Q2 2020 Savaria Corp Earnings Call
At this time I wouldn't like to welcome everyone to scenario Corporation Q2, 2020 conference call.
All lines have been placed on mute to prevent any background noise.
After the speaker's remarks, there will be a question and answer session. If you would like to ask a question. During the time. During this time simply press the star they'd be number one on your telephone keypad. If you would like to withdraw your question first the pound.
This call may contain forward looking statements, which are subject to the disclosure statement contained it's a bar is most recent a press release issued in August taught without simplicity.
Back to his kids.
That's what's your results. Thank you Mr. Barrasso you may begin your conference.
Okay. Thank you very much Whitney and I am very happy to speak this morning, Okay with that were.
They do that were investor or shareholder so at least if it doesn't get stereo gave before we go I buy this company in 1989 good.
For people so 200000.
We'll go public in 2002 and here we are in 2020.
When I decided and 89 to by somebody else, Okay, but I'm the guy called somebody else.
I was thinking okay as a consultant that gets finds find a company that it would be the future of meat and my family.
So it's very very long time ago Lucky that we are in that segment that we see conducts admin and what would stick for I wish deterioration in that segment about the aging of the nation.
When I look at that said seeking 1989 P. that's watch.
As soon as likely to garden, but gone down in 2020 aging of the nation and what I like the edging up you shouldn't and not just in Ghana yard North America.
Oh, hi around the world.
So we get in dad appeal we.
We add some good partners and I've always been called my employee partners because that partners and so.
So right now.
We had 26 direct copies swept 10 treachery web 1500 employees.
And it is tremendous okay, how about the aging of the mission and I am I was I think the right division up here at the time and now I think I wonder somebody out people make 27 million of EBITDA I need a bit more than 2019, okay. So far.
I think that's cool that's approved for the people hey, even abandon DLP will not stop these days.
So whether it sounds to me, it's not easy okay. It wasn't easy is <unk> UK I'm most pitch FICO p. like it. He said you appear at the beginning of the it that these after all the question I know keep manufacturing, but no everything is back up to 100 patients.
But it's not finishes why we don't have guidelines right now because it's not finished just see what had been another boom Nokia and we are in Melbourne, Okay, and knowledge studies to be done that okay. We cannot the installed base.
Turning to people are it's great to two to do that for a quotation. So it's not finished but what they see I guess is just the passed the peak, but the best see that would make 27 million looking into pledged to six months after that.
I think what investing okay. That's outstanding two other company that's true.
That's true that it did you spend to me okay and.
We continue to PCB down so Pete Wendy will increase the dividend. So we are very ready I see and thanks to my people took this morning, and you're going to meet the people that you want to speak you pick up about a sign in soaking wet <unk>. If we take about to think about the question about the operation that's about gene.
And if we think about that.
We are speakeasy Q2, and you've got nothing that and if you want to speak about the we see that future Oh, we see that future. It would be the listing and I'm very happy to answer to you. So can we go for the question. Please.
Well, let Michelle.
Yeah.
He wants to also what are you a quick overview of the financial Oh excuse me excuse me.
Yes.
Okay, well, thanks myself and good morning, everyone I'll begin with some remarks regarding our urge you to 2020 consolidated financial metrics.
For the quarter be corporation generated revenue of 84.7 million down 9.3 million or 9.9% compared to see period in 2019, mainly due to an economic slowdown every progression of the global corporate 19th endemic.
Gross profit and gross margin stood at 49.3 million and 34.6%, respectively compared to 32 million and 34.1% for the same period of 2018. The decrease in gross profit was mainly attributable to be lower revenue generated in the quarter. The slight increase in gross margin was mainly due to a better.
Product mix, then continued realization of Grbavica live integration related synergies derived from the corporations accessibility segment.
Adjusted EBITDA and adjusted the margin stood at 14.5, new and 72.1%, respectively compared to 14.2 million and 15.1 person for the same period in 2018.
The increases in adjusted EBITDA and adjusted EBITDA margin were mainly attributable to a better product mix and can be inhibition of your rent. The live needed synergies are getting through excessively segment $18 million, who Didnt mean peak employment retention gerbig of Canada subsidy and corporate wide cost containment efforts.
Now moving onto operations.
Revenue from our accessibility segment was 60.2 million in Q2, a decrease of 6.8 million or 10.2% compared to Q2 2019. The construction revenue was mainly attributable to economic slowdown repercussions of the global corporate making them.
