Q4 2020 Marrone Bio Innovations Inc Earnings Call
Okay.
Good day and welcome to the smartphone type of innovations fourth quarter 'twenty 'twenty earnings Conference call. Today's conference is being recorded at this time I would like to turn the conference over to Linda Moore General Counsel.
Good afternoon, everyone and thank you for joining our call welcome to the <unk> 'twenty 'twenty fourth quarter and full year earnings conference call for the loan bio innovations.
On the call today are CEO, Kevin he lash and CFO teaching them.
If you would please refer to slide two.
Two I would like to remind you that this conference call may contain forward looking statements within the meaning of the safe Harbor provisions of the private Securities Litigation Reform Act of 1995 regarding managements future expectations plans projections forecasts and prospects.
Certain material assumptions were applied in making these conclusions and making the statements.
Therefore actual results could differ materially from those contained in our forward looking information.
Factors that could cause differences are contained in reports filed by the company with the Securities and Exchange Commission.
Including under the heading risk factors.
DNA and elsewhere in the company's annual reports quarterly reports and other filings.
The company expressly disclaims any obligation to revise or update any guidance or other forward looking statements to reflect of.
Events or circumstances that may arise after the date of this call.
After our remarks, we will hold a question and answer session I will now turn the call over to our CEO, Kevin He lash Kevin.
Thank you Linda.
And thanks to everyone, who is joining us on the <unk>.
Most of it.
I'm pleased to be accompanied by our new CFO Sue Cheung.
The well Sue has only been with US a few weeks she has already begun to put her positive mark on the organization.
We're all looking forward for working with <unk> as we continued to expand <unk> position as the pure play leader in the yard biologic.
The logical market.
For today's call I'd like to speak to our full year highlights and outlook and to provide you with the more detailed financial overview.
2020 was a remarkable year for in the yard by any standard and I believe we are just starting to hit our stride with the.
In the agricultural sector.
We're in the right place at the right time and are uniquely positioned to take advantage of the robust growth from the C in 2021 and beyond.
Let me elaborate.
If you would turn to slide three we are now consistently delivering results that raised the bar on our leadership position in biologicals.
Even in the face of continuing constraints from the global kind of done it we demonstrated the value of our portfolio and the resiliency of our business model.
We delivered our 10th consecutive quarter of increased revenues with year over year growth of 31% and our five year revenue CAGR of 29%.
We also delivered our ninth consecutive quarter of gross margins above 50%.
The record for any quarter at 63, 7%.
Most margins for the full year were 59, 6% a 470 basis point improvement that was primarily a function.
The <unk> of a favorable product mix, particularly in sales to the row crop market.
We've also challenged ourselves to be a leader when it comes through running an effective and efficient organization.
To that end I am pleased to report that our operating expenses have been lower in each of the last three quarters.
We ended 2020 within operating expense ratio of 104% the dramatic step improvement from 150% for fiscal year 2019.
This change is particularly impressive in light of the fact that we held the line on costs, even as we fully integrating pro.
Barb.
From a commercial perspective every piece of our business contributed to these results.
Our foliar treatments in specialty crops, the heart of MDI, historically delivered more than 25% revenue growth year over year.
We strengthened our market share against direct competitor.
<unk> and some of the key specialty crop markets, such as almonds and wine grapes in California, and our bio unites strategy continues to deliver strong results and we have new partnerships and product offerings coming to the market that are poised to expand this part of our business.
We move for products.
For crop health and crop nutrition out of the pipeline and into the launch phase in 2020. They are now gaining traction with early market adoption and have the potential to deliver a meaningful contribution to our sales this year.
We are also bringing of fig product to the market in 2021, and the crop protection category.
That also has the potential to be a healthy contributor for our business in the years to come.
Of course, the value of the pro farm acquisition can't be emphasized enough.
Pro farm has been a driving force behind the mix shift in the products, we sell and the regions, where we do business as you can see.
As shown on slide for our growing presence in the major row crops is one of the most significant changes we have made as an organization over the past year.
With the gains we made in 2020, we are well on track for this market to be more than half of our portfolio in 2023.
We now offer more.
For plant health solutions, and more products that can be used as seed or so of the prior treatments than ever before.
Turning to slide 520% of our sales last year were in the major row crop producing areas of Europe, and Latin America up from 6% in 2019.
This.
This is a step change towards our goal of having a relatively even split in sales between North America and the rest of the world in 2023.
