Financial Data and Key Metrics Changes - The company reported FFO as adjusted of $0.46 per share and AFFO of $0.44 per share, with total portfolio same store growth of 3.5% [19] - CCRC business reported same store growth of 8.6%, driven by rate growth of 5% and higher entrance fee sales [19] - Outpatient medical segment achieved 85% tenant retention, with a positive rent mark to market of 6% and same store cash NOI growth of 3.9% [20] Business Line Data and Key Metrics Changes - Outpatient medical segment saw same store growth of 3.9%, with over 1,000,000 square feet of leases executed, including approximately 200,000 square feet of new leasing [20] - CCRC portfolio generated approximately $200,000,000 of annual NOI, which is 50% higher than in 2019 before the pandemic [14] - Lab R&D business is beginning to see positive indicators, with new supply quickly going to zero [11] Market Data and Key Metrics Changes - The company has significant concentration in markets like Dallas, Houston, Nashville, Atlanta, Phoenix, and Denver, which are expected to drive growth [10] - Recent broker reports indicated over 4,000,000 square feet of inventory being removed from the supply pipeline in the lab sector [12] - The occupancy in the outpatient medical portfolio remains strong at 91-92% [48] Company Strategy and Development Direction - The company is focusing on internalizing property management to enhance tenant relationships and operational efficiency [8] - A strategic plan is being implemented to enhance operating procedures and elevate service standards [18] - The company is optimistic about the regulatory environment, particularly the proposed rule from CMS that would allow more procedures to be performed in outpatient settings [6][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the execution from the team and the diversified portfolio, despite challenges in the lab sector [24] - The political and regulatory environment is improving, with favorable changes in drug pricing and tax treatment for research and manufacturing [7][10] - Management noted that the capital markets have shown signs of improvement, which could benefit tenants seeking to raise capital [40][56] Other Important Information - The company completed an enterprise-wide technology upgrade to improve data integration and productivity [5] - The internalization of property management is expected to generate profit and improve tenant satisfaction [9] - The company has nearly $2,300,000,000 of liquidity and ended the quarter with a net debt to adjusted EBITDA of 5.2 times [22] Q&A Session Summary Question: Can you break down the occupancy decline in the lab segment? - Management indicated that the occupancy decline was due to lease expirations, tenant migration, and some tenants unable to raise capital [28][29] Question: What are the thoughts on capital allocation and balance sheet usage? - Management emphasized maintaining a strong balance sheet and being opportunistic with asset sales and buybacks [32][34] Question: How much impact do you expect from unsuccessful capital raises on occupancy? - Management acknowledged some headwinds for occupancy but noted positive signs in the capital markets that could improve the situation [40][42] Question: Can you provide insights on the development pipeline and capitalized interest? - Management stated that capitalized interest will trend down as projects come online, with ongoing entitlement processes for large projects [76] Question: What are the expectations for the CCRC occupancy? - Management noted that the sequential dip in occupancy is typical seasonality, with strong performance in independent living [78][80] Question: How does the company view the regulatory changes and their impact? - Management expressed optimism about regulatory changes, particularly the shift towards outpatient settings, which aligns with the company's focus [10][106]

Core Insights - Tilray Brands has experienced a significant decline in stock price, dropping over 99% from its peak of nearly $150 due to various industry challenges [1][2] - Recent stock performance shows a 55% increase in a one-month span, raising questions about potential long-term recovery driven by improved cash flow and regulatory changes [2] Financial Performance - The 12-month stock price forecast for Tilray is $1.92, indicating a potential upside of 204.23% from the current price of $0.63 [3] - The company has improved its cannabis gross margins to 41%, up from 33% a year earlier, and achieved an overall gross margin of 28% compared to 26% in the prior year [4] - Tilray has successfully reduced its debt, with levels now under 1x its trailing 12-month EBITDA [4][6] - Fiscal 2025 revenue estimates have been revised down to $850 million to $900 million from a previous range of $950 million to $1 billion [6] Regulatory Environment - There is optimism regarding potential regulatory changes under the second Trump administration, particularly the possible reclassification of cannabis by the DEA [7][8] - The rescheduling process for cannabis has faced delays, but may resume with the confirmation of a new DEA Administrator [8] Product and Market Expansion - Tilray has expanded its product lineup, including new summer cannabis products and a significant beverage portfolio acquired from Anheuser-Busch [9][10] - The company has received authorization from the Italian Ministry of Health to import and distribute proprietary medical cannabis flowers, enhancing its position in the European market [11]

