Q4 2021 Alkaline Water Company Inc Earnings Call
[music].
Greetings and welcome to the alkaline water company fiscal 'twenty 'twenty, 1 results conference call.
That's the time all participants are in a listen only mode.
Question and answer session will follow the formal presentation.
But I did want you require operator assistance during the conference. Please press star zero on your telephone keypad.
As a reminder, this conference is being recorded.
It is now my pleasure to introduce Jeff Wright Director of Investor Relations. Thank you you may begin.
Good morning, everyone and thank you for joining us from the alkaline water company's fiscal 'twenty 'twenty 1 earnings conference call. Shortly you will hear from Ricky right, our president and CEO and David Moreno, Our Chief Financial Officer.
During the call, we will be making forward looking statements within the meaning of the safe Harbor provisions of U S Securities Law, and we May make additional forward looking statements. During the question and answer session forward looking statements involve risks and uncertainties on undue reliance should not be placed on such statements.
Certain material factors or assumptions are applied in making forward looking statements on actual results may differ materially from those expressed or implied such statement.
For additional information about factors that may cause actual results to differ materially from expectations and about material factors or assumptions applied in making forward looking statements. Please.
Please consult the company's form 10-K, and the other reports filed with the Securities and Exchange Commission on Edgar on the Canadian Securities regulators on SEDAR.
In addition, such forward looking statements on any projections as of the company's future performance represent managements estimates as of today July 6.2020.
The company does not undertake to update any forward looking statements or projections, except as required by applicable laws, including the securities laws of the United States and Canada.
Actual results could differ materially from those contemplated by any forward looking statements as a result of certain factors, including but not limited to general economic and business conditions competitive factors changes in business strategy of the development plan ability to attract and retain qualified professionals as well as changes in legal and regulatory requirements.
The company issued a press release announcing its financial results and filed its form 10-K with the SEC. So participants on this call who may not have already done so may wish to look at those documents as the company will provide a summary of the results discussed on today's call.
In a moment I will turn the call over to our President and CEO Ricky right will give an overview of the company's fiscal 'twenty 'twenty, 1 highlights and the business outlook for fiscal 2022.
Following ricky's comments, David worried on our Chief Financial Officer will provide an overview of the company's operating income.
Vicky will follow David to provide closing remarks, we will then open the call for Q&A.
I will now turn the call over to our CEO and President Ricky right.
Thank you, Jeff Hello, everyone and welcome to the alkaline water company's fiscal 2021 conference call.
We're excited to share with you another.
Great year, and our positive expectations for fiscal 2022 <unk>.
Despite the obvious challenges faced by the entire beverage industry during our fiscal 2021.
This was our seventh consecutive year of record sales.
Our revenue was approximately $46 million.
This represented a year over year growth of approximately 20%.
The fiscal year ended we continued to see strong organic of new store growth.
And significant acceleration into the first quarter of fiscal 2022.
Although Q1, Joe standard last week, and we have not officially close the books, we feel confident with the strength of our current sales and our current initiatives. The forecast fiscal 2022 topline revenue of $62 million. This would represent a year over year growth of 35 per cent.
There were a lot of contributing factors that allowed us to increase sales in fiscal 2021.
Let me share of U S.
In early 2020 management had the foresight to redundancy source all of our raw materials domestically.
This reduced the distance between our raw material providers are co Packers, our customers and our consumers alkaline 88 was 1 of the few water companies in the country able to meet customer demands every month of fiscal 2021.
With the help of our supply chain, we earn the trust and appreciation of our retailers of shelf presence in early fiscal 2021 resulted in the largest sampling program on our company's history and 1 major chain alone 135000, new households true.
Alkaline ph for the very first time.
Our fiscal 2021 performance accelerated our product offerings of new channels and new retailers. We are now in over 75000 retail locations nationwide.
Our expansion included major customers such as Rite aid 99, since the only lidl and convenience stores across the country recently, 1 of the largest retail customers told us that we were rated as the best of the best suppliers throughout the calendar year 2020 and into 2021.
Our superior performance as confirmed by multiple there's a free backed third party data sources I'd like to share a few of those highlights.
Of the Nielsen extended all outlets combined ex Aoc data through March 27, 2021 confirms the alkaline 88 is the only major value added water company. The grew double digits on sales and units every 4 week period since 2019 on.
