Q4 2021 Radiant Logistics Inc Earnings Call
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Yeah.
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This afternoon bond Crain, Radiant logistics, founder and CEO and radius Chief Financial Officer, Todd May come Bert will discuss financial results for the company's fourth fiscal quarter and 12 months ended June 32021.
Yeah.
Following their comments, we will open the call for questions.
This conference is scheduled for 30 minutes.
This conference call May include forward looking statements within the meaning of the Securities Act of 1933, and the Securities Exchange Act of 1934. The company has based these forward looking statements on its current expectations and projections about future events.
These forward looking statements are subject to known and unknown risks uncertainties and assumptions about the company that may cause the company's actual results or achievements to be materially different from the results or achievements expressed or implied by such forward looking statements.
While it is impossible to quantify all the factors that may cause the company's actual results or achievements to differ materially from those set forth in our forward looking statements. Such factors include those that have in the past and may in the future.
<unk> and the Companys SEC filings and other public announcements, which are available on the radiant website at www Dot radian delivers dot com.
In addition, past results are not necessarily an indication of future performance.
Now I'd like to pass the call over to ratings founder and CEO, Bob Kramer, Sir the floor is yours.
Thank you operator.
Sure.
Thank you good afternoon, everyone and thank you for joining in on today's call.
We're very pleased to report another quarter of solid financial resort results for the June quarter highlighted by record results across key financial metrics.
We posted revenues of $266.0 million down 17, 6% or six 4%.
Excluding COVID-19 related project revenues of $130.0 million realized from air charters in the year ago period revenues were actually up significantly increasing $116.0 million or 71, 9%.
We also posted net revenues of $70.0 million up $12 million for 25, 3%.
Net income of $12.0 million up $10.0 million or 136, 2%.
Record adjusted net income of $11.0 million up $3.0 million or 13, 5% and record adjusted EBITDA of $14 million up $1 million or seven 6%.
These record results reflect the benefit of our scalable non asset based business model diversity of our service offerings and our ability to quickly respond to changing market dynamics.
Not only are we seeing solid recovery in our legacy business, but we are winning meaningful new business across the platform in the U S and in Canada.
Business continues to be robust and locations operated by our strategic operating partners and in our company owned locations as well.
In addition, we've been able to deliver these record results, while continuing to maintain very low leverage on our balance sheet.
As we've previously discussed we also believe that our current share price does not accurately reflect our intrinsic value our long term growth prospects, particularly given our unlevered balance sheet and therefore represents an excellent investment opportunity for both the company and our shareholders. In this regard we were able to begin reengage.
And our stock buyback and repurchased approximately $10.0 million of our stock in the quarter ended June 30.
We remain encouraged by our continued strong financial performance and the fact that we were able to report a record $56.0 million and adjusted EBITDA for the 12 months ended June.
With the diversity of our customers the strength of our balance sheet scalability of our technology the commitment of our employees and the continued recovery of the business sectors that were previously impacted by Covid, we remain optimistic about the trajectory of the economy and the opportunities that this will present for radiant.
In the months ahead, we will continue to closely monitor how the economy is progressing and expect to continue to be active in our stock buyback activities.
And look forward to re activating our acquisition efforts as the opportunity presents itself.
With that I'll turn it over to Todd our CFO to walk us through our detailed financial results and then we'll open it up for some Q&A. Thanks, Brian and good afternoon, everyone. Today, we will be discussing our financial results, including adjusted net income and adjusted EBITDA for the three and 12 months ended June 32021.
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For the three months ended June 32021, we reported net income attributable to iridium logistics of $11 million $59000 on $266.0 million of revenues are 22 per basic and <unk> 21 per fully diluted share, which included a gain of $10.0 million on forgiveness.
That for.
For the three months ended June 32020, we reported net income attributable to radiant logistics of $4 million $665000 on $280.0 million of revenues or <unk> <unk> per basic and fully diluted share. This represents an increase of approximately $6 million $394000.
Net income over the comparable prior year period or 137, 1%.
For adjusted net income, we reported $10 million $72000 for the three months ended June 32021 for the three months ended June 32020, we reported adjusted net income of $8 million $883000. This represents an increase of approximately $1 million $189000.
For approximately 13, 4%.
For adjusted EBITDA, We reported $14 million $141000 for the three months ended June 32021, compared to adjusted EBITDA of $13 million and $148000 for the three months ended June 32020. This represents an increase of approximately $993000.