And towards capturing the growth opportunities that come to about diversification.
This combination of robust top line growth can.
<unk> strong margins and of flattening.
The opex curve luxury of 46% reduction in net loss for the year and the 31% improvement in adjusted EBITDA.
Operating cash near of these improvements and by year end, we had seen of 25% drop in the use of cash.
We are clearly at an influx.
<unk> point of renewed.
Moving closer to breakeven on an adjusted EBITDA basis.
We have spent time this past year evaluating our position and our opportunities against others in the pure play AG biological sector as depicted here on slide six.
This analysis is by no means.
The all inclusive, but it provides our best estimate of the revenues given that many of these companies are private.
With that being said, we believe it offers of relative snapshot of what the industry looks like today.
Given these parameters it is evident the MDI stands alone within the sector.
As you.
The market for biological products is highly fragmented.
By our estimate there of well over 120, standalone biological players with more than 90% of them, having annual revenues of $10 million or less.
Roughly 80% only service one product category.
Can see and only a handful of have dedicated manufacturing capabilities.
A large number of these companies are early growth stage businesses with limited commercial offerings and market access.
MDI is unique and that we have built the platform with unparalleled depth and breadth of.
Laurie clients manufacturing capacity and distribution networks.
Can leverage our size and scale to collaborate with our industry peers and expand upon our existing leadership position.
While we continue to see robust growth in our current product portfolio and pipeline. We also believe ample.
The product opportunities exist for consolidation that would create significant additional shareholder value.
However, we have set very clear guidelines for yourselves.
Any partnerships mergers or acquisitions must immediately broadened our portfolio and expand our distribution network.
We must.
<unk> capture of material synergies and any acquisition must be accretive to earnings in the short term.
On slide seven I would note that we remain cautiously optimistic about the outlook for 2021.
As you've likely seen reported the AG industry is coping with some of the lingering.
Be able to ex of COVID-19, as well as tough winter weather conditions are.
Our team is doing an excellent job of managing through any logistical challenges and the sales force of gearing up to return to more face to face interaction with our customers.
To support their sales efforts.
Looking forward.
We anticipate full year revenues will grow in the mid 20% range well above the norm in the broader AG industry above our peers in the biological sector. We.
We believe we can continue to deliver annual gross margins in the mid 50% range and we expect to hold operating expenses in line with.
2020, plus inflation.
The combination of these three metrics will move us toward our near term goal of reaching breakeven and turning profitable on an adjusted EBITDA basis.
In terms of our revenue flow the first quarter and agriculture is quite variable as demand in the period is highly dependent.
Part of activity in Q4, combined with spring weather.
The growing season in California, starting off dry and this may push the seasonality of our sales into the second quarter.
However, we continue to expect the first quarter with revenue growth in line with last year's first quarter and a strong.
Tenant first half in line with our annual growth target.
Our growth now and in the future is predicated on the demand for a more sustainable approach to agriculture.
Our commitment to protecting the environment is critical to all of our key stakeholders and we have embarked upon the full scale review of our ESG.
<unk> and metrics.
We are in the midst of this work and expect to publish a report later this year that will highlight not only what we have achieved for where we can improve.
Sustainability is a cornerstone of our mission and culture.
The objective is to be the recognized leader within the AG biological.
For the sector not only for growth, but for our commitment to the entire ESG culture throughout our organization.
I'd like to turn the call over to Sue now and welcome her officially tomorrow bio.
Soon.
Thank you Kevin.
Been a busy few weeks.
Cases, because that's the time.
Each of the business.
It worked out with the team to complete the euro and the activities for this earnings announcement and the filing of our 10-K.
I'm looking for to spending more time on the future opportunities and how we deliver on the <unk>.
P J again.
On the financial commitments.
If you want the turning to slide eight.
The combination of revenue growth margin expansion and operating expense discipline has it reduced the net loss for both the fourth quarter and the full year.
58.
<unk> per fan and 46% respectively.
The increase net revenues by 16% in the fourth quarter and 31 per cent for the full year.
Relative profit growth, but the even stronger revenue growth the grow.
Margins increased.
To the 63, 7% for the quarter and 59, 6% for 2020.
As the new CFO I'll be working with the team to continue to balance of funding for growth and of cost discipline.
As the.
So on slide nine era of controlling.
Controlling R&D and SG&A expenses.
The grandpapa revenues and expand our margins.