Adjusted EBITDA and it just seems the margin both before head office costs stood at 12.3 million and 20.4%, respectively compared to 11.2, new and 16.7% for the same period last year.
Improvements in both metrics were due to a better product mix continued realization of your rent the liver related synergies and cost containment efforts.
Revenue from our patient having segment was 21.3 million for the quarter stable when compared to the second quarter 2019, Soberly acquisition, we made a growth partially offset the anticipated revenue contraction suitable to corporations decision to exit from spends a custom products market segment, you affected Q3 of 2018.
Adjusted for the exit of custom products organic growth in revenue would have been 2%.
Adjusted EBITDA and adjusted EBITDA margin, both before head office cost stood at 2.8 million and 30%, respectively compared to 3.2 million and 50% for the same period in 2019. The decrease of both metrics was mainly due to a sub optimal Q2 2020 revenue product mix from span.
Partially offset by the contribution from our civil we acquisition maybe in Q3 2090.
Revenue generated by the adapted vehicle segment was 3.2 leave a decrease of 2.6 million or 44.6% when compared to same period in 2018.
Adjusted EBITDA and it just seemed the margin bodes well for helps cost were negligible compared to zero point, Threemillion and 5.2% in Q2 2019.
The decreases in revenue and adjusted EBITDA when compared to.
Last year was mainly due to economic slowdowns repercussions of the global 90.
The freight coordinating pandemic.
By extension the lower revenue generated by the segment impact that its fixed cost absorption rate, resulting in a slightly negative adjusted EBITDA margin before head office costs.
Now turning to some financial liquidity metrics. The corporation ended the quarter, what he net cash position of 41.6 million.
A combination of discipline in terms of working capital management capital expenditures as well as government related cash to full options were key in not only maintaining but improving our cash position compared to the end of Q1 or one in the midst of the cold and maintain pandemic.
The corporations trailing 12 month net interest bearing to adjust the could there be sure we meet the minimal coming in at 0.1 times, providing ample liquidity for potential future business acquisitions.
Looking ahead, given the anticipated global corporate Nike pandemic, social and economic related report repercussions for the remainder of the year being able to provide an age to forecast remains extremely difficult.
However, based on strong backlog can take in July specifically within the accessibility segment and its ongoing cost containment efforts. The corporation remain optimistic for the second half Twentytwenty.
This completes my prepared remarks myself back to you.
No. Thank you very much okay. So a very well done and the were ready for the question.
As a reminder to ask a question. Please press Star then the number one on your telephone keypad, well pause for just a moment to compile to culinary roster.
Your first question comes from the line of Michael do Matt.
Yeah, Good morning, guys.
Okay My Michael.
I was wondering if you'd give us a little bit of a sense for the monthly EBIT dog cadence.
Through the quarter I think he previously indicated are you called out that he probably EBITDA was flat year over year.
Now it looks like a whole quarter was flat you and it was there some weakness in may at all and.
If that day transpired did you exit the quarter with a little bit more strength, just just some flavor there would be helpful. Thanks.
Okay and I.
I don't know bottle do after that so I answered that.
No. It's fine Marcel I mean, usually our quarters Oh are usually skewed in terms of performance towards the end of the quarter No. We look at a quarter, we start off a sort of went than we end up strong. So that's the usual trend.
Four quarters again Q2. This year is a different animal no corporate 19 easily and already put.
Some some some some dense into it but overall I think we came out of it very well, except we put into place some very a very strong cost containment efforts to help us through and you know depending on how the Q3 starts to shape out we're ready to do some more if need be.
So.
Okay. That's helpful. Thanks, and maybe if you could just elaborate on the strong sales bookings in July I mean.
You know by strong do you mean that they're roughly equivalent philosophy. I mean are we trending so far close to flat positive any comments there would be helpful.
Okay.
You bet shall tomorrow.
Again, it started tracking and wed have to be careful about sometime after they have to see how sticky, but I am very enthusiastic, but what do we see LP in July okay about that the bookings that we had here into onto about accessibility projects. Okay.
Just to have you, okay, we democratic she'd be decades quite got work, that's not booking ever okay. So.
That's right well sure if they can see the it's a trend for the June two years, who bought or outweighs the keyed up last quarter.
So I am very optimistic, but I am very cautious.
How about the in very short future, because they're not they're thinking changed.
So that's what I can see no more.