Also during the 52 week period, ending March 27th 2021.
Our client growth was 11% over of category in dollar volume and $15.5 per cent over category and unit volume.
The I R. I move low multiple outlet data for told of U S or the 52 weeks ending may 6.2021 shows alkaline 80 eights..1 gallon is the third best selling S. Q U amongst all branded 1 gallon of water excuse in the United States non.
Just the value added water.
In fact, we were the only value out of water brand to be in the top 10, 1 gallons sold.
Finally, according to spins data, which tracks the natural food channel for the 52 weeks ending April 24th 2021 alkaline 88 is the second largest brand in the enhanced water category in both dollars.
And unit sales. This is an amazing accomplishment considering the just 4 short years ago, we bear the registered as a brand in the natural food channel.
More good news from the same spins data shows that alkaline. The 88 is 21, 8% above the category of dollar volume at 24.8 per cent and units sold.
For the last 3 consecutive years alkaline 88 has been the fastest growing alkaline water company across the U S year over year on.
All of our water products, including the single serve flavored infuse an eco friendly aluminum bottles are outperforming the category and showing positive growth per that same spins data.
These stats are all impressive, but our sales organization knows that they're supported by forward looking operational people.
That team's efforts in fiscal 2021, it enables us to bring online 2 raw material manufacturers to supply the eastern half of the country. They also upgraded our proprietary technology in each of our plants, which increased our daily production capabilities and capacity.
Furthermore of the added several new strategic co Packers. The operational team also identified 3 new co Packers. So we began producing out of plenty of 88 in the third and fourth quarter of this fiscal year doubling of our throughput.
In fiscal 2021, we also doubled our employee count strengthening of the company in virtually every area.
Together employees, new and old adjusted the meet the unprecedented demand and unique work environments. The materialized last year.
As a result of today's production capacity has never been greater and our sales opportunities have never been stronger.
The entire consumer goods channel is feeling significant inflationary pressure.
Working together, our sales and operational teams have already implemented strategies to ease that pressure.
We've created strategic partnerships with co Packers and suppliers to increase efficiencies.
Recently for the first time of the company's history, we asked our customers for a wholesale price increase.
This was not an easy decision, but the necessary 1 based on the rising cost of our entire supply chain.
We have close the example of our product pull through and price sensitivity of the consumer level and do not believe our price increases will slow down our growth trajectory.
With net fees recent acquisition of essential we aren't out of the largest independent non flavored water company in the country in order to reach our long term goals of becoming a household brand. The company continues to focus on regional expansion of our core brand product innovations and large consumer channels. The.
Of the alkaline water company has always been dedicated to the superior hydration purity quality taste and value.
This past fiscal year, we strategically expanded our product offering to include eco friendly aluminum bottles, a 2 liter alkaline and 88.6 pack CBD powders and choose and developed 6 new soon to be launched functional CBD waters.
Since January of our new offerings of gained significant momentum in the marketplace major retailers, such as HEB Harris Teeter sprouts, and others are carrying 1 or more of a I'll call on the 80 eight's, new skus for the first time ever.
Our CBD water in Adjustables also gained traction in the convenience and CBD specialty stores, including yes way and CBD Emporium.
Over the next 3 months, our flavored infused aluminum 2 liter 6 pack single serve in CBD water will be more stores than ever before.
Even with an expanding denominator, our non bulk offerings are growing faster than any other segment of our business.
Our major initiatives in fiscal 2021, which of increased direct store delivery distribution ceased.
C store expansion ecommerce sales hospitality international expansion CVD and defined on a list did it brand ambassador to build the national marketing campaign around.
I'd like to spend a few minutes discussing our success.
In each area.
At the end of fiscal 2021, we hired a director of National sales of convenience stores in fiscal 2021, we made great strides with the addition of a number of direct store delivery partners, including my Houska.
That of beverage company, and Hensley beverage company, covering Nevada, Arizona and the Midwest region.
Buying the service over 16000 customers in 5 states.
Each 1 carries our full line of non CBD waters.
We had an established goal of bringing in over 25000 customer convenience stores. We feel we are well on our way to meeting that goal by the end of fiscal 2022.
In fiscal 2021, and we also put together a plan for us to enter.
The northeast northwest of mid Atlantic regions, with a major DSD partner or partners by the end of our third quarter fiscal 2022 rigs.
