Good afternoon. Welcome to cbdMD's third quarter fiscal 2025 results conference call. This afternoon, the company issued a press release that provided an overview of its third quarter results, which followed the filings of its quarterly report on Form 10-Q. Today's conference call is being recorded and will be available online, along with our earnings press release covering our financial results and non-GAAP presentation at cbdmd.com in accordance with cbdMD's retention policies. All participants on this call will be in a listen-only mode. The call will be followed by a question-and-answer session. At this time, I would now like to turn the conference over to Brad Whitford, the company's Chief Accounting Officer. Brad, please go ahead. Thank you, Ranju. Thank you all for joining cbdMD's June 30th, 2025, third quarter fiscal 2025 earnings call and update. On the call today, we also have Ronan Kennedy, our CEO and Chief Financial Officer. We'd like to remind everyone that various remarks about future expectations, plans, and prospects constitute forward-looking statements for purposes of safe harbor provisions under the Private Securities Litigation Reform Act of 1995. cbdMD cautions that these forward-looking statements are subject to risks and uncertainties that may cause our actual results to differ materially from those indicated, including risks described in the company's annual report on Form 10-K for the year ended September 30, 2024, and our other filings with the SEC, all of which can be reviewed on the company's website at www.cbdmd.com or on the SEC's website at www.sec.gov. Any forward-looking statements made on this conference call speak only as of today's date, Thursday, August 14, 2025, and cbdMD does not intend to update any of these forward-looking statements to reflect events or circumstances that would occur after today's date, except as they may be required by federal securities laws. With that, I'd like to turn the call over to Ronan. Good afternoon, everyone, and thank you for joining today. This quarter was a mix of continued transformation, important progress, and some short-term challenges that we were addressing head-on. While our financial results didn't meet our own standards, the actions we've taken over the past several months are already showing encouraging signs that our trajectory is improving. The big picture is this: we spent the past year making structural changes to reverse a multi-year revenue decline, streamline operations, and strengthen our capital structure. Those efforts have positioned us with a healthier balance sheet, meaning a more agile organization and more focused growth strategy. Our third quarter is about putting those changes in motion, rebuilding our marketing execution, expanding our OASIS Social Tonic distribution, and navigating an unusually active regulatory environment that affected parts of our wholesale business. On the operational front, our OASIS Social Tonic brand continues to be the focus of our growth strategy. Since the end of Q3, we added Tennessee and Minnesota to our distribution footprint, bringing distribution up to seven states, with several others in the pipeline. These are high-potential markets with consumer demographics aligned with our target profile for functional alcohol-free social beverages. Shipments to these states are scheduled for August, with in-market availability in September. OASIS Social Tonic is an entry in one of the fast-growing segments of the beverage market. The THC seltzer category is growing rapidly, and we remain encouraged by the feedback we're getting from distributors and consumers. Our direct-to-consumer sales for OASIS Social Tonic began to accelerate in July, helped by a more focused digital marketing approach, stronger influencer partnerships, and optimized e-commerce files. In wholesale, we faced some short-term disruptions from shifting regulations in certain states, which caused hesitation or delays in orders from some accounts. We view this as temporary, but it did have an impact on Q3 revenue. In response, our sales teams have been proactively securing new retail commitments, deepening relationships with the most supportive accounts, and adjusting our geographic focus to prioritize states with stable regulatory environments. Across our legacy cbdMD and Paw CBD lines, we continue to optimize our SKU mix, streamline our supply chain, and focus marketing on high-margin, high-velocity products. Our ATX functional mushroom line remains a smaller contributor but has a long-term strategic role as the category matures and provides a platform to diversify into other non-cannabinoid botanicals. Regulatory activity has been unusually high in recent months, both at the state and federal level. In some states, proposed or enacted changes have created confusion in the market, which in turn impacted wholesale order patterns. Rather than be reactive, we've been proactive. cbdMD is actively engaged with industry