虧損 2400 萬美元。這主要是由我們在本季度記錄的 2310 萬美元的重組費用推動的。去年同期的淨虧損包括 1850 萬美元的非現金商譽減值費用的影響，以及更高的非現金股權補償費用、存貨撥備和與我們與 Catalina 的 2024 年可轉換票據相關的轉換功能確認的非現金利息費用黑膠唱片。去年同期的淨虧損被重新衡量權證負債和持續削減成本措施的收益部分抵消。

Adjusted EBITDA in the fourth quarter of 2022 was negative $5.2 million compared to negative $6.6 million in the year ago period. This was mainly due to our ongoing cost reduction measures. The cost improvements we implemented throughout 2022 have contributed towards our reduced adjusted EBITDA loss.

2022 年第四季度調整後的 EBITDA 為負 520 萬美元，而去年同期為負 660 萬美元。這主要是由於我們正在進行的成本削減措施。我們在整個 2022 年實施的成本改進有助於減少調整後的 EBITDA 損失。

At December 31, 2022, our cash balance was $12.9 million compared to $37.7 million at December 31, 2021. The decrease was primarily attributable to operating losses, working capital needs, and the repayment of $23.1 million in debt obligations during the past year. This was partially offset by net proceeds of $26.3 million raised in our at-the-market stock offering during 2022 as well as by $2.5 million in proceeds related to the partial sale of our equity investment in Cansativa. Note that we did not have any new stock issuances under our at-the-market offering during the fourth quarter.

截至 2022 年 12 月 31 日，我們的現金餘額為 1290 萬美元，而 2021 年 12 月 31 日為 3770 萬美元。減少的主要原因是經營虧損、營運資金需求以及過去一年償還 2310 萬美元的債務。這部分被我們在 2022 年在市場上發行股票籌集的 2630 萬美元淨收益以及與部分出售 Cansativa 股權投資相關的 250 萬美元收益所抵消。請注意，我們在第四季度的市場發行中沒有任何新股發行。

As noted in our public filings, including our 2022 10-K, there is a substantial doubt about our ability to continue as a going concern. Our ability to execute our operating plans through 2023 and beyond depends on our ability to obtain additional funding, which may include several initiatives such as raising capital, reducing working capital, and monetizing noncore assets.

正如我們的公開文件（包括我們的 2022 10-K）中所述，我們持續經營的能力存在重大疑問。我們執行 2023 年及以後運營計劃的能力取決於我們獲得額外資金的能力，這可能包括籌集資金、減少營運資金和將非核心資產貨幣化等多項舉措。

Throughout 2023, our goal is to further improve our liquidity position through reducing our expenses and investment in working capital. As we work to complete the wind-down process for our Portugal operations, we are also preparing for the sale process of these assets. Our goal is to complete the sale of the remaining assets in Portugal during this calendar year, which we expect to provide some additional nondilutive capital to the business. We will provide further updates on the wind-down and sale process as it moves forward in the coming quarters.

在整個 2023 年，我們的目標是通過減少營運資金的開支和投資來進一步改善我們的流動性狀況。在我們努力完成葡萄牙業務的結束流程的同時，我們也在為這些資產的出售流程做準備。我們的目標是在本日曆年內完成出售在葡萄牙的剩餘資產，我們預計這將為企業提供一些額外的非稀釋性資本。隨著未來幾個季度的推進，我們將提供有關結束和銷售流程的進一步更新。

Now briefly turning to our full-year results. Revenue in 2022 increased 16% to $17.8 million compared to $15.4 million in 2021. The increase was driven by increased sales in our cannabinoid segment, in part offset by a slight decrease in our noncannabinoid segment. The growth in our cannabinoid segment sales reflects continued expansion of sales activity and selling more products which have higher margins. The decreased sales in our noncannabinoid segment were driven by current economic challenges faced by mass retailers and especially distributors during the year ended December 31, 2022.

現在簡要地談談我們的全年業績。與 2021 年的 1540 萬美元相比，2022 年的收入增長了 16%，達到 1780 萬美元。這一增長是由於我們的大麻素部門銷售額增加，部分被我們的非大麻素部門的銷售額略有下降所抵消。我們大麻素部門銷售額的增長反映了銷售活動的持續擴張和銷售更多利潤率更高的產品。截至2022年12月31日止年度，大眾零售商尤其是分銷商面臨的當前經濟挑戰推動了我們非大麻素部門銷售額的下降。

All-in cost of dry flower in 2022 was $0.87 per gram compared to $0.22 per gram in 2021. The increase was primarily driven by our significantly reduced agricultural output in Colombia and continued extraction processing costs on current inventory in Colombia. During the year, cost per gram also reflected higher expenses associated with our Portugal facilities, which we are in the process of winding down.