Approximately seven 6% move.
Moving on to 12 months.
The 12 months ended June 32021, we reported net income attributable to radiant logistics of $22 million $943000 on $890.0 million of revenues or <unk> 46 per basic and <unk> 45 per fully diluted share, which included a $8.0 million charge.
On change in contingent consideration, which was more than offset by a $6 million gain on forgiveness of debt.
For the 12 months ended June 32020, we reported net income attributable to radiant logistics of $10 million and $541000 on $857.0 million of revenues for 'twenty, one per basic and fully diluted share.
This represents an increase of approximately $12 million $402000 over the comparable prior year period or 117, 7%.
Adjusted net income for the 12 months ended June 32021 was $34 million $380000 for the 12 months ended June 32020, we reported adjusted net income of $25 million $632000.
This represents an increase of approximately $8 million $748000 or approximately 34, 1%.
We reported adjusted EBITDA of $48 million $781000 for 12 months ended June 32021, compared to adjusted EBITDA of $38 million $259000 for the 12 months ended June 32020. This represents an increase of approximately $10 million.
$522000 or approximately 27, 5%.
With that I will turn the call back over to our moderator to facilitate any Q&A from our callers.
Yes.
Yes.
Sure.
Thank you the floor is now open for questions. If you do have a question. Please press star one on your telephone keypad at this time questions will be taken in the order they where we see is that.
Anytime Youre question has been answered you can't remove yourself from the queue by pressing one again, ladies and gentlemen, if you do have a question. Please press star one on your telephone keypad at this time. Our first question comes from Jason Sito. Please state your question.
Thank you, operator, Hey, bond Hey, Todd.
Wanted to talk.
A few things number one it seems like you're well positioned to keep throwing off a lot of free cash flow and you think your stock's cheap.
Can you put some parameters about how youre going to go about this buyback is this going to be opportunistic.
And then you're just going to start like really purchasing more now with it.
At lower levels is this going to be something that youre going to just do consistently.
Yes, thanks for the question Jason So.
As we've stated.
Previously I think are kind of baseline view as well.
Look to take half of our free cash flow.
To be active in stock buybacks and the other half of our free cash flow and look to do tuck in acquisitions. So that's kind of what I would characterize as the baseline plan of action.
To the extent meaningful.
Our material M&A came along that could impact that that view, but certainly is up as a baseline case, we do believe our stock is.
Extraordinarily undervalued given all we've accomplished over these.
Last several years and represents a very good opportunity.
For us so we will certainly be putting capital work in that area.
Yes.
We ultimately are compelled to do something that we view as more strategic.
Understood.
And given the current multiples out there on the M&A environment is probably going to be no material transactions at least in the near future.
Only time will tell.
That's fair enough you guys also talked a little bit about some business lines coming back I was hoping you can give us.
Some color around that and then maybe you could talk to.
Any potential work that you guys could do with FEMA around some of these disasters that we've seen.
Sure.
As we all kind of navigated motto of admit to each of us.
Personally and professionally.
The industry verticals that were the hardest hit and ultimately slowest to recover recover.
We're a retail store fixture ing Trey.
<unk> trade show in and cruise lines.
So even in prior quarters, we had seen healthy.
Coverage at least in the verticals that we were actively participating with the exception of those three laggards for lack of a better term.
And with the exception of the cruise line business, we've seen healthy recovery in retail store fixture and Tradeshows are firing back up so kind of everything I think the short version is everything either has or is coming back online.
With the last two arrive back to the us to the party being the cruise line and that probably at least for US would probably remain kind of the weakest in terms of activity relative to what we would view as normal.
And I'm sorry, what was the second part of Europe. What was the second part of that question was you've worked a lot in the past with schema.
Yeah. Thank you. Thank you I'm very bad weather on everything but wanted to get active again.
Yes.
Historically, our bigger opportunities with FEMA have come in the international Arena.
So while we might be.
Somewhat active and some of the kind of contiguous 48 activities those typically.
Wouldn't kind of register from a financial impact locally so as an example.
Hurricane Ida.
There is not going to be.
Meaningful one time.
Chunk of business that comes through in response to either as an example.
Okay, No that's fair enough and I guess.
Lastly.
When you look at the forwarding side of your business.
Supply chain has been extremely tight.
If you look into your crystal ball and desktop a bit.
How long do you think this supply chain tightness is going to continue.
