Q1 2020 Earnings Call
[music].
Readings and welcome to Tecnoglass incorporate it first quarter 2020 conference call.
At this time, all participants Arnie listen only mode.
If any once you require operator systems during the conference. Please press start zero and your telephone keypad.
As a reminder, discomfort is being recorded.
Like the turn accomplish what so you hold today, but let me see Investor relations. Thank you Sir you may begin.
Do you for joining us for techno glasses first quarter 2020 conference call.
Be able to slide presentation to accompany this call maybe obtained on the investors section of the Tecnoglass website.
Speakers for today's color Chief Executive Officer, Jose Manuel Dice, Chief operating Officer, Chris Dias.
Chief Financial Officer, Santiago throughout though.
I'd like to remind everyone that matters discussed in this call except for historical information or forward looking statements within the meeting of the private Securities Litigation Reform Act that 1995, including regarding future financial performance future growth in future acquisitions.
These statements are based on technical classes current expectations or beliefs is our subject to uncertainty and changes in circumstances. Actual results may vary in a material nature from those expressed or implied by the statements hearing due to changes in economic business competitive indoor regulatory factors and other risks and uncertainties.
Operations of techno glasses business.
<unk> uncertainties in contingencies are indicated from time to time.
Second of glasses filings with the Securities and Exchange Commission.
<unk> discussing the discussed during the call. This presented in light of such risks further investors should keep in mind that techno glasses financial results in any particular period may not be indicative of future results.
Glasses under no obligation to expressly disclaimer any obligation to update or alter its forward looking statements.
As a result of new information future events changes in assumptions or otherwise.
I will now during the cold over to Jose Manuel.
Eating on slide number four.
So do laments argue everyone for.
Two days coal.
To store.
Allowed to say <unk> <unk> <unk>.
Well shows or <unk>.
<unk> those would be doing the Kobe b. notebook.
Assaults.
Those those in bug <unk>.
<unk>.
No <unk> <unk> <unk> <unk>, the hills, and so still word please and those.
Quote drug me.
All the low appraisals, along with most of what goes to Brazil braziers in the U.S.
<unk>.
<unk> Yeah. We go do do do sounds goes to <unk> it was supposed to <unk>.
<unk>.
Thunder, the you're trying to be really line.
These are blown in <unk>.
<unk> <unk> <unk> <unk>.
<unk>.
<unk> <unk> <unk>.
Junk food place orders.
<unk> <unk> <unk> <unk> <unk>.
Into the ends of the core.
<unk>, becoming less so.
Oh, you were yourselves perform as well.
<unk>.
<unk>.
<unk> was sort of double we'll do schools in more detail.
<unk>.
Oh <unk> the leveraged solely results.
<unk> close quarter gross margin and the <unk> June June 2016.
<unk> or the how your mix of programming you well.
<unk>.
<unk>.
We were also blues to stall realize you the benefits.
<unk>.
Oh, selling affords remain bold was a buzzer penetrating.
You as my luggage and gaining a foothold visual shoes.
In the boiler, 90% of already with you.
Per cent of bug low <unk>.
I was in the U.S.
<unk>.
Represent benign person, although you as business over the bus here.
Well the <unk> seems on I lost all day the goal.
Oh, <unk> <unk> <unk> <unk> <unk> <unk> <unk> <unk>. He was going through those you know really well do you knew we didn't believe news even in news on certain environment.
Although 76 year history.
No successfully overcalled difficult times.
During the drivers has one of those those are they.
<unk>.
To emerge.
Stronger called <unk>.
I have Fool's gold fever is you know really do to do so again this time.
No no larger a more regularly.
As for.
<unk>.
Well, we're much bigger today.
We're still rubber so.
Only around 1% of <unk>.
Well they remain menu, but due to do to come through Avenue and games <unk> bio are strong bug low.
<unk> Oh above produce <unk>.
<unk>.
<unk> the bumpy road ahead.
Without thinking about these you know lectures to improve our goal structure.
Does flow <unk>.
The only adopt or be this to the growing environment.
