Q3 2020 Blonder Tongue Laboratories Inc Earnings Call
Ladies and gentlemen, thank you for your patience you are holding for today's blonder tongue laboratories third quarter 2020 earnings call. At this time, we are gathering additional participants and will begin momentarily. We appreciate your patience and ask that you. Please continue to hold.
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Good day, ladies and gentlemen, and welcome to your Blonder tongue laboratories third quarter 2020 earnings call. All lines have been placed on a listen only mode and the floor will be open for your questions and comments following the presentation.
If you should require assistance throughout the conference. Please press star zero to reach a live operator at.
At this time it is my pleasure to turn the floor over to your host Ted grouse, Sir the floor is yours.
Thank you.
Hi, and good morning, everyone. Thank you for joining us and participating in the blonder tongue laboratories, 2023rd quarter earnings call.
Ted Grout, President and Chief Executive Officer of the company.
As we give our remarks. This morning, we will be discussing certain subjects will contain forward looking statements, including managements view of our prospects in evolving trends in the market.
As you know the future is impossible to predict and so I caution you that actual results may differ materially from those that maybe projected in our comments.
We would ask you to refer to refer to our prior S. T SEC filings, including our form 10-K for 2019.
Her filed forms 10-Q's for the first and second quarters of 2020 as well as our third quarter 2020 results press release issued this morning.
Also note we anticipate following our form 10-Q for the third quarter is 2020 on or before November 16th 2020, which is this coming Monday.
All of these filings press releases and documents include additional information concerning factors that could cause actual results to differ from the information we will be discussing this morning.
With me today are Steve shade, Chairman of the board of Blonder tongue laboratories, and Eric Skolnik, Our Chief Financial Officer, and senior Vice President.
Arixtra remarks will follow mine and will focus on the financials of the company.
Following their presentations all of us will be available to answer your questions during the Q and a session.
During the third quarter 2020. The company has continued to work through a very difficult market for telecommunications and cable television transmission and distribution equipment due specifically to the effects from the global COVID-19 pandemic.
Eric will review and provide details on the numbers shortly but to summarize we have had an overall, 21% decrease in sales in Q3 of 2020 versus Q3 of 2019.
The majority of that decrease was focused on our traditional HFC or hybrid fiber coaxial technology and digital video transmission as well as our DOCSIS data delivery equipment.
Our Q3, DOCSIS products were particularly impacted as our customers for DOCSIS equipment or over weighted in the hospitality industry, which has been heavily impacted by travel restrictions and overall limited consumer travel brought on by the virus.
The DOCSIS segment is starting to come back, but it's only been recently that we've seen that uptick in shipments or any evidence of a positive trend.
We also experienced a decrease in our contract manufacturing business for the quarter.
This is a small segment, where we produce products for two specific customers and we believe the impact will be short lived and recover back to previous levels in the in the near term.
Despite the overall lower sales levels and HFC in DOCSIS products, we have seen positive initial market reception for our new Clearview video encoder and Transcoder product lines that have brought in $937000 in new revenue.
From the beginning of the year through Q through the end of Q3.
And we're now getting very close to our end of 2020 monthly revenue targets for those specific product introductions.
We are also about to introduce several more products in that same product line.
With a focus on trying to bolster late Q4 in early 2021 sales.
And build upon the initial clearview product success that began in Q2 and Q3 of this year.
Our C.P. or consumer premise equipment related business was steady during the early part of Q3, and then grew modestly by the end of the quarter.
Sales of those products are demonstrating reasonable growth as Q4 develops and as we transition into 2021.
On the Companys flagship NXG or next generation Gateway video digital signal processing product line, where we're in the final processes of completing the companies more than three year investment cycle into that product and we have now begun redirecting a portion of our R&D team.
Two other product areas that will focus on newer and growing technology segments within the cable and telco service operator businesses.
Those last few projects on NXG technology include some video security improvements to qualify the NXG for deployment in some larger markets were going after as well as increasing the number of conditional access technologies also known as video scrambling technologies that we're in are facing with and that will be.
In order to help a large number of smaller operators transition their networks into an all IP or what's also known as IP TV video delivery.
One of the main things we've learned through Q3. This year is just how dynamic can react to the markets that we serve have been to changes in the overall sentiment associated with the Covance situation.
We actually saw a very rapid market recovery.
Through the majority of June.