associations, lobbying directly in key state capitals, and mobilizing our customer base to communicate with lawmakers. Our message is clear: responsible regulation that protects consumers also protects legitimate businesses and supports economic growth. At the national level, we're encouraged by signs of progress on the Farm Bill and by recent statements from the White House regarding cannabis scheduling. If enacted, as expected, these changes could create a clearer, more stable operating environment and expand market opportunities. In the big picture, we believe heightened regulatory scrutiny will benefit well-prepared and regulatory-compliant companies such as cbdMD. We believe brands with deep compliance expertise, robust quality systems, and the ability to adapt quickly will gain share as weaker players exit. This environment could also accelerate industry consolidation, something we see as a potential growth lever for cbdMD, given our clean balance sheet and improved financial flexibility. One of cbdMD's key strengths is our ability to operate across multiple categories: CBD wellness products, pet CBD, functional mushroom supplements, and now hemp-derived THC beverages. This multi-category approach gives us diversified revenue streams and the ability to shift resources toward the highest growth opportunities. Operationally, we believe our gross margins remain among the strongest in our peer group, thanks to disciplined cost control and scalable supply chain and efficient go-to-market strategy. Financially, the elimination of preferred dividend obligations and the simplification of our capital structure means we can focus more attention into growth activities. I'll now turn things over to Brad for an overview on financials. Thanks, Ronan. Total net sales for the third quarter of fiscal 2025 were $4.6 million, representing a 10.9% decrease from the prior year comparative quarter total and a 2% decrease from the second quarter. While this is disappointing, we are pleased to see revenue stabilize quarter- over- quarter. Our quarterly e-commerce direct-to-consumer business was $3.6 million in the third quarter of fiscal 2025, representing a decrease of $0.3 million or 7.7% over the prior year quarter. In the third quarter of 2025, e-commerce represented 78% of our total net sales versus 76% in the prior year comparative quarter. Our wholesale business generated $1 million of net sales for the third quarter of fiscal 2025, down 17.1% as compared to $1.2 million for the comparative quarter in fiscal 2024. State-level regulatory uncertainty impacted our core wholesale business and momentum of our OASIS brand. For the third quarter of 2025, our gross profit remained healthy at 61%, or essentially flat sequentially from the previous quarter. Our SG&A expenses for the third quarter of fiscal 2025 totaled $3.7 million and remained flat versus the prior year comparative quarter. Year- over- year, our marketing expense increased while we were able to reduce payroll and eliminate our headquarters rent. For the nine months ending June 30, 2025, SG&A expenses totaled $10.7 million, down almost $1.9 million year to date. Overall, this resulted in a loss from operations of approximately $905,000 for the third quarter of fiscal 2025, as compared to a loss from operations of $382,000 in the prior year period. After adjustments to the fair value of the promissory notes and interest expense, net loss for the third quarter of 2025 totaled $895,000 as compared to income of $459,000 in the prior year period. Year to date, we've cut our net loss almost in half, down from $3.5 million loss in fiscal 2024 to $1.3 million in 2025. Our non-GAAP adjustments to operating expenses for the third quarter of fiscal 2025 include $1,000 in non-cash employee stock expense and $280,000 in depreciation and amortization expense, resulting in a non-GAAP adjusted EBITDA loss of $624,000 for the third quarter of fiscal 2025, as compared to an $84,000 non-GAAP adjusted EBITDA loss in the third quarter of fiscal 2024. We had cash and cash equivalents of approximately $1.1 million and working capital of approximately $2 million on June 30, 2025, as compared to $2.4 million in cash and a working capital deficit of approximately $2.2 million on September 30, 2024. The main factor contributing to the improvement in our net working capital is the elimination of the accrued preferred dividend obligations that were a short-term liability on our balance sheet. We invested an additional $300,000 in inventory during the quarter, as we continue to bolster a few key SKUs and continue to prepare to roll out OASIS Social Tonic inventory to distributors in the fourth quarter, with several new state distribution contracts that are now in place. We continue to focus on improving our working capital and managing our cash carefully. With that, I'll turn the call back over to Ronan. Thank you, Brad. Looking to a calendar of fiscal 2025 and into 2026, our priorities