John McCaulis's questions to UPEXI (UPXI) leadership • Q2 2023
Question
John McCaulis of Paulson & Co. requested specific financial figures, including quarterly interest expense and remaining depreciation and amortization post-divestiture. He also asked about the marketing budget and the company's strategy for cross-selling to its expanded customer base.
Answer
CFO Andrew Norstrud reported that quarterly interest expense on acquisitions was under $35,000 and D&A was approximately $1.2 million, driven by amortization of intangibles. CEO Allan Marshall explained that the marketing strategy is focused on fine-tuning spend rather than significant increases. He described the previous quarter's higher ad spend as a successful test to acquire valuable customer data at a marginal cost, with the ROI now being tracked to inform future budget decisions.