Farmer Bros. Co. (NASDAQ:FARM) Q3 2022 Results Conference Call May 5, 2022 4:00 PM ET
Company Participants
Deverl Maserang - President and CEO
Scott Drake - CFO
Conference Call Participants
Gerry Sweeney - ROTH Capital
Operator
Good afternoon, ladies and gentlemen, and welcome to the Farmer Bros. Financial (sic) [Fiscal] Third Quarter’s 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session. And instructions will follow at that time. [Operator Instructions] As a reminder, this call is being recorded.
Joining us today are Deverl Maserang, President and Chief Executive Officer; and Scott Drake, Chief Financial Officer. Earlier today, the Company issued its earnings press release, which is available on the Investor Relations section of Farmer Bros. website at www.farmerbros.com. The press release is also included as an exhibit to the Company’s Form 8-K and is available on the Company’s website, and on the Securities and Exchange Commission’s website at www.sec.gov. A replay of this audio-only webcast will be available approximately 2 hours after the conclusion of the call. The link to the audio replay will also be available on the Company’s website.
Before we begin the call, please note that all of the financial information presented is unaudited and that various remarks made by management during this call about the Company’s future expectations, plans, and prospects may constitute forward-looking statements for purposes of the safe harbor provisions under the federal securities law and regulation. These forward-looking statements represent the Company’s views only as of today and should not be relied upon as representing the Company’s views on any other subsequent date. Results could vary materially from those forward-looking statements.
Additional information on factors that could cause actual results and other events to differ materially from those forward-looking statements is available in the Company’s press release and public filings.
On today’s call, management will also use certain non-GAAP financial measures, including adjusted EBITDA and adjusted EBITDA margin, and assessing the Company’s operating performance. Reconciliation of these non-GAAP financial measures to their most directly comparable GAAP measures is also included in the Company’s press release.
I will now turn the call over to Deverl. Deverl, please go ahead.
Deverl Maserang
Thank you, and good afternoon, everyone. Thanks for joining us today.
Our 2022 fiscal third quarter represents another period of meaningful performance improvement across the business, highlighted by our 7th consecutive quarter of gross margin expansion and higher net sales, as volumes in both our DSD and Direct ship businesses continue to recover. Further, we posted meaningful progress in our adjusted EBITDA performance by attaining a $20 million annual run rate this quarter.