Rubicon Technologies, Inc. (NYSE:RBT) Q3 2023 Earnings Conference Call November 8, 2023 5:00 PM ET

Company Participants

Chris Spooner - SVP of Finance

Phil Rodoni - Chief Executive Officer

Kevin Schubert - President and Chief Financial Officer

Conference Call Participants

Maria Ripps - Canaccord Genuity

Stephanie Moore - Jefferies

Brett Knoblauch - Cantor Fitzgerald

Operator

Good afternoon and welcome to the Rubicon Technologies Third Quarter 2023 Earnings Call. My name is Kayla and I will be your operator for today's call. As a reminder, this conference call is being recorded. At this time, all participants are in a listen-only mode. After the speakers’ remarks, there will be a question and answer session. [Operator Instructions]

Thank you. And it is now my pleasure to introduce Chris Spooner, Executive Vice President of Finance. You may begin.

Chris Spooner

Thank you. Hello, everyone, and welcome to Rubicon's third quarter 2023 earnings call. A few quick reminders before we begin. This call is being webcast and can be accessed on the Investors section of our website, which can be found at investors.rubicon.com.

Today, we will present Rubicon's financial results for the third quarter of 2023, which will be followed by a question-and-answer session. During the call, management will be making forward looking statements that are subject to the Safe Harbor provisions and the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future performance and our actual results may differ materially due to known and unknown risks and uncertainties, as discussed in greater detail in our earnings release and our SEC filings. We assume no obligation to update forward-looking statements except as required by law.

Additionally, we will refer to non-GAAP financial measures during our call today, including but not limited to adjusted gross profit and adjusted EBITDA. We provide these non-GAAP results for informational purposes and they should not be considered in isolation from the most directly comparable GAAP measures. A discussion of why we believe these non-GAAP measures are useful to investors, certain limitations of using these measures, and reconciliation to the most directly comparable GAAP measure can be found in our earnings release and our filings with the SEC.

Joining me on the call today are Phil Rodoni, Rubicon's Chief Executive Officer, and Kevin Schubert, Rubicon's President and Chief Financial Officer.

With that, I would now like to turn the call over to Phil.

Phil Rodoni

Thank you, Chris, and thank you to everyone for joining us today. To start, I am very proud to announce for the third quarter in a row, we have achieved record adjusted gross profit, our key operating metric, with an increase of 41% year-over-year and 11% from the prior quarter. We also expanded AGP margin by 395 basis points year-over-year, despite slightly softer revenue due to commodity headwinds in the ongoing process of optimizing our portfolio.