Vireo Growth Inc · CSE:VREO
Vireo Growth — Goodness Growth Holdings — Q4 2022 Earnings Presentation
16 slides from Vireo Growth's earnings presentation, Apr 3, 2023
Slide 1: 4Q22 Results & Overview
4Q22 Results & Overview April 3, 2023 CSE: GDNS OTCQX: GDNSF
Slide 2: Forward Looking Statement Disclaimer
Forward Looking Statement Disclaimer CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION: This presentation includes information, statements, beliefs, and opinions which are forward-looking, and which reflect current estimates, expectations, and projections about future events, referred to herein
Slide 3: Management Update: Restructuring to Prioritize Operational Excellence
Management Update Restructuring to Prioritize Operational Excellence Josh Rosen Amber Shimpa Interim Chief Executive Officer President, CEO of Vireo Health of Minnesota • Transitioned from Interim President in December 2022; Board • Proven organizational leader promoted in February 2023 member since
Slide 4: Priorities → Year of CREAM & Fire
Priorities → Year of CREAM & Fire 2023 is a transformation year in which our teams are focused on driving improvements in financial and operating performance FINANCIAL OPERATIONAL • CREAM (Cash Rules Everything Around Me) → Focus • Passion for producing and selling fire product on building a valuabl
Slide 5: Vertically-Integrated Active Operations
Asset Portfolio Overview Regulatory approvals for adult-use in Maryland and New York likely beginning in 2023; adult-use legislation expected to pass in Minnesota in 2023 Operating Infrastructure Regulatory Framework Minnesota • 8 operational dispensaries out of 14 state-wide Vertically-Integrated A
Slide 6: Core Market Key Performance Indicators (KPIs)
Core Market Key Performance Indicators (KPIs) Recently formed “Weed Hustle Office” comprised of our state leaders and third-party partners satisfies COO responsibilities and is focused on driving improvements in several core market key performance indicators 4Q21 1Q22 2Q22 3Q22 4Q22 Inventory Turns
Slide 7: Core Market Revenue Performance
Core Market Revenue Performance1 Q4 Sequential Q4 YoY Full Year Performance 4Q22 3Q22 %∆ 4Q22 4Q21 %∆ FY22 FY21 %∆ Total Retail: $ 15,230,064 14,668,209 4 % $ 15,230,064 9,853,970 55 % $ 56,082,510 36,537,913 53 % Minnesota 10,622,384 10,252,523 4 % 10,622,384 5,668,492 87 % 37,461,646 21,795,356 72
Slide 8: Core Market Updates
Core Market Updates MINNESOTA NEW YORK MARYLAND Baltimore Moorhead Albany Frederick Massey Hermantown / Duluth Johnstown Minneapolis, Bloomington, Hurlock Otsego 5 Blaine, Burnsville, Woodbury Binghamton White Plains Rochester Home Delivery Queens • Performance in 2022 was driven by expansion of med
Slide 9: Upcoming Events
Upcoming Events We continue to work within our local communities to help right the wrongs of cannabis prohibition. Our expungement clinics and other programming initiatives will continue this Spring. 9
Slide 10: CREAM & Fire In Action
CREAM & Fire In Action We have had a productive start to 2023 and we expect to start seeing positive impacts of the CREAM & Fire strategy in our results as we move through 2023 into 2024 Before CREAM & Fire How We Operate Today • Siloed corporate team driving state-level decision- • Decentralized co
Slide 11: Summary Financials
Summary Financials We delivered record revenue in fiscal year 2022 with significantly improved gross margin performance following the recent wind down of operations in Arizona Summary of Key Financial Metrics Three Months Ended Year Ended US $ in millions December 31, December 31, 2022 2021 Variance
Slide 12: Balance Sheet & Liquidity Update
Balance Sheet & Liquidity Update We remain pleased with the partnership approach from our senior secured lender and have gained additional financial flexibility by amending our credit facility December 31, 2022 December 31, 2021 • Verano's decision to wrongfully terminate our transaction put us in a
Slide 13: Summary of Debt Outstanding as of March 31, 2023
Summary of Debt Outstanding as of March 31, 2023* Principal Amount Maturity Dates Notes ● Prime + 10.375% paid monthly in cash ● 2.75% PIK Green Ivy Credit Facility $60,464,628 30-Apr-24 ● $4.3M related to Baltimore dispensary acqusition due November 2024 ● Potential to extend maturity to 1/31/26 th
Slide 14: Capitalization Table as of March 31, 2023
Capitalization Table as of March 31, 2023* Goodness Growth Holdings Capitalization Table Treasury Method Fully-Diluted Shares Outstanding (as converted) 146,348,007 Stock Price @ 3/31/23 US $0.12 Market Cap ($ USD) $17.6M Preliminary Cash Balance as of 3/31/23 $9.9M Preliminary Net Debt as of 3/31/2
Slide 15: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation Three Months Ended Year Ended December 31, December 31, 2022 2021 2022 2021 Net income (loss) $ (13,283,798) $ (12,930,960) $ (42,457,444) $ (33,690,475) Interest expense, net 7,120,667 4,538,313 22,593,552 10,575,370 Income taxes 5,948,000 1,152,000 5,893,000 4,122,00
Slide 16: Contact Information
Contact Information Sam Gibbons O: 612-314-8995 E: samgibbons@vireohealth.com CSE: GDNS OTCQX: GDNSF
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