We expect to make a formal announcement sometime next quarter on our new DSD partners.
It is important for us to stay focused on the northeast northwest and mid Atlantic markets as they represent the largest brick and mortar sales opportunities for this company. We can't continue to aggressively pursue these regions in fiscal 2022.
On the ecommerce front throughout fiscal 2021 alkaline and 88.
And CBD ecommerce sales grew significantly.
We have worked with the outside third parties to increase our Amazon sales more than doubling of our fiscal 2020, Amazon sales, we hold our marketing initiatives and our cost per acquisition on the water side is now less than a single average internet sales, where we have recently hired a new dedicated employee who will be exclusively focused on the E com.
Our strategy.
As our focus and expertise has been primarily brick and mortar expansion. This new higher should make E. Commerce, 1 of our largest growth area over the next 2 years.
Most consumers don't realize that the U S. Foodservice industry is nearly equal in size to the grocery retailing.
On accounted for 90.970 billion in sales in 2019.
We began to focus on this channel in the fourth quarter of fiscal 2020 in fiscal 2021. Despite obvious challenges we made great strides in our hospitality initiatives by signing up with distributors Dot foods and broker I be a foodservice.
As the economy recovers on premise beverage sales of returning to normal and all of hospitality channels.
We have several large analysis of penny that include additional national distributors and brokers. We have recently hired of consumer packaged good hospitality experts with an outstanding record of expanding brands into our on premise channel.
This is an area, where our relationship with Shaquille on the authentic brands group will give us an opportunity for early acceptance. We know our aluminum bottles are already a perfect match for a number of named brand hospitality banners in venues such as National parks airports universities and other on premise establishment of new product extensions, including.
Our flavored infused with CBD water should find the spot in the restaurants resorts on health clubs.
During fiscal 2021.
We reignited our international expansion efforts, we received new export certificates from the F. D E and F..3 strategically located co Packers the other.
Certified to export into a number of countries, including Canada, Mexico on parts of Asia.
The global market value for alkaline water is estimated at over $2.2 billion and is expected to reach over $3.8 billion by 2026.
Yeah on March 2021, we announced that we have entered into an agreement with T. N does Cindy Carlos.
1 of Mexico's largest grocery banner survey of 1.5 million customers in the Mexican free trade Zone. In addition, we have of recently expanded our presence into the Caribbean and Puerto Rico, We continue to look for opportunities in Mexico on and are working to establish broker relationships. There is Mexico is 1 of the largest per capital consume.
<unk> is a bottle of water in the world.
We have also begun negotiating with a beverage plant in Canada that would allow us to produce both of our alkaline 88 and CBD water for distribution in Canada. We are confident that the Canadian market will be our next international endeavored during fiscal 2022.
Because of the political dynamics, we were not able to expand into the Asia markets in fiscal 2021, we now believe that we'd be able to expand into Asia. During the last half of fiscal 2022.
On water company continues to innovate with products that have attracted not only international e-commerce and hospitality customers, but we have also successfully expanded into the specialty retailers in fiscal 2022, we hope for the first time with our 2 liter shack pack to be able to penetrate big box and club.
We do think the Shaquille on this team will help smooth the way.
Our CBD subsidiaries of continuing to make great strides as.
That's primarily of beverage company, we're particularly excited about our CBD water. It will soon expand from a single offering to include 6 functional CBD waters, we had a record shipments in fiscal 2022 first quarter as many retailers are now offering CBD beverages, the consumer per Bright-field data CBD beverages are expected to grow from.
On an estimated.
The $63 million in 2020 to over 1 billion by the end of 2020.
Twenty-three the.
Thus, making it the fastest CBD product category for growth. We're also developing new first mover functional CBD waters and delivery systems that we believe will also allow us to gain significant market share in the coming year.
We're in conversations with the major distributor to carry our new line as 1 of the country's leading functional beverage companies. We expect 88 C V D water to be 1 of the country's leading CBD water brands.
Our recently launched Ingestible, particularly our gummies are experiencing great consumer acceptance, both on brick and mortar and ecommerce.
We have launched a number of marketing initiatives, including our partnership with Barstool sports to support our ecommerce sales are brand loyalty of some of the highest in the industry with the momentum we have gained since the country is reopened.