That's great color. Thank you and maybe if I could just sneak another one and I mean accessibility EBITDA margin hit 20% in the quarter.
I don't I'm, assuming the segment benefited from some wage subsidies, but nevertheless, I mean essentially at the top end of your margin targets for that segment.
Again, it through cobot right.
So what's the margins where they are I mean is there much of the margin story last or the focus now much more so on gross.
I'll leave it there thanks guys.
Okay.
Good good question, Okay looking at their 20%, okay, but what is important in happy that we are coming up you would that mean need union. Okay. That's a we make two insulation. Okay. So okay and it is just right. If you win so that with the out soaking up 20 years old and the with it and you and your outlook just.
Okay, I would try to turn where more towards that spread that well, what we have okay and the margin just projects that these guys Friday and access to be D. It.
Would it be get that they will follow with products.
It's like a bad if you do look at the furniture that fee that MGM, that's true dependent well, okay. So ER.
So that's it so we are not stepping down we see that you can be improved with disgusted with important new projects.
Thank you for perfect. Thanks, a lot of there.
Your next question is on the line of Frederick Tremblay.
I was hoping to do.
Hi, good morning.
I'm just following up on that Uh huh.
That's very much maybe a will be sebastien you can expand on with the launch of the many of you left and I was also interested in.
Morning.
Where it will initially be produce and oh, you're able to leverage or your chime in manufacturing.
So for that.
Uh huh.
Okay. So good question. So basically for sure we always use try to argue that that's a key partner frosty do very good quality various tabled products should even to depend D.V.. We had no supply trader issue I talk so for sure I'll do if you'd give some key parts as tool to try it up because they are the are better than us to manufacture some of the parts.
But for sure it really relates various custom color is a customer travel.
And we like to offer very good lead time, approximately three weeks, where a customer so basically I have no choice to do many many parts of trouble to for to be able to what you've done.
So that is talking about the efforts against since the beginning of the year since we cannot travel now we'll see.
A big portion of my R&D team today to the my sense have been for Chris on the immediate relief to make sure that this product is made sure I'd add to the lot of assertion my sense and that is so should we have complete this week I kept my place is a we're ready for Q4 for for a big launch and that's why more sand, but did you get over the years going to do a lot of marketing what have you lift.
Because that's a product of the future if want to bring some more assays additional sales are going to growth.
Goes from the from there so I really yeah, that's a game changer for us and the that's a flagship is bring some saves a lot or overly reentered because for sure would reduce your customer we always talk about if you live <unk> traditional elements or with the would cab.
Our dordick argue or whatever to customer preferred and that's why we have a good trends as it begins the year old or overly renters.
That's a bit a the answer.
Great. Thanks.
Nick can you provide a an uptick on the things business I understand that no. Some patients with installations are delayed due to limited access drums return facility, but.
Is that also impact silver lead spring business.
Actually this brings the been and tell them quickly will doesn't know what sling is more of a consumable product is for the kind of the recurring revenue piece of it so it's not necessarily.
Depended on the on a new installation.
No as it relates to simply what is in fact, it's simply the most it may be just kind of the.
No the various environment there in the UK were a good portion of their sales generated they had I guess a more difficult Q2. Then then the rest of Europe, although now it seems to be improving so that's why we have quite a bit of optimism I would say as we're exiting as Rex in Q2 going into Q3, but other slim businesses.
It does quite well the margins have held up well that's why the biggest story about Sibley is no throughout this period. The management team. There has done an excellent job and containing costs of managing the business throughout this crisis I'm. So very happy with that acquisition. It's come on the one year Mark now and the transfer to a degree though there's also no gone.
Well.
We're up to over hundred slings, a week that are being manufactured there. So so all know we're very happy with the some business.
Thank you maybe last question for me a mark.
Did that answer.
Did you have to tell you actually worked talking about the beauty of smoking I would have just given that you did see is why were very bullish.
Well this project okay that.
We kick in.
And your 2000.
23, Okay, we'll we'll.
<unk> over 600, <unk>, but you can do that math, but did that music sounds good acai and who we sell the average of 14000 U.S., Okay that major sports chalet yet.
And then side growth, Okay, I think cookie and will we will work very hard to reach just kind of number and don't forget just didn't draw too would benefit more minutes pick two more Dan.
Moving on to read the tea.
