Arcadia Biosciences Inc (RKDA) 2023 Q4 法說會逐字稿

Good afternoon and welcome to the Arcadia Biosciences fourth quarter and full year 2023 financial results and business highlights conference call. (Operator Instructions) Please be advised that today's conference call is being recorded. I would now like to hand the conference over to TJ Schaefer, Chief Financial Officer at Arcadia, please go ahead.

下午好，歡迎參加 Arcadia Biosciences 第四季和 2023 年全年財務業績和業務亮點電話會議。 （操作員說明）請注意，今天的電話會議正在錄音。現在我想將會議交給Arcadia 財務長TJ Schaefer，請繼續。

Thank you and good afternoon. Joining me on the call today is Stan Jacot, Arcadia's President, and Chief Executive Officer. This call is being webcast and you can refer to the company's press release at arcadiabio.com.

謝謝你，下午好。今天與我一起參加電話會議的是 Arcadia 總裁兼執行長 Stan Jacot。這次電話會議正在網路上直播，您可以在 arcadiabio.com 上參閱該公司的新聞稿。

Before we start, we would like to remind you that Arcadia Biosciences will be making forward-looking statements on this call based on current expectations and currently available information. However, since these statements are based on factors that involve risks and uncertainties. The company's actual performance and results may differ materially from those described or implied today, you can review the company's safe harbor language in our most recently filed 10-K.

在開始之前，我們想提醒您，Arcadia Biosciences 將根據當前預期和現有資訊在本次電話會議中做出前瞻性聲明。然而，由於這些陳述是基於涉及風險和不確定性的因素。本公司的實際業績和結果可能與今天描述或暗示的結果有重大差異，您可以在我們最近提交的 10-K 中查看公司的安全港語言。

With that, I'll now turn the call over to Stan.

這樣，我現在就把電話轉給史丹。

Good afternoon, everyone, and thank you for joining us today to review our fourth quarter and full year results for 2023. I am pleased to report that Arcadia continues to make steady progress in executing Project Greenfield, our three-year strategic plan to unlock the company's potential and provide a path to profitability.

大家下午好，感謝您今天與我們一起回顧2023 年第四季和全年業績。我很高興地向大家報告，Arcadia 在執行Greenfield 專案方面繼續取得穩步進展，這是我們的三年策略計劃，旨在解鎖公司的潛力並提供獲利途徑。

We are halfway through this strategic plan and the results of this focus are unmistakable. Arcadia has significantly improved quality of revenues and has now delivered two straight years of gross profit growth for the first time in its history.

我們的戰略計劃已完成一半，這一重點的結果是明確無誤的。阿卡迪亞的收入品質顯著提高，現在實現了歷史上首次連續兩年的毛利成長。

SG&A expenses have declined for two straight years and are at their lowest level since 2019. These factors have had a significant impact on cash as our cash used in operations has gone from $25.9 million in 2021 to $15.3 million in 2023, a decline of 41%.

SG&A 費用連續兩年下降，處於2019 年以來的最低水平。這些因素對現金產生了重大影響，因為我們營運中使用的現金從2021 年的2590 萬美元減少到2023 年的1530 萬美元，下降了41 % 。

Let's now turn our attention to GoodWheat. The GoodWheat brand continues to expand and in Q4 added over 1,000 shelves compared to Q3. Since our launch 18-months ago, the brand can now be found in over 3,500 grocery shelves in the pasta, pancake and mac and cheese categories.

現在讓我們把注意力轉向 GoodWheat。 GoodWheat 品牌持續擴張，第四季比第三季增加了 1,000 多個貨架。自 18 個月前推出以來，該品牌現已出現在 3,500 多個雜貨店貨架上，涵蓋義大利麵、煎餅、通心粉和起司類別。

In addition, we are excited to announce that all three GoodWheat product categories are now available nationwide on Amazon. As we look forward into 2024, our focus will be on nurturing these points of distribution to grow velocity and dollar sales per store.

此外，我們很高興地宣布，所有三個 GoodWheat 產品類別現已在亞馬遜全國範圍內銷售。展望 2024 年，我們的重點將是培育這些分銷點，以提高每家商店的速度和銷售額。

These success stories by category will be the catalyst for expanded distribution in 2025 and beyond. And GoodWheat has recently received many accolades from some significant publications. And I just want to highlight two of them here today.

