Greenlane Holdings Inc (GNLN) 2022 Q4 法說會逐字稿

Good day, and welcome to today's conference call to discuss Greenlane Holdings Fourth Quarter and Full Year 2022 Financial Results. A press release detailing the financial results for the quarter and full year ended December 31, 2022, was distributed today and is available on the Investor Relations section of the Greenlane website at investor.gnln.com. As a reminder, today's conference is being recorded. A replay of this call as well as a copy of the supplemental earnings slide will be archived in the company's IR website at investor.gnln.com.

美好的一天，歡迎參加今天的電話會議，討論 Greenlane Holdings 第四季度和 2022 年全年財務業績。今天發布了一份詳細介紹截至2022年12月31日的季度和全年財務業績的新聞稿，可在 Greenlane 網站 investor.gnln.com 的投資者關係部分查閱。提醒一下，今天的會議正在錄製中。本次電話會議的重播以及補充收益幻燈片的副本將存檔在公司的 IR 網站 investor.gnln.com 上。

On the call today are Craig Snyder, Chief Executive Officer; and Lana Reeve, Chief Financial and Legal Officer.

今天接聽電話會議的是首席執行官克雷格·斯奈德 (Craig Snyder)；首席財務官和法務官拉娜·里夫 (Lana Reeve)。

Before we begin, Greenlane would like to remind listeners that today's prepared remarks may contain forward-looking statements, and management may take additional forward-looking statements in response to the questions received. These statements do not guarantee future performance, and therefore, undue reliance should not be placed upon them. These statements are based on current expectations of the company's management and involve inherent risks and uncertainties and other factors discussed in today's press release.

在我們開始之前，Greenlane 想提醒聽眾，今天準備好的評論可能包含前瞻性陳述，管理層可能會採取額外的前瞻性陳述來回答收到的問題。這些陳述不保證未來的表現，因此，不應過分依賴它們。這些聲明基於公司管理層當前的預期，涉及固有風險和不確定性以及今天新聞稿中討論的其他因素。

This call also contains time-sensitive information that speaks only as of the date of this live broadcast, April 3, 2023. Factors that could cause Greenlane's results to differ materially are set forth in yesterday's press release and in Greenlane's annual report on Form 10-K filed with the SEC.

此電話會議還包含時間敏感的信息，這些信息僅在本次直播之日，即 2023 年 4 月 3 日發表。昨天的新聞稿和 Greenlane 在 Form 10 上的年度報告中列出了可能導致 Greenlane 的結果出現重大差異的因素- K 向美國證券交易委員會備案。

Any forward-looking statements made on today's call are based upon assumptions as of today, and Greenlane assumes no obligation to update these statements as a result of new information or future events.

在今天的電話會議上做出的任何前瞻性陳述均基於截至今天的假設，Greenlane 不承擔因新信息或未來事件而更新這些陳述的義務。

During today's call, Greenlane management may discuss non-GAAP financial measures, included adjusted SG&A and adjusted EBITDA. Greenlane has included a reconciliation of these non-GAAP measures in today's press release, which is available in the Investor Relations section of the company's website at investor.gnln.com.

在今天的電話會議上， Greenlane 管理層可能會討論非 GAAP 財務指標，包括調整後的 SG&A 和調整後的 EBITDA 。 Greenlane 在今天的新聞稿中包含了這些非 GAAP 措施的對賬，可在公司網站 investor.gnln.com 的投資者關係部分查閱。

I would now like to turn the call over to Mr. Greg Snyder, Chief Executive Officer of Greenlane. Please go ahead, Craig.

我現在想把電話轉給 Greenlane 的首席執行官 Greg Snyder 先生。請繼續，克雷格。

Hello, everyone, and thank you for attending our fourth quarter 2022 earnings call, and my first earnings call since taking over as CEO on January 1. I would like to first thank Nick for everything he has done for the company and his 10 years of leadership between KushCo and Greenlane.

大家好，感謝大家參加我們 2022 年第四季度的財報電話會議，也是我自 1 月 1 日接任首席執行官以來的第一次財報電話會議。我首先要感謝尼克為公司所做的一切，以及他 10 年來在KushCo 和 Greenlane 之間的領導。

2022 proved to be a challenging year for our entire sector and Greenlane was not an exception. The business did not perform up to the expected standards and began an aggressive transformative strategy to actively put the business on a path to profitability.

事實證明，2022 年對我們整個行業來說都是充滿挑戰的一年，Greenlane 也不例外。該業務沒有達到預期的標準，並開始了積極的轉型戰略，以積極地使業務走上盈利之路。

On today's call, we'll outline the steps we have taken and will continue to take to fulfill the 3 key areas of concentration we have set forth for the company. Number one, an unwavering commitment to profitability; number two, enhancing and growing our leading position as a product innovator and disruptor in our segment; and number three, continued advancement in performance in developing our global omnichannel strategy.