Yes, Okay. So we see in their 600 his death and don't forget we produced in China, we can manufacture in Teddy and again, but manufacture in Toronto. So that's.
That's that's that we would that we are set bill okay to settlement projects right away again outside North America just that.
Okay, because it it could you give me your equity that's question.
Thanks for those who don't I'm, not saying that was actually going out.
At the beginning of the call you talked about your vision, a the Virginia I didn't mention nine when your garden to company. If you look at the next three to five years, what's your vision.
Solution must have varied anthems, no product and geographic footprint.
Okay. Good thank you know something.
It takes years it gets built something but I'd say here right now, okay, so better yeah.
And then she didn't we advocate we don't add roughly any that.
We are looking a key about you territory. We're looking at sheet combined company about just Entebbe Terry you know that we can be a has shrunk go into west coast of the Disney So we want to buy Dieter and after that's okay. We are looking maybe each bank holding company that can offer onto products. So.
He that disease.
Nick <unk> small niche lumpy, but where do leader in this niche and who lunch complete did you do that didn't you did okay, where I want to make some acquisition and.
We are already got what finance is ready okay to make some acquisition so I am very Ed.
I see it yeah, you're just saying they're concerned about four years with the board game, because I am data, okay, I like to be Dan I Love and I love that that May make people, okay, and including my Matt Yes, My two sentikin yeah. Okay work in the company. So we are there to see and beat the dead worldwide leader.
Perfect. Thanks, everyone.
I think of it.
Your next question is on the line of Cal Mcphee.
<unk>.
Hey, good morning needs more cautious on for Scott.
Indeed, we won't really segment I'm wondering can you. Please provide a any details just on the July order intake that were mentioned in the press release product and type was that all than many of you with something else.
Well I wouldn't say just happy that we had the best booking Okay. Nexus deal actually CBD is when you probably just give you here, but is it is essentially the weaker.
Had a very strong minded about.
Sadly for peace rates down it's been a coach certainly good order and that's when but don't forget that <unk>.
HM.
It's not do you any company Yaki you only division other division a gate and but you remember one thing when we speak about dropped to about Texas would be okay. That's really present that Pete.
Good chunky footwear bush in over 40% of our EBIT is coming from two auto.
So I am very optimistic because.
We received just kind of quarter in our main manufacturing away would make profit or will make it.
Okay. That's good thank you and on the adaptability vehicle segment.
Does now to break even at the current revenue run level plain, it's going to potentially become an EBITDA drag if there's no more revenue contraction or theres more revenue contraction. The severity have plans to cut costs, there and avoid that or alternatively is there a way to get revenue to start rebounding.
And you worried that you weren't Montreal day yesterday, our lately.
Because a you exactly see what what it is okay.
Right now if he would the projection that we add lucky.
Were going nowhere oaky and bring new ways that May study. So we put in place a key.
We haven't no guy Okay, that's coming out good from Magnum and we put them. Okay. A couple funds on debt to present the plan, we want to Brad Hughes hockey when it car and Mike and make any bit of 10% and that's why I started yesterday. So you had a good damage is question.
Okay, sorry, just to confirm those numbers, you're hoping to get 20 cars produced per month.
But right now Okay. You know we can produce at 35, but it's not to be as <unk>. Because we don't have 35, so I got that 20, but I got that to be.
I want to make them business and that's what we'll do at the end of the it.
So next year, you can see okay I work.
That's it wouldn't be towards had met the good de de car industry, not easy, but that can be a contribution up the.
Okay.
10% Lucky and it will be dashboard to anyone.
Excellent thank him or so on and last one just to come back to the question about the strong balance sheet and potential M&A do you guys have an active pipeline that you are working on have you found coded as a headwind that's kind of stopped that she'd no no no no no one.
We are lucky Okay. We added you know what came up.
Caused you called out at that Okay, and this guy is good and you know and that's what people that are under world. Okay for sure right now we're cautious about me accretion far from us okay.
And were cautious about the price that we would be but we have a piece on that interesting cooking.
Okay. That's great. Thank you very much.
<unk>.
Your next question isn't the lineup Nick August Dino.
Well go Nick.
I believe it myself.
I guess couple of questions for me first you guys talked about a more synergies on the guarantee that the side can you speak to how much more synergies or how much more cost you guys think you can take out of that business.
Before we see the margins on that side really fully exhausted.
Okay.
That's a basic I Dick so basically it for sure North America, I'd guess avatar is improving.