這些按類別劃分的成功案例將成為 2025 年及以後擴大分銷的催化劑。 GoodWheat 最近獲得了一些重要出版物的許多讚譽。今天我只想強調其中兩個。

Better Homes and Gardens, with 13 million followers across social platforms, recognized GoodWheat in the new basics category as the best stealthy, healthy pasta with the same flavor as regular pasta, but four times the fiber. And the Eat This, Not That site, which has 7 million unique views per month, awarded GoodWheat Quikcakes recognition in two different categories in January.

Better Homes and Gardens 在社交平台上擁有 1300 萬粉絲，將新基礎食品類別中的 GoodWheat 視為最佳隱形健康麵食，其味道與普通麵食相同，但纖維含量卻是普通麵食的四倍。每月有 700 萬次獨特瀏覽量的 Eat This, Not That 網站在一月份在兩個不同類別中授予 GoodWheat Quikcakes 認可。

In the 13 best Store-Bought High-Protein Desserts, they highlighted GoodWheat Chocolate--Chocolate Chip Quickcakes as a dessert when wanting something chocolatey and warm. With 7 grams of protein, they were easy to make by cooking them in the microwave for 75 to 90 seconds. And in the 38 Best Store-Bought High-Fiber Snacks, they recognized GoodWheat Buttermilk Quickcakes as a breakfast mix that provides a fluffy pancake that also carries 11 grams of fiber per serving.

在 13 款最佳商店購買的高蛋白甜點中，他們重點推薦 GoodWheat Chocolate——巧克力片速蛋糕作為想要巧克力和溫暖的甜點時的甜點。它們含有 7 克蛋白質，只需在微波爐中烹飪 75 至 90 秒即可輕鬆製作。在 38 款最佳商店購買的高纖維零食中，他們認為 GoodWheat Buttermilk Quickcakes 是一種早餐組合，它提供了蓬鬆的煎餅，每份還含有 11 克纖維。

These accolades from trusted, independent testing outlets are proving what we already know, that our proprietary wheat is commercially viable to create great-tasting products while sneaking in more fiber and protein.

這些來自值得信賴的獨立測試機構的讚譽證明了我們已經知道的事實，即我們的專有小麥在商業上是可行的，可以創造出美味的產品，同時含有更多的纖維和蛋白質。

And we don't plan on stopping with just GoodWheat products. There are thousands of products across the grocery store that can offer these same valuable benefits. So, we see a long-term path to generate recurring royalty revenue. There are two key steps to monetizing this technology.

我們不打算只使用 GoodWheat 產品。雜貨店裡有數以千計的產品可以提供這些同樣有價值的好處。因此，我們看到了產生經常性特許權使用費收入的長期途徑。使這項技術貨幣化有兩個關鍵步驟。

One, partner with the wheat supply chain in order to produce a scalable, cost-effective, identity-preserved wheat supply. We need our wheat technology integrated into all customer-preferred wheat types and then efficiently move from seed to farm to mill to delivered flour. We are currently in discussion with several potential partners, and we realize it will take some time to build and perfect this step.

第一，與小麥供應鏈合作，生產可擴展、具成本效益、身分保護的小麥供應。我們需要將我們的小麥技術整合到所有客戶喜歡的小麥類型中，然後有效地從種子轉移到農場到磨坊，最後交付麵粉。我們目前正在與幾個潛在的合作夥伴進行討論，我們意識到建立和完善這一步需要一些時間。

In parallel, the second step is to work with large food manufacturers to create a demand for our wheat. This can create a long-term, pull-through partnership and ensure we have enough volume through our supply chain system. Contact has begun across several categories, and again, it will take some time to develop products with their R&D groups.

同時，第二步是與大型食品製造商合作，創造對我們小麥的需求。這可以建立長期、拉動的合作關係，並確保我們的供應鏈系統有足夠的銷售量。多個類別的接觸已經開始，同樣，與研發團隊開發產品也需要一些時間。

Now over to Zola coconut water. The coconut water category continued to perform well in 2023, with unit sales increasing 6% while dollar sales grew 15%, according to Nielsen data, for the 52 weeks ending December 30, 2023.