在今天的電話會議上，我們將概述我們已經採取並將繼續採取的步驟，以實現我們為公司設定的 3 個重點關注領域。第一，堅定不移地致力於盈利；第二，加強和發展我們在我們的細分市場中作為產品創新者和顛覆者的領先地位；第三，在製定我們的全球全渠道戰略方面持續取得進步。

'22 was the year of realigning our fundamentals so that we can achieve our goal of profitability in 2023. With a more efficient model focused on scalable, leverageable and durable revenue combined with consistent margins. We have made meaningful tangible progress and have a solid line of sight to profitability and long-term sustainability.

22 年是我們重新調整基本面的一年，以便我們能夠在 2023 年實現盈利目標。採用更高效的模式，專注於可擴展、可利用和持久的收入以及穩定的利潤率。我們已經取得了有意義的切實進展，並且對盈利能力和長期可持續性有著堅定的看法。

Tackling profitability first, we are engaged in a strategic shift to a higher margin, higher value, less capital-intensive business model that can be profitable and sustainable. This also includes improving our balance sheet, working capital and free cash flow.

首先解決盈利問題，我們正在進行戰略轉變，轉向利潤率更高、價值更高、資本密集度更低的商業模式，這種模式可以實現盈利和可持續發展。這還包括改善我們的資產負債表、營運資金和自由現金流。

Lastly, there is a continued focus on eliminating and lowering costs, bringing the company's cost structure in line with gross margins.

最後，持續關註消除和降低成本，使公司的成本結構與毛利率保持一致。

In our goal toward profitability, Greenlane has made several strategic decisions to restructure parts of our industrial business. Because segments of our industrial business are very capital intensive, this has made cash flow timing a consistent challenge. This is in contrast to our consumer business which is much higher margin, especially when looking at Greenlane branded products, which in turn have the highest value.

為了實現盈利目標，Greenlane 做出了幾項戰略決策來重組我們的部分工業業務。由於我們的工業業務部門資本密集度很高，這使得現金流的時間安排成為一項持續的挑戰。這與我們的消費者業務形成鮮明對比，後者的利潤率要高得多，尤其是在查看 Greenlane 品牌產品時，這些產品的價值最高。

With capital markets headwinds in mind, we have made strategic changes to our business to improve our ongoing working capital dynamics to convert current inventory back into cash to help fund operations throughout 2023.

考慮到資本市場的逆風，我們對我們的業務進行了戰略調整，以改善我們持續的營運資金動態，將當前庫存轉換回現金，以幫助為整個 2023 年的運營提供資金。

First, we are in the process of transitioning our packaging business via strategic partnership. The packaging segment has historically required us to hold more than $10 million of inventory at any given time. By transitioning this business, we can monetize existing inventory to fund the investment into our higher-margin segments of our business. This transition is underway. And as of today, we still have $7 million of quality packaging inventory that we expect to be converted back into cash over the next few quarters of operations.

首先，我們正在通過戰略合作夥伴關係轉變我們的包裝業務。包裝部門歷來要求我們在任何給定時間持有超過 1000 萬美元的庫存。通過轉型這項業務，我們可以將現有庫存貨幣化，為我們業務中利潤率較高的部分的投資提供資金。這種轉變正在進行中。截至今天，我們仍有 700 萬美元的優質包裝庫存，我們希望在未來幾個季度的運營中將其轉化為現金。

Secondly, our CCELL vape business has traditionally been very inventory intensive and suffered from cash flow timing given the fact that all these goods come from China and are subject to 25% U.S. tariffs. We are currently in the process of restructuring that segment of our business to require far less investment in inventory. We estimate that under the new structure, we'll need to only carry 30% of the inventory levels we have today.

其次，我們的 CCELL vape 業務歷來庫存密集，並且由於所有這些商品都來自中國並需繳納 25% 的美國關稅，因此現金流不佳。我們目前正在重組我們的業務部門，以減少對庫存的投資。我們估計，在新結構下，我們只需要攜帶目前庫存水平的 30%。

We anticipate there will be $6 million plus of CCELL inventory that will be converted back into cash under this new structure over the next few quarters. Combined, both initiatives will bring in over $13 million of additional liquidity over the coming months. More importantly, when completed, we will have better working capital dynamics for the overall business.

我們預計未來幾個季度將有超過 600 萬美元的 CCELL 庫存在這種新結構下轉換回現金。合併後，這兩項舉措將在未來幾個月帶來超過 1300 萬美元的額外流動資金。更重要的是，完成後，我們將為整體業務提供更好的營運資金動力。

Although we will lose some top line revenue from our industrial segments converting from a gross to net revenue recognition we will pick up some 100% gross margin commissions and royalty revenues, which will be accretive to our gross margins. The restructuring of these industrial segments, combined with the overall shift in focus to our consumer business, and specifically the higher-margin Greenlane brands, alongside higher-margin customer channels such as direct-to-consumer, should substantially improve our overall gross margin profile and help accelerate our path to overall profitability and beyond.

