Flora Growth Corp. (NASDAQ:FLGC) Q2 2023 Earnings Conference Call August 15, 2023 9:00 AM ET

Company Participants

Dany Vaiman – Chief Financial Officer

Clifford Starke – Chief Executive Officer

Conference Call Participants

Operator

Thank you for standing by. This is the conference operator. Welcome to the Flora Growth Corp. Q2 2023 Results and Corporate Update Conference Call. [Operator Instructions] And the conference is being recorded. [Operator Instructions]

I would now like to turn the conference over to Dany Vaiman, Chief Financial Officer. Please, go ahead.

Dany Vaiman

Thank you, operator. And good morning, everyone. On behalf of the Flora team, welcome to our Q2 2023 and corporate update conference call.

Before we begin, I wish to inform listeners that certain statements to be made today by the management team may contain forward-looking information. Today’s call will include estimates and other forward-looking information and statements concerning future events, revenues, results from operations, financial position, markets, economic conditions, partnerships and any other statements that may be constructed as a prediction of future performance.

The information may involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied by such statements. Factors that could cause or contribute to such differences are described in details in the company’s most recent filings available on EDGAR at sec.gov and SEDAR at sedar.com. Any estimates or forward-looking information or statements provided are accurate only as of the date of this call, and the company undertakes no obligation to publicly update any forward-looking information or supply any new information regarding the circumstances after the date of this call.

On the call today, we have Clifford Starke, CEO; and myself, Dany Vaiman, CFO.

Following the presentation, Clifford and I will be available for the question-and-answer period. The Q3 2023 results press release and accompanying 10-Q have been filed on EDGAR and SEDAR. Also note that all amounts mentioned in this call are in United States dollars unless otherwise stated.

I’ll now turn the call over to Clifford.

Clifford Starke

Thank you, Dany and good morning everyone on the line. Welcome to the Flora Growth Q2 2023 results call. I welcome by saying that we were appointed in late June for the needs in stability and direction in this challenging environment. The company’s Colombian operations were not performing and corporate overhead was larger than what gross margins could sustain. We knew we had to make changes and make them quickly. We decided to divest for its Colombian operations and we implemented $6.1 million of cost savings, which includes a significant reduction in corporate overhead.