are clear. First, drive sustained direct-to-consumer growth by leveraging our restructured marketing team, refining acquisition strategies, and building brand communities around OASIS Social Tonic and cbdMD. Second, expand wholesale distribution in jurisdictions with favorable regulatory environments, deepening penetration in existing accounts while adding new retail partners. Third, maintain operational discipline to preserve margins and ensure capital efficiency. Finally, evaluating strategic opportunities, including partnerships, acquisitions, or category expansions that can deliver incremental growth and shareholder value. We expect momentum in OASIS Social Tonic to build as distribution matures and customer awareness increases. We also see opportunities to cross-sell OASIS Social Tonic into our existing retail accounts for cbdMD products and vice versa, creating synergies across our portfolio. In closing, this quarter represents a period of heavy lifting in execution against our reset strategy. We're seeing early signs that those efforts are working, especially in OASIS Social Tonic growth and improving customer acquisition at cbdMD. While challenges remain, particularly on the regulatory front, we believe the long-term outlook remains strong. The combination of cleaner capital structure, category-leading brands, and focused execution planning gives us confidence in our ability to deliver improved results in the quarters ahead. I want to thank our employees for their resiliency and dedication, our retail and distribution partners for their continued trust, and our shareholders for their ongoing support as we position cbdMD for sustainable, profitable growth. Now I'm happy to open up the call for questions. Thank you. We will now begin the question-and-answer session. To join the question queue, you may press *1 on your telephone keypad. You will hear a tone acknowledging your request. If you are using a speakerphone, please pick up your handset before pressing any keys. To withdraw your questions, please press *2. We will pause for a moment as callers join the queue. The first question comes from the line of Adam Waldo with Lismore Partners LLC. Please go ahead. Thank you, Brad. Thanks Brad. Thanks for taking my questions. Hi, Adam. I want to start on the strategic side. With the capital structure cleaned up from the preferred stock conversion to common, you offered commentary on last quarter's call about the kinds of strategic activity the Board of Management might find to be attractive going forward. Can you offer any updates today on the board's thinking and strategic activities' progress over the last quarter? We have seen a pretty significant increase in opportunities that we're looking at. We continue to diligence them and look at what opportunities we think have reasonable execution risk and can be accretive for our shareholder base. We are encouraged by the increased volume, but can't really comment at this point about any further discussions that we're having. Fair enough. The profile of the right strategic partners is pretty much unchanged from what you articulated last quarter. Is that fair? That's fair. Okay. Switching gears to the reverse stock split for a minute. Obviously, when you all did the conversion of the preferred to common and got the shareholder vote in support of that, you did a concurrent share reverse split on the common that you hoped would achieve a sustained trading price in the stock above $1. It hasn't materialized. Should we expect in the near term another shareholder proposal on a further reverse stock split of, let's say, four or five or six to one to get us sustainably above that dollar trading price? At this point, we can't comment about any future stock splits, but we're constantly evaluating what we can do to continue to drive interest and share appreciation. Okay. Switching gears on the financial side, can you all provide any more specificity around the drivers of the 500 basis point year-over-year decline in the gross margin in the latest quarter? You had a bit of an uptick, about $200,000 in the SG&A expense in the latest quarter relative to the $3.5 million that had prevailed over the prior three quarters. Any color on that would also be helpful. Thanks. Sure. On the gross margin side of things, I think what you've seen, especially over last year, you did see some absorption losses with lower revenues. We also incurred an increase in our warehousing costs when we resigned the lease extension. We saw an increase in costs that go into our gross margins related to that. In particular this quarter, we did incur some incremental packaging-related expenses as we were dealing with some of the regulation whiplash on state-level requirements that came out as we were trying to react quickly. What I would say is as OASIS Social Tonic continues to grow, you know that does not have the same gross margin percent as our traditional cbdMD business. I would expect some kind