And then have that turn very quickly into a very cautious and slow market in July and August as coded affects began to be seen more widely in suburban and rural areas across the Midwest, South and southwest at that time and.
In response to these situations Weve had to take a number of aggressive actions inside the company during Q3 to reduce our operating costs.
Those included an extended factory shutdown for over six weeks as well as our short term furloughs.
As well as short term furloughs, and additional reorganization measures, which will bring longer term financial benefits.
Overall, we have now eliminated in excess of a quarter million dollars per month in manufacturing and operating expenses.
It compared with with similar similar timeframe since the end of Q2 2019.
We believe these changes to be sustainable into and beyond 2021.
On the topic of the health and well being of our workforce I do have to Unfortunately report that the company saw our very first employee test positive for coated last week that person does not work in a factory were production environment and we currently believe that the possibility of exposure to other other employees was either.
Very low or zero.
To take the same conservative approach as we have been doing since February Weve asked all staff working in the same general areas to work from home for a period of time to err on the side of caution.
We believe our policies on workspace distancing mandatory mask usage and wide availability of personal protective equipment, such as hand, sanitizers in masks as well as other policies. We put in place continue to keep our workplace safe.
Next I will hand over the call to Eric Skolnik, our Chief Financial Officer, Eric.
Thank you Ted it now.
Net sales decreased $1.107 million or 21% to $4.171 million for the third quarter Twentytwenty from $5.278 million for the comparable period in 2019.
Net loss for the three months ended September Thirtyth 2020 was a loss of $1.787 million or a loss of 18 cents per diluted share compared to a loss of $1.334 million or a loss of 14 cents per diluted share for the comparable period in 2019.
The decrease in sales is primarily attributed to a decrease in sales of digital video and then products DOCSIS data products and contract manufacturing products offset by an increase in our Transcoder products sales of digital video head end products, where it $801000 and $1.292 million.
DOCSIS data products for $235000 and $884000 contract manufacturing products were $28000 and $319000 and Transcoder products were $543000 and zero and that there are three months at Twentytwenty and 2019.
Respectively.
For the nine months ended September Thirtyth, 2020, net sales decreased $2.745 million or 18.6% to $12.052 million in 2020 from the $14.797 million for the comparable period in 2019.
Net loss for the nine months ended September Thirtyth, 2020 was $5.061 million loss or 52 cents loss per diluted share compared to net earnings of $3.100 million or 31 cents per diluted share for the comparable period in 2019.
The decrease in net earnings for the first nine months of Twentytwenty relative to the first nine months of 2019 is primarily driven by the $7.175 million gain recognized in the first quarter of 2019 upon the consummation of the sale and leaseback transaction of our headquarters facility in Ohio.
Each new Jersey.
The decrease in sales is primarily attributed to a decrease in sales of digital video head end products contract manufacturing products and analog video headend products offset by an increase in sales of Transcoder products and CPG products.
Sales of digital video AD products were $2.603 million and $5.482 million.
Contract manufacturing products were $101000 and $393000 analog video products were $838000 and $1.249 million Transcoder products were $937000 and $33000 and CP.
Products were $3.051 million and $2.691 million in the first nine months of 2020 and 2019, respectively.
As disclosed in the company's most recent annual report on form 10-K, the company experienced a decline in sales a reduction in working capital loss from operations and net cash used in operating activities in conjunction with liquidity constraints. These factors raised substantial doubt about the company's ability to continue as it.
Going concern.
As of September Thirtyth 2020, the above factors still exist accordingly, there's still exists substantial doubt about the company's ability to continue as a going concern.
The financial statements do not include any adjustments relating to the recoverability of the recorded assets, where the classification of the liabilities that might be necessary should the company be unable to continue as a going concern.
Regarding the company's current liquidity as of September Thirtyth Twentytwenty, the company had approximately $1.403 million of availability under the midcap credit facility.
Now I would like to open up the call to question and answer session.
Thank you ladies and gentlemen, the floor is now open for questions.
If you do have a question. Please press star one on your telephone keypad at this time.
If you are using a speaker phone, we said well posing your question you pick up your handset to provide the best sound quality.
Again, ladies and gentlemen, if you do have a question or comment. Please press star one on your telephone keypad at this time.
We'll take our first question from Gregory Urban private Investor. Please go ahead Sir.
Good morning, Fellas, and what a quarter.
Can you hear me, yes, yes, we can hear you okay.
