CWEB.TO - Earnings call transcript Q4 2022 | Charlotte's Web Holdings, Inc.

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Operator

Good morning, ladies and gentlemen, and welcome to the Charlotte's Web Holdings, Inc. 2022 Fourth Quarter Conference Call. [Operator Instructions] This call is being recorded today on March 23, Thursday, 2023. I would now like to turn the conference over to Cory Pala, Director of Investor Relations. Please go ahead.

Cory Pala

good and Julie, you, morning, everyone. Thank for and year-end you Inc. joining Charlotte's us quarter fourth XXXX our earnings Holdings, for Web Thank conference for call

earnings our financial posted morning section Our our statements. issued Investor of with the Relations and along website was release on this

and the Financial has brings Charlotte's Tortoroli; well and finance Chief Leading XX-K She and of new joined Jacques as in Charlotte's is Officer, InBev leadership. Jared U.S. to who company's the for this SEC. in with Jessica large Web call Web also comes report start sedar.com career Anheuser-Busch this CEO, on Saxton, annual full XXXX following and a the filed at Our small is Stanley, the in our at morning financial year. year COO, the company available been Canada as with

the in we quarter the context call, business morning's and this CBD year will with and full fourth On results some the category. provide review for the to overall respect financial

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the some statements answers the could and all and Such States. is provide to on risks reminder report listeners, performance that Form company's therefore, factors on outlined in XX-K may our sec.gov call, risks differ in of surrounding certain we results implied future in with to and and which to actual a expectations. Canada including materially certain made uncertainties subject As nature, sedar.com on United include filed annual detail questions, company statements are forward-looking to from in forward-looking content cause may today's

gross including Please to adjusted Form we accounting gross refer not call, contained standardized GAAP. the EBITDA. release adjusted reconciliation and call GAAP Executive In filed We their Please will should earnings with to the as any profit we have most Officer, morning that, to refer the supplemental adjusted Chief such the will that and respective this financial by a well of now comparable addition, measures a for and measures, X-K hand non-GAAP in as Tortoroli. directly measures. of during Web description EBITDA prescribed to profit And adjusted meaning Jacques go ahead. I Charlotte's over

Jacques Tortoroli

Chief to for months morning few our and by proven joining Jared across constructive Good introducing start a forward you for I us much like Jessica has be to business. Jessica has quick and look I'd time, our move strategic study. very been business Saxton, to Colorado, She and our you. a insights demonstrated from call. just initiatives our thank has short Jessica our leadership Financial with providing forward. a partnering to with in understands we impressive and Officer as

for full fourth XXXX. year results and reported we morning, This our quarter

results, year guidelines, Jessica oversupply isolate inaction ongoing highlight brands, result Before year on the is difficult of consumer want a I and our several on from sales sector inevitable disappointing a confusion. products, setting FDA CBD full a many the delta of the QX call to XXXX commentary and points. with turning and too marketplace regulatory as for to for continuing the

velocities. year and Google shelf We and a declined for incremental organic to relatively result, share Revenues million contract it a Certainly, we market spur for market year-over-year. our our leading flat was CBD. $XX CBD, leading Web. over to retailers distribution As space consumer share see tough search for promotions began retained price position position and retail Charlotte's pull --

metrics, which category. strength brand leadership market our and of state e-commerce the competitive position our across key underscores maintained the overall we the However, all and of retail,

E-commerce channel in QX XX% operate XXXX. the $XX.X continued the million were Revenues of due XX.X% competitive CBD of traffic $X largest higher to revenue and Charlotte's e-commerce down $XX Web market. CBD discounting. with to billion frequency about in and of of depth only or price lower promotions million represents and business in

into subscriptions of However, shows ecosystem. we the our strong rates year the a more XX% X%, increased funnel filling conversion by from ago by which on top at have opportunity were focusing bringing and the consumers brand

year, the about revenues. represented XX% full of our subscribers For e-commerce

in remains #X new revenues around and e-commerce Our channels. turning challenge our social bringing consumers into

our paid earned earned media initiatives returns have where we comes we of $XX back throughout and traffic the for announcement in. XX, on about of is media, quarter, partnership the the increases. this While saw MLB million on better and October On