Our operating expenses I think 2020 included the one time benefit of $1 49 from the PPP loan.
If you exclude the benefit spending of skilled decline of six per se on the year over year.
Going forward, we haven't.
Committed to keep operating expenses of flat at the 2020 levels price inflation event at the scale up the top line.
We show a revenue growth.
Favorable margin and good cost management.
The through to the bottom line and to our cash position.
Cash used in operations, while the higher in Q4 because of the seasonal working capital needs related to the timing.
The product shipments for the end of year end.
For the full year of yourself of operating cash was significantly reduced as the result of the improvement in the net.
Net loss and the more efficient use of the walking the capsule.
Across all quarters.
Working capital improvements artsy form for us moving forward.
Do you want to refer to slide 10 the.
The need to upgrade or manufacturing point, it's of critical day.
Demand continues to grow and we need the additional flexibility to support production.
<unk>.
We are investing more than warm yellen to upgrade of our Michigan plant.
The projected the two year payback.
We expect this investment to improve scale and the capacity utilization.
Turning reduce costs net of sales.
Yes.
That said it will take the first year to implement the plan the improvements with the full benefit to be realized in year two.
If you want the turning to slide 11, the combination of the operating cash and the cash in from the warrant exercises.
With the adequate to support ongoing operations in 2020, one and the warrant overhang will be completely removed by year end.
To conclude on slide 12, we have a solid shocked the right Kurt from with.
What we can't accelerate our path to breakeven and profitability.
We have the platform in place the growth sales.
Clearly as the extend our geographic reach internationally.
We've approved that we can effectively.
<unk>, which cost like still grow in the business.
And we have real opportunities to advance of our R&D pipeline and pursue strategic opportunities.
All enhance our leadership position in AG biologicals.
It's my privilege to join the company of this important juncture and I look for to my future conversations with all of you.
At this point I'd like to turn the call over to the operator to begin our Q&A session.
Operator.
Thank you for you wish to ask the question at this time, please signal by pressing star one on your telephone keypad keys insured of the meat function on your telephone is switched off to allow your signal to reach our equipment.
Again, Please press star one to ask the question.
We can now take our first question.
This is from Bobby Burleson Canaccord. Please go ahead.
Questions.
And welcome onboard too.
Thank you Bobby.
Thanks, Joe.
The I guess for the.
The whole team.
'twenty outlook you guys.
Guys, you being appropriately cautious on the tough weather that we've seen at the start of the year curious ex the unusual weather impact for what kind of growth rate do you think.
The normalized growth would have looked like in 2021.
The outlook.
Question for Bobby It's Kevin.
We are.
We feel really good about 2021 theres lots of good things in the market.
The grain prices are very strong.
Yeah.
We are dealing with the impacts of Covid.
The number of fronts, including.
Including the supply chain logistics.
But when we look at it right now.
We are projecting revenue growth in the mid 20% range year.
The year over year.
And continuing to.
The drive mid 50% gross margins and holding our opex relatively flat year over year. So.
We're pretty we're pretty optimistic about the year.
There are some challenges of course of we have all the time of agriculture, but.
It seems to be setting up quite nicely for us.
Okay great.
And.
In terms of organic growth versus the industry, obviously at a pretty meaningful of an acquisition.
But we're starting to kind of anniversary of that stuff if we looked at.
Organic growth.
Two of the basis as it is now.
The mid teens growth for the industry as a sustainable free.
The growth rate for them.
The reality the bigger the most players as we showed on that side.
On the at what point do you just kind of track with industry growth do you think.
Mhm.
That's a good question Bobby.
So.
As you pointed out of it when the industry is growing roughly in the mid teens.
We've been significantly outpacing that for some time.
When we look into the opportunities to grow our existing platform.
The world different markets different crops.
So the.
Combined with the growth rate of the industry combined with our pipeline.
We feel pretty comfortable we're going to continue at this rate of pay for some time.
Yeah.
It was really feeling the some of these companies are feeling the.
Just the structural ceiling.
We can expect this to be an ongoing dynamic where you've got a lot of smaller players in the issue.
The independent guys of scale.
Uh huh.
That's a great question Bobby.
For a tremendous amount.
Of fantastic companies in our sector, which is great.
Really support that.
The more mines and resources that are focused on building out the sector to me makes the pie bigger and we all benefit from that.
I don't perceive.
See a slowdown in the innovation in the sector at all and that's coming from all parts of the business, whether you are talking to both the multinational may.