儘管我們將從我們的工業部門中損失一些頂線收入，從毛收入確認轉換為淨收入確認，我們將獲得約 100% 的毛利率佣金和特許權使用費收入，這將增加我們的毛利率。這些工業部門的重組，加上將重點全面轉移到我們的消費者業務，特別是利潤率較高的 Greenlane 品牌，以及利潤率較高的客戶渠道，如直接面向消費者，應該會大大改善我們的整體毛利率狀況並幫助加快我們實現整體盈利能力及超越的道路。

Staying with the theme of improving working capital and strengthening our balance sheet, we are proud to announce non-dilutive capital of $4.8 million received in Q1 from the sale of our ERC credits. We used a portion of these funds to pay down our existing senior debt, thereby reducing the total amount of debt the company has by 40% from $15 million to $8.5 million. This infusion was important to increase working capital and decreased liabilities.

堅持改善營運資金和加強我們的資產負債表的主題，我們很自豪地宣布第一季度通過出售我們的 ERC 信用額度收到了 480 萬美元的非攤薄資本。我們使用這些資金的一部分來償還我們現有的高級債務，從而使公司的債務總額減少了 40%，從 1500 萬美元減少到 850 萬美元。這種注入對於增加營運資金和減少負債很重要。

Through the course of the year, we also reduced our structured payments related to previous acquisitions by more than 50% in 2022. We paid off the $8 million bridge loan as well as the $8 million mortgage from the sale of our building.

在這一年中，我們還在 2022 年將與之前收購相關的結構性付款減少了 50% 以上。我們還清了 800 萬美元的過橋貸款以及出售我們大樓的 800 萬美元抵押貸款。

Lastly, let's discuss how we are reducing our SG&A. Looking in the rearview mirror for a moment. The Greenlane business had a series of events occur in 2021 that had lasting effects into 2022.

最後，讓我們討論一下我們如何減少 SG&A。看了一會兒後視鏡。 Greenlane 業務在 2021 年發生了一系列事件，這些事件對 2022 年產生了持久影響。

Those would include the acquisition of Eyce and DaVinci, the international acquisition of ARI Logistics, a major ERP transition, integration of the 3PL servicing the consumer business, and finally, the merger of Greenlane and KushCo. Any single one of these events would have been challenging, the confluence of these events produce tremendous strain on both the business operationally and financially.

其中包括收購 Eyce 和 DaVinci、國際收購 ARI Logistics、重大 ERP 轉型、整合為消費者業務提供服務的 3PL，最後是 Greenlane 和 KushCo 的合併。這些事件中的任何一個都將是具有挑戰性的，這些事件的匯合會對業務運營和財務產生巨大壓力。

Our overall 2023 goal is to be more consistent in bringing expenses in line with gross margin. In 2022, we executed on numerous cost-cutting initiatives, which included IT expenses, professional fees, VAT, labor and the exit of facilities and office location.

我們 2023 年的總體目標是更加一致地使支出與毛利率保持一致。 2022 年，我們實施了多項削減成本的舉措，其中包括 IT 費用、專業費用、增值稅、勞動力以及設施和辦公地點的退出。

I'd like to go into a little bit more detail on what we did here. We digested and aligned the acquisitions into our IT platforms. And while work still remains, much of the digesting is complete. We were able to complete the FC restructuring with all shares converting to Class A. The majority of legacy VAT tax liabilities have been settled and the legal and accounting expenses related to those previous activities are expected to drop dramatically.

我想更詳細地介紹一下我們在這裡所做的工作。我們將收購消化並整合到我們的 IT 平台中。雖然工作仍然存在，但大部分消化工作已經完成。我們能夠完成 FC 重組，所有股份都轉換為 A 類。大部分遺留增值稅稅負已經清償，與這些先前活動相關的法律和會計費用預計將大幅下降。

We have reduced headcount by 49% throughout 2022, from 308 employees at the beginning of the year to 157 employees as of December 31, '22.

我們在整個 2022 年裁員了 49%，從年初的 308 名員工減少到 2022 年 12 月 31 日的 157 名員工。

Our cost of labor has dropped 50% since Q4 '21, and we have closed over 10 facilities to date and expect to close 3 more facilities in 2023, alongside general reductions in spend across nearly all areas of the business.

自 21 年第四季度以來，我們的勞動力成本下降了 50%，迄今為止，我們已經關閉了 10 多個設施，並預計在 2023 年再關閉 3 個設施，同時幾乎所有業務領域的支出都普遍減少。

These efforts led to a decrease of 29% in adjusted SG&A from Q4 2021 to Q4 '22, down nearly $22 million to just over $15 million, respectively. We expect full realization of these efforts will not show up until 2023 and combined with additional efficiency initiatives, we plan to reduce adjusted SG&A significantly further in '23.