We consumers other buying Certified new also Sport buying products our charlottesweb.com. Edge NSF saw on also Daily for CBD product,

compete about represent market annually. where the Retail we or channels, billion in, XX% of $X.X about CBD

despite retail in decline year-over-year in for million $X revenues and million a $X.X to We $XX full the year. QX continue lead million in to

channels in Our were total food XX%. retail mass to category the sales down XX% these was while year-over-year, drug down

we respectively, unit the XX% and market one As XX% value and a number volume, position. result, held share retail in

Distribution the QX of declines. down down was year-over-year, category were losses while and XX%. In revenue promotions our the were sales principal natural the drivers year-over-year price XX% channel,

gained we in points X a As result, distribution.

ecosystem, baseball full with purchasers rates we're AOV repeat broad-spectrum and NSF all year later activations Returning month, CW a products, jewel the their loyal driving in across stay XXXX the this that Once e-commerce in becoming fans, funnel. journey With lifetime subscribers strong values. MLB's this ultimately the meaningful the conversion, and encouraged MLB season levers beginning are our a new or million event top and XXX growing later partnership. us our combination of platform so are in consumers to of they

Z time millennial growth season, to the vision. NSF in launch targeted to MLB strategic Brand Gen with announcing launch market, perfect April brand launching fall. this with to be one the verticals our of further the logo amplifier retail coincide product coming and to This the e-commerce to of on consumers start weeks, of a soft products cultural lifestyle in business the including decision our valuable bring MLB, In this the brand will with a backed by e-commerce on larger on drive products platform iconic certified MLB we'll is for and packaging.

progress We'll a our provide opening a with this call. our next XXXX lot earnings up wrap-up Jared more during Jessica provide I'll the as remarks, more call and in color before questions. analysts will on their close and for we to into 'XX color

financial and me to over turn Jessica? Before call I of full a for highlights. let year Jessica the review do our that, QX

Jessica Saxton

Thank Jacques. you,

acumen in as joined recently sustainability from gained Web Ingredients, CFO. with by in Jacques his the of opening organizations, world-class Anheuser-Busch, venture and As my financial at experience company Evergreen expertise global by with entrepreneurship I've remarks, experience I This, valuable their a noted blend provides market the owned me where nitty-gritty Charlotte's aspects conjunction set leader. with unique successful several skill innovative the an of to

to products. needs. believer Web industry, am leader and contribute market ongoing thrilled authentic of bring consumer their advocacy commitment to as to CBD came importantly, to my the delivering Charlotte's a forwarding most experience I strong I and and user its to

to Web decision CBD to Charlotte's certainly my the influence mission. While a has by my a had strong also company's well-being, driven was professional join beneficial personal on connection and

health optimistic. IP Web the sustainable our Ultimately, company the creating which be role that of in It that in safety the adheres way is the are a recognition, and as I I to can part prioritizing loyalty. believe play Charlotte's have terms leading. solutions include but and capabilities. are Corp someone will transform certifications data our But that of I is towards with best aware our the it positioned we a to am industry of an business. in am strong wellbeing obstacles understand Along B sustainability market principles, in significant of and do also clear finance, health passion strongly the CBD I and faces, I and honor planet. terms planet's the quality, brand this, is we intertwined. that trust of

a take would to QX. you of impacted high-level results, review I financial four review the items through that Before key accounting like I

it pending hemp inventory requirements. long-term Jared the this. biomass that fourth will Colorado, labeling Firstly, and in detail speak in determined specifications the in changes meet product quarter, life certain regulatory of due not about would useful to was more

Inventory over overall. modest An and of provisions reported $XX.X million the of to has $XX.X on fourth which in biomass taking for time. margin for the in our year degradation of biomass resulted gross inventory year. analysis reduced noncash expensed cost for goods sold, are the Hemp a QX total quarter hand million and profit our provision a of in

However, is this noncash a item.

