Q4 2019 Earnings Call
Ladies and gentlemen, thank you for standing by welcome to Osmotica Q4, 2019 earnings Conference call. At this time, all participants line or in listen only mode. After the speakers presentation, there will be a question and answer session.
Ask a question during this session you need a press star one on your telephone.
Please be advised that today's conference maybe recorded if you require any further assistance. Please press star zero.
Now they tend to conference over to your Speaker today, Lisa Wilson Investor Relations with Osmotica Pharmaceuticals. Please go ahead.
Thank you operator, welcome to Osmotica Pharmaceuticals, fourth quarter and year end 2019 business update call.
This is Lisa Wilson.
After relations.
Latika.
With me on today's call or as Motta, 'cause Chief Executive Officer.
Brian Marckx isn't.
Chief operating officer JD shop.
And Chief Financial Officer, Andrew Einhorn.
This afternoon company issued a press release detailing financial results through the three month and year ended December 31st 2019.
This press release in a webcast of this call can be accessed through the investor section of the Osmotica website out as Marco Dotcom.
Before we get started I would like to remind everyone that any statements made in today's conference call had expressed the belief expectation projection forecast anticipation or intent right.
Regarding future events and the company's future performance, maybe considered forward looking statements as defined by the private Securities Litigation Reform Act.
These forward looking statements are based on information available to osmotic is management as of today and involve risks and uncertainties, including those noted news App and this afternoon's press release and our filings with the FCC.
Such forward looking statements are not guarantees of future performance.
Actual results may differ materially from those projected in the forward looking statements.
I'd Motta 'cause specifically disclaims any intent for obligation to update these forward looking statements except as required by law.
The archived webcast of this call will be available for 30 days on our website Osmotica Dot com.
For the benefit of those who maybe listening to the replay archived webcast. This call is held and recorded on March 18 2020.
Since then Osmotica may have made announcements related to the topics discussed. So please reference the company's most recent press releases in FCC filings.
With that I'll turn the call over to Osmotica CEO, Brian markets. It.
Thank you Lisa and good afternoon, and thank you for joining the call today.
We continue to make excellent progress on our late stage pipeline.
And the execution of our corporate strategy remains on track.
With respect to RV, L. 12, or one or novel once daily up all make for the treatment of acquired Blucora ptosis or Truby Island.
The company's new drug application was accepted for filing last year.
Our goal date is July 16th 2020.
Starting with the filing of our India, we have continued to build a consistent.
<unk> at all the major ophthalmic medical meetings and physician interest grows by the day.
Additionally, our commercial strategy is gaining greater clarity is we gather additional market research, okay well feedback.
In the coming months, we will provide greater detail around the company's distribution pricing and early engagement strategies.
We are genuinely excited to introduce this product, especially.
Yes, there is no pharmacologic treatment for Droopy I anywhere in the world and we plan to be the first.
Moving onto another exciting pipeline asset or back off an extended release or novel treatment for spasticity in patients with multiple sclerosis.
Following the type C meeting with the F.D.A. last November we believe we have a path forward for Resubmission of R. and D.A. by the ended June this year.
The main elements that supports the submission will be study 3004, which examines 40 milligrams and 80 milligrams per day of our back listen versus placebo and the improvement in the modified ashworth scale for both strength given twice a day.
Second major component of the submission will be study 3005, which will close this month and as a one year safety study with patients receiving 80 milligrams per day.
It is important to note that this dose is approximately double the highest recommended oral dose from the backlist in package insert.
We have greater than 100 subjects with over one year of exposure, which is very meaningful because the tolerability of this strength post titration was very manageable the.
The twice a day dosing schedule low incidence of side effects, particularly somnolence and dosing flexibility couldn't make a meaningful addition to those who need treatment for spasticity and finally, our previous studies 3002, or 3003, well all be utilized to support the integrated summaries.
Oh safety and efficacy.
Looking ahead, we see RV Eldar back with 50 yards significant growth catalyst as we transition to more of a specialty model in terms of revenue.
2020 stands to be an exciting year for osmotica as we aim to brings value to our shareholders and address significant gaps in patient care.
Now I'd like to turn the call over to Andrew Einhorn, who will discuss the Companys financial results. He will be followed by JD shopper, Chief operating officer, who will share more details of the company's promoted products as well.
Andy.
Thank you Brian.