現在來看看佐拉椰子水。根據尼爾森數據，截至 2023 年 12 月 30 日的 52 週內，椰子水類別在 2023 年繼續表現良好，單位銷量增長了 6%，美元銷售額增長了 15%。

As we previously disclosed, Zola lost distribution at the end of 2022 due to supply chain issues and we felt the impact in 2023 as we experienced double-digit declines in both units and dollar sales.

正如我們之前所揭露的，由於供應鏈問題，Zola 在 2022 年底失去了分銷，我們在 2023 年感受到了影響，因為我們的銷售和銷售額都出現了兩位數的下降。

However, when we look at 2024 and beyond, we are optimistic that Zola has turned the corner for the following reasons. One, Nielsen data for the last 13 weeks shows Zola unit sales up 2% with dollar sales flat, and the latest four-week data shows unit sales are up 8% and dollar sales are up 4%.

然而，當我們展望 2024 年及以後時，我們對佐拉已經渡過難關感到樂觀，原因如下。一、尼爾森過去 13 週的數據顯示，Zola 的單位銷量增長了 2%，而美元銷售額持平；最新的 4 週數據顯示，單位銷量增長了 8%，美元銷售額增長了 4%。

Two, we have new flavor innovation that will be coming to market in Q2 for beverage season that includes our original, lime, and pineapple flavors, all in a new 16.9-ounce re-sealable-- Tetra Pak container that retailers are excited about.

第二，我們有新的口味創新，將於第二季度的飲料季上市，其中包括我們的原味、酸橙口味和菠蘿口味，全部採用新的16.9 盎司可重複密封的利樂容器，零售商對此感到興奮。

Pineapple is the number one coconut water flavor, and lime is the number one flavor in sparkling water, so we believe these new offerings will energise Zola sales. Both flavors are 100% natural, no sugar added, and non-GMO, and are a great addition to our original extra pulp and espresso flavors.

鳳梨是排名第一的椰子水口味，而酸橙是氣泡水中排名第一的口味，因此我們相信這些新產品將刺激 Zola 的銷售。兩種口味均為 100% 天然、不添加糖且非基因，是我們原有的額外果肉和濃縮咖啡口味的絕佳補充。

And three, we have lined the site into new retailer wins in the spring-summer beverage season that could increase Zola distribution by as much as 50% this year. So a lot to be excited about for Zola when we look at the next several quarters.

第三，我們已將該網站納入了春夏飲料季新零售商的勝利，這可能會使今年 Zola 的分銷量增加多達 50%。當我們展望未來幾個季度時，佐拉有很多值得興奮的事情。

The last initiative to discuss today is the strategic review announced on July 20, which stated that Arcadia would explore a range of strategic options, which could include an asset sale, acquisition, merger, sale, or other strategic transaction.

今天討論的最後一項舉措是 7 月 20 日宣布的戰略審查，其中指出阿卡迪亞將探索一系列戰略選擇，其中可能包括資產出售、收購、合併、出售或其他戰略交易。

Over the last eight months, we along with our bankers, have engaged with a significant number of potential transaction partners to try to find the best outcome for Arcadia and our shareholders. And while we aren't ready to provide a detailed update today, we continue to have discussions and perform the due diligence work necessary to scale Arcadia and accelerate our ability to deliver cash flow positive results.

在過去的八個月裡，我們與銀行家一起與大量潛在的交易夥伴進行了接觸，試圖為阿卡迪亞和我們的股東找到最好的結果。雖然我們今天還沒有準備好提供詳細的更新信息，但我們將繼續進行討論並進行必要的盡職調查工作，以擴大阿卡迪亞規模並加快我們實現現金流積極成果的能力。

We will keep you updated as material events occur, and we must point out that there can be no assurance that this exploration of strategic alternatives will result in the company entering or completing any transaction, and no timetable has been set for the conclusion of the strategic review.

當重大事件發生時，我們將及時向您通報最新情況，我們必須指出，不能保證對戰略替代方案的探索將導致公司進入或完成任何交易，並且尚未為戰略替代方案的結束設定時間表。審查。

As you look at 2024, the foundation we have laid over the past two years provides optimism for even stronger results. Goodwheat is now in three categories and garnering national attention, which will also assist our efforts in monetizing our wheat IP through other food manufacturers.