Eric.
For the quarter and it wasn't in the press release.
What where are they see he.
Yes.
For the quarter.
For the quarter I don't have those are the the next yeah.
Sure I'm most interested in okay sure for the quarter, the CPG sales were $1.379 million.
And next Gen.
$89000.
[noise] <unk> I'm comparing to a quarter two and I see.
He is up some and Nick.
On a bit.
Cash flow for the quarter.
Operating cash flow.
Operating cash flow, while I don't have the operating cash flow for the quarter I have the operating cash flow for the sick for the nine month operating.
Operating cash flow for the nine months was Oh.
Net cash used in operating activities $2.149 million.
For nine months correct, yes, Sir.
Right.
Yeah.
Uh huh.
Balance sheet.
Somewhat somewhat scary.
What the.
What capacity are we operating now factory wise.
Oh on an average we out of out of the shutdown or the Oh, yes, yes, we are.
On an average basis, if you exclude the six plus weeks shutdown, we're operating the factory at about.
75% due.
Duty cycle.
Currently despite currently early.
Early in that and that's the current plan at least for the next couple of months unless we see a change.
I did I did appreciate the you know the elaboration on what what you're doing with it.
Segment.
Uh huh.
Is there a and refresh my memory.
Regarding the lifting with exchange, where do we stand with that.
Oh sure.
So we had submitted a plan.
And the plan was accepted.
However, we were not in compliance with the first milestone.
For the end of Q3.
And we are in the process of preparing a updated plan to submit to the New York Stock Exchange American at the end of next week.
Well, there will be some kind of announcement or filing regarding that the outcome of that.
As as there is dialogue with the NYSE American through.
Through the process. If there is anything that changes that affects the business in a material way, we will absolutely file of course.
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Hey, let's see we have.
1.4 million available all right the.
That are the not the staff reduction but the.
Tim 10% pay cuts.
Presume that those are going to continue for a while.
They are going to continue.
Yes, you're right.
At least at that level until the economic situation changes and we start seeing an improvement in the company's bottom line.
And with the improved.
Improvements in operating efficiency.
A month.
Oh.
The figure given that 250000 dollar per month reduction is substantial.
I assume there's been a cutback.
Furloughs or maybe lay off.
Of the factory personnel.
Great Greg we've done everything under the Sun [laughter], yes, all the above those in every combination of it both the short term long term actions permanent actions temporary actions.
Cost reductions salary reductions both temporary and permanent.
And reorganizations. So there is no way a company of our size could have gotten to those level of operating efficiency changes over the last year. If we didnt do a lot of extreme measures and a lot of detailed work throughout the entire organization.
Right correct me, if I'm wrong, but I think.
Again, comparing with quarter two the the.
The revenue was up a bit.
And but the margins were down there.
And that wrong.
I think that's correct.
And the reason for.
The operating margin to be down would be what.
For product mix predominantly.
Uh huh.
Yes.
All right and.
<unk> have to Paula My my Internet connection.
Connection I haven't been able to get the data.
As I normally would but anyway.
Was there any.
What are your thoughts about what happened with that thought movement over the over the last quarter I mean it just.
Unbelievable.
The amount of shares I think we had 90 million shares trade off on one day and then.
And some subsequent a bike well you'll have any.
Idea of what's going on there, it's it's very hard for us to speculate well. It certainly was not anything specific that we believe we did and it was not specific to any anything.
Anything you know unannounced or anything like that there was no specific deals going on in the background. There's no. There's no specific real thing the company's doing that we believe would have driven that the only thing we could imagine someone may have taken.
Taking a look at our filings related to how much of the company's stock is being purchased by the management of the company and maybe maybe interpreted on that possibly but that's that's only speculation on our part. There's there's we don't have a solid idea of why the why the stock acted the way it did and.
At extreme number of of trading activity and in shares.
Yeah that that causes any concern with the the exchanges.
Well the only the only concern it had was the exchange wanted to make sure.
That you know everything was going on was was legitimate and kosher we believe they stopped.
Training on the one specific day that it was extreme.
Allowed us some time to issue a quick press release, basically, saying what I, just said, which is there's nothing we know of that would be causing this.
And then they resumed trading following that that's that's the only specific interaction we've had with the exchange over those those those instances.
Right, Okay well.
Well it is a bit disturbing.
[laughter] for this.
Investor because.