Total revenues for the fourth quarter of 29 team were 59.9 million compared to 65.7 million for the fourth quarter of 2018. The decrease in total revenue reflects lower net pricing on sales of methylphenidate extended release tablets them of vaccine extended release tablets and law.
Zone, partially offset by higher revenues from non promoted products.
Net sales of methylphenidate venomous vaccine decreased 40% and 16% respectively. During the quarter due to additional competitors entering the market, resulting in lower net selling prices and volumes, partially offset by lower than estimated product returns.
Well fed to date and venmo vaccine net sales were favorably impacted by approximately 6.7 million in the aggregate primarily related to adjustments of product reserves during the quarter.
Based on actual product return experience.
Selling general and administrative expenses decreased to 21.1 million in the fourth quarter of 2019.
Compared to 23 million in the fourth quarter 2080. The decrease was primarily due to the realignment of our field force in the third quarter of 29 team offset by higher general and administrative expenses.
Research and development expenses decreased to 7.1 million in the fourth quarter of 2019 compared to 14.6 million in the fourth quarter of 2018 due to the completion of the phase three clinical trials of RBL 12, a one and our backlog.
During the fourth quarter 2019, we recognized intangible asset impairment charges of 29.9 million, reflecting write downs of developed technology assets and distribution rights as compared to 98 million for the fourth quarter 2018, reflecting write downs of goodwill.
And in process research and development assets.
Net loss for the fourth quarter of 2019 was 26.6 million compared to a net loss of 107 million for the fourth quarter 2018.
Adjusted EBITDA for the fourth quarter of 2019 was 14.9 million compared to adjusted EBITDA of 14.2 million in the fourth quarter of 2080.
For a reconciliation of adjusted EBITDA to net income or loss. Please see the tables at the end of our press release.
Full year 2019 financial results are as follows.
Total revenues for the full year of 29 team were 240 million compared to 263.7 million for the full year of 2018.
Net product sales decreased 25.9 million year over year to 235.5 million full the earlier of 2019 as compared to <unk> to 61.4 million for the year ended December 31st 2018.
Net product sales of methylphenidate decreased 43% due to additional competitors entering the market, resulting in significantly lower net selling prices, partially offset by lower than estimated product returns.
Product sales from family vaccine increased by 14% for the year ended December 30, Onest 2019.
During 2019, a competing dosage strength was launch with negative which negatively affected sales volumes. However, volume decreases were more than offset by lower than estimated product returns and government rebates, resulting in higher net realized selling prices in the period.
Additionally, during the third and fourth quarter of 29 team two additional generic forms of demos vaccine from competitors were proof, but not launched.
We expect that the additional competition for both methylphenidate and Ben with vaccine from these competitors as well as additional generic product approvals and launches in the future. If any will continue to negatively affect our sales of these products in 2020 and future years.
Methylphenidate and venomous actually net sales were favorably impacted by adjustments of approximately 25.2 million in the aggregate primarily related to product returns reserves during the year based on actual product returns experience.
Selling general and administrative expenses increased 18.8 million during the full year of 29 team to 93 million as compared to 74.2 million for the full year of 2080.
The increase in our selling general and administrative expenses reflects additions to salesforce headcount and marketing costs associated with the launch of Austin Lex E are in the first quarter of 19 severance expenses associated with the Salesforce realignment during the third quarter of 29 team and increased share compensate.
Certain expense and higher costs associated with being a public company.
Research and development expenses decreased by 11.4 million in the full year of 29 team to 32.3 million as compared to 43.7 million in the full year of 2018.
The decrease primarily reflects the completion of phase three clinical trials of our back with many yar. During the first quarter 2019, partially offset by increased share compensation expense and the cost of manufacturing development batches of osmolarity yard during 2018, which costs were not present.
In 2019.
During the year to Harden 283.7 million of intangible asset impairment charges were recognized primarily related to the right down to fair value of Methylphenidate, then vaccine due to price and volume decreases resulting from competing generic products.
Net loss for the full year of 2019 was 270.9 million compared to a net loss of 109.7 million in the full year of 2018.
Adjusted EBITDA for the full year of 2019 was 68.8 million compared to adjusted EBITDA of 95.1 million in the full year of 2018 again for a reconciliation of adjusted EBITDA to net income or loss. Please see the tables at the end of our press release.
As of December 30, Onest 29 team, we had cash and cash equivalents of 95.9 million and borrowing availability under our revolver. A 50 million. We also had 268 million of debt net of deferred financing costs.