這些努力導致調整後的 SG&A 從 2021 年第四季度到 2022 年第四季度減少了 29%，分別減少了近 2200 萬美元至略高於 1500 萬美元。我們預計這些努力要到 2023 年才會完全實現，結合額外的效率舉措，我們計劃在 23 年進一步大幅減少調整後的 SG&A。

Our plans are to reduce SG&A by another 40% from Q4 2022 to Q4 2023 through continued cost-cutting reductions and potential realizations, the estimated $13 million in working capital improvements this year should allow the company to go much further by reducing the overall burn rate and inflecting into profitability.

我們的計劃是通過持續削減成本和潛在實現，從 2022 年第四季度到 2023 年第四季度將 SG&A 再減少 40%，預計今年 1300 萬美元的營運資本改善將使公司能夠通過降低整體燃燒率走得更遠並轉化為盈利能力。

Hopefully, that provides everyone a clear path on how we intend to strategically shift the business with less focus on top line revenue but rather sustained higher margins and growth in core consumer brand areas, and how we intend to fund the working capital demands while lowering the operating expenses until we reach profitability.

希望這能為每個人提供一條清晰的道路，說明我們打算如何戰略性地轉變業務，減少對頂線收入的關注，而是在核心消費品牌領域保持更高的利潤率和增長，以及我們打算如何為營運資金需求提供資金，同時降低運營費用，直到我們實現盈利。

Obviously, this will require hard work from our collective team and will not happen overnight. But many of the initiatives in this plan have completed or are well underway, and we feel very positive about our ability to execute on the remaining parts throughout 2023.

顯然，這需要我們團隊的共同努力，不會一蹴而就。但該計劃中的許多舉措已經完成或正在進行中，我們對我們在整個 2023 年執行剩餘部分的能力感到非常樂觀。

With the 2023 plan outline, I'd like to take an opportunity to dive deeper in some of the most exciting parts of our new focus plan, our innovative Greenlane owned brands and how we bring them to market through a global omnichannel approach. In Q4 last year, we announced the launch of our brand Groove aimed at offering quality products at an affordable price.

通過 2023 年計劃大綱，我想藉此機會更深入地探討我們新重點計劃中一些最令人興奮的部分、我們創新的 Greenlane 自有品牌以及我們如何通過全球全渠道方法將它們推向市場。去年第四季度，我們宣布推出我們的品牌 Groove，旨在以實惠的價格提供優質產品。

We are pleased to provide an update. In February, we launched 12 new products that are now active within our brand portfolio. You can find these products at smokegroove.com. These products are being received very well in the marketplace with thousands of units sold and many customers having already reordered.

我們很高興提供更新。 2 月，我們推出了 12 款新產品，這些產品目前在我們的品牌組合中很活躍。您可以在 smokegroove.com 找到這些產品。這些產品在市場上非常受歡迎，售出數千件，許多客戶已經重新訂購。

Well Greenlane, who has traditionally served the connoisseur of the marketplace, our product development team comprised of entrepreneurs from Pollen Gear, DaVinci and Eyce created the Groove brand to be simple, functional and reliable. Groove targets a segment in the market looking for fundamental products to be used every day at a compelling price point.

Well Greenlane 傳統上一直服務於市場鑑賞家，我們的產品開發團隊由 Pollen Gear、DaVinci 和 Eyce 的企業家組成，創造了簡單、實用和可靠的 Groove 品牌。 Groove 的目標市場是尋找以極具吸引力的價格點每天使用的基礎產品的細分市場。

We believe Groove is perfectly positioned for sizable growth as demand for core staples and an attractive price point should only continue to expand.

我們相信 Groove 完全有能力實現可觀的增長，因為對核心主食的需求和有吸引力的價格點只會繼續擴大。

In addition to the Groove products that launched in February, we also announced product launches for DaVinci, Eyce and Higher Standards. All of these launches have been very successful, and we expect the contributions to meaningfully impact our Q1 and broader 2023 numbers.

除了 2 月份推出的 Groove 產品外，我們還宣布推出適用於 DaVinci、Eyce 和 Higher Standards 的產品。所有這些發布都非常成功，我們預計這些貢獻將對我們的第一季度和更廣泛的 2023 年數字產生有意義的影響。

Lastly, we continue to carefully curate our third-party brand portfolio that we offer to our customers to present a comprehensive one-stop shopping experience.

最後，我們繼續精心策劃我們提供給客戶的第三方品牌組合，以提供全面的一站式購物體驗。

Now let's discuss how we are bringing these to market through our global omnichannel strategy. In 2022, we took multiple steps in building out a global omnichannel strategy. We launched our new B2B websites in both the U.S. and Europe, which allow our 11,000-plus customers to order anytime and anywhere they prefer. In Q4, we kicked off the redesign of our direct-to-consumer website Vapor.com in the U.S. and vapor shop in Europe, which launched this month.