Financial Data and Key Metrics Changes - The meeting discussed the election of directors and the approval of executive compensation, indicating a stable governance structure and commitment to management accountability [10][13]. - The appointment of Ernst and Young LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025, was ratified, reflecting confidence in financial oversight [14][17]. Business Line Data and Key Metrics Changes - The company highlighted a robust pipeline with several dozen products in clinical development across various therapeutic areas, including respiratory viruses and oncology [20][23]. Market Data and Key Metrics Changes - The management emphasized the importance of driving the use of approved vaccines, which is critical for both patient outcomes and shareholder returns [20]. Company Strategy and Development Direction - The company is focused on three key priorities: driving the use of approved vaccines, aiming for the approval of ten products over the next few years, and delivering cost efficiencies across the business [20][21]. - Management expressed confidence in their ability to navigate the regulatory environment by maintaining constructive engagement with regulatory agencies [22]. Management's Comments on Operating Environment and Future Outlook - Management plans to provide a full update on quarterly performance and pipeline developments in the upcoming earnings call, indicating transparency and ongoing communication with investors [19][24]. - The company believes that focusing on science and data will demonstrate the potential of its medicines and their positive impact on patients [22]. Other Important Information - The meeting was conducted with a quorum present, allowing for the official business to proceed smoothly [7][10]. - The company will report final voting results and a current report to the SEC within four business days, ensuring compliance and transparency [17]. Q&A Session Summary Question: What is the status of the product pipeline beyond COVID vaccines? - The company has a robust pipeline with several dozen products in clinical development across various therapeutic areas, with updates to be provided in the upcoming earnings call [20][23]. Question: What actions are being taken to improve stock performance? - The company believes that executing on its three key priorities will deliver returns for shareholders [20]. Question: How is the company addressing the regulatory environment in the U.S.? - Management highlighted a strong record of working with administrations and emphasized the importance of focusing on science and data to demonstrate the potential of their medicines [22].

Financial Data and Key Metrics Changes - For Q1 2025, the company reported revenue of $447.7 million, an increase of 5.7% compared to the prior year [6] - Net income was reported at $17.2 million, with diluted EPS of $0.23 [11] - Cash flow from operations, excluding payroll accrual changes, was $32.1 million, an increase of $41.3 million over the prior year [6][12] - The company raised its 2025 cash flow from operations expectations from a range of $45 million to $60 million to a range of $60 million to $75 million [12] Business Line Data and Key Metrics Changes - Environmental services revenue was $196.3 million with a margin of 10.8% [10] - Dietary services revenue was $251.3 million with a margin of 7.6% [10] - Cost of services was reported at $379.7 million, representing 84.8% of revenue [11] Market Data and Key Metrics Changes - The company noted that workforce availability and occupancy continue to grow, contributing positively to the business environment [6][8] - The reimbursement environment remains stable, with a proposed 2.8% increase for Medicare rates for fiscal year 2026 [19] Company Strategy and Development Direction - The top three strategic priorities for the company include driving growth through management development, managing costs through operational execution, and optimizing cash flow [8] - The company is focused on increasing customer payment frequency and enhancing contract terms [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the industry's strength due to a multi-decade demographic tailwind [6][19] - The recent court ruling on minimum