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inventory again, noncash affect are do Both the provisions, fair value change that not our and position. items cash

promotional in expense. MLB agreement, $XXX,XXX XXXX, $X the the connection as partnership. million with paid the company to as in rights In well Moving QX recognized

a sport share substantial strategic than certified a It discussed on product; more only As revenue MLB a where we deal. have previously, of shareholder they NSF not the deal are right however, is is for also this a has company. the

price resulted million at This for a the providing Regarding $XX fourth improving access extraordinarily a sheet, the assets fourth transaction our proceeds at is and a believe This liquidity. $XX.X sheet. in XXXX. in value net significant our BAT. end of great from at company X-year a The time this item corresponding balance balance convertible limited. for and was We a liquidity the the payable debenture million shareholders, capital with approximately strengthened quarter of media license significantly the when investment generated

to revenue. turning Now

BXB earlier, XX.X% revenue million, fourth comparative the result both discussed Jacques our lower sales. QX to net compared of QX XXXX. in is The reporting of with and $XX.X million quarter XXXX, lapping in revenue down BXC $XX.X stronger was businesses a As

AR pass [ California, during in comparative ] XX year-over-year amplifying Bill shipments resulted the in period, of decline. Following materially larger the which the

the profit. $XX.X gross a negative million Moving fourth of to quarter profit our inventory resulted in fourth provision million. $XX.X quarter gross The in of

revenue. of million XX.X% gross better profit For excluding provision, transparency, $XX inventory approximately was or the

the Looking continue in the gross forward, being period. on mix channel expect product margins both and depending and we within mid-XXs to

gross previously XXXX, margin was mentioned margin inventory Gross Furthermore, the margin in gross due to of full provision which XXXX XX% inventory of provision. compares before provisions. before the XX.X% a to year we reported XX%,

This recognized XXXX. SG&A. receivable for SG&A $X.X of XXXX XX million credit Total on cash balance a the in were was $XX.X that, for million from operating deliver months. million, business $XX.X expenses sheet. our million Turning critical XX.X% in to in rightsizing significantly manageable going year-over-year The full to Notably, pandemic-related of able XXXX, employee $XX.X substantial our is excludes retention in now decrease XXXX. in reduces and SG&A cash a to reductions burn we to a was reduction With level forward. material the

in set. the among business financial in the of XX.X% SG&A the the million of or expenses and with were is our $XX.X forward, this Combined end lower a year-over-year. position solid at this unique moving fourth put the $XX year, believe position competitive quarter our we cash bulk million has

net quarter last compares in $XXX.X per value in fourth per provisions the inventory market or with million million $X.X of goodwill, assets. year, changes. long-lived share to and provisions, of or $X.XX related inventory plus This $XX.X a included $XX.X loss loss million million from to being the loss $XXX.X loss loss quarter impairments fair which other loss Net was fourth $X.XX million share

result despite a excluding of year SG&A of basis, a and by million noncash On lower better For resulting year-over-year revenue. smaller of $XX.X adjusted in full a year operations, improved This amortization was last adjusted reductions. million, million. was QX versus negative EBITDA and adjusted XXXX, QX $X.X million primarily from depreciation improvement for loss EBITDA other negative of items, $X.X transparency extraordinary EBITDA a and $X.X

payments. of used full revenues $XX.X cash million operations in year The prudent $XX.X XXXX result As versus tax reduced million cultivation management decrease net in and expenses was for of $X.X operating offset of in and IRS a lower by for in XXXX. refunds result collection million is a partially the expense the XXXX,

Cash XXXX at the $XX.X XXXX. was million to at million the of end $XX compared of end

now will capital over Additionally, XXXX the our working turn I Stanley. at COO, of and close stood at Jared million. to call the $XX.X Co-Founder

Jared Stanley

formulations with to to strategic Thank make brands alliance into I'd Canada. In Jessica. to Tilray, you, update Prior a announced on products brief going regulatory, QX, available we give our like Charlotte's licensing and in Canada. a Web