Well roles will in fact previous talk grows changes.
<unk>.
As we emerge from these ball about Barry.
Oh, we'll know during the cold over degrees to provide a these little details or <unk>.
Thank you how someone will be anywhere else copied 19 responds on the slide number five.
Over the last couple of months, we have <unk> fun I have also.
<unk> measures to strengthen our business by the sheet.
<unk>.
The impact of 19 fun they make.
Similar to the U.S. in Columbia.
Stay at home.
Whining effect.
We are operating under a special inception.
Companies that support that construction on infrastructure sector.
<unk>.
Stone or critical products.
Cases, we have gone beyond guidelines from local governments on C.D.C. to protect.
Well.
Customers and partners.
We have.
Working policies and <unk>.
<unk> gatherings I'm on.
Yes.
We have also.
He was to protect our employees so just the temporizes.
Operations for three weeks late March.
Yeah.
They were lost to successfully <unk> place productions.
Comprehensive plan to incorporate social.
I'm all your best practices into our production <unk> process.
The late March I mean I lost.
<unk> I saw I some customers <unk>, while they are says the various patchwork of government orders getting interviews around that time.
<unk>.
Boys.
That time.
We have.
But <unk> I made up for a significant portion of the boss Oh.
<unk>.
We retain the labor force, while the plan was shut down by using vacation days lots where possible. So we were able to three similar operations.
Efficiently.
We entered.
I I just strong point in our company's history.
Plus he shouldn't along with a capital resources to effectively support our global operations.
We are focusing on maintaining.
Financial flexibility on generating cash flow.
We have implement there's three cost controls reduce operating expenses <unk> <unk> <unk>.
Beyond the completion Albany's you started in 2019.
We have significant.
Flexibility to to make week staffing decisions in my yard.
Force, giving down in large part of operating force east contracted through temp agencies.
We are taking it bylanes approach to protecting jobs where possible.
Showing our gosh.
Goals are geez, we will continue to be.
Sources Copytele location.
The action so we have taken with not only help us.
Near term.
Related to the pandemic, but I also signed fallout <unk> shared gangs and even more profitable growth.
From these crises.
Movie for box walk on the slide number six.
Evaluate element of our business.
<unk> your view.
Pipeline on their commercial portion of our revenues.
Water and backlog was 545 million up 5.8% you over here, primarily in the U.S., which now represents 89 per cent of our <unk> 283 per sending the first quarter of 2019.
I think comedy 19 crisis.
It's impact on the <unk> I specifically how these my.
<unk>.
<unk>.
Price site.
Processing According to planning markets work construction activity is permitted however.
You see really these much lower than usual.
Assuming that some projects get delay or temporarily poodle or.
To that point, we have seen the lazy.
<unk>.
Suggesting that New York area, where the local or.
Entirely dies.
The pandemic.
Overall beaded activity in the U.S. has remained relatively stable for the first four months of 2023 papers, which you think.
Into underlined the mind beneath the Kobe 19 related market disruptions.
Says teams are seen continual quoting activity I'm based on conversation with developers most are looking to get projects on the grounds. Once they are able to get February finance in place.
Versus I shall we just got to buy a backlog we have been very pleased with our back continue penetration into more single family projects, which we enter that and market in 2017.
<unk> houses and stuff.
Right.
Pleading the effect of sheltering plays orders and all their economic uncertainties.
Our business, we still have it rapidly grow impressions without <unk> Oh friends Gotcha.
Regardless of the divine environment.
Overall, the conversations for most national and local governments.
Shifting to the timing I'm base of lifting sure shelter in place.
Bother economies.
In these Empire mean, we have to remain flexible to tailor operation based on how we see the mine evolving.
For us we have the benefit over there.
<unk> quickie, we will continue to focus on up the mice.
Rowing backlog.
Through our focus business developing on says program.
Quality of service to our customers during these <unk> period.
I will now turning to call over two Santiago to this course on financial results on outlook.
Funkier quicker.
Beginning with our capital read Corker on the slide number.
When we come here.