Well, it's really.
Im sure Youre getting a lot of similar responses, but from where we sit right now theres not a lot of end in sight. We had a peak season that started early hasnt let up.
It's really going to be an interesting ride here as we enter what is what we would typically think of as our more traditional peak season, and what that means because it is.
Nothing short of a firefight out there as everyone's jockeying for capacity to try to service their customers and.
So certainly through this peak season and Thats.
I was just having this conversation the other the other day.
At least from my own experience when we have these.
Types of environments, you can always count on the asset base, guys to reinvest and redeploy assets into the individual trade lanes to to kind of begin a reversion back to the norm.
But even the asset based guys because the supply chains are so jacked up.
It's hard to build a truck.
To build a ship.
So on top of that the drivers and just so to try to to try to get back to what we.
We all envisioned as a reset to normal it just I think this is going to be.
Unusually protracted process because of just how frustrated.
Kind of the global supply chain in its entirety is right now.
That's great color.
Well listen a good.
Quarter keep up the good work.
Thank you.
Sure.
Our next question comes from Mike Mark Argento. Please state your question.
Hey, Bonnie Todd Yes.
Wanted to delve in.
Just talk about the supply chain is still being pretty junked up but.
Are there any bright spots or you starting to see some.
Some areas flow a little bit more.
What's been working.
Well.
I think as our numbers would suggest I think it's hard to find a spot where it's not working in terms of all of our business groups, whether you want to look at it on a geographic basis in U S versus Canada.
Modality basis or on a company owned store versus agent station basis.
Almost whatever lens you would look through on a comparative basis.
Yes.
We're up so.
It's a challenging environment out there, but this environment has provided a good backdrop for us.
Bring value to our customers.
A lot of hard work for everybody.
In the marketplace right now, but I think where our work is being valued and that's reflected in the numbers.
And are you seeing a law.
Customers.
Sure.
<unk>.
Yes provided just with everything so much tighter or is that a big generators. The bundle certain certainly out of the la markets is very very tight and people are stepping up I mean, theres a lot of surcharges that are going on right now and there is theres metering and so I think certain areas I mean, certainly long beach I know, there's just a ton of ships waiting to.
Unload and it's creating a theres more more demand than there is capacity. So people are stepping up where they need to so that's going to go on for a while we don't know exactly how long, but certainly people are having to.
To pay a little more to get the freight moving in certain areas.
Right.
Maybe Bob.
Talk touch on.
Opportunity to continue with the great tail phenomenon.
And we've been living through a pandemic now.
Already had great How're you probably do know some of your operators that as you're assuming your Egypt, So iga platform.
Yes.
Appetite thinking.
On the M&A side, Brian.
Ill make it just so much money right now it's hard for them to even think about.
Two part with the business.
Yes.
One thing's for sure none of us are getting any younger right myself included but.
Yes.
We.
Or kind of underlying.
Kind of value proposition and brand promise.
Are alive, and well and what I mean by that is we're here to meet our <unk>.
Partners, where they want to be met and so for us that means when they are ready we are ready so.
We never have and we're not currently out twisting people's arms to try to compel them to sell.
Within their own.
Ill frame when they're ready for their exits we're here to support them in that and just.
Kind of.
Logically.
That in our network of partners is getting older and.
I think we will have increasing opportunities.
Over time to make good on that brand promise.
To support them and their exit strategies.
And.
As we think about.
Capital allocation and capacity and dry powder, we always have in our mind, making sure there is the capacity there.
To support that brand promise.
And supporting our stations so.
I think kind of the fundamentals are there.
But at.
At the same time I don't want to I don't want to leave you with the impression that people are lining up to exit next quarter, because that's not the case.
But know that.
Kind of the opportunity remains intact and we're not <unk>.
<unk> the calendar.
We're supporting the agendas of our operating partners.
Alright, and then just.
So when you think about it.
The multiple I mean, you guys.
Tremendous cash flows in the quarter.
Youre not getting a whole lot.
Laver.
Start from the street from a valuation perspective.
Do you ever think about I mean, you take all the money sloshing around in private equity right now.
Tremendous amount of activity over the years companies in and around the retail space.
I mean at some point in time do you just go.
This is for whatever reason public company will add as well.
Where we need to be in.
We look at running the strategic alternatives process or figure out a better way.
To generate and realize some value because I have to assume as a large shareholder, but you must be getting a little bit frustrated.