展望 2024 年，我們過去兩年奠定的基礎為取得更強勁的業績帶來了樂觀情緒。好小麥現在分為三個類別，並引起了全國的關注，這也將有助於我們透過其他食品製造商將我們的小麥智慧財產權貨幣化。

Zola is leveraging new flavor innovations to expand distribution and is anticipating double-digit growth in 2024. And as mentioned in our last call, we continue to evaluate our expense profile in an effort to conserve cash. Due to all of these factors, we anticipate ending 2024 with a net operating loss under $10 million for the first time in the company's history.

Zola 正在利用新口味創新來擴大分銷，預計 2024 年將實現兩位數增長。正如我們在上次電話會議中提到的，我們將繼續評估我們的費用狀況，以節省現金。由於所有這些因素，我們預計到 2024 年底，公司的淨營運虧損將首次低於 1,000 萬美元。

With that, I will turn the call over to TJ to discuss our Q4 and year-end results. TJ?

接下來，我將把電話轉給 TJ，討論我們的第四季和年終業績。 TJ？

Thank you, Stan, and good afternoon to everyone joining us on the call today. In my prepared remarks, I will walk through our Q4 and full year 2023 financial results, as well as provide insights into 2024. As a reminder, my comments today will focus on our results from continuing operations, excluding the impact of Body Care, which we discontinued in Q3 '2023.

謝謝斯坦，今天參加我們電話會議的所有人都下午好。在我準備好的演講中，我將介紹我們的第四季度和2023 年全年財務業績，並提供對2024 年的見解。提醒一下，我今天的評論將重點關注我們持續經營業務的業績，不包括身體護理業務的影響，我們於 2023 年第三季停產。

With that, let me start by discussing our 2023 Q4 financial results. Our Q4 '2023 revenues from continuing operations were approximately $1.2 million, compared to revenue of $745,000 in Q4 '2022. The 57% increase in sales was primarily driven by GoodWheat and the timing of GLA oil sales as Zola remained relatively flat during the quarter.

首先，讓我討論一下我們 2023 年第四季的財務表現。我們 2023 年第四季的持續營運收入約為 120 萬美元，而 2022 年第四季的營收為 74.5 萬美元。銷售額成長 57% 主要是由 GoodWheat 和 GLA 油銷售時機推動的，因為 Zola 在本季度保持相對穩定。

On a year-over-year basis, GoodWheat distribution increased nearly 300% from approximately 1,200 stores at the end of 2022 to more than 3,500 stores at the end of 2023. Over the past 12 months, we also introduced two additional GoodWheat categories with our Pancake waffle mix launching in August 2023 and Mac and Cheese in November 2023.

與去年同期相比，GoodWheat 分銷增加了近 300%，從 2022 年底的約 1,200 家商店增加到 2023 年底的 3,500 多家商店。在過去 12 個月裡，我們還推出了另外兩個 GoodWheat 類別煎餅華夫餅組合將於2023 年8 月推出，通心粉和起司將於2023 年11 月推出。

Despite higher revenues, our cost of goods sold were actually lower in Q4 '2023 compared to the same period last year, as our 2022 results included the impact of write-downs related to hemp seeds and our Archipelago joint venture, which are all no longer part of our continuing results as we focus on generating profitable revenue.

儘管收入增加，但與去年同期相比，我們2023 年第四季度的銷售商品成本實際上較低，因為我們2022 年的業績包括與大麻種子和我們的群島合資企業相關的減記的影響，這些都不再是這是我們持續業績的一部分，因為我們專注於創造可獲利的收入。

Our research and development expenses of $332,000 were $169,000 or 34% favorable to Q4 '2022, driven by the timing of innovation work in '22 in order to launch new GoodWheat and Zola products. Our selling general and administrative expenses of $3.4 million declined $207,000 or 6% compared to the same period last year, primarily driven by headcount reductions that took place in Q3 '2023.

我們的研發費用為 332,000 美元，比 2022 年第四季有利 169,000 美元，即 34%，這是由於 22 年推出新的 GoodWheat 和 Zola 產品的創新工作時機的推動。我們的銷售一般費用和管理費用為 340 萬美元，與去年同期相比下降了 207,000 美元，即 6%，這主要是由於 2023 年第三季度的員工人數減少所致。

In summary, our Q4 revenues from continuing operations increased $425,000 and our gross profit increased $655,000 compared to the same period last year. While sales and margins improved, we also reduced our R&D and SG&A expenses by $640,000, leading to a $1.3 million improvement in our loss from continuing operations, so we are very pleased with the progress we made in Q4 '2023.