What what the makeup but given you know the the difficulties at the operational level, but just.
To me it.
It would it would tend to keep a investor interest at Bay I think.
No what these wild fluctuations and inability to figure out.
You know by points and sale points and whatnot from investors point of view or a traders point of view.
So.
I realized you know you.
You really can't do anything about it and I appreciate you addressing the issue, but a portion of it that's just my take.
As a reminder, ladies and gentlemen, if you do have a question or comment you May press star one on your telephone keypad at this time, we'll take our next question from George Gaspar Private Investor. Please go ahead, Sir yes. Thank you good morning.
Okay. Good could you explain a little bit about the.
Application.
At you're moving forward on in terms of the patents.
Approvals that you've received and have it.
Released to the <unk>.
In in your releases.
To shareholders over the last say several nights and then from the standpoint of.
How are you applying those applications.
And how.
How did they stand up from a competitive point of view.
And what is it doing.
For you for creating.
A brighter revenue generating capacity for for what you're doing can you I know, that's a pretty I'm, giving you a pretty heavy slate to comment on but hopefully you can give us and I'm sure. In this short yeah, yeah, I won't be able to address that question down to probably.
We the depth and level you might be looking for but I can certainly speak to it at a high level.
Two two nice nice patents were awarded to US by the patent office recently, we as the to kind of fill in the gaps on George's question.
One of those was awarded based on technology that we've got built into our NXG video digital signal processing platform. The other one is in a very specific <unk> instead of elements of the design and technology in our DOCSIS modem products.
Overall. These are you know we we see that those were nice patents I wouldn't say I would not characterize them as groundbreaking but what they do for the company is from from a very basic standpoint. They are very good patents for any kind of.
Future defense that we have for specific pieces of market that we are selling those two products in.
Both the DOCSIS modem products and the NXG a.
Digital digital signal processing platform.
It it they absolutely will restrict our competitors from taking advantage of the same technology that weve instituted in our products. So it it may be I'm speculating here it may.
Lead our competitors to have to make their products in a little bit more expensive way or a little bit less efficient way, we're a little bit less flexible way in.
In order to bring similar products to market without violating our patents and like any like any other you know good solid well based patent they bring a little bit of credibility both to the company in the product line. So we intend to use them in both defensive and slow.
Lee offensive means.
The.
The NXG patent in particular, I'd say gives us reason to really promote and push some of the advantages that we have in the NXG platform over our competitors, especially in front of some of the big tier one operators, where we've made good progress in sales, but not to the level that.
We'd like to see.
Certainly not during the last eight months of the current market condition situation, we've been heavily impacted in that product in that product line and all similar product lines with tier one operators because of the downturn.
So we'd like to not just like two we'd all we will be we are and will be.
Using those the marketing of those patents with our customer base to help promote the differentiation and the and the <unk> and the advanced technology elements of those products to go after expanding and again just to round off the question.
But we think they're very strong patents related to any kind of a defensive posture, we might have to take in the future.
Okay, and then in going on from that to cotton I. Appreciate your explanation on that.
As you look at this fourth quarter here now here here at one month plus through the corridor.
Could you give us an idea is there is there a possibility that you're revenue stream for this quarter could be better than last year and better than the third quarter.
So any anybody who's followed blonder tongue laboratories knows we were very we tried to take a more conservative approach and trying to predict.
Anything in the future or.
Ah or give any specific guidance, what I, what I am.
If if if you read the press release as well as some of the comments we made this morning.
I am comfortable saying that so far.
The quarter is shaping up better than Q3.
So we've we've seen that slow steady market improvement in our core product, our HFC and many other product elements.
Have been slowly increasing in.
[noise] Ah August and through September and.
In October was a continuation of that slow steady.
Improvement so I can't Okay really speak for November and December because they haven't happened yet you know, we're we're hopeful but but you know unfortunately, the other thing I will point out is it has been uncanny how quickly and I've said this earlier in the conversation.
And I and we put it in the press release as well.
Its uncanny how quickly our market has responded both up and down based on the sentiment. So if we what has got me a little bit hesitant hesitant in answering your question more broadly a more openly is we've seen at least three times since February how quickly our market has there.
Responded both negatively and positively to a change in general sentiment related the cobot situation and we're seeing a very bad increase in the coated situation out there now we have not seen our market respond.
A big negative way to the most recent uptick.