2022 年干花的總成本為每克 0.87 美元，而 2021 年為每克 0.22 美元。這一增長主要是由於我們在哥倫比亞的農業產量大幅減少以及哥倫比亞當前庫存的持續提取加工成本。在這一年中，每克成本還反映了與我們正在逐步關閉的葡萄牙設施相關的更高費用。

Gross profit, which included an inventory provision of $4.7 million, was $4.3 million compared to $6.8 million in 2021, which included an inventory provision of $3 million. Including these inventory provisions, our 2022 gross margin was 24.3% compared to 44.3% in 2021. The decrease in gross profit is attributable to higher inventory provision as well as the revenue headwinds and labor and supply chain-related cost impacts within the noncannabinoid segment. Adjusted gross profit was $9.1 million compared to $9.8 million in 2021, reflecting a 50.9% adjusted gross margin compared to 63.7% in the year ago period.

包括 470 萬美元存貨撥備在內的毛利為 430 萬美元，而 2021 年毛利為 680 萬美元，其中包括 300 萬美元存貨撥備。包括這些庫存準備金在內，我們 2022 年的毛利率為 24.3%，而 2021 年為 44.3%。毛利下降的原因是庫存準備金增加，以及非大麻素細分市場的收入逆風以及勞動力和供應鏈相關成本的影響。調整後的毛利潤為 910 萬美元，而 2021 年為 980 萬美元，反映出調整後的毛利率為 50.9%，而去年同期為 63.7%。

Operating expenses in 2022 were $79.4 million compared to $64 million in 2021. The increase was attributable to the $26.9 million restructuring expense that was primarily related to the Portugal wind-down as well as the $19 million noncash intangible asset impairment charge we recorded in relation to our Colombian cannabis-related licenses in the third quarter of 2022. This was partially offset by the cost reductions we drove during the year as our combined G&A and sales and marketing expenses decreased 30% year-over-year. As a note for the prior year, operating expenses in 2021 included the impact of the $18.5 million goodwill impairment charge we recorded during the fourth quarter of 2021 related to the acquisition of our Colombian operations.

2022 年的運營費用為 7940 萬美元，而 2021 年為 6400 萬美元。增加的原因是 2690 萬美元的重組費用主要與葡萄牙的縮減有關，以及我們記錄的 1900 萬美元的非現金無形資產減值費用我們在 2022 年第三季度獲得了與哥倫比亞大麻相關的許可證。這部分被我們在這一年中推動的成本削減所抵消，因為我們的綜合 G&A 以及銷售和營銷費用同比下降了 30%。作為上一年的註釋，2021 年的運營費用包括我們在 2021 年第四季度記錄的與收購哥倫比亞業務相關的 1850 萬美元商譽減值費用的影響。

Net loss in 2022 was $66.2 million compared to a net loss of $45.7 million in 2021. The increase was driven primarily by the $26.9 million restructuring charge we incurred in 2022, along with the $19 million intangible asset impairment charge related to our Colombian cannabis licenses in the third quarter of 2022. Net loss in 2021 included the impact of the $18.5 million goodwill impairment charge I just mentioned for the fourth quarter of 2021, in addition to higher noncash share-based compensation expense, the aforementioned inventory provision, and a noncash interest expense recognized in connection with the conversion feature related to the 2024 convertible note, partially offset by a gain on remeasurement of warrant liability and continued cost-cutting measures.

2022 年淨虧損為 6620 萬美元，而 2021 年淨虧損為 4570 萬美元。這一增長主要是由於我們在 2022 年發生的 2690 萬美元重組費用，以及與我們在2022 年第三季度。2021 年淨虧損包括我剛剛提到的 2021 年第四季度 1850 萬美元商譽減值費用的影響，此外還有更高的非現金股權補償費用、上述存貨準備金和非現金利息與 2024 年可轉換票據相關的轉換功能確認的費用，部分被重新衡量認股權證負債和持續削減成本措施的收益所抵消。

Adjusted EBITDA in 2022 was negative $23.1 million compared to negative $23.7 million in 2021. The improvement was mainly driven by sustained cost reductions we drove throughout 2022.