Now I would like to turn the call over to JD.
Thanks, Andy.
All of our key promoted brands did the gel and 72, an awesome Ilecs saw continued prescription growth in 2019, including the fourth quarter.
As previously discussed we completed a realignment of our field sales force in the second half of 2019 and began promotion within this streamline national footprint in the fourth quarter.
We are encouraged by the immediate impact the restructured team has had and continue to believe the decision to realign territories late last year provides the necessary balance between ongoing support of our key promoted brands and a strong foundation from which to launch RBL. If approved later this year.
Specific to key brands did a gel continued its growth in the fourth quarter.
Prescriptions up 3% versus Q3 2019, while full year 2019, total prescriptions increased 14% over 2018.
No over the past year, we received approval and subsequently have launched two additional strengths and David Joe 0.75 milligrams, and 1.25 milligrams sashays, adding new options to our category leading brand for both patients and physicians.
And 72 also experienced a strong fourth quarter as prescriptions grew 9% versus Q3, 2019, and 280% when looking at full year 19 versus 18.
Having been launched in April 2018.
Lastly, through December 425, healthcare providers road or enrolled at least one patient and our access ASML ex program for a total of 2198 descriptions.
This represents an increase of 104 in terms of the number of new practitioners, writing are enrolling and 856 in total prescriptions since our last update in September.
As awareness and experience have grown throughout 2019, we have continued to refine and optimize our commercial efforts behind awesome Ilecs.
We continue to see good access and strong persistency ones patients begin therapy and remain focused on expanding the patient and prescriber base, albeit at a slower pace than previously anticipated.
As Andy commented earlier in the financial highlights our generic and non promoted products business continues to be an important contributor despite increased competition in the consolidated buying landscape.
Our key legacy generics Methylphenidate E R and vendor vaccine E. R tablets performed well last year, but as expected have seen multiple competitors enter the market.
We remain committed to the quality and supply of our portfolio and will leverage the ongoing contributions from that portfolio as we continue to progress our late stage pipeline.
We're looking forward to our July 16th PDUFA date for RBL entered gearing up for our strategic launch.
As previously described we are building upon the strong foundation of our clinical program with a presence at key eye care meetings, including live podium and poster presentations highlighting our phase three clinical data.
Further market development and Kao, while engagement is continuing to ramp up and this important contributions by our growing network of eye care professionals throughout Okcular plastics, ophthalmology and optometry has been incredible.
We remain highly encouraged by the potential opportunity to bring them first in class product to market and look forward to ongoing updates as we progress through Andy a review and launch planning.
I'll now turn the call back to Brian.
Thanks, JD and thank you Andy and with that operator. Please go ahead and open the call for questions.
Thank you as a reminder, if you would like to ask a question. Please press Star then one key on your Touchtone telephone.
Sure withdraw your question press the pound key again, that's star one.
To ask a question.
And our first question comes from Randall Stanicky with RBC capital markets. Your line is open.
Okay, great. Thanks, Brian.
Can I start with.
The Corona virus or you guys seeing any impact on the base generic business or is that impacting how you're thinking about the go to market strategy for RBL.
Well the the impact we're seeing right now im sorry, good afternoon Randall.
You know clearly we've got people working from home now where conforming with the policies that are out there.
Our sales representatives are at home as well try to be as productive as possible.
With telesales and then other methods.
And you know on each in general our supply chain is fine we got out in front of supply chain quite a while ago.
So where we don't have any immediate concerns there whatsoever.
And we're looking at the weekly Rx is and we haven't seen anything much. So I think on a demand basis, so far we're doing pretty good.
I think the immediate hit which will trickle down it's been the employee productivity and in general you know, what's happening with the physician community and patience in general were.
People are just stay at home, so I think thats going to wash up on offshore at some point.
And we're staying as close as we can to it but you know like others were sort of all than the same both together here.
Yeah.
Do you think about RBL, obviously, that's going to be a big July event has your thinking evolved in terms of go to market the aesthetic versus medical.
It's unity and how you're looking to roll that out.
Yeah, well, our our thinking has you know obviously continued to evolve.
Oh, you know, we learn more everyday which is obvious I guess.
Let me start with FDA review seems to be on track.
We've had the normal discourse between us and the agency with minor questions that we've answered on time and when we last checked in with the project manager. She assured us that everything was moving along and is on track now if covert 19 has greater repercussions in the agency.