A lot of.
The valuation true up.
Over the years here any thoughts.
It's obviously a good call out.
Hi.
Certainly if we were going to consider something like that.
We wouldn't be announcing it on this earnings call.
But in all seriousness.
Our growing long term value. We think there is a lot a lot of opportunity to continue to create value.
<unk>.
And I will certainly acknowledge there are some days I'm as frustrated as you can imagine around the very topics, you're raising but on other days I view, it as an opportunity and and so.
If the market is not going to reward us fair value that creates an opportunity for us to effectively buy in our stock and.
And just to kind of make a point.
I don't know where else, we can buy a $50 million EBITDA business at.
Call It a.
Seven or.
Eight times multiple with zero integration risk.
So.
As we evaluate.
Alternative uses of our capital.
That's one of the measuring sticks or one of the considerations.
That.
That comes into that conversation of that thought process.
So we had.
But we had.
The gun the stock buyback Covid hit we pulled in our horns.
Then we had the PPP loans, which have now been forgiven.
There has been kind of a natural.
Albeit unusual chain of events, but we're re engaged now and.
I would expect we would continue to be.
Great appreciate the color.
Thanks, guys.
You bet.
Okay. Our next question comes from Jeff Kauffman. Please state your question.
Thank you very much guys, it's Jeff from vertical how are you.
Good so a couple of questions.
We talked about will come back that you were seeing on retail on <unk>.
Trade show and yes.
This is all in the June 30 post June 30, we called Delta variant really kind of pick back up.
I was planning on going to some trade shows that got canceled and some things got rescheduled.
Has delta had any setback impact as we think about kind of first fiscal quarter of 2002.
It may have on the edges, but certainly on a comparative year over year period, we're seeing we're continuing to see positive trends.
<unk>.
I don't think anybody's.
Emotionally prepared for another shutdown. So this is my own personal opinion, but I think.
Delta Notwithstanding I think.
The World is going to stay open for business and we're going on and we're going to find our way through it however, unpleasant it might be.
And.
So.
There's certainly no denying the realities of the pandemic, but but at least my senses.
Commercially we are and will continue to stay open for business.
I'll be here supporting our customers.
And all the challenges that that creates in terms of.
<unk>.
So at least my point of view is if.
If not Delta, then Mu, which I read about yesterday or in God knows what I.
I don't think any of this is going away anytime soon I think this is going to be.
Unfortunately, part of our new normal and and I think supply change youre going to say challenged for the foreseeable future around all of this stuff.
And so people are going to have to work harder and be more diligent in managing their supply chains, and we have a role to play in that.
So looking at your business I know you were talking about the tightness in L. A I was actually just on their driving up the <unk>, which is the road from reported by way too high.
<unk>, where a lot of these truckers move all I was just wall-to-wall trucks with containers coming out of the port and nothing coming the other way, which I thought was interesting but.
When you look at where the company is today in the business I know you've been strategically acquiring company gateways and things like that but as you look at kind of what your network looks like.
Bouncing back from Covid now versus say, where it was a year ago. When all this started.
Their parcel will not work, where you view, maybe you need more station capacity or partner capacity.
Maybe I guess how has the density map within the radiant system changed as a result of all the craziness last 12 months.
Yes in terms of.
So when you say density map, I think physical over kind of where where business yes.
And Daniel physical doesn't demand everything, but kind of when do you think about it as an industry expertise or geographic expertise from trying to make its way into the country.
Has your view of the needs of the network changed at all.
No.
It's been in certainly capacity is king right. So whatever you can do to better position yourself to access capacity.
As important and there certainly have been.
Yes.
Shift shifting sands in terms of carriers and what's happening with carriers out there.
<unk>.
And kind of the impact of e-commerce on carriers.
I think theres going to be kind of it's in process I think kind of a.
A bifurcation of what I'll call a more traditional expedited <unk>.
Carrier versus somebody who is trying to organize to support.
What I'll call the E Commerce play right.
Because we've seen some carriers effectively.
So on.
E Commerce business to a point, where they can satisfy.
The what I'll call the preponderance of their business.
Because they've been overwhelmed by E. Commerce. So there is so we have to be thoughtful around carrier carrier capacity.
But I will just kind of take a step back we we kind of think of ourselves as having three platforms for acquisition, our traditional forwarding network, our U S brokerage network and our Canadian platform. So we're we're open for business and looking for good opportunities across each of those each of those platforms.