2022 年調整後的 EBITDA 為負 2310 萬美元，而 2021 年為負 2370 萬美元。這一改善主要得益於我們在整個 2022 年推動的持續成本削減。

As we progress into 2023, our execution on our refined growth strategy has positioned us to further support our commercial momentum and operate with greater operational efficiency. Our six strategic growth objectives and key regions of focus will support these full-year 2023 targets. We expect our full-year 2023 revenue to range between $19 million and $22 million, with an expected adjusted gross margin of approximately 58% to 63%.

隨著我們進入 2023 年，我們對完善的增長戰略的執行使我們能夠進一步支持我們的商業勢頭並以更高的運營效率運營。我們的六大戰略增長目標和重點關注領域將支持這些 2023 年全年目標。我們預計 2023 年全年收入在 1900 萬美元至 2200 萬美元之間，預計調整後的毛利率約為 58% 至 63%。

In addition, we expect our 2023 adjusted EBITDA to be within the range of negative $13.6 million to negative $10.6 million. As we continue to focus on driving capital efficiency and expense reduction, we expect to incur approximately $0.5 million to $0.7 million in capital expenditures for the year, which represents an approximately 50% reduction compared to our 2022 CapEx.

此外，我們預計 2023 年調整後的 EBITDA 將在負 1360 萬美元至負 1060 萬美元之間。隨著我們繼續專注於提高資本效率和減少開支，我們預計今年將產生約 50 萬至 70 萬美元的資本支出，與我們 2022 年的資本支出相比減少約 50%。

This concludes my prepared remarks. And now I'll turn the call back over to Andres to review our 2023 market opportunities in greater depth. Andres?

我準備好的發言到此結束。現在我將把電話轉回給安德烈斯，以更深入地審查我們 2023 年的市場機會。安德烈斯？

Thank you, Hank. Before we open the call to questions, I'd like to provide a quick overview of our strategic objectives in 2023. Our three main strategic priorities this year are our focused commercial strategy, our low-cost high-quality production in Colombia, and our continued work toward optimized cash management.

謝謝你，漢克。在我們開始提問之前，我想快速概述一下我們 2023 年的戰略目標。我們今年的三個主要戰略重點是我們專注的商業戰略、我們在哥倫比亞的低成本高質量生產以及我們的繼續致力於優化現金管理。

Starting with our focused commercial strategy, we will continue to align our commercial efforts towards a concentrated set of international markets. As I mentioned earlier in the call, these markets are Australia, Brazil, Germany, Israel, the United Kingdom, and Colombia.

從我們專注的商業戰略開始，我們將繼續將我們的商業努力對準一組集中的國際市場。正如我之前在電話會議中提到的，這些市場是澳大利亞、巴西、德國、以色列、英國和哥倫比亞。

In Australia, our flower has historically been successful in this market due to its high THC content, terpene profile, and bud size. Having originally cultivated the strains in Portugal, we've leveraged our learnings from this cultivation in our dry flower preparations in Colombia. The strong product market fit we've already achieved has allowed us to continue shipping much of our remaining Portuguese flower to Australia, and it has also helped make the country a priority market for our initial commercial flower shipment from Colombia. We are underway with finalizing our preparations for our first shipment, and we expect to continue ramping the new and existing Australian partnerships we have for extracts and flower throughout 2023.

在澳大利亞，由於其高四氫大麻酚含量、萜烯分佈和花蕾大小，我們的花歷來在該市場取得成功。我們最初在葡萄牙培育了這些菌株，我們在哥倫比亞的干花準備工作中利用了從這種栽培中學到的知識。我們已經實現的強大產品市場契合度使我們能夠繼續將大部分剩餘的葡萄牙花卉運往澳大利亞，這也有助於使該國成為我們從哥倫比亞首次商業花卉運輸的優先市場。我們正在進行第一批貨物的最後準備工作，我們預計將在整個 2023 年繼續加強我們在提取物和花卉方面的新的和現有的澳大利亞合作夥伴關係。

In Brazil, we expect to continue ramping extract shipments, which grew nicely in Q4 and are expected to be a strong driver for us this year. We have continued to complete additional sales under RDC 327. Our products have been available for sale among various Brazilian pharmacies since the middle of last year after several of our products were approved for the market entry under the country's stringent regulatory framework. We seek to expand our foothold in this market as we support momentum in our current agreements and pursue additional product approvals.

