Cricut, Inc. (NASDAQ:CRCT) Q4 2022 Earnings Conference Call March 7, 2023 5:00 PM ET

Company Participants

Stacie Clements – Investor Relations-The Blueshirt Group

Ashish Arora – Chief Executive Officer

Kimball Shill – Chief Financial Officer.

Conference Call Participants

Mark Altschwager – Baird

Jim Suva – Citi

Adrienne Yih – Barclays

Stacie Clements

Thank you, operator, and good afternoon, everyone. Thank you for joining us on Cricut’s Fourth Quarter and Year Ended 2022 Earnings Call. Please note that today’s call is being webcast and recorded on the Investor Relations section of the company’s website. A replay of the webcast will also be available following today’s call. For your reference, accompanying slides used on today’s call, along with a supplemental data sheet, have been posted to the Investor Relations section of the company’s website, investor.cricut.com.

Joining me on the call today are Ashish Arora, Chief Executive Officer, and Kimball Shill, Chief Financial Officer. Today's prepared remarks have been recorded after which Ashish and Kimball will host live Q&A. Before we begin, we would like to remind everyone that our prepared remarks contain forward-looking statements and management may make additional forward-looking statements, including statements regarding our strategies, business, expenses, and results of operations, in response to your questions.

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, including those identified in the Risk Factors section of Cricut's most-recently filed Form 10-Q.

Actual events or results could differ materially. This call also contains time-sensitive information that is accurate only as of the date of this broadcast, March 7, 2023. Cricut assumes no obligation to update any forward-looking projection that may be made in today's release or call.

And with that, I will now turn the call over to Ashish.

Ashish Arora

Thank you Stacie, and welcome everyone. I want to acknowledge up front that we expected 2022 to be a much better year for Cricut than the results we discuss today reflect. Entering the year, we expected to sell more connected machines and accessories and materials. That said, we added 1.5 million new users in 2022, ending the year with nearly 7.9 million total users on the Cricut platform, just shy of our initial expectations at the beginning of the year of 8 million users, boosted in part by strong connected machine sales in Q4 2021 and the first two months of 2022.