Getting closer to 70 or not there yet, but we have some plans to concentrate improver with some more parts or say would it is job more productivity to recover but the biggest gain is a would be to go up because it drove up lucky we have to improved product mix and that's something which is what our R&D agenda that to the next two years, we really want to make sure that.
Every product coming from timing for you up and then we'll have read a full also so I've got get having.
To be competitive over there.
I want to be successful used to make sure you said the right product out there right margins like view lift.
That's something that all our country, Italy.
Swiss Germany. Following a check are making some effort of marketing to says if you would if Washington would need to remind one thing. If you live is a low cycle time Lucky for sure. If the guys. We are which were fit it can be would be faster, but if the guys, but they could you ask maybe why do your two years. So at the beginning of is it fair clarity you need to get some drawings and believes I'll I'll give you live.
But the so we we have to make sure that we plan their expectation correctly, but definitely a you up again tragedy <unk> as soon as we improve drove up we should be able to city all get haven't.
Much closer to the dose of out of your margins.
Okay.
And second question.
I think you obviously talked a severance.
Okay.
Yes.
I'll be back at the export possibly from a flat perspective, what about some of the employees you have to either working from home upper layoffs have all those employees I'm back to work and if not what's the expected timeline.
You bet check and that maybe put a in a add to the people. Okay. What you have done to onto Okay. Our main victory about the security and disbanded me.
And there seems to people working on with somebody just about the salespeople in the distribution.
So basically we ever be or and full of people working football Lucky, we don't forget where everybody defect service pretty hard to assemble does any reserve for at year old So where they're subject about as your products should if you're not there sought after that to the solicited why is it are a direct our fifth you have to go to side to make some installation so very sorry to pull the numbers of people are working.
From over so most of their staff is back to work.
For sure type of fraud prevention.
We have provide best to all our employees since the beginning of the but they'd be I would see oh. The effect, we are wearing masks a video sub area, where you might think they went out where it but they everywhere. It is doing it and we have Arabic attested Toronto first to do some temperature check of each employee where the saw some cover us. This type of the door you show political come through the door.
That's something that we have to you that should to roll up at all or building.
Just to protect very pleased we're very lucky so far there probably that's been very transparent very responsible so if there wasn't really good.
Do you have a stay over there so I think people I've been very responsible since the beginning of there.
Okay and then last question, obviously look at some of your competitors in Europe, specifically handy care those guys are relying a lot.
On the star lift market.
There are also restructuring or business and looking to make another goal at their north American operation.
You guys see any change on the competitor front from them or do you anticipate anything to change with regards to North America.
Either in the second after this year or 2021 from like a panic guarantee the archer.
I would tell you a question about a p. how many years you can do seven are ya.
Oh, let's say about seven six or seven.
Oh, yes, I appreciate you.
Yeah the August.
Okay and that is a coupon. So you have just one thank you on that and gather yet I was disappointed with the data the financial effect you to enforce true for damage PD make.
Just straight steadily if encouraged can't live in the Avenue and until their division in North America about it.
About petion.
Patient this okay and the because these have general pollution and distribution and discovered is in Europe. So they have just North America.
Okay, Great company with that he got left us a good potential they want to be more in North America.
So if you were looking to add to have new projects in that and I went back them, even if that were going to pick two straight incur look it had nothing at the same level, okay, what the what the out so ER.
So sure they are data, okay, but don't forget the at just two projects, okay, great and care and has to get this does just segment that is very very small for us. Okay. So we'll see that future.
Okay. Thank you and a good job on the on managing this pandemic.
Thank you very much Nick.
Your next question is on the line them Zachary ever said.
Good morning, everyone congrats on the quarter.
[laughter] bundle.
So most of my questions have been answered sand or to kind of longer term ones.
Could you comment on the level of collaboration with architects and designers to get your products locked in the design spec sheets for new developments.
Okay. That's a good one is why okay I decided at the end maybe the first time look in my life. It's a very okay. We decided lucky man, Okay, we need a key to be stronger okay in front of the ability to <unk> in front of the.
The people who make a decision so what's the can you go see at these I know you will see an architect cooking, we want to beaten their face, okay, and we would push debt in 2000.
During 2000 2020 whacky.
Fortunately right now if you we don't have any exhibit the Kid who do she did those so we would be very active on entering had Vicky and that's a good starch Bridget due to ER to see our new products. So Pete that I'll eat going out of you don't forget Dickey yard and yet you shouldn't they gave me doing that did.