現在讓我們討論如何通過我們的全球全渠道戰略將這些產品推向市場。 2022 年，我們採取了多項措施來構建全球全渠道戰略。我們在美國和歐洲推出了新的 B2B 網站，讓我們的 11,000 多名客戶可以隨時隨地根據自己的喜好進行訂購。在第四季度，我們開始重新設計美國的直接面向消費者的網站 Vapor.com 和本月在歐洲推出的 vapor shop。

These enhancements will increase site speed and create a cleaner user experience. In Q4, we began projects through Amazon in both the U.S. and Europe. In the U.S., we initiated transparency with 3 of our Greenlane brands, Groove, Higher Standards and Eyce, along with this program, an A+ content, we're able to own the buy box section on Amazon and combat counterfeits in the marketplace.

這些增強功能將提高網站速度並創造更清晰的用戶體驗。在第四季度，我們通過亞馬遜在美國和歐洲開始了項目。在美國，我們通過我們的 3 個 Greenlane 品牌 Groove、Higher Standards 和 Eyce 啟動了透明度，以及這個 A+ 內容計劃，我們能夠在亞馬遜上擁有購買框部分並打擊市場上的假冒產品。

In Europe, we kicked off brand enhancement with Higher Standards, DaVinci and Groove.

在歐洲，我們通過 Higher Standards、DaVinci 和 Groove 啟動了品牌提升。

Lastly, we have strategically partnered with distributors throughout key international markets in the following countries: Guatemala, Costa Rica, Panama, Colombia, Peru, Chile, Uruguay, Brazil, Argentina, Mexico, Australia, New Zealand, Thailand and Puerto Rico. This allows us to take advantage of the largest global online marketplace in a big way.

最後，我們與以下國家主要國際市場的分銷商建立了戰略合作夥伴關係：危地馬拉、哥斯達黎加、巴拿馬、哥倫比亞、秘魯、智利、烏拉圭、巴西、阿根廷、墨西哥、澳大利亞、新西蘭、泰國和波多黎各。這使我們能夠在很大程度上利用最大的全球在線市場。

With that, I'll turn it over to Lana to run through our financial results in further detail.

有了這個，我會把它交給拉娜來更詳細地分析我們的財務結果。

Thanks, Craig, and hello, everyone. Thank you for joining us on the call today. As a reminder, the results I will be reviewing with you this morning can be found in our earnings release that is available on EDGAR and the Investor Relations section of our website at investors.gnln.com. Let's get to the fiscal 2022 numbers.

謝謝，克雷格，大家好。感謝您今天加入我們的電話會議。提醒一下，我今天早上將與您一起回顧的結果可以在我們的收益發布中找到，該發布可以在 EDGAR 上找到，也可以在我們網站 investors.gnln.com 的投資者關係部分找到。讓我們來看看 2022 財年的數字。

For the year ending December 31, 2022, total net sales were approximately $137.1 million compared to approximately $166.1 million for the year ending December 31, 2021, representing a decrease of $29 million or 17.4%. The overall year-to-year decrease was primarily driven by a decrease in the consumer goods segment of $62 million or 56.3% decrease offset by an increase in the industrial segment of $33 million or 59% due to the net sales contributed by our merger with KushCo that was completed on August 31, 2021.

截至 2022 年 12 月 31 日止年度，總淨銷售額約為 1.371 億美元，而截至 2021 年 12 月 31 日止年度約為 1.661 億美元，減少 2900 萬美元或 17.4%。整體同比下降主要是由於消費品部門減少 6200 萬美元或 56.3% 被工業部門增加 3300 萬美元或 59% 所抵消，這是由於我們與KushCo 於 2021 年 8 月 31 日完工。

The decline in the consumer goods segment revenue was due to a major restructuring effort during fiscal year 2022 to increase profitability by focusing on in-house brands that have a higher margin profile and rationalizing third-party brand offerings that carry a lower margin profile while reducing operating costs as a percent of revenue, selling our interest in the VIBES brand, terminating or restructuring several third-party agreements and rebalancing overall inventory levels.

消費品部門收入的下降是由於 2022 財年的一項重大重組工作，通過專注於利潤率較高的自有品牌並合理化利潤率較低的第三方品牌產品來提高盈利能力，同時減少運營成本佔收入的百分比，出售我們在 VIBES 品牌中的權益，終止或重組多項第三方協議並重新平衡整體庫存水平。

The company also experienced some operational issues impacting revenue during the first half of the year related to the new ERP, CRM and B2B systems. The company reported $22 million in net sales for the 3 months ending December 31, 2022.