We have made progress <unk> elaborate hard packed flow generally strengthen our balance who'd metric.
During the perk corner, we got to write a cocker from operates on a couple approximately 500 <unk>.
Bercor <unk> are low point <unk>, given time intervened click on tax payment.
<unk> by 6.3 million compared to the <unk> quarter.
Partly reflects how correctly rocker <unk> <unk> <unk> <unk> <unk> I'm working capital improvement.
Our topic from Queens by approximately 2.5 million, mainly reflecting <unk> annual <unk> our product from the already.
Bruck, approximately 3 million a final payment or higher recurrent automation investments completed and <unk>.
If I recall, we're back topics to be largely perl load it in <unk>.
Oh, Yeah, Oh, the <unk> quarter, we have continued to build our liquidity position.
Are <unk> are paying out.
And how to how <unk>, we all her go down an additional 10 million or are available like or credit to begin with approximately 60 million archives and Carl liquidity approximately 105 million.
Available line of credit.
<unk> about a long-term capital resources.
<unk> well quarter current environment.
<unk> in the amount of 210 million.
<unk>.
Beyond that our credit <unk> 2024, and I waited operates maturity online Cup credits are roughly 4.7 years help.
Looking at our net leverage we ended the quarter Accupoint port time.
<unk> down 0.6 times compared to the prior your quarter and I slightly from December 31st.
<unk> Quaker increase partly due.
A half million up topic during the period to complete our automate sending me pretty and make her banker.
<unk> ethics impact on Pax held in local currency.
We believe our <unk>.
Properly cooked her <unk>.
We have no carpenter work is talking about these time and we have over 55 million available through our.
Like a credit.
We are prepared to go down I think he'll copied all I need it.
I do not yet reason could do so at this time based on our order Cox building airports.
Promuc capital allocation perspective, our primary objective at this time <unk> pass and we turn up pork and Oh <unk> shareholder through our P. with it.
Based on our current capacity occurring Hulk of our completed automation investments, we don't foresee bacterial growth topic investment.
You're not going Benter, we crank <unk>, we previously communicated to climb to begin construction of the <unk> 2020.
The load Black plan calls for funding could be entirely out rains at the gravy level with the gravy partner, providing that box stop or not pro rather basis for any additional funding.
Given the current market climate.
Reviewing the project timeline.
<unk> near term.
And turtle return correct.
Permanent you'd expect it could be completed.
The project can get off the ground wants market conditions are conducive to do so.
Overall, we ended a quarter, we've got strong copied application.
Part of their <unk>, our balance sheet effectively navigate that evolving economic environment.
Looking at the driver cover rubbing your on flight number nine.
Based on the timing of embarking on projects in the prior year or not locked opera call. We indicated that we would have like <unk> priority get a comparison of the per quarter.
During January and February.
<unk>.
<unk> Crock right <unk> in line with our expectations and occasionally on par with a prior your quarter.
These what good because we have five more days of downtime January 4th scheduled maintenance or Columbia manufacturing facility compared to the prior to your quarter.
I mean <unk> no.
The amount of Mark representative declining revenues for the quarter.
Prior to your month of Mark the level of important thing was well about prayer due to the timing of closing our product.
However, looking at markup 2020, our revenue where impacted.
By nine your invoicing days, a week temporarily suspended <unk> from March 23rd April 13th.
I squeeze Manson <unk> downtime cream Clement progress on protocol.
The plans for paper production floats after engaging we'd cost too much on delivery schedule, even down turn outcome of the Ropey U.S. outbreak of corporate 19, Mark <unk> comer construction schedule.
<unk> <unk>, we use the initial phase of the Colombian government data <unk> order to prepare the plan to assume who operates on on the tape environment.
Prioritize our Inklings help.
Previously stated we have been operating on <unk> business like Clinton acoustic prior to the infrastructure and construction sector.
I have to stay home order remains in places up to date.
Through the month of April the U.S., the mind environment improve customer gain compressing the ability to proceed with <unk>.
Marker weak our thing for work.