The major players all the way down to.
Of the startups.
What really excites me, though is we.
Have a platform that we built over the last 15 years.
Which will allow us to capitalize on the on that technology and all of that.
The innovation out there.
And accelerate our growth and we're going to be very cautious about how we think about that but.
I just see opportunity out there.
Moving forward.
The sector and for Marron.
Thanks, Kevin.
Thanks, Bob.
And we can now take our next question from Laurence Alexander of Jefferies. Please.
Please go ahead.
Good afternoon could.
Could you give a little bit more detail on trends by region and by row crops versus non row crops and types of product, just which ones are getting the most traction.
Yeah. So.
We see growth across all of the sectors.
For.
The us.
While we expect all of our platforms to grow.
And all of our products.
Categories to grow.
We serve.
Certainly see our seed and soil treatment.
The portfolio of growing the fastest.
But what we're really excited about is our move into the row crops.
We have been traditionally focused on high end specialty crops.
Which has gotten us there.
Well up to now but.
<unk> new portfolio that we have developed both within Marron and the excellent addition from the pro farm.
Line of products is really.
Moved us into that broad acre row crop corn soybean market and that's opened up a tremendous market opportunity for us.
Yeah, I guess in terms of how are we going to grow on every front that we can we're going to go geographically, we're gonna grow by crop and we're going to grow by sector within the entire space all altogether, but certainly the opposed to pick one.
That we see growing the fastest for us its certainly of the seed and.
But already been category.
Okay. Thanks Alan.
Then in terms of from.
So of the R&D pipeline is are there any kind of significant studies or updates.
Particular products within that pipeline industry aware of.
Hum.
Well the the one piece of good.
Sort of I'd say coming out of that recently as we launched.
Products ahead of schedule last year.
We have at least one more product coming to the market this year and looking out into our pipeline.
We see let's just say two to three products per year being.
Being launched and then keep in mind that when you re launch of product, we typically start with one country or region and then we continually expand from there so.
There's a new product that comes to the market within the UK.
The rolling the footprint all around the world, but no.
We said in Q3 the.
Good news that we expect roughly $50 million of incremental revenue to come from our pipeline by 2026, that's the holes and upwards of $100 million coming by 2030, and we still feel on track to deliver.
Okay. Thank you.
Thank.
And we can now take our next question from Sameer Joshi.
The way nice please go ahead.
Good afternoon, and thanks for taking my questions.
Welcome to the team.
Looking forward to meet you sometime soon.
Thank you looking for are true.
The network.
To the.
Again just to the.
The into the revenue per Egyptians for this year.
You always do around 31% last year.
The introduce for products of this year.
And the projection of the sort of around 35 per cent.
Good.
Are you expecting your sort.
The addition of previous loan products.
Good good.
But because of this quarter that should start contributing for the.
Top line as well this year so the mix.
And of that.
Yes, it'd be rosner of nice to talk to you again, so if I heard your question of whether you think you are asking are we are you expecting our base products to continue to grow at the same pace that they have is that correct.
Yeah and is it expected to be slower than.
The new products.
You are introducing other given that your year over year of growth rate of 195 per cent.
Right.
Well like.
I started by saying I'm pretty happy with 25 per cent year over year ago.
Certainly given the broader sector.
You know when we look at our portfolio.
So of.
Of that we have today and the opportunity to take that into Europe take it into South America, where we're just getting going.
We see tremendous opportunity there.
We think that all of our product line will continue to.
<unk> already and grow and at least the same pace as the industry overall, if not if not higher and the.
Our product pipeline is really icing on the cake for for us in terms of.
Continuing to add more products.
And as they move from the adoption too.
Early adoption to sort of from early adoption to adoption, we see that ramp up pretty quick.
We have previously when we launch products so.
Yeah.
Going out.
We certainly do not see any reason why our gross.
The rate is going to install.
And certainly as we continue to bring products of our pipeline and we have some very very interesting.
The new products coming through that pipeline.
The Ics.
Continuing on the same path that we've been on.
Growth for instance.
On the gross margin from the full.
The quarter was a range strong and it was because of mix.
And.
I'm guessing the gloves that oil products that from the.
The bulk of this.
Sales.
So going forward.
The increase.
The product mix.
Yes.
How does the.
The gross margin.
Moving from here for the year.
The 60% in your guidance of low to mid 50 <unk>.
So.