Obviously, that's something that will be mindful of but as we're sitting here today. It looks like were in good shape for that our goal date, which is July.
16, I think on commercial preparedness, Jay do you want to jump in a little bit yeah, sure and Hi Randall.
I mean, you know consistent with some of our recent calls the focus around awareness medical education market development kaolin engagement disease awareness is unchanged I think.
We continued to be out in front of the eye care meetings working across the specialties and optometry ophthalmology.
And the Okcular plastics really creating the buzz and getting more and more physicians in practitioners.
Familiar with with not just the product, but the condition.
That continues to go well I think it's exciting it's it's a it's refreshing to being a new therapeutic area with folks that are truly intrigued and supportive of what we're doing and trying to bring to market.
Beyond that on the commercial side.
The buy in expectation from eye care professionals as the base remains the focus I think you asked about how it fits as as a medical product versus anesthetic product I think as as our planning and launch strategy continues to crystallize and refine its.
Sell through market research and some of the other associated activities.
We'll stay focused on the buy in from the eye care community, but I think what does start to really take shape here is.
The product itself sits at the intersection of Okcular Medicine, and Okcular stacks and how we position it so that the optionality and flexibility to build upon not foundation.
Into a statics over time remains really important in terms of the profile of the product and the market strategy. So long winded focused on eyecare statics is starting to take shape in terms of what this strategy and go to market profile for the.
Product looks like and from a practitioner standpoint remains an important building block over time once we get the eye care folks to embrace.
And build that foundation.
That's that's great and then maybe to finish Brian Hoffman partnering announcement into Q and what regions are you.
Expecting thanks confidence is still pretty high.
You know clearly we're focused on Asia more than other geographies.
And you know travel got hit pretty hard.
A key part of our process.
Is meeting with the other side and getting to a good feel that appreciation for their go to market strategy.
Because you know financial metrics are great, but hearing the conviction of the partner face to face was important to us.
So I think we're recognizing that thats not going to happen anytime soon.
So were adjusting to that but I think our partner conversations.
Ex us or certainly moving at a pace that I've described and where were a little bit delayed but not enough to kick me out a quarter well for me to revise what I've told up told the street.
And I think you know we're also thinking about considering other options in the U.S. as well.
Because again as we're picking up more and more interest then it gets closer to market I think the reality of this one of a kind asset is beginning to take shape with other people.
Got it thanks guys.
Thank you and our next question comes from David Steinberg with Jefferies. Your line is open.
Thanks have a couple of questions.
The first one is just revolving around the discussions with the as it gets more granularity I think you've said that.
[noise] interactions with the project manager going well, but just to drill down a little more have you hadn't these discussions with them. These comments.
From your talks with them in the last two or three weeks and have you had the regular dialogue during though you know.
Regionally near term and has that changed from previously and then secondly, with regard to partnering X U.S., let's take on the last call. You mentioned there was a lot of interest in Japan.
You saw multiple companies, so you're talking to and what sort of structure are you looking at you looking more for no large backend or.
Perhaps more cash up front. Thanks.
Okay, Hey, Thanks, David.
So with the with the agency and the communication with respect to the review.
Since we submitted the N.V.A. there has been a routine back and forth.
And then it was ultimately accepted for filing I think last November.
We haven't had exactly seven information requests.
All seven of them have been a clarifying questions around chemistry manufacturing or nothing that we couldn't answer within a day or two or specified timeframe. So I view the questions as routine and just clarifying questions all around specified.
Patients are the finished product and things like that nothing a major last week, we did talk to the project manager.
And she said she was not looking at any outstanding information requests at this time from the review division itself totally.
And that she assured us that everything was proceeding.
At a pace that you would expect.
And we project that we should be in a labeling conversation around the middle of June.
So that's the good news on that front.
Obviously, not a guarantee and subject to change, but so far so good.
Secondly on the actually was partnership I think looking specifically at Japan.
They will probably need to do a little bit of clinical work.
In Japanese subjects.
For an application can be filed so they're probably a year or two behind the U.S. market, China may not be as far behind and certainly Korea could file with the U.S. package with very little extra information that we might even have already performed.
A bridging study that would satisfy that requirement so.
Given the time to market and yes, we're in conversation with multiple players in Japan multiple in China as well.