<unk> operations on April 14th we have audits hip to address and Pappy Matt.
Looking at the driver or just the D.B. dot on like number 10.
[laughter] bite the favorable impact to revenue from the carpet 19 related interesting Mark. We were please can we improve <unk> copper signed up for sale by 350 basis points to 23.3%.
Compared to 19.7 per cent in the prior your quarter.
<unk>, <unk> 20.3 million compared to 21.1 million or 19.7 per cent upset.
We lover avenues, partly offset by a 510 basis points improvement <unk> 34.9 per cent port a core.
Okay in Brooklyn word margin, primarily with like the lower raw material costs are higher mix of revenue from manufacturing products.
<unk>.
Well greater operating the frequencies.
Implementation of automation <unk>.
As G.N.A., what lower by point 3 million, how can we continue to manage expenses.
We were.
Incur and less valuable caulk, given lower revenue.
I've mentioned, we are claiming caulk, given the ongoing market volatility.
We have made good progress on <unk>.
Arlene highly efficient and vertical integrated operations, along with our dedicated employee Bay leaf.
<unk>, you know ability to recently matter costs, we already man.
We will continue to sort of beating Robin is to improve the frequencies and maintain our industry leading <unk>.
Looking at our market on flight number 12.
Well the most part we are supporting customers in any market, where it construction is permitted.
While we have made good progress to diversify outcry to Florida.
The state your represent a significant market for us.
In that state construct turning to think hill and housing is considered critical infrastructure.
<unk> for a large part of our revenues and customer base.
More broadly approximately 85 per cent of per quarter. Good question on 20 bag log you can fake are good as big has the hot designated suppliers of products or services to the construction Turk sector I kind of thing till business.
Income markets, where we have a notable Preston protect New York on Pennsylvania.
We have projects proceeding on there are certain extensions are for the most part construction activity is limited.
Well not encouraging note. However, you at stake in grew in Florida, and Texas Happy Gone you can general restrictions.
In Colombia concrete you come to our nation wide sheltering plays order through at least may 25th.
But we expect the general extend from 40 infrastructure and construction projects <unk>.
Moving to our 2020 outlook on life 14.
We have withdrawn are previously provided for your 2020 financial outlook for revenue on adjusted even though.
<unk> Hockey's story provided a high degree or B.T.B. already four commercial revenues over at 12 month period.
Are prior outlook you should before to cover 19 pandemic represented at keeping project <unk> plucking dissipated the man from our continued expansion into the single family residential landmark.
<unk> remains from in the short term.
But we do.
Have lower bound to be already on the timing of project in boys in through the year and 2020 of the Lebanese will depend on the ongoing covered situation you need to market that we start.
For single family.
<unk>.
Expected to remain depressing them your car.
The second half of April barely revenues were higher level team prior to the temporary pension up our plant.
Even though they planned what being adopted to meet called retaliatory standard during the first half of April or no revenue per day basis for the days that we were operational revenues increased by encouraging 15 per cent green voicing date in April compared to Mark.
We have previewed the majority of dot month, or monkey improvement to back feeling the borders and the remainder relatively stronger underlined or not.
While we expect second quarter of 2020 revenues to be lower compared to the prior to get a quarter. We currently on P.C. pace acquaint improvement on a month basis.
Even that <unk> unprecedented nature of the current economic climate.
The remainder of 2020 cannot be estimated with precision at this time.
In summary, we entered the year with a good momentum on solely operating platform supported by us from capital base.
<unk> turnkey ahead, we are focusing on cost management, I'm, taking necessary actions, because I live or strong cash flow white safely serving customers.
We will continue to monitor and adjust plans for our business.
Line with our expectation to emerge stronger company when global market conditions begin to improve.
With that.
We will be happy to answer your questions. Operator, please help in the line for questions.
Thank you at this time, we will be conducting the question answer session. If people like to ask a question. Please press star one on your telephone keypad.
<unk> indicate your line is in a question cue.
You may prestart too if you like to remove your question from the queue.
For participant using speaking equipment, you may be necessary to pick up your handset before present this turkey.