在巴西，我們預計將繼續增加提取物出貨量，該出貨量在第四季度增長良好，預計將成為我們今年的強勁推動力。我們繼續完成 RDC 327 項下的額外銷售。自去年年中以來，我們的一些產品在該國嚴格的監管框架下獲准進入市場後，我們的產品已在多家巴西藥店銷售。我們尋求擴大我們在這個市場的立足點，因為我們支持當前協議的勢頭並尋求更多的產品批准。

Moving to Germany. Part of our Colombian flower preparation involved refining our flower for using our IQANNA brand after previously cultivating flower for the brand out of Portugal. After initially supplying CBD-dominant products to Germany, we have secured partnerships to supply flower strains with high THC. On the distribution level, we've built relationships with prescribing physicians as we grow our ability to sell through various pharmacists and generate decision demand.

移居德國。我們的哥倫比亞花卉準備工作的一部分涉及在之前為葡萄牙以外的品牌培育花卉之後，為使用我們的 IQANNA 品牌而提煉我們的花卉。在最初向德國供應 CBD 主導產品後，我們已經建立了合作夥伴關係，以供應具有高 THC 的花卉品系。在分銷層面，隨著我們提高通過各種藥劑師進行銷售和產生決策需求的能力，我們與開處方的醫生建立了關係。

As we've discussed throughout 2022, we have multiple pathways to this prominent European market. Beyond developing the IQANNA brand, we've secured our status as a licensed medical cannabis distributor and as a valued partner to various seasoned pharmaceutical operators and distributors in the country. We currently expect to launch Colombian flower sales in Germany during the second half of this year, leveraging our IQANNA brand and our B2B partnerships. In the meantime, we'll continue to support additional product sales through our current extract B2B partnerships.

正如我們在整個 2022 年所討論的那樣，我們有多種途徑進入這個重要的歐洲市場。除了開發 IQANNA 品牌外，我們還確保了我們作為持牌醫用大麻分銷商的地位，以及作為該國各種經驗豐富的製藥運營商和分銷商的重要合作夥伴的地位。我們目前預計將在今年下半年利用我們的 IQANNA 品牌和 B2B 合作夥伴關係在德國推出哥倫比亞花卉銷售。與此同時，我們將繼續通過我們當前的提取物 B2B 合作夥伴關係支持更多產品的銷售。

In Israel, our partnership with InterCure fulfilled one of our key strategic objectives for this market in 2022, securing a commercial-scale flower agreement. We have worked to adapt to this market's evolving product requirements to ensure we fulfill the pharmaceutical-grade specifications required for import. As we prepare to launch Colombian flower sales in this market by the second half of this year and work to maintain sales momentum for our extracts and APIs, we also continue to see opportunities for helping Israel domicile cannabis companies internationally, both from a distribution and production standpoint. Our large production capacity and deep market knowledge allows us to be a nimble partner and provide optimal product quality.

在以色列，我們與 InterCure 的合作夥伴關係實現了我們在 2022 年針對該市場的關鍵戰略目標之一，確保了一項商業規模的花卉協議。我們努力適應這個市場不斷變化的產品要求，以確保我們滿足進口所需的醫藥級規格。在我們準備在今年下半年之前在該市場推出哥倫比亞花卉銷售並努力保持我們的提取物和 API 的銷售勢頭時，我們還繼續看到在分銷和生產方面幫助國際以色列註冊大麻公司的機會立場。我們強大的生產能力和深厚的市場知識使我們能夠成為靈活的合作夥伴並提供最佳的產品質量。

One new target market for us in 2023 is the United Kingdom. As we disclosed last quarter, we've worked some early commercially moves in this market. According to our recent report from the Peterborough Telegraph, prescriptions of medical cannabis by doctors across England have grown 56% over the past year. This increased demand presents a promising opportunity for us with our proven ability to produce a pharmaceutical-grade quality levels and develop strong pharmacy-oriented distribution networks. We expect to be in flower exports to the UK by the second half of this year and look forward to providing additional updates on the opportunities that arise in this market.