總之，與去年同期相比，我們第四季持續經營業務收入增加了 42.5 萬美元，毛利增加了 65.5 萬美元。在銷售額和利潤率有所改善的同時，我們也減少了64 萬美元的研發和銷售管理費用，從而使我們的持續營運損失減少了130 萬美元，因此我們對2023 年第四季的進展感到非常滿意。

Moving now to full year 2023 results, our total revenues of $5.3 million declined $2.1 million compared to the prior year, as our 2022 results included more than $2.7 million in revenues from grain sales as well as a non-recurring milestone payment from Bioceres.

現在來看2023 年全年業績，我們的總收入為530 萬美元，與前一年相比下降了210 萬美元，因為我們2022 年的業績包括超過270 萬美元的穀物銷售收入以及Bioceres 的非經常性里程碑付款。

Excluding these items, revenues would have increased 13%. Despite the lower reported sales, our gross profit increased 54% to just over $2 million as we continue to emphasize profitable growth and higher quality revenue streams. We remain focused on managing our operating expenses and driving costs lower, which I believe is apparent in our results.

排除這些項目，收入將增加 13%。儘管報告的銷售額較低，但由於我們繼續強調獲利成長和更高品質的收入來源，我們的毛利成長了 54%，達到略高於 200 萬美元。我們仍然專注於管理營運費用和降低成本，我相信這在我們的業績中顯而易見。

Our research and development expenses of $1.4 million declined 8% year-over-year, and our selling general and administrative expenses of $14.5 million decreased 4% compared to last year and are now at the lowest level since 2019.

我們的研發費用為 140 萬美元，年減 8%，銷售一般和管理費用為 1,450 萬美元，比去年下降 4%，目前處於 2019 年以來的最低水準。

And if you look at our R&D and SG&A expenses together, 2023 represents the lowest level of spend since before Arcadia went public in 2015. Our loss from continuing operations of $13.9 million is relatively unchanged versus prior year as reported.

如果您將我們的研發和銷售、管理、行政費用放在一起，您會發現2023 年是Arcadia 2015 年上市之前以來支出的最低水平。我們的持續營運損失為1,390 萬美元，與上一年報告的相比相對沒有變化。

However, our 2022 results include a $2 million benefit related to the sale of our Verdeca joint venture. Considering the impact of this gain, our loss from continuing operations would have improved by $2.1 million or 13%.

然而，我們 2022 年的業績包括與出售 Verdeca 合資企業相關的 200 萬美元收益。考慮到這項收益的影響，我們的持續經營虧損將減少 210 萬美元，即 13%。

In 2023, we used approximately $15 million of cash to fund our operations, and we also raised $6 million in March 2023, resulting in a year-end cash balance of nearly $12 million. We believe this cash will fund our operations beyond 2024, so let me provide some context.

2023年，我們使用了約1500萬美元的現金來資助我們的運營，我們還在2023年3月籌集了600萬美元，導致年終現金餘額接近1200萬美元。我們相信這筆現金將為我們 2024 年以後的營運提供資金，所以讓我提供一些背景資訊。

As Stan mentioned, we are excited about entering 2024 with three GoodWheat categories and a tremendous opportunity to meaningfully scale our Zola coconut water business with the new pineapple and lime flavors.

正如 Stan 所提到的，我們很高興進入 2024 年，推出三個 GoodWheat 類別，並有一個巨大的機會透過新的鳳梨和酸橙口味有意義地擴大我們的 Zola 椰子水業務。

As a result, we expect to increase sales at a double-digit rate in 2024. The increase in sales should lead to higher gross profit dollars, albeit at a lower gross margin rate. We will continue to focus on managing our operating expenses and expect to realize the full year benefit of the cost reductions we have implemented.