Is that the conveyor of the estimate for the for Ya.
Yeah.
Yeah.
We will continue to focus on gross margin, we had a very good year.
The last year in 2020.
It does move around somewhat depending on the seasonal demand and quarter by quarter demand in terms.
Logan, which products are moving the win.
We're very fortunate in the fourth quarter.
We had really good sales of our seed treatment line of our.
Pro forma fully aligned with.
Give us very healthy margins.
Going forward.
Terms of them, we're going to continue to look to optimize our portfolio and as Sue mentioned in her remarks, we believe that the investment of our Michigan manufacturing facility will also help to lower our Cogs.
And thereby help to increase our margins going forward.
And then I'd say overall as of our pipeline continues to refine and upgrade our existing products in terms of the concentration in efficacy.
We see we certainly see opportunities going forward to move from mid fifties consists.
On the upwards in the can.
Coming years.
Got it thanks for that I spoke.
Back to you.
Thank you Tina.
We can now take our next question from Nathan Weinstein at Aegis capital. Please go ahead.
Hi covenants.
So much for taking my question.
Nice to see the continued progress in the business. So earlier I think it was in the prepared remarks, you broke down kind of the number of small players in the biologic space that you see around illustrate its hard for me not to think of that list of companies sort of as an opportunity set from rone and maybe you could just give a little color.
On the future M&A and kind of what some of the criteria might be.
Mhm.
Yeah no.
Speaking with you again.
In terms of the M&A.
The.
Go back to saying that are the focus of all of us here at <unk>.
Drive the results of the company that we have.
Today.
We have lots of opportunity to grow our product line, we've got an excellent portfolio.
Lots of international expansion.
I'd say, we're just.
Hitting our stride in terms of getting pro farm integrated.
<unk> with the MDI lines, and all of the permutations and combinations there too.
To build new products, which is already in our pipeline.
But we do see an opportunity to make.
Make some selective acquisitions.
The.
There are.
There are a number of players out there that.
We believe would be of fantastic combination with us.
So just like everybody else in the industry I would say.
Sure.
Thinking about presentations in combination there.
But to be clear.
We've got some pretty strict criteria that we've set out for ourselves in terms of them, but they have to add shareholder value in the near term they have to be accretive they have to bring either new technology with new market access access to new crops.
And provide us with meaningful synergies so.
Pretty tough right to bring something in and drive the results straight to the bottom line in the short period of time, but.
We're certainly we're certainly paying attention to opportunities in that sector or in that in that area.
Thanks.
It's very helpful and just the one follow up.
For me on the ESG theme. It seems like it's always been part of the DNA of non bio and looking forward to seeing that report come out.
But just maybe you could make a comment on the broader industry and if you see increasing the awareness from some of the majors.
In the space regarding ESG.
Yeah. Thank you well certainly youre right I mean, I go all the way back to Pam the room vision of this company and why wherever here in the first place.
And certainly it has a strong ESG backbone.
Kevin.
From our standpoint.
It is part of our DNA, it's part of our culture.
And we're spending a significant amount of time.
Making sure.
We are measuring ourselves properly.
Setting.
Industry, leading.
Objectives for ourselves.
We think we're doing in fact, we know we're doing lots of great work.
In the ESG area, but we also know we've got room to improve so I'm really looking forward to finishing up the work.
This summer and presenting the findings too.
To all of you later on this year, but it's an ongoing part of our culture and there'll be an ongoing ongoing part of our business.
Thank you Kevin and then I guess there was another part of that question of shorts.
Just do you see other larger players starting to become more aware of the importance of ESG as well.
Mhm, Yeah, sorry of you asked the question, Yes, I do absolutely.
Yeah.
It's absolutely table Stakes today for any company.
And for any of any business and I include our grower customers of that I mean, it is a.
It is demanded by.
Our customers at large consumers.
The supply chain.
Everybody from throughout the entire.
The industry worldwide.
Worldwide.
Yeah for sure. It's it's top of mind in my opinion with with everybody else out there.
The thanks for taking my question.
You're welcome.
We can now take our next question comes from Steven.
On the roster.
Please go ahead.
Good afternoon.
And thank you for taking my questions I'd like to move.
The bank to a prior question.
And that is.
To get a little more granular in your changes of the business mix.
Total dovetailing the change in the geographic mix versus your increased credit.
Penetration into row crops.
In row crops, it seems self evident with the pro farm acquisition.