of averaging down a little bit as we go. Still expect, as revenue grows, we should be able to get above on the overhead absorption side of things. On the SG&A, we did spend a little bit more on the marketing side as we were rebuilding our marketing team. I think we did have an increase. We had a catch-up in an insurance accrual that did hit this quarter a little bit that impacted our SG&A costs. Okay. Going forward, can you give any sort of guidance range for gross margin over the next couple of quarters as OASIS Social Tonic scales? I know it's a little hard because it's scaling quickly and you're getting a lot of distribution. Should we expect a low 60% kind of gross margin going forward, or might it tick back up a little bit as some of the issues from the last fiscal quarter around regulatory whiplash hopefully would dissipate? I would say for the near term, sort of in the lower half of the 60s, and our goal is constantly to focus on margin improvement opportunities to make sure that we can get back a few margin points to get back to where we've been. Okay, thanks. Best of luck. Thank you. Thank you. Next question comes from the line of Thomas McGovern with Maxim Group. Please go ahead. Hey, guys. Thank you for taking my question. Let's start with the wholesale channel. You mentioned how the shifting state regulations have caused a little bit of uncertainty and maybe a decline in confidence among your partners. I'm just curious how you are adjusting your wholesale strategy moving forward. Ronan, you included that as one of your key drivers or key focus at the end of the call. I just want to know if you could provide any color on how you expect to stabilize that in the back half of the year or maybe target more specific markets where regulation is a little bit more friendly for you. Yeah. Look, Thomas, I think, you know, perfect example, like Georgia came out, they made a change and you have to have an approved Georgia lab. Most of the industry was using labs that weren't necessarily approved at first and created chaos to make sure that everything was tested by an approved lab. They made some label changes. I think there just was this 90-day period where people weren't quite sure and like, was the product, did it have the right testing lab associated with it? Did it have the right updated labels? I think as we're going through this process and getting products back out there, it's spending time with our customers and making sure that our team is on top of the regs. We're reacting quickly to provide them the updates that they need so they're confident that they understand the rules and they're starting to sell through as well. I think, as you know, we track, I think there's 26 states or something like that over the last several months that have had proposed or enacted regulation. I think we're looking at states that I think we're trying to make sure we focus on states where we think the opportunity is big enough, but also making sure that we're staying ahead of rules and regs, talking with the regulators, working with trade groups, so that we're focused on the states that we think we're going to have the highest opportunity to grow our revenue in on a go-forward basis. Understood. I appreciate that insight. Just to tie it up better, as you guys look at this, is this just had 26 states? You gave Georgia as the example. In terms of stability, as we return to maybe a more normal wholesale trajectory, is that something that you see as a second half 2025 event or something that we'll have to wait until 2026 to really see flesh out? Our mission is to grow on a quarterly basis. We hope that that continues to accelerate over time. I guess the further out, I would expect stronger growth. We're focusing every day on building our wholesale business, state by state. Got it. I appreciate that. Moving on to the marketing, you guys discussed the marketing overhaul contributing to that uptick in SG&A. You also mentioned that there were some signs of improvement with your digital marketing team or your digital marketing strategy, rather, in your marketing team. Just curious if you could elaborate a little bit more on maybe some key KPIs you guys are looking at or any consumer behavior trends that you guys have identified that will kind of support your confidence in your revised marketing team and strategy? Sure. I think, look, we spent a lot of time since we added our new leadership in March. We've sort of changed out certain parties. We've really looked at our customer journey, our pages, our copies, our videos, everything sort of from the bottoms up. I think what we've been able to find is since July, we've seen a reduction in our CAC for our consumer, and we're acquiring more new customers for less spend than we were during the third fiscal quarter. I think it's showing promising signs. We've got to be careful to do it in a smart way and not put gas on the fire too quickly because I think it has the risk of being