因此，我們預計 2024 年銷售額將以兩位數的速度成長。儘管毛利率較低，但銷售額的成長應會帶來更高的毛利。我們將繼續專注於管理我們的營運費用，並期望實現我們實施的成本削減帶來的全年效益。

The impact of these actions will result in an estimated use of cash in the single digits in 2024, which would also be the lowest use of cash since Arcadia went public.

這些行動的影響將導致 2024 年現金使用量預計為個位數，這也將是 Arcadia 上市以來現金使用量最低的一次。

With that, I will now turn the call over to the operator for questions.

現在，我將把電話轉給接線員詢問問題。

Thank you. (Operator Instructions) And our first question comes from the line Ben Klieve with Lake Street Capital Markets.

謝謝。 （操作員說明）我們的第一個問題來自 Lake Street Capital Markets 的 Ben Klieve。

All right. Thanks for taking my questions. First, on the fourth quarter and full-year gross profit and gross margin side-- without the income statement on the press release, I'm having a hard time putting this together. Can you just lay out what the gross profit and gross margin was in both Q4 and on a full-year basis, please?

好的。感謝您回答我的問題。首先，在第四季和全年毛利和毛利率方面——沒有新聞稿中的損益表，我很難將它們放在一起。您能否列出第四季和全年的毛利和毛利率是多少？

Yeah, Ben, this is Stan, and thank you for calling in. And I'll turn that over to TJ. to answer.

是的，本，我是斯坦，感謝您打電話。我會將其轉交給 TJ。回答。

Yeah, so gross profit dollars in Q4 were $499,000. And the gross profit dollars for the full year were $2.03 million.

是的，第四季的毛利為 499,000 美元。全年毛利為203萬美元。

Okay, great. And then, okay, I can back that out. So, you know, from when you talk about the outlook for '24, double-digit revenue growth, but TJ, you commented that given some of the portfolio shifts, I expect margins to come down a bit. Can you talk about your expectations for gross profit improvement from 2023 to 2024?

好的，太好了。然後，好吧，我可以反駁這一點。所以，你知道，當你談論 24 年兩位數收入成長的前景時，TJ，你評論說，考慮到一些投資組合的變化，我預計利潤率會略有下降。能談談您對2023年至2024年毛利改善的預期嗎？

Sure. So, again double-digit increase in sales just wouldn't be forecasting. I think our, if you look at our full year, we had a 38% gross margin. So that's-- I think there's some product mix elements to that. And so, we're looking more kind of down in the 30% to 35% range-- is kind of the numbers that we're looking at.

當然。因此，銷售額的兩位數成長同樣是無法預測的。我認為，如果你看看我們全年的情況，我們的毛利率是 38%。所以我認為其中有一些產品組合元素。因此，我們正在尋找 30% 到 35% 範圍內的下降——這就是我們正在關注的數字。

Got it. Okay. That's helpful. Thank you. So, turning to the comments you made on trying to recognize some royalty revenue and partnering with the wheat supply chain and working with the larger food manufacturers. Especially working with the supply chain was something that had been tried, a couple of years ago.

知道了。好的。這很有幫助。謝謝。因此，轉向您關於嘗試承認一些特許權使用費收入、與小麥供應鏈合作以及與大型食品製造商合作的評論。特別是與供應鏈合作是幾年前就已經嘗試過的事情。

And, you know, not just at Arcadia, but industry-wide, it's been a real challenge for these kind of novel, enhanced nutrition varieties to really find their way into the supply chain with these big players. Can you talk about the conversations that you're having today and give us a sense that these-- large, -- wheat companies are really serious about engaging with, technology like you've developed?

而且，你知道，不僅在阿卡迪亞，而且在整個行業，對於這些新穎的、強化營養品種來說，真正找到進入這些大公司供應鏈的方式是一個真正的挑戰。您能否談談您今天正在進行的對話，讓我們感覺到這些大型小麥公司真的很認真地參與您開發的技術？

Yeah. And so, you know, you're right, Ben, that is, I think it's been a challenge for any identity-preserved crop, but we are actually seeing some manufacturers and some supply chains that are investing in that part of the business because they are realizing better margins on those types of products. So, we're kind of seeing the industry start to invest more heavily in that route.