QX follow. with We in capsules, are progressing on gummies these topicals, launching to and plans tincture's

All strategy products as on on X-year the over To just shift of a one is Charlotte's for term. XX. value path to Web progress. FDA asset-light subject basis of example payable to our perspective I providing revenue made to January and would to international some one This are come the we by royalties More to begin on like unlocking recent IP. regulatory, by position our

U.S. We CBD. call recent Drug support hemp-derived for and to Food Administration's the Congress regulate

the Over the years change. congressional indicate under Statements works provided regulatory absent past not X purview. unlikely investigation, legislation, a is that situation that has the of to FDA FDA from its the framework

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Morgan engagement. understand industry Congress that we to compiled representatives Griffith address peers last bill afterwards, H.R.XXXX the requested extract Congress with made concerns. by bills, week, addresses designated and Our with under has these The hemp and Stabilization Charlotte's regulatory And data regulate industry our leadership bipartisan and and Web Consumer have and concerns the products Protection Hemp Market DC safety Shortly XXXX. dietary the to supplement this and in Andy data toxicology of just introduced Act shared two Derives was framework. Craig, starts FDA.

CBD designated food and would H.R.XXXX, Act regulations a And Product as the secondly, beverage of CBD for additive. Safety establish which and XXXX Standardization

regulatory regulatory framework can compliance that effective safety, confidence hemp-derived CBD consumer establish quality foundation and, to create oversight CBD ensures Such a We are with companies. product moving for ultimately, ensure availability. for safe sensible a and for products

been regulation necessary attention address in We actively Washington, only engaged not are focusing to our but D.C., to THC. state-by-state also Delta-X have

Our general recommendation this sat Delta-X. year. address mover first a we home to Force state by In late the establish of make the XXXX, the Colorado issue January Colorado Task was to to assembly of on X a

preserves a led was CBD the strong hemp addresses voice but Colorado the as of access highly Our to consumers industry bill current full-spectrum products. for as the we favorable therapeutic cannabinoids, outcome draft intoxicating

and order to regulated XXXX requirements, set Colorado an substantial future not supply for with was by transparency Web pending bill labeling a the our THC produced Additionally, requirements. yet THC labeling a establish of that biomass biomass set labeling products category get in to have maintain Charlotte's come, degradation. state shelf we creating to consistency consumers specification The hasn't will that biomass ahead comply will life In of aging on to created ensure that preparation state meet due regulations. inventory in in anticipated FDA will future specifications to

our requirements triggering portion to labeling decision significant the event down behind write are These of biomass. our a

a hopeful hemp in specification holds nation, become and in is company the and will and sales. for we model state However, to satisfy extract regulations. leader a enough future rules Colorado both cannabis for biomass the future home are state and our

Officer, development, Scientific the He us over to our and His of our to recently leading Bonn-Miller. scientific research. support clinical regulatory Chief also more with scientific appointment regulatory new in decades goals is we of hemp experience FDA a with for CBD excellence X support the cannabinoid product specifically, regulatory Marcel as We announced key science supporting interfacing research, innovate. comes Marcel to pathway extracts. is teams and

iceberg. the bring pipeline of market the Certified half the NSF accelerate as XXXX. Edge was tip excited in regulatory and Daily to the growth back are the for an And we lead to Sport tincture navigate and The landscape, we innovation of XXXX

connected consumer more MLB We the in over in every educate We spring at presented pivotal played trainers The decision-makers XX winter and to of broad-spectrum this. a decision. training meetings with are strategically has than on teams December with role the at partnership and heart innovating MLB CBD.

imagine NSF-certified premier our to for lympho sleep, If what athletes the products clarity, recovery, do consumer. everyday they can faster support energy can and

Our pipeline strategy, to MLB and grow innovation core primary partnership business. are the our

is third of I'd driving regulatory leg a wellness. the additional in for But botanical strategy, Congress our our landscape leg provide second D.C. of color like strategy, to engagement land to with CBD when Our the to