But that doesn't mean that next week, we will wake up and see that there is just.
The whole situation is change the dynamics and the and the resiliency of our market in a way we couldn't have predicted back in January or February so.
I'm cautiously optimistic about the quarter.
I don't want to put too much weight into that because again.
The current environment has been so unpredictable that you.
You know, we're we're using the levers that we have to to make sure we hold on to our capital and our liquidity and we've been holding up very well the last three or four or five months.
Through very very difficult times, using the levers that we have which are a combination of of of sales.
Oh possibilities and aggressiveness combined with operational cost.
Management.
Okay. Good explanation now and going forward.
I view, a sense Oh, so many organization companies.
Our telling their employees that that they can work continue to work from home for even.
Even Microsoft selling or people you know most of next year.
Can you can you capitalize on on the.
The intricacies.
That are needed for people to work remotely and what you offer to the market do you see yourself, having an opportunity to expand that area of activity to capture more of.
This at home.
Business environment.
I think I think the way to characterize our view on that is.
So you know we we did a good job of this doesn't quite answer your question, but I'll start with this part of it which is I think we did a good job in the company of moving every single job in the company that was capable of being done efficiently in a work from home environment. We may we.
Transitioned those people very rapidly into work from home environments.
Weve since as we as we understood the virus better and the transmission we have developed a better understand any comfort level with the CDC and other government guidelines we've pulled.
Pulled some of those positions back into working in the office because we saw they work a little bit more efficiently, there's a little bit more.
Yeah, I'll just leave it at that efficiency gain.
Gains without creating an undue risk for the safety of our staff and that has worked very very well.
Since since the March do that that positioning has has worked very well.
A lot of our sales team in fact have always been based out from a combination of home offices and regional offices.
In the Midwest and the South and.
And the west.
So those positions haven't changed and really the general philosophy. The company is and should be moving more towards making sure. Our sales team is in close proximity to our customer base not it doesn't make a lot of sense to have lost sales people at our at our headquarters where the majority of what happened.
Here is a combination of finance administration engineering, and and factory production right. The sales team needs to be out where the customers are so that hasn't changed and in fact that's.
That would be the only element to more directly answer your question that we have.
Have been planning and have made small changes to position people.
In the sales organization closer to customers at the same time a lot of our customers are still working from home, which is an interesting dynamic. We we we end up having end up having a lot of sales meetings as either zoom based or lower or Microsoft teams or whatever technology people.
I want to use or we end up meeting a lot like coffee shops, and you know the parking lot or the lobby of the of the office building or whatnot I mean, just as one Prime example, we learn just over the last few days at one of our.
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One of one of our.
Customers and target customers in the industry, a big tier one they're not spending any of their people back into the office until June of next year, but they've made a specific decision that June looks like the month that they feel comfortable transitioning back into the office. So you know were seen others have already made that transition. So for example.
All piece is a customer of ours up in the New York Metropolitan area of very big operator, and they've they've been transitioning and are ramped up a lot more now than they were a few months ago. So.
Every operator and every customer is kind of taking their own decision and did I answer. The question Yeah right that was very good good explanation.
Just I'm going to just sum up by saying that.
You know this is a tough environment, obviously and it is going to necessarily change overnight here going forward, either but the beauty of a in on you've had some questions to ask have you and your explanation is about.
The.
The stock activity going up and down a huge volumes inside but what's what's most exciting.
Exciting about the future here for the company is that you have some dynamics going here now in terms of the the increasing activity and technology that you're trying to try and expand your product line and when you look at the size of your company and Ah.
Sure they share count outstanding and that the leverage opportunities here are very substantially hopefully that's what I believe that's where a lot of shareholders are staying with 100, tying on is that they see it as a nucleus as something that can do a lot better and hope.
You know you cannot you can pull that off with everything that you've been trying to do and go forward on.
Take care Guy Blushes.
Thank you so much that's it thank you George and just to respond to that last comment why chuckled is is the things you. Just mentioned were exactly some of the reasons that really attracted me to come join the company coming up on coming up on two years ago and I still believe in those those fundamentals in that those offered those potential opportunities right.
Okay. Thank you kindly thank you.
Once more ladies and gentlemen, if you do have a question or comment. Please press star one on your telephone keypad at this time, we'll return to Gregory urban for another question.
Sorry, guys for go ahead.