2023 年我們的一個新目標市場是英國。正如我們上個季度所披露的那樣，我們已經在這個市場上採取了一些早期的商業舉措。根據我們最近來自彼得堡電訊報的報導，在過去的一年裡，英格蘭各地醫生開出的醫用大麻處方增長了 56%。這種增加的需求為我們提供了一個充滿希望的機會，因為我們有能力生產藥品級質量水平並開發強大的面向藥房的分銷網絡。我們預計到今年下半年將向英國出口花卉，並期待提供有關該市場出現的機會的更多最新信息。

Finally, we expect to propel further growth from the deep and extensive routes we've built in Colombia. In the country itself, we believe the domestic cannabis market presents a growing opportunity for us, and it has become one of our focus markets for 2023. As of January 1, 2023, Colombia's universal coverage health care system includes medical cannabis and prescribe medical cannabis derivatives as a reimbursable therapy, and we aim to sell products into the local market as we leverage this new regulation.

最後，我們希望通過我們在哥倫比亞建設的深入廣泛的航線推動進一步增長。在國內，我們認為國內大麻市場為我們提供了越來越多的機會，它已成為我們 2023 年的重點市場之一。截至 2023 年 1 月 1 日，哥倫比亞的全民醫療保健系統包括醫用大麻和處方醫用大麻衍生品作為一種可報銷的療法，我們的目標是利用這一新法規將產品銷售到當地市場。

The Colombian Senate also approved a nationwide marijuana legalization bill in December after the bill had previously received initial approval in the Chamber of Representatives. We welcome these regulatory developments and are closely monitoring further progress, as we believe our mature operations in Colombia give us a strong position in the market as it expands.

哥倫比亞參議院還於 12 月批准了一項全國范圍內的大麻合法化法案，此前該法案已獲得眾議院的初步批准。我們歡迎這些監管發展，並密切關注進一步的進展，因為我們相信我們在哥倫比亞的成熟業務使我們在市場擴張時處於有利地位。

Staying with Colombia, as we move to our second growth objectives, we will leverage the low-cost, high-quality production infrastructure we've built in Colombia to support our commercial efforts. As we are concentrating our operations in Colombia, our focus is to continue expanding our already successful extract portfolio and commercially launch the high THC flower we're producing in Colombia. With our advantageous scale, operating experience, and factor cost in Colombia, we seek to drive improvements in our margins during 2023.

留在哥倫比亞，隨著我們實現第二個增長目標，我們將利用我們在哥倫比亞建立的低成本、高質量的生產基礎設施來支持我們的商業努力。由於我們將業務集中在哥倫比亞，我們的重點是繼續擴大我們已經成功的提取物產品組合，並在商業上推出我們在哥倫比亞生產的高 THC 花。憑藉我們在哥倫比亞的優勢規模、運營經驗和要素成本，我們力求在 2023 年期間提高我們的利潤率。

As for our third growth objective, optimize cash management, we're focused on improving our balance sheet as we work to accelerate revenue growth and leverage our low-cost unit economics in Colombia. As Hank mentioned, we have multiple potential pathways towards seeking additional funding, and we are making these evaluations alongside our continued work to reduce our operating expenses and capital intensity.

至於我們的第三個增長目標，優化現金管理，我們專注於改善我們的資產負債表，因為我們致力於加速收入增長並利用我們在哥倫比亞的低成本單位經濟。正如 Hank 所提到的，我們有多種尋求額外資金的潛在途徑，我們正在進行這些評估，同時繼續努力降低運營費用和資本密集度。

Using our robust production infrastructure in Colombia, our more streamlined cost structure, and the various international market pathways we have activated, we are continuing to develop a strong runway for long-term growth. I am proud of the progress we have made, and we aim to continue ramping our commercial opportunities and driving towards greater cost and capital efficiency in 2023.

利用我們在哥倫比亞強大的生產基礎設施、我們更精簡的成本結構以及我們已經激活的各種國際市場途徑，我們正在繼續為長期增長開發一條強大的跑道。我為我們取得的進步感到自豪，我們的目標是在 2023 年繼續增加我們的商業機會並推動更高的成本和資本效率。

We'll now open up the call for Q&A.

我們現在將開啟問答環節。

(Operator Instructions) There are no questions registered at this time. I'll now hand back to Mr. Fajardo for closing remarks.

（操作員說明）此時沒有登記的問題。現在我將交還給 Fajardo 先生作結束語。

Well, thank you very much. I'd like to thank everyone that attended the call today, and we look forward to speaking with our investors and analysts when we report our first-quarter results in May.

好的，謝謝。我要感謝今天參加電話會議的每一個人，我們期待在 5 月份報告第一季度業績時與我們的投資者和分析師交談。

That does conclude our conference for today. Thank you for participating. You may now disconnect.

我們今天的會議到此結束。感謝您的參與。您現在可以斷開連接。