And your agreement with a rise of factor and you use.
The new approvals.
It's like a pace setter.
But I need geographic you're expecting.
The.
The the sudden.
South America to rise from about 6% of your revenues to 20 per cent and given that your base of your business is growing in the 20% to 30% range.
And having that additional mix to it that's at least the 300% increase if not more.
But could you.
Talking specifically of.
What that potential is you see in South America.
And the agreement with rise of backed or having the two complements one.
Selling your products.
Mhm and also.
The separate question.
In the same.
One is what is going to be the driver in the Asia Pacific area of rise of having that area of increase from 14% to 23%.
One of the right.
So I'll start with the Latin America.
And for us of the focus in that market his corn and soybeans.
And so we're building on our experience in Europe. The pro farm has had to move into that market.
Regal Baxter as one of our major.
Channel partners down there, but.
But we're working with the number of others as well and so we're starting in the so Argentina, Uruguay Paraguay.
Bolivia.
And then moving our way into.
Brazil.
And we expect we were hoping to have a little more traction in Brazil. This year.
But they ran into some pretty tough COVID-19 conditions that the latest debt.
But the good news is the demand and the excitement and enthusiasm in Brazil.
Certainly.
They're in the results we've seen thus far with our products in the corn and soybean markets in Latin America has been phenomenal so.
We're really looking at all of the thing that also.
No not as much drug as the Covid really restricted.
The ability to get out and do it.
The the trials and the demos and the and the technology transfer with the growers and the.
And the distributors.
So that would of I would say it would have been the.
The biggest.
Drag I would say on the on our moving faster.
In that market.
So.
It's unfortunate.
But we've.
We've got great partners down there as I said.
Eager to get going.
And as soon as we can.
Do more of face to face and more training and Trialing.
We say, we're going to we believe we're going to take off.
In the marketplace.
Hum.
In Asia Pacific I mean, we're talking about the small.
Starting point right so the percentage of.
The fire.
But I I would think if we're thinking about where we're going to.
Grow we're certainly going to continue to grow in the United States.
The more moving into Canada.
We're expanding in Mexico.
We've got an excellent footprint and in Europe already.
That we continue to launch new profile products into as well as introduce our legacy.
And of our own products.
Latin America as of.
Unbelievable opportunity for us given the size of the market down there and how our products fit.
So yeah, it's a it's a lot of a lot of activity and a lot of big markets.
With a lot of opportunity for us.
Mhm, that's potential in Latin America.
Roughly how much of.
Of the demand do you expect to be from that southern cone.
Are you in terms of revenue.
Yes, I mean are you expecting the.
Hum at looking at.
Base business, just looking at Latin America would you expect that to be at least 50% of your of.
Latin American sales.
Or are you expecting even more from that.
Well right now we're expecting in 2026% of our revenue came from Latin America.
And we are I would say in the.
We're getting well established there.
And by 2023, we're expecting 20% of our revenue to come from Latin America.
That number could easily be.
Significantly larger.
Depending on the rate of our.
Jim.
But thats, what we have the tank right now.
Mhm.
Actually I was getting a little deeper than that.
Looking at the Latin American businesses as the base like that's 100 per cent.
And looking at the mix within Latin America.
And since you have any of this the.
Adoption on the row crops.
While the bread basket down there in the southern cone and Argentina, Uruguay Paraguay.
In the southern part of Brazil.
That would seem to be a major driver of the Latin American row crops.
Your line.
Correct.
That is correct.
And we also have.
Products coming.
Who also will get on the wheat acres, which we see as an opportunity as well specifically in Argentina. So.
But that is correct.
You hit the nail on the head there.
Alright, Thank you for taking.
The question.
You're welcome.
Okay.
At this time. This concludes our question and answer session I'd now like to turn the call back to Mr. Kevin.
Thanks for closing remarks.
Yes, Thank you operator, and thank you again for.
Taking my time and attention today everyone.
Our 2020 results underscore the turning point, we have reached in our evolution as the commercial provider of sustainable biological solutions for.
For the target for revenue growth in the mid 20% range and an annual gross profit target in the mid to upper 50% range.
We.
For your tell us the commercial base for most of the company can accelerated velocity and cement its leadership position in the space.
We intend to build on this platform in 2021 and look forward to sharing our progress with you in the future. Thank you.
This concludes today's call.
The South you for your participation you may now disconnect.
Okay.
Yes.
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