There's lots to be done on the forwarding side.
On the U S brokerage side I think we've talked about before we do we're principally in intermodal player and don't have a significant truck brokerage.
Component today, and so if there is one.
Kind of.
Bucket to continue to fill out truck brokerage would remain an interesting.
Opportunity for us to really build out a more comprehensive bimodal brokerage operation.
Out of Chicago.
Those would be some of the areas but.
But.
Kind of at a very high level kind of bundling value added services with our core transportation service offering there is a lot that can fit kind of within that thematic.
Whether it's contract logistics or customs brokerage type activities or.
Additional tuck.
Tuck in acquisitions of <unk>.
<unk> in competing networks are making good on our brand promise of agents within our existing network.
All in all of these are opportunities immediately in front of us.
That will continue to pursue.
Bob Thanks, I know, we're at the top of the half hour here. So if I could just squeeze one detail and for Todd.
Apologies, Todd I'm traveling and I haven't had a chance to see the press release you identified in your comments, some onetime or unusual items, both positive and negative in the quarter could I just ask you to outline.
Just for the fiscal quarter.
What the nuances, where the good guy benefits and the things that were a little unusual that weighed against you.
Yes, sure so the so for the.
For the current quarter.
We had five PPP loans, and we had the <unk>.
Four of them for given the last one was forgiven in the last quarter.
And that was about 5 million Bucks as what it was in the current quarter.
Okay, and then on adjuvant.
Alright is there anything offsetting the game.
I think that was one of the 12 months on the 12 months, we had about a $8.0 million charge per change in contingent consideration, which was offset by about $6 million.
Loan forgiveness.
Okay.
So yes.
And just as a quick reminder, because it's somewhat counterintuitive.
And purchase accounting land when we acquire companies, we have to book up and estimated future payments and if the business outperformed our expectations.
Yes.
Actively have under accrued and we need to book up additional liability. So in this case, it's kind of a good news story, which is.
One of our acquisitions.
Seeded our expectations has done particularly well.
Cause us to book up that incremental contingent consideration.
The other piece, Jeff was in the face of the press release, which talks about $125 million of Covid related to air charters in the year ago period on topline revenue. So when we when we back that out our revenue was actually up 71% for the quarter.
X.
The air charters in the year ago period, so pretty extraordinary topline growth in the quarter.
Congratulations and thank you for the clarification.
Yes, you bet.
Yeah.
Our next question comes from Mike <unk>.
Please state your question.
Hey, guys how are you doing.
Yes.
Doing well.
Excellent excellent can you just go over some of that.
Yes, there is.
<unk> revenue growth.
I assume a lot of it is existing customers and new business wins and a lot of this seems to be or should be permanent going forward.
Can you just discuss some not in specifics but.
I guess, the verticals, where these wins occurred in and.
How you've gone about securing them and whats in the pipeline going forward.
I'm not sure how granular we want to get on that particular question, but I guess I'll tackle it in the context.
Well I'll approach it in two ways one.
We've talked about before we have a vertical strategy that we've been executing the past couple of years, where we have a number of subject matter experts across.
A number of key industry verticals, whether thats military or life sciences or automotive as an example.
And that strategy has continued to bear fruit.
In addition.
And we've talked about this a little bit before but but.
I'll spend a little more time on it here.
Yes.
And this goes back to our technology strategy and so.
So.
And just quickly for folks who might not be as intimately familiar.
We've always been on SAP from an accounting perspective.
A few years ago, we had we concluded we had outgrown our legacy Tms transportation management system.
And made a decision to move to SAP.
Our Tms so we would.
Have our complete an ecosystem on SAP effectively and we've been working towards that and it's been a long grind to get there, but we are effectively.
They're in.
And as we are.
Expected.
There is.
Huge installed.
SAP account base out there that use us as their core system in their day to day business.
And thats, creating opportunities for us to begin to engage with some very.
Large accounts.
And begin to interact with them on.
On an SAP basis, and begin to pass information and data to them indigenously.
They're kind of native SAP environment, and we think that Scott, we talked about the long tail or the great tail. I think this is going to be a long tail. I think this is just an extraordinary long term <unk>.
Game changing type opportunity for us.
Where we can begin to reap the benefits of the investments that we've made.
And SAP TM over the past several years and I think thats going to ultimately translate into some meaningful incremental business for us.
In the quarters ahead.
Excellent.
