Why did Arnold Pharma's operating expenses drop in Q2 2023?

Arnold Pharma's operating expenses dropped in Q2 2023 due to several key factors: 1. **Decrease in Gross Profit**: The primary driver of the decrease in operating expenses can be attributed to the credits, discounts, and rebates issued to customers, which totaled approximately $1.4 million during the second quarter of fiscal year 2023. 2. **Efficient Operational Changes**: The company has been working on securing new and large retail customer accounts for its core BIDI® Stick distribution business. These larger accounts, although time-consuming to open, are expected to lead to increasing orders for BIDI® Stick once secured. Additionally, important new broker and distribution agreements were announced to broaden the reach of BIDI® Stick to larger potential retail customers. These strategic moves likely led to more efficient operations and reduced expenses. In conclusion, Arnold Pharma's operating expenses dropped in Q2 2023 primarily due to a decrease in gross profit and efficient operational changes.