該公司在今年上半年還遇到了一些影響收入的運營問題，這些問題與新的 ERP、CRM 和 B2B 系統有關。該公司報告截至 2022 年 12 月 31 日的三個月淨銷售額為 2200 萬美元。

For the year ending December 31, 2022, gross profit was $24.9 million compared to $33.8 million for the prior year, representing a decrease of $8.8 million or 26.1%. The decrease in gross profit is a result of the declining revenue. Gross margin decreased by 2.1% to 18.2% for the year ended December 31, 2022, compared to gross margin of 20.4% for the same period in 2021. The decrease in margin is due to the increased weight on margin from the industrial segment that has a lower margin profile and represented 64.9% of total revenue for fiscal year 2022 versus only representing 33.7% of total revenue for fiscal year 2021.

截至 2022 年 12 月 31 日止年度，毛利為 2490 萬美元，而上年為 3380 萬美元，減少 880 萬美元或 26.1%。毛利減少乃由於收入減少所致。截至 2022 年 12 月 31 日止年度的毛利率下降 2.1% 至 18.2%，而 2021 年同期的毛利率為 20.4%。利潤率較低，佔 2022 財年總收入的 64.9%，而 2021 財年僅佔總收入的 33.7%。

The company reported gross profit of $5.9 million and gross margin of 26.7% for the 3 months ending December 31, 2022. Sales, general and administrative SG&A expenses increased $66.2 million or 76.5% for the fiscal year 2022 to $152.7 million compared to $86.5 million for the prior fiscal year. Excluding goodwill and indefinite-lived intangibles impairment charge of $71.4 million for fiscal year 2022, SG&A expenses decreased $5.2 million or 6% to $81.3 million compared to $86.5 million for the prior year.

該公司報告截至 2022 年 12 月 31 日的三個月的毛利潤為 590 萬美元，毛利率為 26.7%。銷售、一般和行政 SG&A 費用在 2022 財年增加了 6620 萬美元或 76.5% 至 1.527 億美元，而 2022 財年為 8650 萬美元上一財政年度。不計入 2022 財年 7140 萬美元的商譽和無限期無形資產減值費用，SG&A 費用減少 520 萬美元或 6% 至 8130 萬美元，而上一年為 8650 萬美元。

The decrease is a result of cost reduction throughout the year related to a reduction in workforce of 50% and the ongoing corporate imperative to reduce SG&A spend as a percentage of revenue.

減少的原因是全年成本降低，這與勞動力減少 50% 以及企業持續降低 SG&A 支出佔收入的百分比有關。

The company reported SG&A of $22.2 million, inclusive of $4.6 million of indefinite-lived intangibles impairment charges for the 3 months ended December 31, 2022.

該公司報告的 SG&A 為 2220 萬美元，其中包括截至 2022 年 12 月 31 日止三個月的 460 萬美元無限期無形資產減值費用。

Net loss for fiscal year 2022 was $125.9 million, inclusive of a $71.4 million intangible asset impairment charge compared to a loss of $53.4 million for the prior year.

2022 財年的淨虧損為 1.259 億美元，其中包括 7140 萬美元的無形資產減值費用，而上一年為虧損 5340 萬美元。

Net loss attributable to Greenlane Holdings, Inc. was $115.8 million or $15.37 per share basic and diluted inclusive of a $71.4 million intangible asset impairment charge compared to a loss of $30.6 million or $0.79 per share basic and diluted. The company reported a net loss of $13.5 million and a net loss attributable to Greenlane Holdings, Inc. of $13.3 million or $1.02 per basic and diluted share for the 3 months ending December 31, 2022.

歸屬於 Greenlane Holdings, Inc. 的淨虧損為 1.158 億美元或每股 15.37 美元，基本和稀釋後包括 7,140 萬美元的無形資產減值費用，而虧損為 3,060 萬美元或每股基本和稀釋後虧損 0.79 美元。該公司報告稱，在截至2022年12月31日的三個月中，淨虧損為1350萬美元，歸屬於 Greenlane Holdings , Inc .的淨虧損為1330萬美元，即每股基本股和攤薄股1.02美元。

Adjusted EBITDA for fiscal year 2022 was a loss of $31.8 million compared to $22.3 million for the prior fiscal year. The company reported a $7.6 million adjusted EBITDA loss for the 3 months ending December 31, 2022. We ended the year with $12.2 million in total cash with $5.7 million restricted, working capital of $41 million compared to $53.8 million as of December 31, 2021.

2022 財年調整後的 EBITDA 虧損 3180 萬美元，而上一財年為 2230 萬美元。該公司報告截至 2022 年 12 月 31 日的三個月調整後 EBITDA 虧損為 760 萬美元。截至 2021 年 12 月 31 日，我們的現金總額為 1220 萬美元，其中 570 萬美元受到限制，營運資金為 4100 萬美元，而營運資金為 5380 萬美元。

The company continues to reduce the working capital cycle focused on operating more efficiently with lower inventory levels. We ended the year with $40.6 million in net inventories versus $67 million as of December 31, 2021. The company entered a new loan facility for $15 million during the year to support our working capital needs and recently reduced this debt in February of this year by 40% to $8.5 million, while also receiving $4.8 million from the sale of its employee retention credit. The company will continue to focus on improving cash flow from operations and managing existing debt.