But I think our preference at this time would be to partner with a Japanese.
Hi care leader that can also handle China as well.
But that could change.
And so I think we're looking for a balance we won.
Our Japanese partner or Chinese partner to make money obviously.
There will certainly be an upfront ask.
But I think it'll also be milestone based.
Subject to certainly getting approval in that country and also perhaps some royalty down the road or milestones in the place of royalty, but it'll have a traditional construct and I believe that we will be supplying from our manufacturer into those markets are certainly at the very big.
Getting.
[noise] into the clarity just one more question on the the filing for your back within an extended release product.
In your discussions with the FDA and maybe you can shed some light on or maybe you can't but.
Today.
Essentially looked at some of the data in said and you ask them.
Is it okay to file and so you're filing or did you just say, we're going to file and they said sure go finally, what would extend discussions have been on this filing given that you had one positive study and then one study that was more mix. Thanks.
I hate to tell people good question, but thats a good question. So we made a comprehensive submission to the agency auto our filing strategy.
What we plan to use for the integrated summary of efficacy and safety and how we plan to rely on the totality of our database and the agency came back to us with very clear.
Input or feedback on what they didn't want to see us rely on what they did want to see us rely on and they were particularly focused on the ashworth effect in our second large randomized pivotal study.
And also our one year safety study with the 80 milligram dose and they asked us not to file until that study was complete which is really what the timeline is all about because data base lock for the one year safety study is a little bit later this month like next week. So we're going to go from database lock to.
Submission at all of two and a half the three months.
So the agency was pretty clear in what they wanted to see from us.
They did not request an additional clinical trial.
So were sort of art.
We are buoyed by that and we know we've got a package that describes excellent safety and efficacy.
On a dose response relationship.
We have a very clear.
Value proposition, we believe for this product so.
We're encouraged I think the risk adjustment that that you and others have used in their modeling is fair.
And I'm very comfortable with where we are in the feedback we got and the direction, we got specifically.
From the agency and our submission.
But we did tell them we were planning to file we gave them all the ingredients and how we would do it in ours in a pre submission for the type C meeting and it was quite a lot of information.
The agency was very thoughtful in their response to it was they gave us excellent guidance and we're using their guidance.
Great. Thanks, a lot.
Thank you and our next question comes from Amit idea with SVB Leerink. Your line is open.
Hi, good afternoon, Thanks for taking my question.
What can you just talked with our views on the one can you talk about.
The readiness of the sales force and training or that you may have declined in the next.
A couple of months.
Ahead of schedule for date, and how should we think about.
Putting that together in light of Corbett 19 disruption.
And also if you could talk about since the launch inventory and.
Whether that's been in already been put in place or if that's something that's planned in the next couple of weeks and.
How should we think about that.
Okay, I mean, it's Brian I'll start it off and JD will will file in.
But I think you know look with Covidien 19, where we're all in a fluid situation. So.
The plans that were looking at where revisiting every day and of course, if we're all working remotely it's harder to huddled up in a room face to face and make.
Precise decisions, but we're all adjusting to that.
The the plan was to begin.
The profiling of our core of our customers the training of our sales force all culminating in a launch meeting that would occur probably at the end of August either before or shortly after labor day. We are obviously revisiting that we will be prepared to launch in some form.
Matt shortly after approval under any circumstance.
What we're analyzing our different ways to launch the product if we're still in a constraint situation. So in other words do I want to lose money on a hotel do I want to train people virtually do I want to push things back a little bit for the face to face interaction that I did I.
Cherish and I know is a richer environment. So these things obviously, we're taking into account, but when we get approval, we will be in a position to launch at some level, maybe it's a what you would call a softer launched than otherwise and I'll end JD will shop chime in and a second also on manufacture.
During.
We're going to run validation batches in a few weeks.
And from validation right into commercial and we'll have more than enough supply.
We've got a dedicated line in F. Ron and all they're going to do is this for US 24 seven.
The good news is their facilities in very high demand right now.
Because the agency has asked them to stay in production for albuterol.
Which is a pretty important product at the moment. So we're working very closely with them and.
We're excited that they're in demand with the agency that only helps us.
JD, a little bit more on preparedness, no I think Brian touched on on preparedness Ami we are continuing to prepare.
From a sales training and readiness perspective, I think you you'll see a stick to those plans in terms of timing and being prepared to go post Paducah date to Brian's comment I think just a function of really planning around you know the impact and the nature of the extent of the impact of things.
