thank you joining morning Good our all today. Thank you, for Lee. and call
organization, an just operational earnings discussed portfolio as weeks on optimizing our focused As asset six quarter ago, we fourth on remain XXXX our and call intensely we structure.
our of and that We've and are year. prioritized those We we eliminating are cost generation, management moving that towards driving flow value business later this are we anticipate areas into leaning don't. positive cash which the rigorous
we In despite of our of pressures beginning members markets. achieved approximately and of we growth by revenue attached X% ongoing of factors, pressure rewards XQ is pricing a dispensaries on quarter, call, quarter. amortize a of accrued loyalty Cash in top year-over-year, at seasonality impacted our sequential first three the our a line along our top positive line in the closure and discussed wallets Need the last to during These in decrease to the certain and the revenue earnings Stash expected consumers' with resulted basis, X%. portion the program on
through the Our to adjusted of EBITDA due assets the the reflected margin flow core accounting offset first absorption in XQ. rationalization reduction the quarter reallocation This we executed decline margin from at of in the during measures the gross gross partially XQ beginning of occurred the cultivation upon that the quarter. of end was margin cost the at in second-half by anticipated that
to in $XX our year. mentioned generate annual of in a end million the changes cost quarter's to benefit in we to aren't of implementation these full the especially second in cultivation quarter. announced this expected operating costs and of show As January overhead significantly savings last for timing rationalization, to reductions expect reduction Due the until call, we measures our contributing net cash the improved flow
and footage to we more our and efficiently, such sale discussed -- certain focus to payments allocation was fixed last rightsize cash canopy flow over Our from trade-offs costs an headcount costs does anticipated operating operations call. leaseback utilize our come of on as with during saw some reduce COGS. square This
However, expect country house we across our of as possible. behind begin utilization we to cultivation manufacturing square With plan us, implementing rates. made to on decision as utilize and that back strategies and first to the costing and space footage focus SG&A to effectively our the improve absorption
taking that in Concurrently -- brands on our locations our invest hold, David we to will and fresh more key are to concurrent with and have markets profitable expect seeing with made with and as growing are mature sharing markets to markets we suffice operational Ohio significant we that form progress areas factors the and we of continue be in patients. and customers such markets a that genetics green fastest Colorado. in improvements making where it moment to Pennsylvania, our very well color initiative continue are pleased say, you and California driving shoots most the as in new growth in like differentiated adjustments bring meaningful to we and the we as are more
of dispensary all in portfolio market have as Finally, and potential such New we County, George's very specific submarkets our development Maryland Maryland. optimize growth Jersey Virginia, programs have attractive which Prince in significant very to
the in ample capacity XXXX and are finally prime New York, and extremely very second-half Maryland adult in of one the where retail world cultivation locations. we are excited well markets about positioned use largest the July, of launch in Lastly, in the of we with and cannabis Delaware
of targeted we divestitures, improvements and $XX extending the discuss continuously further and optimizing and momentum fundamentals as reprioritization of measures, divesting measures liquidity the evaluating non-core such business unprofitable business, profile improved resources, ongoing financial manufacturing which to position. With and asset liquidity recent senior non-core of appropriate a cost May XXXX, maturity of current cultivation company in in environment. operational to Derek million improving notes includes will reduction the the the secured actions and of our our more through momentarily, delever to commitment As continuing the assets the we have than our
and back firmly believe stand two where assessing Stepping we I today, things.
best in markets growth in and strategic the we thanks positioned momentum asset exceptionally the with well U.S., our to First, are base. continued footprint
potential, sustainable right and the best-in-class strong with limited have advantages and needs for capital we positioning market conditions. current differentiated Second,
poised are flow for to unfolds. generate year free the We expanding margins cash as
the progress the with we have We that quarters. the additional pleased forward We to first progress look coming achieved in are over meaningful quarter.
We potential with our continue to horizon. markets the organization in our catalysts known in see embedded on
to positioned an measures take maturity from are and Our the now and advantage extent portfolios retail maturities. the profile operations, burden liquidity ready growth taken areas of first well reduced as underperforming to cultivation to near-term opportunities thanks as ahead, well with during quarter the the improved
the the to approvals closing regulatory obtain transaction, Turning to transactions collaborate Labs required the Care that agreement. continues divestiture to Cresco the conditions of Cresco of on Columbia Labs with are
limited questions our have today on forward efforts, the to Q&A. best updates the to transactions answering we your relating of divestitures, provide for timing to during look from outstanding and execution Aside agreements
With the over Derek that, Derek? call our turn now I review results financial to detail. more to and in will outlook