staffing rules is expected to provide clarity and stability to the provider community [20] - Management remains optimistic about the future, citing strong fundamentals and a favorable position to capitalize on upcoming opportunities [50] Other Important Information - The company completed a small tuck-in acquisition, which is expected to contribute about 1% to total revenue for 2025 [15] - The company repurchased approximately $7 million of common stock during Q1, bringing total buybacks to about $23 million since February 2023 [15] Q&A Session Summary Question: Regulatory environment and customer feedback - Management highlighted that industry fundamentals are gaining strength, with labor availability being crucial for occupancy growth [18][19] Question: Impact of potential tax changes on Medicaid reimbursement - Management expressed confidence that potential changes would likely not impact funds flowing to skilled nursing facilities [25] Question: Sustainability of gross and EBITDA margins - Management attributed strong margins to service execution and expects this trend to continue into Q2 and beyond [30][31] Question: Inflation impact on food and labor costs - Management noted that while food inflation is increasing, they have provisions to manage costs and are seeing strong job growth in the healthcare sector [33][35] Question: Revenue guidance for Q2 and cash flow expectations - Management clarified that the revenue guidance reflects various factors, including timing of new business adds and the recent acquisition [40][41] - The increase in cash flow guidance was attributed to strong Q1 performance and the receipt of CARES Act funds [44][46]

Financial Data and Key Metrics Changes - For Q1 2025, the company reported revenue of $447.7 million, an increase of 5.7% compared to the prior year [6][10] - Net income was reported at $17.2 million, with diluted EPS of $0.23 [11] - Cash flow from operations, excluding payroll accrual changes, was $32.1 million, an increase of $41.3 million over the prior year [6][12] - The company raised its 2025 cash flow from operations expectations from a range of $45 million to $60 million to a range of $60 million to $75 million [12] Business Line Data and Key Metrics Changes - Environmental services revenue was $196.3 million with a margin of 10.8% [10] - Dietary services revenue was $251.3 million with a margin of 7.6% [10] - Cost of services was reported at $379.7 million, representing 84.8% of revenue [11] Market Data and Key Metrics Changes - Days Sales Outstanding (DSO) improved to 78 days from 88 days year-over-year [13] - The skilled nursing industry added approximately 24,000 new jobs in Q1 2025, indicating a recovery trend [37] Company Strategy and Development Direction - The company’s top three strategic priorities include driving growth through management development, managing costs through operational execution, and optimizing cash flow [8] - The company is focused on organic growth drivers, with a small tuck-in acquisition contributing about 1% to total revenue [15][44] Management's Comments on Operating Environment and Future Outlook - Management noted that industry fundamentals are strengthening, supported by a multi-decade demographic tailwind [6][19] - The reimbursement environment is stable, with a proposed 2.8% increase for Medicare rates for fiscal year 2026 [19] - Management expressed confidence in sustaining positive cash collection momentum for the rest of the year [47] Other Important Information - The company opportunistically repurchased approximately $7 million of common stock during Q1 2025 [15] - The Texas federal court ruling on minimum staffing rules has provided clarity and reduced regulatory overhang for the industry [20] Q&A Session Summary Question: Regulatory environment and customer feedback - Management highlighted that industry fundamentals are gaining strength, with labor availability being crucial for occupancy growth [18][19] Question: Impact of potential tax changes on Medicaid reimbursement - Management expressed confidence that potential changes would likely not impact funds flowing to skilled nursing facilities [25][26] Question: Sustainability of gross and EBITDA margins - Management attributed strong margins to service execution and expects this trend to continue [32][34] Question: Inflation impact on food and labor costs - Management noted food inflation and stable wage growth, with a strong recovery in job additions within the healthcare sector [35][37] Question: Clarification on revenue guidance for Q2 - Management indicated that the guidance reflects variables such as timing of new business adds and the impact of the recent acquisition [42][44] Question: Cash flow guidance and collection momentum - Management confirmed that the increase in cash flow guidance was due to both the ERC funds and strong Q1 performance [46][47]