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regulatory FDA-approved The drug. $X with a science at into IND $X seek shareholders risk-mitigated be create by company leveraging can approximately partnership partnering billion on IND an and CBD is value upside IP strengths. botanical date. to only a licensed to from Our and to, an today and estimated CBD clinical By core path, the provide the of we clinical inception IP a navigate billion our trials created drug leveraging the to unlocking Epidiolex, market team ultimately, since biotech our

We with to on are call we as forward Jacques. now hand unfolds. updating I'll this speed strategy, look deeper and this the back to leg progressing

Jacques Tortoroli

From Jared. the end, our continue X-pillar our we'll what movements, growth, state could to learned another ready control Thanks, strategy executing that in of cautious what we're do D.C., federal going botanical wellness. focus when for can by returning about land. in XXXX, to to value be in winning considering regulations XXXX, and be outlook on of still but we and on unlocking IP To year we we ambiguity of be

e-commerce, significantly of complexity, intend to and manufacturing product leadership base quality sports operations, efficiency company these by across a We the added lowering course, operating we and in sales, offerings business reset Jessica. improvements. new team maintain cost personnel functions the rightsizing and costs, science, We XXXX, in key marketing, and

program and industry the groundbreaking a called our we distributor Daily struck -- will Hotels October, wellness via including MLB sports new new the Edge. top product contributors strategic employer verticals, in NSF-certified over as to time. Las such customers broad-spectrum partnerships more partnerships, in new employee only with Vegas. These first-ever Wynn CBD for become meaningful entered We In line partnership

the also executing and its company, and million excited and underway MLB mental leagues' in wellness XXX events in as unlocks meaningful supporting while new became jewel partnership and commitment for to fans. the us, relevant players We're a our overall getting for shareholder its enormous for well. reach across season about audience

manufacturing we first partnered market the November, Jared kind international asset-light penetration. license Canada, and Charlotte's of in in It's a is for As model international its to partner. for agreement Web and of brands, Charlotte's trusted property products with a this the Tilray intellectual our for mentioned of Web to our distribution good example formulations

In strategy. to limited access liquidity invest win off attractively right cash with debt choicefully consistent Capital from within million competitive priced advantage. the form The growth November, liquidity the only instrument. an become of the our we the and in the enormous with December, initiatives on strategic tables see this we sheet in $XX an have balance to has category, in investment as took our very concerns the VAT and convertible we at reinforcing

took a look at hard and brands, pipeline. formats our we Finally, our consumer products, existing innovation

research consumer segmentations. into deep We pricing drove at land looked the did competitive scapes. consumer and We

certification partnership our innovation with to with the our years. MLB are We up pipeline prepared a XXXX. NFS coming sets over of this leverage All unique and

positions. build the We leadership win and right to our have

evidence partnerships BAT distributors, clearly MLB with that. and XXXX Our new

we're the landscape, engaged. While we regulatory respected is have we that a control and can't voice

and for our it on liquidity our strategy of and IP, sets execute broad long unique category formulations, full the us top that today facility, people, path game. and the the brands, to state-of-the-art the the all and seed-to-shelf put clearly supply science chain quality, spectrum Our

wellness the to new That's thinking seeing to access let's a When persistence, these business to floor we wellness and worldwide. stay walk don't. and combination XXXX. takes legacy. category despite the regulatory We're questions. consumer you're the we at forward unwavering That's serve to strategic everything the breaking of heart path natural on a ground new and That's do it top our and to CBD open health the and seekers entirely tenacity through obstacles. With natural that, category, on this hurdles, expanding ensuring by consumer of putting committed our

Operator

[Operator comes Canaccord question Instructions] first Your Derek Genuity. from Dley from

Derek Dley

questions few a Just here.

that terms there should structure, 'XX? effective forward? you in it of that in had $XX the one mainly Or be more of at on rate to rightsizing SG&A, cost we million So an going relates OpEx that that the in XXXX, -- the run is optimization rate use the to of as is