We believe the fiscal 2022 will be the year of 88 C V D.
The alkaline water company has made its reputation with retailers and consumers by being ahead of the curve.
We anticipated trends like alkaline water clean beverages, and equal friendly packs gene years ago.
Per bright-field data most consumers of ionized water are looking for clean labels with simple ingredients from equal conscious companies.
We are the leader in the space providing products for the ingredients list that people can trust we are of the clean beverage company.
In addition to ingredients our bottles are recyclable P. E. T. R. R. P E T and D P a free on.
The box packaging already exceeds the 2022 recycling standards for the state of California.
We were the first national company to introduce aluminum bottles with water, we continue to make decisions that affect us all in a positive way for 8 years alkaline 88 has been making a difference on the water we drink in the world we share.
Lastly, we now have a world class ambassador of the alkaline water companies now partnering with the sports icon and World class businessman Shaquille O'neal.
We believe this partnership with the Shaquille O'neal on authentic brands group as the most significant event.
And the company short 8 year history Shack will be an active part of our team serving in lieu of capacity as an ambassador and is a member of out of our advisory Board.
The partnership has an initial 3 years in length and very equity centric. The parties have a vested interest in working together with management and our board to enhance brand awareness, our sales and the enterprise value of the company.
Shaq is already working behind the scenes with their sales and marketing team here's the mere presence is accelerating our discussions for international expansion of course, it's too early to have this translate into actual sales, but every 1 of our beliefs. We believe we can become of household brand and the next 3 years shack.
Shaq is an exceptional talent not only creatively, but he has a very high business acumen authentic brand group is the third largest brand licensor in the world. We're just beginning to scratch the surface of the great things, we expect from this partnership.
We should be able to fully activate our initial marketing asset sometime in the third quarter of our fiscal year.
I'd now like to pass the call onto the David Green, Our Chief Financial Officer, who will take you through the fourth quarter and the full year results David.
Thanks, Ricky before I begin I'd like to encourage interested listeners to review our press release announcing our financial results and our form 10-K, and the we call earlier.
For a more detailed explanation on some of the year over year variances as I'll be highlighting just a few.
Our revenue from sales of our products from fiscal year ended March 31, 2021 was $46 million and the increase of approximately 20% generated primarily by the sales were off 1 of the.
Water.
This increase reflects organic growth with our existing retailer.
The expanded distribution of our product the additional retailers throughout the country.
Gross profit from the fiscal year ended March 31, 2041, or the approximately $16.4 million.
A 25 per cent increase over the $13.1 million in the prior year.
Net loss of the year ended March 31st 2021, 1 of the <unk>.
$16.4 million compared to the $14.8.
The $8 million loss in the year ended March 31.2020.
The increase in year over year loss was primarily due the increase of approximately $4.6 million and general and administrative expense.
Specifically non cash G&A expenses was <unk> 5 million in the year ended March 31.2021.
There was the net loss per share of 24 and the year ended March 31, 2021 compared to the net loss per share of 34 cents in the prior year.
Our cash and cash equivalents Hallmark brute force.
'twenty, 1 was approximately $9.1 million net.
Net cash provided by financing activities for the year ended March 31st 2021 was approximately $19.4 million as compared to the approximately $7.6 million per the year ended March 31.2020.
The increase of net cash provided by financing activities with 2 of the proceeds from the sale of common stock and the exercise of warrants.
While we have not yet established an ongoing source of revenue sufficient to cover of operating cost we believe the cash on hand.
The anticipated warrant exercises our line of credit and the sales agreement with Roth Capital Partners LLC, while adequately fund the current plant operations and capital needs for the next 12 months.
However, if our current plans change or accelerated or we chose to increase our production capacity, we may seek additional equity or debt securities or obtain additional credit facilities, including seeking investments from the strategic investors.
The consolidated statement of operations for the prior year ended March 31, 2020 has been corrected on the phone.
Appreciate the expense related to the assets utilizing the production of inventory of approximately $1 million has been reclassified to cost of goods sold.
And an adjustment to reclassify the sales and marketing expense of approximately $2.7 million has a reduction of revenue as hunter amounts were related to consideration payable to the customer where the company determined was not part to think good 2 thirds of receipt.
These questions had no impact on total operating loss and net loss.
Before I turn it back for Ricky I would like to reiterate our full year guidance for the fiscal year ended March 31.2022.