Getting back to Mark's question and will let Jason.
When you look at these acquisition candidates out there.
We're we're our growth is phenomenal now our balance sheet pristine we're trading at.
I calculated under six times EBITDA.
EBITDA right now.
Landstar went through the same issue.
10, 15 years ago, where they werent getting the valuation they deserve and they really accelerated.
Yeah.
Dropped acquisitions and they just accelerated the buybacks.
Since then they bought back they've done.
It kind of creeping LBO and they bought back half of the stock outstanding and the accelerated is that.
Are there really companies out there, but I'm trying to get at that.
Have our valuation profile out there it's hard to believe that there is a quality company like us trading at our valuation with our balance sheet and that we know.
My point being is.
Is there a point, where we say we're going to buy everything we can at.
These levels.
And not hold back.
Until it gets.
Some normal spot.
Those have certainly been some conversations.
I don't think were.
<unk>.
I guess, we wouldn't know till we get there but my.
Part of my thought processes as we would.
Is that.
We would have a hard time actually successfully completing a meaningful.
Kind of one time big pop because of the market would likely move away from us.
So.
There's a big difference between talking about it and doing it and I think.
At least from where I sit today.
We will have actually better success and taking stock off the table for the benefit of our shareholders by chipping away at it.
Now, but all of US all of this.
Has to be evaluated within the context.
Of our alternative uses of capital right and kind of what the M&A pipeline looks like and I don't.
I don't believe it has to be binary it doesn't have to be.
All stock buyback or all M&A right I think we can we can.
Move forward with a balanced approach and do some of both.
Which is really the baseline plan.
But.
We're certainly.
Not lined up.
Do a tender like covenant did so.
Which I don't think they bought a single share.
Through that process correct, but they tried.
It would have been great.
My point being is that.
This is a rare opportunity right.
Earning.
Our net income right now is four or five times what it was.
Four years ago, and our stock is basically in the same spot.
So I'm, saying I look at it as you said before this is a rare opportunity for us where the street doesn't see it yet.
And there is it's a time, where you can make a meaningful change in the capital structure, a permanent change that will forever change.
Our earnings going forward.
It's just something to think about it and it's surprising that work here when you delivered such phenomenal results.
Our balance sheet phenomenal our earnings are phenomenal our revenues are a great company.
Different company than it was.
Four years ago, and we're pretty much in the same spot.
So yeah.
If I look at it as an opportunity for us so.
Okay.
As do I.
Exactly right.
Exactly yes.
<unk>.
One of the big intangibles at the end of the day around all of this is financial flexibility right.
In terms of that.
And just to be clear I am not disagreeing with stock buybacks I'm, a big advocate of stock buybacks, we've done them over the history of the company.
<unk>.
We did some this last quarter that we just recorded on so I think all we're talking about is timing and magnitude.
Okay.
And so we will.
Yes.
Not ruling it out.
Yeah.
At the same time, we're certainly wouldn't.
Commit to it.
On our call.
And hats off to the success that you've had here and one last thing I will say this is just one while we have the audience with.
If the analysts there.
Are there there's one or two that are have had numbers that are so far beyond the realm of reasonable and.
As opposed to have an outlier waylay it'd be nice if they took a look at it and kind of got their model.
Beating up on our analyst on this call Mike.
One it's very hard to get through to that would be United sit there. They don't skew it that much but I'll leave it at that.
And have a great job on it it's phenomenal what this company is.
Done over the past couple of years.
Alright, well I appreciate your support.
Thank you.
That was our final question I'll turn it back over to you for closing remarks.
Thank you let.
Let me close by saying that we remain very excited with our progress and prospects here at radiant and we remain very bullish on the growth platform that we've created and the scalability of our non asset based business model.
Our now more than 10 year first to market advantage in executing our multi brand strategy and consolidating agent based freight forwarders ongoing investment in technology and low leverage on our balance sheet puts us in a unique position to support further consolidation.
We believe this represents our longer term and almost perpetual opportunity and we continue to invest in technology and our people with an eye towards building out a world class scalable back office infrastructure to support a much larger enterprise going forward. We're patiently persistent in the pursuit of this long term vision, which we believe.
Leave over time will deliver meaningful value for our shareholders, our operating partners and the end customers that we serve.
For listening and your support of Radiant logistics.
Thank you.
Today's conference call. Thank you for your participation you may disconnect. Your lines at this time and have a great day.
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