Jessica Saxton

XXXX. No. That is our expected run rate into going

Derek Dley

then cash given need base given what And be neutral the become mid-XXs would margin flow Okay. neutral? and to would EBITDA revenue that the guidance, or you that gross

Jacques Tortoroli

we commitment made while savings Derek, invest within Thanks to not is, behind the is growth the at revenue is to business. way choicefully it's the to do. to Predicting across are something to fit year, year our Jacques. mentioned, that the do, support going we've and time, activations existing though, e-commerce as last to the innovation, What maintained, Jessica that try our return for run that and the year of continue question. right seen we're same we last funnel going ensure this spend that paid our are rate MLB top to across initiatives media strategy in that right the

that the the in focused top SG&A run than better burn really amplify we're on last to cash year. it rate within minimizing on place line focused choicefully ability investing but was So get a we're the to of amount be to

Derek Dley

Okay.

a just should we versus -- again, of mix mix the is forward, going terms had, in Given call business-to-business, the X/X it DXC direct-to-consumer? that, guys actually, use sort that you

Jacques Tortoroli

again. Yes, Derek, Jacques

mean, twice think look in size size I the the I it's of that's the at category, we categories retail fair. play of the in. e-commerce Look,

of the channels of percentage those both being and I we constant term. leader the think stay relatively position, opportunity, market and given that of the e-comm obviously, the BXB within short a our but expect ratio market. relatively I in have still small in would

Derek Dley

just And Okay. right? me, remind is e-com higher margin,

Jacques Tortoroli

the mentioned. that's say to guidance also mix of that an was Yes. margin to And and I element going Jessica the

in in is margin better e-commerce than margin the the retail. clearly, So

Derek Dley

for and last then one Okay, me.

in to -- which of you've just of access small spoken given the presumably, on in terms really high the it fragmentation I in terms given brands, past to of competition, comment Just know your but to it channel? the go seen across Is mostly it end? have viewing that? stabilization are away, in value you capital starting you the any pricing? entire are on Is How

Jacques Tortoroli

promotional sure of it's say I that, think mean what stabilization we which, and at Yes. And of pricing. MSRP which the continues. example, mean was look the value interesting average the the by it's I'd down to the to versus pricing I at shift is But for industry's not depth both continue Look, retail I'm channels, natural average right? I to see channel, retail price, in frequency the pricing, slightly. price

While and was in mass channel, XX% down in it XXXX. drug the food,

consumer is the reality pricing the for of equity these other brand is there lot only lever they to and shelf. a have isn't don't move mean have Charlotte's off to that the brands I they try and product has, because Web the pull reduce

with MLB of economics following. a our Charlotte's price with its retailer price better us point competition rather and the point-of-purchase to for sale That's point activate the the of key advantage premium super and relative activations to relative the now store. in position a perspective, partnership, Web ability from And in than maintaining around

Operator

Your ROTH Instructions] Fortune from Scott MKM. next [Operator comes question from

Scott Fortune

on of to kind more the broader the Can But a forward on just now strategic wellness back you've that platform. initiatives to I provide botanical chance BAT a the a now had color with with get BAT? -- want agreement. little work Looking bit moving sense obviously, there and little congrats you infusion with BAT on, a capital

Jacques Tortoroli

what commitment, his remarks, color invested in a obviously, November. the We BAT, partner obviously, Scott. debt strategic of than Look, the much in, to in company don't through that have and convertible is mentioned they more a add Jared instrument

we'll it leave So there.

Scott Fortune

step do Okay. lot And feet distribution of initiatives that primarily is still MLB a a where more flow these you have and activations of to agreements prominent and you top kind the that you've to you to second street, the through DXC and job stores of these or get growth standpoint? looking of in line. to you the kind positioning through the know mid as start more Just a kind on kind put kind done adding good the the that said, side obviously, market. and of initiatives when I a then half some in just from at you expect for in initiatives The now that are of place on focused online, Are timing follow-up. us that challenging of of all place? new and help