Once again that star one to ask a question at this time.
One moment, while we poke fun first question.
I first question comes from Mike Schilsky with Dirty and company pleased to see the question.
Good morning.
My Mike.
So only one.
So I wanted to ask about your.
Enforcing schedule and.
And where the real concerns on a backlog.
Especially when you when you started a year into the springtime.
The thing is you know halfway finished or even partially finished.
I stopped doing that building at this point shit.
So my guess is the current project very near turned back light changed.
Timing differences.
I guess my question is.
More about the end of year basketball at this point or 2021 projects do you feel pretty good about what has to be delivered this year quarter to quarter past is not that much. There's some question, but sort of any years.
<unk>.
New project.
Well this is holes here.
We feel very <unk> this year.
<unk>.
<unk>.
Bloody 30% Oh.
Yeah, <unk> global <unk>.
<unk>.
<unk>.
Log.
So well for new here.
<unk>.
They're still.
<unk>.
<unk>, we have a good <unk>.
We are starting to see.
<unk>.
The game about closing because they're going to open New York.
In Boston lose a lot of work.
<unk>.
<unk> going to do going.
Mm.
Okay.
And then what's been your ability to do business.
Within the four walls in Colombia, with with other people out or else.
Okay.
Services.
When you're outside contractors food service and other items that have to be brought in every day.
<unk>.
Okay for you, but have you have your how's your various you know outside provider as being able to help out as well.
Oh.
No we haven't had any problems.
Seems like there's or anything, especially in Colombia construction, he's already back to work.
We were.
Send home for three weeks.
We tried to keep.
Piece open to lose three weeks. Unfortunately, obviously.
He didn't dish has been a leader below when an unexpected but it's all over now we've been working for the last.
Now for weeks.
And we do need regular numbers.
<unk>.
<unk> to have and very decent water for example, loudness unique water, obviously, taking into consideration that differs 13 days or maybe we were close by things are good so blind those neat.
<unk> good and we are trying to bill 2021, the end of 2021 on a that is gonna be don't also with.
<unk> <unk> <unk> buddies, yes, a a university they usually meant bunnies dot E.S. is very strong due date and he's going to do two girls you know company.
Okay, maybe just one more for me, obviously very very strong job.
In the corridor.
I guess do you think you reached a whole new range or tell from margin since we've made some of those improvements.
In the fourth in first quarter here.
Or.
Was there anything kind of cut on kind of temporary basis to kind of upset them and the volume declines in the corridor.
Hi, Hi, Mike <unk> basically almost I was gone through raw material or constancy were seeing less raw material costs the gun.
<unk> already in place. So so we do expect that to continue moving forward. Another piece about why the mix or business, we think lights on business closing out some projects. So you up you basically have some more manufacturing revenues rather than correlation.
Par you're going to depend on the mix quarter over a quarter.
<unk> cultural basis, I think that the rest of the year you can expect the frequencies bold from lower raw material.
And efficiency is related to automate.
I was we had mentioned earlier in in a year and even in previous conversations with respect to gain <unk> on on that road margin basis.
So I think is one of the pen more last one on what happens on makes quarter over a quarter, but their internally cultural things that would allow us to go into consensus from Mcgrath margin perspective.
Just have their stuff.
The large amounts of had here just the last two weeks in April [noise] excuse me.
What's that heavy on the close activity.
I mean, the first part of your question my job.
<unk>.
The high level of in voice thing that's happened last week that you came back to work, yes, and if there had been high on.
Yes, yes, it's been Carson, we what we've seen so far throughout the throughout the year.
I've been in line.
Okay. There's so much all passed along yes. Thank you.
Oh. The next question comes from Tim Watch with parents. Please we'll see what's your question.
Yeah, Hey, Hey, guys. Good morning, you guys are all save that sounds like you are and and appreciate all the all the detail on the on the slide maybe just M-. My first question <unk>. The residential business you know how would you kind of frame the performance in the first quarter.
Relative to your expectations and then have you seen that that same kind of.
