Arcadia Biosciences, Inc. (NASDAQ:RKDA) Q3 2019 Earnings Conference Call - Final Transcript
Nov 06, 2019 • 04:30 pm ET
Good afternoon, and welcome to the Arcadia Biosciences Third Quarter 2019 Earnings Conference Call. Today's presenters will be Matt Plavan, President and CEO; Sarah Reiter, Chief Commercial Officer; and Pam Haley, CFO. This call is being webcast, and you can refer to the company's press release and slides at arcadiabio.com.
Before we start, if you refer to Slide 2, we would like to remind you that Arcadia Biosciences will be making forward-looking statements on this call based on current expectations and currently available information. However, since these statements are based on factors that involve risks and uncertainties, the company's actual performance and results may differ materially from those described or implied today. You can review the company's safe harbor language in their most recent filed 10-K and again on Slide 2 of this presentation.
With that, I'll now turn the call over to Matt Plavan, President and CEO.
Matthew T. Plavan
Thank you, Margeline, and thanks to everyone who is joining us on the call. We are pleased to report Arcadia achieved important progress during the third quarter in both product commercialization and our research and development programs in each of our three strategic crop categories hemp, wheat and soy.
I'll spend just a few minutes covering the highlights, and then we'll segue to provide our investors better visibility into the channels we are developing to scale new revenues in 2020 and 2021.
In terms of our hemp research progress during the quarter, we established a third research facility. This one in Imperial Valley, California, and tripled our acreage in Hawaii during the quarter to a total of 30 acres. Recently, we also partnered with an Oregon breeder to conduct field research in that key hemp territory. With research operations now in three distinct geographies, we are well equipped to test varieties and advance our breeding activities under multiple climate conditions with improved access to more germplasm.
With that, our R&D team achieved key milestones in technology demonstration during the quarter, having produced our first unique variety and executed a number of varietal crosses to generate new performance characteristics and identify valuable attributes. We also added new personnel to bolster our genomics capabilities and further accelerated the throughput of our trait development engine.
Commercially, we secured a global distribution arrangement with our Arista Cereal Technologies and Bay State Milling for our high-fiber, GoodWheat bread wheat and had a blockbuster reception of both our high-fiber and reduced gluten GoodWheat varieties at the western hemisphere's most comprehensive baking event, the 2019 International Baking Industry Expo in Las Vegas. And importantly too, we received USDA approval of our HB4 soybean opening another sales territory for our unique drought and herbicide tolerant stacked soybean trait.
As for our financial performance year-to-date, revenues from our prior business model continue to wind down as we have guided in advance of the onset of our new revenues. And setting aside the non-cash fair market remeasurement of our common stock warrant liability of $7.8 million and a few non-recurring costs that total