Jacques Tortoroli

we're ability will us. those in say Yes, to are and questions of over over position I as our we series XXXX providing great to and increase going year. partnerships, It year. as how we Ultimately, the time, again, there. the happening retail. other for up the that revenue the Jessica What that Look, provide mentioned, they course in show and we new industry through be the guidance and will effectuate continue of year, new that market retail and vertical not will, partnerships struck is conversations go that coverages the

a We've Hotel QX, them partnership our presence Vegas. expansion example. Encore And with topicals and in their We that by Encore Group Wynn kicked to did with talked I'll give and you leading increasing one an new we in in in beyond. Las success industry QX off the is Wynn verticals. and selling in stores about our and

that as our as about again, some verticals well. ability of and excited penetrate with we're evidence, so new of distribution these directly new partners And to

by that's MLB otherwise earned. us, strong. rates, people the from my mentioned both amount their into to reach do again, keep about of our where, to on bringing bring them, AOVs funnel can and And subscribers really paid comes we we for journey amplifying people awareness purchase because repeat the about all remarks, terms ecosystem to know and in top purchasing growing And DXC, conversion our I more go into and the and are our marketing In it's brand loyalty the as it's And our when own, in through we to that of of so world. just right? of we and they our very sort that

And so partnership. and the commitment the we're did MLB. we support the about about collaboration excited the We're the and reasons excited of

about into plays to into the out particularly ultimately. And the the we consumers. brand, a the how well But and received, lifestyle get World their excited our activate and the so new -- should the year Playoffs ability ability have fall back be with of and this a as into we're half around in seeing year that Series, to their believe, we jewel key marketplace events, brand by with

Scott Fortune

last detail, for then Jacques. color a year. I probably And the appreciate me, for one the on

there. out touch act to us base, momentum are Can now. nice them with Obviously, step and bill. for measures to it's through The pressure congressional like more to see seems in Congress a forward. the Delta-X leading move forward. the you Just push kind lobbying lot the of new the 'XX to needs THC legislators and CBD just to that of towards THC willing farm It starting

farm the You didn't they CBD opportunity the kind some mention bill. the industry shortcomings up of really that as the the that, but with think of kind of bill open farm you of address can priorities for the XXXX

bill see in of kind going of kind bit Just forward addressing on a the color you what here? little farm of on

Jared Stanley

obviously, made mill which H.R.XXXX, the of is also when not with co-author which staff. is safety are in food studies. has tox first, beverage and had the was requested it's now that H.R.XXX, bill. most optimistic stuff as Sure. it Congress -- and what And H.R.XXXX, Griffith's say the reintroduced dietary we've supplement -- We've this way. want our the but the is farm the position, in to is I has This Griffith's the that first and was bill, their only we the staff behind Scott, engagement FDA been been

of been will What's engagement FDA to commerce is us committee. staff Griffith's this on in that really has agricultural clear energy confirmed to the be kind that and jurisdiction regulation not

order why in to support farm XXXX So really focused but on to hemp, and you the is committee. the a definitions the is the on this is same out, CBD bill bill and through didn't when zoom in farm this it's bill and regulate that the and reason the only way, a There made rules energy goes the of way the the commerce house category. go

seeing end is the farm avenues not house committee to bill, in What health supplement both a bill. as But is So and farm year the it's we're it either all case, bills, that's or to to conference regardless, floor all dropped. any be going trying Senate, likely then options. the could the bill. a could actually looking spending path of into possibly and chambers' legislation it in the we're if added side bill But and it's then and another at not of push be dietary the or more energy commerce and attaching either

Operator

Instructions] [Operator closing back the from turn further to And for have over call Cory will questions our we I analysts. no remarks.

Cory Pala

listen call Well, the everyone, taking to you, in for time the following our quarter will today, thank mid-May XXXX. thank Julie, results to publishing we to you of you, again our and forward earnings look speaking and first to of

Operator

thank that We today. conference you the disconnect concludes this gentlemen, may your for and Ladies you. call joining ask Thank you. and for lines. you Thank

Charlotte's Web (CWBHF) 23 Mar 232022 Q4 Earnings call transcript