We expect to deliver revenue of approximately $52 million with an estimate of gross profit of 38 per cent.
We expect our topline to be driven primarily by the momentum we are carrying forward, which should allow us to organically grow with our existing retail clients and expand distribution traditional retailers throughout the country.
With that I'd like to turn the call back over the Ricky Thank you.
Thanks, David and thank you for all attending and closing we believe over the next 3 years, we have the plan and the personnel to exceed market expectations.
As a company we are fortunate to know who we are on who our consumers are.
Like us our customers.
Represent a broad cross section of our society on a culturally diverse health on environmentally conscious and care about their families communities and the world We live in.
As a nimble innovative publicly traded lifestyle company. The alkaline water company is uniquely positioned to continue to take advantage of established and emerging markets are state of goal remains to become of household brand and the largest alkaline water company on the world, We're well on the way to realize the most of the company's strategic initiatives that we saw.
And in fiscal 2021.
Clearly each 1 is substantial on its own rights and can have a major impact on the companys enterprise value on shareholders' return the.
Addition of Shaquille O'neal and authentic brands group should accelerate our successes.
Now I'll hand, the call back over to the operating for questions of the answers. Thank you all for attending.
Yeah.
Thank you we will now be conducting the question and answer session. If you would like to ask the question. Please press star 1 on your telephone keypad.
A confirmation tone will indicate your line is on the question queue.
You May press Star 2 of you would like to remove your question from the queue.
For participants using speaker equipment may be necessary to pick up your handset before pressing the star.
1 moment, please while we poll for your questions.
Our first question is coming from the line of Luke Hannan with Canaccord. Please proceed with your questions.
Yeah. Thanks, good morning, everyone.
I just wanted to start with the performance in fiscal 'twenty, 1 Ricky I think the guidance for the year was between the Youre looking for revenue between $48.52 million and it came in at 46. So I'm just curious maybe what caused that sort of divergence and then also sort of as a follow up to that what gives you the confidence.
Youre going to hit that 62 million that you have forecasted for fiscal 'twenty 2.
Yes, I think some of it.
Candidly Luke had to do with some of the changes we had in the counting procedures that we had undertaken this.
This year and so we had some additional cost go against our revenue side that we had not anticipated as we've grown so quickly we've had we've added a number of different programs.
Digital couponing and Bogo that.
Go against.
Marketing dollar of go against revenue directly I suppose the marketing dollars of wheat downloads through other channels they would've gone against the.
The marketing revenue of our marketing expense only coming up with check now we're going to shift those marketing dollars away from the revenue side and into the marketing side. So we're going to get back on track in terms of of that slight reduction in revenue based on how we account for on the general accepted accounting principles or for our marketing dollar.
And consumer goods at the kind of a unique way they account for it if I spend the same dollars outside on a on an AD. It goes against marketing dollars from I spend it in store on an erratic goes against the revenue so.
We're moving away from that and that's 1 of the reasons, we brought into the national talent of of Shaquille O'neal in terms of the forecast in the future why I think this year besides that small.
Hum.
I think that this year, we're looking for great growth in the sense of 2 things 1 we had huge news today I don't know if you guys who've had the chance to read it yet, but shaquille and our chairman led a financing today, we raised $5 million of we cashed up and Shaquille has put $1 million of his own money on which I don't.
No you don't you can speaking of higher of our company's potential when both of your chairman and the a list of celebrity that.
You've brought on both of that kind of confidence on the company, but number 2.
And the more empirically, we continue to just crush it on the Nielsen side of it.
I was looking at data this morning, and you know overall.
As we've talked about in the actual release today are those numbers of accelerated.
I mean, we are growing quicker than we've ever grown.
When I was looking at some of the regions that we're in you know we own about 4% of the horn of half per cent of the west region of worry about 3% of the east Southeast region.
And then the.
Northeast and the Midwest combined were less than 1%. So we know that are huge amount of growth opportunity exists in those 2 regions. We know that we have gained market share in every region. This year and we know that we're outperforming the enhanced water category by a significant amount. So we believe the.
With the power of our a list of celebrity with the National marketing program. Some of the innovation of products. We are bringing on that we can just crush. It. This year. We also know that the number of cases sold in this current quarter exceeds anything but the pandemic stuffy error. So we see great great great momentum.