是的。所以，你知道，你是對的，本，也就是說，我認為這對任何保留身份的作物來說都是一個挑戰，但我們實際上看到一些製造商和一些供應鏈正在投資這部分業務，因為他們在這些類型的產品上實現了更高的利潤。因此，我們看到該行業開始加大對該路線的投資。

Okay. Great. Very good. On GoodWheat, a question on GoodWheat, a question on Zola, and then I'll get back in queue here. In GoodWheat, you know, you're six months now into the launch of Pancake Mix. I'm wondering if you can talk about kind of the performance of these new products today versus kind of the performance of pasta six months in after you launched them.

好的。偉大的。非常好。關於 GoodWheat，關於 GoodWheat 的問題，關於 Zola 的問題，然後我會回到這裡排隊。您知道，在 GoodWheat 中，Pancake Mix 推出已經六個月了。我想知道您是否可以談談今天這些新產品的性能與推出六個月後麵食的性能。

Are you, realizing revenue synergies now that you've got more products in line or is kind of the ramp over the first six months kind of similar today as it was when you started GoodWheat a couple of years ago now?

您是否意識到收入綜效現在已經有了更多產品，或者說前六個月的成長與幾年前您創辦 GoodWheat 時的情況類似？

Yeah, I would say for pancakes, we're seeing a similar ramp, but I would say that our velocities compared to the average Better for You products are higher on pancakes than they were on pasta. It just is a more recognizable segment in that particular category. And so, we're kind of part, we are benefiting from that.

是的，我想說，對於煎餅，我們看到了類似的增長，但我想說，與平均“更好的你”產品相比，煎餅的速度高於麵食。它只是該特定類別中更容易識別的部分。所以，我們是其中的一部分，我們正在從中受益。

Can you really tell on anything on Mac and Cheese.

你真的能說出關於通心粉和起司的任何事情嗎？

That was just November launch?

那是 11 月才推出的嗎？

Okay. Very good. Thank you. And then one last one for me, and Zola, you talk about expanding distribution, new SKUs coming online here. You also, in your latest investor presentation layout, target of expanding this from a 4% ACV in 2022 to 40% in 2025.

好的。非常好。謝謝。最後一個是我和佐拉，你們談到擴大分銷，新的 SKU 即將上線。您還在最新的投資者演示佈局中設定了將 ACV 從 2022 年的 4% 擴大到 2025 年的 40% 的目標。

Can you comment on kind of what that number was exiting '23 and then collectively how all these dynamics will improve that number. How much that number will be improved in 24?

您能否評論一下 23 年退出時的數字，以及所有這些動態將如何改善該數字。 24小時後這個數字會改善多少？

Yeah. So, for 2024 or 2023, we dipped a little bit from that 4%, as we had stated earlier. But again, if we get a 50% increase in distribution, that's going to get as close to that 5% to 6% ACV. And so we still have ways to go to reach that 2025 level.

是的。因此，正如我們之前所說，到 2024 年或 2023 年，我們的成長率將比 4% 略有下降。但同樣，如果我們的分配增加 50%，那麼 ACV 就會接近 5% 到 6%。因此，要達到 2025 年的水平，我們還有很長的路要走。

But the other thing to note is the distribution that we are getting is basically filling in some of the retailers that are in our stronghold coast regions, and, you know, we still have a lot of efforts underway to kind of fill in the rest of the country.

但另一件事值得注意的是，我們得到的分配基本上是填補了我們沿海據點地區的一些零售商，而且，你知道，我們仍然在做很多努力來填補其餘的零售商。國家。

Got it. Very good. Okay. I appreciate you taking my questions. I'll get back in queue.

知道了。非常好。好的。感謝您回答我的問題。我會回到隊列中。

Thank you. And our next question comes from the line of Dipesh Patel with H.C. Wainwright.

謝謝。我們的下一個問題來自 Dipesh Patel 和 H.C.溫賴特。

Hi, Stan. Hi, TJ. This is Dipesh on behalf of Ram Selvaraju at HC Wainwright. I've got a couple of questions with regards to revenue, and then just one or other on the strategic review process.

嗨，史丹。嗨，TJ。我是 HC Wainwright 的 Ram Selvaraju 的 Dipesh。我有幾個關於收入的問題，還有一個關於策略審查流程的問題。

So the first one, what do you consider the most valuable and fastest-growing product line from the GoodWheat franchise? Would you say it's Mac and Cheese, Qukcakes, or pasta?