That's okay, and you see deal well shouldn't okay.
If you go to this it could not true north if you do that Vicki you don't even asked what is the price of <unk> you just asked Wendy's installed one.
So.
We want to be should that be more present furniture P. D. D. C. I worked right. It's okay, we will be.
I have some video more again would be.
You pre synergy and marketing just designated a few too to architect Bill there is designed it.
So we would be you will see our I would try to it so a lot more okay. Then you see that bass.
That's great color. Thanks, and then you mentioned that you have very interesting things cooking pipeline in the context dependent or your thoughts on completing M&A without traveling to see operation.
Okay.
But you know something.
Discover and not just me Vicki and at that people just covered okay. Like we can do a key like.
Like on that because of deemed he that we use the more affinity.
Great well, it's incredible yesterday, Okay, we have our board of tea and I think that's one of our best board to be any guess nesting. It. We've got this in place. So you know we can do a lot that being on the due diligence happy.
In that.
No not someplace bullshit, okay that nothing is it can be better than to be in front of the people, but I think we can make some acquisition and we can.
Good day, and distribution would change and I wish and six months or nine months, but you know to go something in three six or nine money. We have to work right now so a lot that big can be just city.
With Internet.
That's really helpful. Thank you I'll leave it there.
Hey, Thank you.
Your next question is from the line of Justin Kiewit.
Hi, Justin good morning on the Hi, good morning.
Pandemic really programs is or any specific benefits for Q3.
So I went back to you.
When it expert and it did come out.
Hey, good morning.
Wilson right now we're still looking at the the programs for Q3, because they use these programs keep changing every day I know they've been extended till the end of the year, but the conditions keep changing on whether or not so we would be able to qualify.
So as we've indicated that we're looking at our cost structure and.
Moving on whether or not we qualify for somebody's programs will adjust accordingly to make sure that we maintain our EBITDA.
Cadence going forward for right now, it's still a little bit earlier I said, we're looking into it and if anything comes about it we will definitely indicate that financials and mdna in Q3, just as we've done in Q2.
Okay. Thank you for your conservative answer at metal.
It's the correct that [laughter], yes.
Exactly.
[laughter] yeah.
Yeah.
Good.
Just a broader question.
So there's been a focus on home care in the U.S. Count I was just given the the palm Dennis I'm wondering if there's any type of <unk> government programs, where.
Your own customers potentially access as far as upgrading or their homes in the mobility solutions are there any of those currently available in do you anticipate.
Could be a change going forward.
I said anywhere.
Uh huh.
Well, it's very difficult to say what different programs may or may not do there are some some tax credits that are available when you make your home acceptable.
Beyond that in terms of direct grants Unfortunately, especially for some of our hiring products mean, Marcellus talk about the view lift or <unk> or even just the traditional elevators.
I don't know any government that's going to give you might have put elevated personally.
So I think for those products, regardless of what's going to happen they won't be affected for other products such as soon as their lives or some portolas.
There could be certain government grants or government incentives in place. The V. For example, it does offer certain certain programs and let me think about I'm sure.
Teams as well there are kind of certain certain areas were no insurance might be a portion of certain accessibility products, but but for sure it's mainly cash.
Right now and we envision that for the future as well.
And just how does he see epic and you've got though.
Justin.
Don't forget the game that people want to say, we don't want to go anywhere any more up he had that just kind of freeze dense plus very top okay said it had to Pat with depended me. Okay. How many version that it does stated look to whats happened that but were very good outlook. It I bumped it but some and distribute that could do you need to be.
Great, Okay, and I'm sure. Some people that are government takes a we wound up eight if people see almost cases, they own and they lacking in India and PD more favorable person stay onto the some grant to the people and I'm sure that will come when it does in North America because people don't.
I want to go debt and the son or daughter don't want to put these mom, okay, and just kind of outlook there would be for up to be safe, we'll get that these they have that house okay.
Okay got HR something that net so just in very good control you make some lobbying answered it up.
[laughter] I'll do my best and it'll be interesting to see how that develops.
But those are my questions are you pretty much.
Thank you.
At this time there no further questions.
Okay. So whitney thank you very much to to be D.
And do not work all in that.
I wish you a very good day.
Thank you and thank everyone for joining today's conference call you may now disconnect.
Thank you Mick picture when my kids to my team.
Yes.
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