Yeah.
Understood and then I guess as sort of a follow up to that too on the gross margin guidance that you have I think if I just do the quick math it implies basically.
The 200 basis points of margin expansion between them.
Year on that in fiscal 'twenty 2.
What are like what's baked into those assumptions I am sure that theres. Some contributions from higher margin products like you'll get some mix benefits there'll be some operating efficiency benefits as well.
And then also the price increase that you guys just took will factor into that as well. So I'm curious if you can just shed some light on each of those different buckets and what the magnitude of each of those.
<unk> sort of.
Gross margin guidance.
So we've got the other 1 true going against the okay. So we are picking up some gross margin capabilities and increase.
Gross margins through bringing our supply chain closer to our plants.
We will also bring up some gross margins by.
Working out some additional arrangements with our co Packers in terms of pricing concessions.
Based on volume.
So that's coming in our favor however, raw materials I think overall in the sense.
No news to the industry.
Some of our raw materials are up.
140% this year already.
So.
Thats driving it the other way look and I think that's probably the major impact in terms of coming in at 38.
Relative to prior years, we're at 40, so we've picked up some of the damage done by the price increase and some of the efficiencies, we built with our supply chain, but the until.
Until the current country.
Levels off a little bit on the inflationary pressures.
I think the 38, a good solid number for us.
Okay I understood.
Last 1 from me and then I'll pass the line on those price increases I'm curious if you can shed any sort of light.
On the pricing dynamics, you kind of touched on it a little bit there, but sort of where do you see your product relative to others in the space and how much room do you see I guess for you to be able to take further price increases to sort of maintain that margin you know assuming the.
The sort of inflationary effects persist for a little while longer here.
Yeah. Good question Luke.
We get from studies on 1 of our top clients.
We already had a I think it was probably about an 8% increase at the store level.
At our largest clients are unrelated to our pass along but something they chose to do on their own.
And we're actually up 17% on that particular client. This year. So we believe that that shows that we have some room to move from pricing into the.
On the marketplace, but I think more importantly is that we also know that about 20% of the time some of our major accounts.
Out of stock.
The Cup candidly you know the stock Bush can't can't stock fast enough from days and so we know that there is an opportunity for us that even with a little bit of of price increase I don't think the elasticity of demand is kind of hurt us.
There'll be an opportunity for more people to see the product on the shelf of more people to pull it off.
So we've looked at we've done some GAAP studies between us and the.
The private labels that have come into the into our space. We believe we're positioned well and we believe that.
A 5 or 10% increase at the store level is not going to affect our momentum 1 iota in fact, I am hopeful with Shaquille, putting more eyes on that on the brand. This year driving people to the consumers that we will actually increase our sales substantially with a slightly better margin.
Okay I appreciate all the comments thanks.
Thank you as a reminder, if you would like to ask a question. Please press star 1 on your telephone keypad.
There are no further questions at this time I would like to turn the call back over to Ricky Wright for any closing remarks.
Yes, I think it's a great day to be alkaline and as a shareholder we really have just begun that journey with shaquille and authentic brands group.
On the 2 powerhouses in the end of consumer Arena.
Shaquille is absolutely the perfect ambassador for this brand.
The fact that he was willing to come in today with our chairman and bring some additional news on capital into this brand cannot speak more highly of their confidence and our capabilities to perform.
I do believe that this year, we will see some of those the initiatives that we put together of 2000 fiscal 'twenty 1.
A lot of people of your fiscal 'twenty 1 as the.
Is it kind of of waste year, I know, there's some consumer product goods companies that arent even.
Counting it as of year when they do their comparables, we managed to not only get through the year, but we actually felt through the year. So I'm very proud of the team I do believe that you will see some tremendous announcements coming up over the next month or so.
We have a lot of stuff in the pipeline that we've kind of forecast within our talk today.
That should enhance our shareholder value significantly and I want to thank everybody that has stuck with us as we continue to grow our story. We are now the number 1.
Independent alkaline water company in the country.
I do believe that we can become a household name with all of our brands and all of the expenses that we've had over the past 2 years and we're just going to begin to see the fruit of those.
Efforts and endeavors. Thanks again for your time, everybody have a great day.
Okay.
Thank you for your participation. This does conclude today's teleconference. You may disconnect your lines at this time.
Have a great day.