Oatly Group AB (NASDAQ:OTLY) Q2 2023 Earnings Conference Call July 27, 2023 8:30 AM ET

Company Participants

Brian Kearney - Investor Relations

Jean-Christophe Flatin - Chief Executive Officer

Daniel Ordonez - Chief Operating Officer

Christian Hanke - Chief Financial Officer

Conference Call Participants

Christian Junquera - Bank of America

Michael Lavery - Piper Sandler

Operator

Good morning and welcome to the Oatly Second Quarter 2023 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions] Please note that this event is being recorded.

I'd now like to turn the conference over to Mr. Brian Kearney from Investor Relations. Please go ahead.

Brian Kearney

Good morning, everyone, and thanks for joining us on today's call for Oatly's second quarter 2023 earnings conference call. On today's call are our Chief Executive Officer, Jean-Christophe Flatin; our Chief Operating Officer, Daniel Ordonez; and our Chief Financial Officer, Christian Hanke.

Before we begin, please review the disclaimer on Slide 3. During this call, the management may make forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our future results of operations and financial position, industry and business trends, business strategy, market growth, and anticipated cost savings. These statements are made based on management's current expectations and beliefs, and involve risks and uncertainties that could differ materially from actual events or those described in these forward-looking statements. Please refer to the documents we have filed with the SEC for a detailed discussion of the risks that could cause actual results to differ materially from those expressed or implied in any forward-looking statements made today.

Also, please note on today’s call, management will refer to certain non-IFRS financial measures, including EBITDA, adjusted EBITDA, and constant currency revenue. While the company believes these non-IFRS financial measures will provide useful information, the presentation of this information is not intended to be considered in isolation or as a substitute for the financial information presented in accordance with IFRS. Please refer to today’s release for reconciliation of the non-IFRS financial measures to the most comparable measures prepared in accordance with IFRS. In addition Oatly has also posted a supplemental presentation on its website for reference.

I’d like to now turn the call over to Jean-Christophe.

Jean-Christophe Flatin

Thanks, Brian, and good morning, everyone. Page 5, the key messages I want you to take away from today's presentation. First, I'm very excited to be Oatly's new CEO because I believe Oatly has a significant amount of potential in both growth and profitability. In my time here so far, it has become equally clear that to realize our potential we must continue to take bold actions. One bold action we are taking is initiating an improvement plan in our Asia business where we are refocusing our energy and resources on strengthening the core business to have a strong foundation to go from. We expect this will enable us to adjust to the evolving post-pandemic environment and set this segment up for profitable growth. Another action we are taking is a further reduction of our overhead costs in both corporate functions and our Americas segment. This reduction will further increase our focus and agility as a company.