公司繼續縮短營運資金周期，專注於以更低的庫存水平更有效地運營。截至 2021 年 12 月 31 日，我們的淨庫存為 4060 萬美元，而截至 2021 年 12 月 31 日為 6700 萬美元。該公司在這一年中獲得了 1500 萬美元的新貸款，以支持我們的營運資金需求，最近在今年 2 月將這筆債務減少了40% 至 850 萬美元，同時還從出售其員工保留信貸中獲得 480 萬美元。公司將繼續專注於改善運營現金流和管理現有債務。

With that, I'll now turn it back over to you, Craig.

有了這個，我現在把它交還給你，克雷格。

Thank you, Lana. Shifting from the rearview of 2022 to the windshield of 2023, our expectations are much higher and our outlook is extremely positive. We do believe the transformative efforts throughout '22 are beginning to make substantial positive impact on our 2023 financial results. In fact, we are already seeing signs in Q1.

謝謝你，拉娜。從 2022 年的後視鏡轉向 2023 年的擋風玻璃，我們的預期要高得多，我們的前景非常樂觀。我們確實相信整個 22 年的變革努力開始對我們 2023 年的財務業績產生實質性的積極影響。事實上，我們已經在第一季度看到了跡象。

Here are some of the reasons to believe Greenlane's future is bright. One, in Q1, we expect 5% to 10% growth in revenue versus Q4 in the $23 million to $24 million range with strength coming from our consumer goods segment, which saw an increase greater than 10% versus the prior quarter; two, we have launched a total of 13 products with our new brand Groove. Early performance has been extremely solid with an additional 20-plus products scheduled for the remainder of '23; three, we have established new relationships globally in over 14 countries; four, we have launched our B2B websites in both the U.S. and Europe with over 11,000 customers in our U.S. system and are seeing exponential growth month over month; five, we have significantly lowered our liabilities throughout the year, and we're going to continue to do so in Q1; and six, we are pleased with the progress we continue to make against our cost reduction goals and fully expect that progress to continue into 2023.

以下是相信 Greenlane 的未來一片光明的一些理由。一，在第一季度，我們預計收入將在 2300 萬至 2400 萬美元的範圍內比第四季度增長 5% 至 10%，其中消費品部門的實力強勁，與上一季度相比增長超過 10%；第二，我們的新品牌 Groove 共推出了 13 款產品。早期的表現非常穩定，另外 20 多種產品計劃在 23 年的剩餘時間內推出；第三，我們在全球超過 14 個國家建立了新的關係；第四，我們在美國和歐洲推出了 B2B 網站，在我們的美國系統中擁有超過 11,000 名客戶，並且每個月都呈指數級增長；第五，我們全年大幅降低了負債，我們將在第一季度繼續這樣做；第六，我們對我們在降低成本目標方面繼續取得的進展感到滿意，並完全希望這種進展能夠持續到 2023 年。

I will now turn it back over to the operator to begin Q&A.

我現在將把它交還給接線員開始問答。

(Operator Instructions)

（操作員說明）

Your first question is coming from Aaron Grey from Alliance Global Partners.

您的第一個問題來自 Alliance Global Partners 的 Aaron Gray。

So great to see some of the inventory (inaudible) doing to bring on some cash. You guys also mentioned some additional SG&A cuts you'll be taking with a target of getting EBITDA positive by 4Q 2023, just would like to know in terms of the gross margin expectations you expect to have to reach that 4Q '23 EBITDA target. I know you're going to be shifting some of those higher-margin CPG products. So if you could help out and kind of talk about some of the gross margin targets you have embedded impact within that, that would be helpful.

很高興看到一些庫存（聽不清）正在做一些現金。你們還提到了一些額外的 SG&A 削減，目標是到 2023 年第四季度使 EBITDA 為正，只是想知道您希望達到 23 年第四季度 EBITDA 目標所需的毛利率預期。我知道您將轉移一些利潤率較高的 CPG 產品。因此，如果你能提供幫助並談談你在其中嵌入影響的一些毛利率目標，那將是有幫助的。

Thanks, Aaron. This is Craig. As we discussed a little bit about some of the inventories going from a gross to a net recognition, we're expecting the gross margins to grow throughout the year. So Q1, we expect margins at 24.5%; Q2, 28.7%; Q3, 32.9%; Q4, 34.3%. Aggregate for the year at about 30.1%.