Two thing here for you Greg no problem [laughter], thanks, well I'd like to be there for you as well.
Regarding the PPP alone.
What where do we stand with that.
It's still the application for forgiveness is the portal that we have with our lender, it's still not open yet.
So we have not applied for forgiveness as of yet but.
It doesn't matter because.
Any potential payments wouldn't be do it for any of the unforgettable piece until way into the future sometime at the end of 21, so where we're still okay.
That 1 million 769 is is on a long term on a long term I think.
That is correct, yes, thats right.
All right, thanks for that and finally EPS.
And I think that this last time and we lost any account.
[noise] lost any accounts, yes.
Anyone closed up shop, or just gone elsewhere with their business.
Nothing nothing that I would consider material, we had one relatively small C.P.E. customer and by the way we have over we have over 65 operators using some of our CPG products now.
We had one of them.
Of note.
Slit their volume between us and another supplier that concerned us and we're trying to work to become their sole supplier again, but but that was that was a that was a small hit that made us look at the competitiveness of some aspects of that product.
Other than that I'd say no the.
The bigger impact has been people who were.
Decent size and ramping up in there in there.
In their purchasing of our NXG product and some other encoder products and some other some other head end and video distribution gear have simply stopped purchasing anything during the pandemic situation and a lot of those and I alluded to that earlier, but I'll.
More specifically.
Just.
Everybody, who feels like they can run their business by and still delay purchases till they kind of see what's going to happen in the market, we're going to see they get through the process see when there's going to be a.
A vaccine or whatnot.
Anybody who can run their business by lowering their capex. They are doing it and that's I mean quite frankly, the 21% that we're showing in in.
In quarter on it on a year on year quarter reduction in sales I think is.
Strangely not a bad number given how bad the situation is out there I think we would only reduce 21% because we had growth in some of the new pro newer product lines. It would have been worse otherwise the the flip side of that situation is and I can only say this with some level of confidence.
Because of my long term background in this industry.
This industry does tend to have.
Fairly big in wide up cycles, and down cycles and swings in in capital investment cycles.
When things go down they do tend to yield to pent up demand at least in my experience. That's been the case and so one of the things we're preparing for it and I believe I alluded to it in the press release.
Well as you know we know there's going to be a recovery, we know that theres going to be.
Vaccines for the virus a there was a great press release earlier this week on Monday from a you know from one of the one of the contenders for one of the early vaccine introductions with that talked about 90% effectiveness.
That's.
Things like that when those actually start hitting in the market, it's going to yield we believe it's going to yield some market improvement, we don't know how big or how quickly, but we are confident there will be a market recovery and we also will believe that that.
The the the largest of our customers who've been with holding capital expenditures will have pent up demand. So that again those are our beliefs that doesn't mean that they're true.
Those are our beliefs and we're we're running the business in such a way that we want to be positioned from a market perspective with the product availability perspective, we need new technology introduction to capture any potential.
Big upward swing in the in the market that we believe and hope will come after the the coded concerns in the.
Start start to go away and we've got either a vaccine or or just a general improvement on the overall infection situation across the country and and and Ken.
All right well, thanks for taking the call and good luck in I wish you all well.
You know into the future.
I agree with George the leverage is there. It's just a matter of surviving is very difficult.
Good.
Yes, I agree one Greg one more point on your first on your first question that you just asked to.
To Eric I'm, not that we can sit here and predict spin.
Specifically, what will happen in the forgiveness situation for our P.P.P. loan, but I can tell you that we went to great lengths in the company both in the finance office and the management team in and with our legal team to make sure that the way we dealt with that PPP loan was.
To the letter of everything related to what the government had had let us know where the forgiveness criteria. So to the extent that we can have optimism in the in the sort of posture of that loans to to be to be forgivable. We are.
We are optimistic to the extent that that it was as long as the rules don't change or somebody doesn't move the cheese [laughter] to use a different metaphor you know, we we should be sitting pretty good on the forgiveness status of that once once they allow for forgiveness applications to come in and get processed.
Right.
Very good thank you guys.
Thank you.
What's more ladies and gentlemen, if you do have a question or comment you May press star one on your telephone keypad at this time.
There appear to be no further questions at this time.
Okay. So I guess this this ends the Q3 2020.
Earnings call for Blonder tongue laboratories, Thank you all for participating and for the questions and.
Have a good day in rest of the week. Thank you.
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[noise] [noise].