He is and how we want to do kind of personal engagement with our reps versus virtual training and deploy men and what that impact is too.
The nature of the launch, but all things continue to be.
On track and on plan from from.
A overall commercialization readiness perspective.
Got it that's helpful. Just that they've got to the pivot from focusing on optimizing too.
Switching to more to say pedic.
Positioning of the product.
Just based on the additional thinking that you've done around the so when the product cycle do you think that you might switch gears and.
Change focus in terms of your seems that.
Yeah. So I think to clarify I don't think it would be change gears in ship focus I think it it would be built right and so the inflection point as we think about going to market right. Now is really the endorsement by the eye care professionals because.
This is Ben and ophthalmic drop and so I think that's important in terms of the popularization and ultimate adoption anywhere beyond eye care. So it's really more of a build up and I think is as we get to market nah and follow through on the plans and the launch strategy.
As we look out over the.
The first 12 to 24 months that'll be a good indication of where this is headed beyond the eye care professionals and practitioner continue.
Okay. That's helpful. Brian.
Last question for me on our back then just building on the question from before.
You want to see <unk> from the FDA.
Process for pulling the product.
Not at all.
Okay, that's not a guy and I would embellish, but the short answer is now.
Okay.
Thank you.
Thank you and as a reminder, if you would like to ask a question Press Star then the one key on your Touchtone telephone.
Your next question comes from Greg Fraser with Suntrust. Your line is open.
Great. Thanks for taking the questions.
On RTL when you were discussing partnership discussions for ex US markets, you mentioned that you're thinking about other options for the U.S. as well I was wondering if you could put some more beat on the bones. There in terms of the options that you're thinking about.
Well [noise].
Clearly.
What's happening as a result of our exposure to the eye care community.
And all the medical meetings and conferences the the one thing that's inescapable with this drug is that as it works and lifts the lid it changes.
A person's appearance.
Quite frankly, if they.
Had ptosis, they look better so the the aesthetic.
Implications of this product are.
Pretty interesting and I think you know, we're beginning to catch a lot of attention from other folks out there in that field. So.
You know again, where we're getting a lot of inbounds, where we're very interested in talking to a couple of folks that have demonstrated real expertise in this field a there's always something we can learn and.
Look we are wide open to partnering if you know one plus one equals three but unfortunately I can't really shed any more light on it it's extraordinarily early in in our receipt of these imbalance.
Okay. That's helpful color when you set the RBL data to be published.
We have submitted final.
Drafts too.
Jama ophthalmology.
And.
Hi, ice JD I don't want to give the wrong no I think it's fair from a publication standpoint, Greg that we're looking at early spring.
So over the next couple of months I think is the current expectation for publication in one of the leading eyecare journals.
Got it Okay, and then just a couple.
A quick ones for Andy you expect additional adjustments to returns reserves from FBR incurred in the coming quarters and any comments.
But how do you think about gross margin 2020 as contribution from those products. It finds.
Thank you.
Thanks, Thanks, Greg to answer the first question.
We assess the returns reserve quarterly in light of actual returns a experiences I as I noted previously a lot of what happens is as prices come down and depending on the contracts. We have at the various customers returns levels can be lower than what we finished.
Really.
Put put up I would expect that we've seen the lions share of that activity in 2019, it's possible we can see more in 2020, but.
We're certainly not expecting anything of the of the same magnitude.
And Greg what was your second question.
Just if you could have you any comments about how to think about overall gross margin. This year as contribution from from FBR in Bert continue to decline.
Yes, I mean your margin, but yeah, we would we would expect as we look forward.
The margin, excluding depreciation and amortization was about 676% 2019, clearly as prices come down we would expect the margin to be a to be affected going forward on those on those products. Although we also believe that.
A lot of the dramatic price declines given the number of players in those markets.
We wouldn't expect anything.
As significant as what we saw in 2019.
But it is a competitive market out there can you can't ignore that.
Okay. Thank you.
Thank you and I'm showing no further questions at this time I'd like to turn the call back to management for closing remarks.
Okay. Thank you operator, and thank you everyone for joining us today I know these times, a troubled and a bit turbulent and.
We are all doing our best so hang in there we are and thank you.
Hi.
Ladies and gentlemen. This concludes today's conference call. Thank you for participating you may now disconnect everyone have a great day.
[music].