inefficient. I think we're very cautiously approaching this. I think we're very encouraged with the level of detail and how our team is managing the numbers and the metrics and really focusing on that customer acquisition and retention and specificity that we haven't been in over the last few prior quarters. Understood. Final question for me is on OASIS Social Tonic. Congrats on expanding it into seven states now with those shipments coming out in August and retail availability in September. That's really exciting for you guys. Just curious what we should be expecting in the back half of the year. Are you guys looking at continuing kind of what I would describe as a somewhat aggressive expansion strategy for this, getting into more markets and more states, or is it kind of similar to maybe the marketing strategy that you guys need to be prudent about where you're spending, what states you're trying to get into, particularly as regulatory agencies on a state level continue to propose legislation that might present challenges or hurdles to you guys as you enter new markets? Great question. We're really focused. I think we're trying to be opportunistic about the states that we have opportunities in and the retail partnerships that we get access to. We're very much focused on the Southeast and making sure that we can drive the right sell-through. As long as our sell-through continues to be robust, it will keep us in a good spot. Our goal is as we're launching into new territories, we want to make sure we are careful about focusing on a territory that we're in and being the right partner for both our retailers and distributors, but still taking advantage if there are opportunities to expand to new states. Understood. Again, I appreciate you guys taking the time to answer all of my questions. Absolutely. Thank you. Next question comes from the line of Adam Waldo with Lismore Partners. RSC, please go ahead. Just a couple of quick clean-up items. You all had seen a $700,000 increase in your inventory so far this fiscal year, $300,000 just over the last quarter on a linked quarter basis. Can you give us a little more color? Is that highly driven by the OASIS Social Tonic product line, or are you building inventory in the traditional business as well? Do we think we've now reached kind of a plateau in the inventory build that's going to be needed to support both businesses? Yeah, good catch, Adam. I think we alluded, I guess there's two parts to that answer. I think the last quarter we highlighted, you know, we ran into a little bit of trouble early in the second quarter because we ran our inventory down a little too low and we were out of stock of some of our key products. We did boost inventory early in the quarter to make sure that we maintained sort of the right level of stock for the core SKUs. More recently, we have boosted our OASIS Social Tonic inventory in anticipation of some of these product or some of these regional launches. I would say I think we're probably reasonably well positioned for now. Depending on the velocity of growth, I think it could require some minor inventory investment. Okay. The final thing for me is just as it relates to the OASIS Social Tonic product line, while Thomas was asking his questions, I finished skimming through the 10-Q that you just filed this afternoon. I didn't see any mention of that business in terms of breaking it out in any kind of segment reporting, having crossed the materiality threshold. Last quarter, Ronan, you said you hoped it would cross the materiality threshold this coming in the current quarter, i.e., fiscal fourth quarter of 2025. Do you still expect it will cross the materiality threshold in the current quarter? I guess I'm going to have to wait and see. I hate not to answer, Adam, but I want to just be careful. I don't get out on my skis. Okay. Fair. Unclear in the current quarter whether we'll hit the materiality threshold. If we don't, will you start to provide some additional disclosure on it anyway in your financial reporting, you know, with the fiscal fourth quarter report in November, or might it be until fiscal 2026 before we get a look at that segment or that business's economics? I think we'll probably make that determination closer to our next filing. I think, you know, just want to make sure that once we start reporting, we're required to maintain reporting. I think we want to make sure we feel we're in a good position to provide strong regular KPIs around that at the time. Okay, fair enough. Thank you. Thank you. This concludes our question-and-answer session. I would now like to turn the conference back over to Ronan Kennedy for closing remarks. Thank you again to our shareholders for support and everyone for attending today's call. We look forward to our next earnings call in December. Thank you. Thank you. This brings to a close today's conference call. You may disconnect your lines. Thank you for participating and have a pleasant day.