那麼第一個問題，您認為 GoodWheat 特許經營中最有價值且成長最快的產品線是什麼？你會說它是起司通心粉、Qukcakes 還是義大利麵？

Hi, Dipesh. This is Stan. Thanks for calling in. Right now, we would probably say pasta, and it's because we're lapping, you know, more distribution growth from pasta. But again, for both pancakes and mac and cheese, we have gained some distribution that we expect to nurture over the next year. So, I think all three of them will be growing this year.

嗨，迪佩什。這是史丹。感謝您的來電。現在，我們可能會說麵食，這是因為我們正在研磨麵食的更多分銷增長。但同樣，對於煎餅和起司通心粉，我們已經獲得了一些分銷管道，我們預計將在明年培育這些分銷管道。所以，我認為他們三個今年都會成長。

Got it. And then I guess a follow-up question on the GoodWheat distribution channel. Which one would you say appears to be most profitable at this point?

知道了。然後我猜想一個關於 GoodWheat 分銷管道的後續問題。您認為目前哪一個似乎最有利可圖？

Well, right now, most of our distribution is in traditional grocery. And those-- I think have-- equal profitability as those retailers.

嗯，現在，我們的大部分分銷都是在傳統雜貨店。我認為這些零售商的獲利能力與零售商相同。

Okay. And then just a couple more. What innovative strategies can the company use to boost revenue growth in the coming quarters?

好的。然後還有幾個。公司可以使用哪些創新策略來促進未來幾季的營收成長？

Yeah. So, I think we've kind of laid out some of our key principles. One was distribution growth, which we've highlighted on Zola. The other one is focusing on specific retailers for GoodWheat that we currently have distribution and looking at the entire mix of tools, whether that's in-store and out-of-store, to improve velocity and, you know, continue to add SKUs to those stores with our other, with our other categories.

是的。所以，我認為我們已經制定了一些關鍵原則。其中之一是分銷成長，我們在佐拉身上強調了這一點。另一個重點是我們目前分銷的 GoodWheat 特定零售商，並研究整個工具組合（無論是店內還是店外），以提高速度，並且繼續向這些零售商添加 SKU商店與我們的其他商店，與我們的其他類別。

Great. That's helpful. And then last question from me, when does the company plan to complete the strategic review process?

偉大的。這很有幫助。我的最後一個問題是，公司計劃什麼時候完成策略審查流程？

Well, what we said is there's no specific timetable to complete the review. So-- we are-- we are continuing to do our due diligence and we'll have more information as material events occur.

嗯，我們說的是沒有具體的時間表來完成審查。因此，我們正在繼續進行盡職調查，隨著重大事件的發生，我們將獲得更多資訊。

Got it. Thank you for taking my questions.

知道了。感謝您回答我的問題。

Thank you. I'll now hand the call back over to President and CEO, Stan Jacot for any closing remarks.

謝謝。現在，我將把電話轉回給總裁兼執行長 Stan Jacot，讓其致結束語。

So, in summary, as we enter 2024, Arcadia is in a great position to continue its positive trajectory. We have transitioned the top line to high-quality revenue that generates gross profit across multiple sources. We have right-sized organization and streamlined our cost structure in order to extend our runway.

因此，總而言之，隨著我們進入 2024 年，阿卡迪亞處於繼續其積極發展軌蹟的有利位置。我們已將營收轉向高品質收入，透過多種來源產生毛利。我們擁有適當規模的組織並簡化了成本結構，以擴展我們的跑道。

Our GoodWheat is in more than 3,500 stores in three categories and Zola coconut water is positioned for double-digit growth with new flavors and distribution. And finally, we remain focused on adjacent acquisitions as well as monetizing our IP. We look forward to updating you in the future. Thanks again for joining us and have a great rest of your day.

我們的 GoodWheat 在三個類別的 3,500 多家商店中銷售，而 Zola 椰子水則有望透過新口味和分銷實現兩位數成長。最後，我們仍然專注於鄰近收購以及智慧財產權貨幣化。我們期待將來為您提供最新資訊。再次感謝您加入我們，祝您有個愉快的一天。

This concludes today's conference call. Thank you for participating and you may now disconnect.

今天的電話會議到此結束。感謝您的參與，您現在可以斷開連接。