Eric DesLauriers's questions to Trulieve Cannabis (TCNNF) leadership • Q2 2023
Question
Eric DesLauriers asked about the timeline for the Jeffco facility to be fully 'dialed in' and its impact on inventory. He also questioned the trade-off between maintaining gross margin strength and the ongoing inventory reduction efforts in the second half of the year.
Answer
CEO Kim Rivers explained that the benefits from Jeffco will be gradual, with the full impact expected in 2024 as higher-cost legacy inventory is cleared. Interim CFO Ryan Blust and Rivers both noted that gross margin will remain dynamic, influenced by the inventory reduction, product mix, and the varying costs of legacy versus new inventory being sold.