Had that same kind of expectation for for in a month by month improvement.
Corner.
Oh Hello.
We've been doing really good.
We should <unk>.
Because.
Yeah, even though we do the war in the first two we can go right Yeah, we closed for.
<unk>.
<unk>.
We even boys.
A lot more than we do during the quarter in the first quarter or.
And we see a strong demand a in April.
And we could receiving.
No the.
Business is a day by day business.
And we've seen a little demand.
<unk>.
We expect to grow.
<unk>.
Okay. So so despite everything the presidential business should should still grow pretty meaningfully in in in in 2020 minutes, but couldn't here.
<unk>.
And then maybe just <unk>.
Yeah go on them liquidity I I think you mentioned working capital in there should be positive in in 2020, and it's it's been used to last couple of years I I know it depends on on the sales right, but but any sort of kind of big picture of code rails, you know that you might be able to give us in terms of what working capital might if we buy.
Like like you say, it's one of the pen mainly on sale I think we have pretty much our our inventories very or pretend you saw it coming down again these quarter. So so he's really are related to our Christian were able to collect the last couple of months, we've been able to to collect normally.
Our clients continued to work and that hasn't been any food. So I think he's gonna be related came to you know what sales say popped to be.
But I certainly think that you know we should be able to build on what we deliver last year without you know kind of giving you an exact number I think when.
We are seeing that you know you're already stored in the first quarter, we improve operating cash flow by almost six and a half million.
And and I think we should be able to built on that.
I'm believer better operating paciello than last year.
Okay. Okay. That's helpful. And then I I guess, just yeah last questions just maybe a bigger picture one but just given your your low cost position and just kind of curious how you make you know what to expect techno blasted before you know relative to the industrial things, what what kind of weekend.
You know from the backlog perspective that she got in Q., you know 2020, and 20 2021.
[laughter], we in the I beam with the company 35 76 years now.
And every time, they usually grinders, that's when we perform better I mean, because we're in a low cost environment. We were born honey crisis.
We love to handle them.
We have in the future I mean, we see that dollar how we could make exactly I think we know.
These pandemics situation and and we can sell more be more efficient.
Improve our we are improving on on the <unk> on everything and we used to couldn't be new to better than numbers I was actually going on we would've hot easily if we would we boys incomplete and water.
We would have easily moyes eight more or nine $9 million.
Hot two or three all they need.
I don't do the number that you seem to late so we are we feel very confident that they.
The future had these easy for US we obviously, we want to make sure that we I mean, all backlog well do thousands to anyone which we already have some we want to build more especially when <unk>.
I have to to to make yes.
When things go down and demand goes down.
<unk> all our peers.
Able to <unk>.
<unk>.
<unk>.
Well, we're no <unk> no.
<unk>.
<unk>, we rather shoulder good businesses.
No gained a little.
A little grown just don't Bryce.
<unk> of course, we will do it.
For the moment, we're growing was a solid business.
Solely bulfinch.
That's what we're doing for now.
Okay. Okay. Thank you good luck on everything guys and they say.
<unk> Oh.
The next question comes from Charles Wilson would Raymond James place, we'll see with the question.
Good morning, Thanks for kicking my questions and hope y'all are well.
<unk>.
<unk>.
Thank you first one could you Santiago give us some some sense of maybe what Catholics and D.N.A. it looks like for the year now.
Yeah. So at the beginning we had talked about being led on 10 million as you heard on on the commentary we expect topics could be <unk> give and we had to remain in pieces I'll be I don't <unk>.
Moving Cold War.
<unk> going to be less under 10 million, we we talk about where you don't we don't foresee.
<unk> grilled topics for the remaining of the year, it'll just be merrily mountains topics and whatever's left on the automation, which is not mark.
Okay, and then you mentioned some cost cutting efforts on the the expense side as well can you give us a a sense of what those might be and how much of it is volume based.
Yes.
<unk> traveling expenses professional <unk> everything you can do for a month from an or do you need <unk> <unk> on on the cost side. There's only you know so much you can do since he's a lot of five variable costs.