謝謝，亞倫。這是克雷格。正如我們討論了一些從毛額到淨額確認的存貨，我們預計全年毛利率都會增長。所以第一季度，我們預計利潤率為 24.5%； Q2，28.7%； Q3，32.9%；第四季度，34.3%。全年合計約為 30.1%。

Okay. Great. That's really helpful there. And then in terms of the CPG side, obviously, a lot of initiatives that you guys have with Eyce and otherwise -- Groove as well. But can you talk about which brands you're looking to be the primary driver to the growth. Groove, obviously 13 products now, additional 20 by end of the year? Are you looking for that to be the primary brand to build off of and drive growth within CPG for a year?

好的。偉大的。那真的很有幫助。然後就 CPG 方面而言，很明顯，你們與 Eyce 以及其他方面的許多舉措 - Groove 也是如此。但是你能談談你希望哪些品牌成為增長的主要驅動力嗎？ Groove，顯然現在有 13 個產品，到年底再增加 20 個？您是否希望它成為 CPG 一年內建立並推動增長的主要品牌？

I think the 3 brands and those 20-plus products will really occur across 4 brands. We've launched 13 products to date with Groove, and they have a few more coming but you'll see newer products coming from Eyce, DaVinci and Higher Standards as well. And I think you'll still see us work with the top providers in the third-party side as well, but we will see new products from Groove, Eyce, DaVinci and Higher Standards throughout the year.

我認為這 3 個品牌和 20 多種產品將真正出現在 4 個品牌中。迄今為止，我們已經推出了 13 款與 Groove 相關的產品，而且還會推出更多產品，但您還會看到來自 Eyce、DaVinci 和 Higher Standards 的更新產品。而且我認為您仍然會看到我們與第三方方面的頂級供應商合作，但我們全年都會看到來自 Groove、Eyce、DaVinci 和 Higher Standards 的新產品。

Okay. Great. And then in terms of distribution and new channels, can you talk about maybe expanded channel distribution targets that you have, initiatives you have to get into more MSOs and how that's gone so far in terms of dispensaries outside of MSOs, but also within that then also within head shops and how you look for the mix and shift between your different distribution channels?

好的。偉大的。然後在分銷和新渠道方面，您能否談談您擁有的擴展渠道分銷目標，您必須進入更多 MSO 的舉措，以及到目前為止在 MSO 之外的藥房方面以及在那之後的藥房方面的進展情況同樣在總店內，您如何尋找不同分銷渠道之間的混合和轉變？

Right. I think one of the big things we tried to do is integrate the business so that we talk to everyone from the smallest smoke shop to the largest MSO. They obviously have different needs. What we're seeing from the MSOs is they've begun to complete their digestion of all their acquisitions and some are now looking at national brands.

正確的。我認為我們嘗試做的一件大事是整合業務，以便我們與從最小的煙店到最大的 MSO 的每個人交談。他們顯然有不同的需求。我們從 MSO 那裡看到的是，他們已經開始完成對所有收購的消化，有些現在正在關注民族品牌。

This is good for us because they're turning their eye on the business toward how they generate more revenue per square foot, attachment rates and what I'd call the more normal retail metrics. And we play a bigger and bigger role in that and that we supply a lot of those ancillary products to those stores. So with those relationships and those conversations continue to deepen and grow as we're going.

這對我們有好處，因為他們將目光轉向瞭如何產生更多的每平方英尺收入、附件率以及我稱之為更正常的零售指標。我們在這方面發揮著越來越大的作用，我們為這些商店提供了大量的輔助產品。因此，隨著我們的發展，這些關係和對話將繼續加深和發展。

And we feel very good there. We've also increased our focus back in all kind of the mid-tiers, what I'd call single-state operators, what I'd call small dispensary groups and smoke shops alike and are aligning our resources to focus across all those groups and their kind of needs are a little bit differently, but we see them growing in 2023, and we're seeing positive results in the first part of the year already.

我們在那裡感覺很好。我們還增加了對各種中間層的關注，我稱之為單一國家運營商，我稱之為小型藥房集團和類似的煙店，並且正在調整我們的資源以關注所有這些群體他們的需求類型略有不同，但我們看到他們在 2023 年增長，並且我們已經在今年上半年看到積極的結果。

(Operator Instructions) That concludes our Q&A session. I will now hand the conference back to management for closing remarks. Please go ahead.

（操作員說明）我們的問答環節到此結束。我現在將把會議交還給管理層作閉幕詞。請繼續。

Thanks, Matt. We know there is much to be done, but we're highly encouraged by the early momentum in 2023. Thank you again for joining Greenlane's conference call today. We look forward to updating you on our continued progress on the next earnings call. Thank you.

謝謝，馬特。我們知道還有很多工作要做，但我們對 2023 年的早期勢頭感到非常鼓舞。再次感謝您今天參加 Greenlane 的電話會議。我們期待在下一次財報電話會議上向您通報我們的持續進展。謝謝。

Thank you, everyone. This concludes today's event. You may disconnect at this time, and have a wonderful day. Thank you for your participation.

謝謝大家。今天的活動到此結束。此時您可能會斷開連接，並度過美好的一天。感謝您的參與。