The company you know has prioritize per serving employment.
Oh, where it where keeping our employees we've <unk> here, we're talking about where we're gonna need employees. So he's not related to to headcount reduction is more what we can do another <unk>.
Mainly related to to S.D.N.A. and also you know to your concerns he's that are gonna come or that are already kind of clothing portable related to the automation.
<unk>, having less material waist and orders that's going to help out.
Got it and what sort of progress have you made an adding a single family recipes dealers.
[noise], Oh say you want to take that.
Well if you live.
<unk>.
<unk>.
<unk>.
There's too little.
Mm no lundell, which.
<unk> different breed, because we didn't have even broader for love though.
<unk>, Florida.
And we <unk>.
Yeah Hurricane most away, there's no hurry to improve.
So we took a beagle time to design the windows for another area, we already do.
Yeah, we open though distributing these doing good to study.
We're opening also in the <unk>.
<unk> one window that before.
And we are having a little <unk> in Miami and Big brother were.
<unk>.
And also in the West Coast.
<unk>, even though we reliable.
<unk> is the best buy four.
Yeah, we have the <unk> windows or wherever you go by the the U.S.
So we're very goldfinger that we're going to keep growing <unk>.
But here in one less clarification for me.
So it is as far as your downtime goes fair to say that you didn't lose any jobs are your customers sworn impacted because they chose to delay at the same time.
Okay. Thank God. We are you know, we we we have gotten used to being handled the blue all the time. So we we would like four weeks <unk>, because we like to Stunk.
He has already finished in the boards of Miami, So <unk>, even sheep, yeah, he's broken or anything you want to affect the jobs. So we were able to take the three weeks off when the shelter order came in without a problem obviously had he <unk>.
Little bit, but <unk> not one single delay in the whole process Jose.
<unk>.
<unk>.
We have 100 or two or three jobs.
Florida, though wouldn't do lewd.
<unk> before.
And do all day by believe as soon as.
Yeah, because they they go all the door hotels.
<unk>.
So I believe by the end of the year, they're gonna <unk> the hotels.
And we believe that everything is going to go back to normal.
Mm.
Good luck to stay well.
I think sounds good.
Oh My next question comes from rent them in with the eight Davidson people see the question.
[noise] I'm a next question comes from Alex We go would be writing police will see the question.
Thank you can morning Jenna.
Good morning, I like how are Ya.
Pretty good.
Okay I'll go what portion of your sales don't get captured in backlog.
Just single family residential.
Yeah.
<unk>.
What was.
What was the exact single family number in a in the corner.
About 30 million or so.
Oh, okay.
And.
Jose manual <unk> are Christian <unk> can you go back through kind of some of those key competitive advantage is that you see developing due to cope with.
[noise] no <unk>.
<unk>.
What my brother was <unk>.
It was that the game is all about.
<unk>.
We have the lowest cost a bandage.
Weekend lower price.
And there's do make more <unk> gave me grow.
And I know so they they all that <unk> the <unk> we are.
Hmm.
<unk> <unk> <unk> <unk> automation that we bought each coming into blaze precisely now in first and second quarter of 2000 trendy for example disorder consistently aluminum for our window factory, which you will be a big impact.
You will be operational in Union. So you will need a lot less people that you can use to be more windows.
And be more efficient.
Lose less materials on so or not is coming into place we already have the in in hours through some blonde you're sorting system and the we are now <unk> 20 per cent profiles than ever before.
We let the amount of people.
So the cost of has come down <unk> aluminum have <unk>.
<unk> from now on that will help us maintain their <unk> I make even better competitor.
[noise] very helpful. Thank you very much.
<unk>.
Thank you at this time I would like to turn to call back over to <unk>, well Chief Executive Officer.
[noise] well <unk>.
You do they school, we are really going for the future <unk>.
Two.
Oh sure holdings.
Do make sure that we could gaining grown.
And they might give you the U.S.
<unk>.
Thank you. This that's conclude today's teleconference, you meet disconnected lines.
<unk>.
[noise].