Q3 2021 Allegiance Bancshares Inc Earnings Call
It was $4 five 7% compared to the weighted average rate charged on new second quarter core loans of 454%.
And for 63% in the first quarter of 2021.
Paid off core loans were $290 million in the third quarter compared to $238 million in the second quarter.
The $290 million of paid off core loans during the quarter had a weighted average rate of five 4%.
Carried core loans experienced advances of $141 million at a weighted average rate of 455%.
And paydowns of $113 million, which were at a weighted average rate of 498%.
All in the overall period end weighted average rate charge on our funded core loans decreased eight basis points ending the quarter at 487% compared to 495% as of June 32021.
Turning to asset quality nonperforming assets, including both nonaccrual loans and Owari ended the third quarter down from 58 basis points in the second quarter to 44 basis points of total assets.
Nonaccrual loans decreased a net of $8 $3 million during the quarter from $36 6 million to $28 4 million, primarily due to $9 1 million in payoffs $1 1 million in payments.
526000 in charge offs and $1 $7 million in upgrades placed back on accrual, partially offset by $4 1 million in additions.
Oh, sorry of $1 4 million at September 30 is comprised of two residential properties.
And charge offs for the quarter were minimal at an annualized rate of four basis points.
In terms of our broader watch list our classified loans as a percentage of total loans decreased to 383% of total loans as of September 30, compared to $4, one 8% as of June 30.
Criticized loans decreased to 537% at September 30 from six 5% at June 30.
Specific reserves for individually evaluated loans ended the quarter at 17, 5% of total reserves compared to 17, 2% at June 30.
We continue to keep a close eye on various loan categories that may have heightened risks due to the pandemic, including our hotel portfolio, where we feel it will take more time for financial performance to see a return to pre COVID-19 levels.
At September 30, our hotel portfolio totaled $135 million or 338% of our funded loans.
With a weighted average LTV of 65% on the $120 million Thats categorized as CRE.
A 30% stress test on the LTV plus 6% marketing expenses would result in a $4 million shortfall on the portfolio.
In aggregate our asset quality at quarter end remained in a manageable position.
On the deposit front, we saw an increase in total deposits in the third quarter by $234 million from the second quarter and up $750 million over the year ago quarter.
We continue to see solid growth in noninterest bearing deposits that contributed to the quarter to date increase primarily the result of new accounts associated with PPP customers as well as higher balances in our carried accounts.
With that our noninterest bearing deposits to total deposit ratio was 36, 7%.
36, 7% for September 30, compared to 36, 3% for June 30.
And 36% for the year ago quarter.
While we are pleased to see oil prices in the eighties.
The Houston region continues to diversify as evidenced by a top 10 U S finish in the 2021 Global Innovation Index recently published by the World intellectual property organization with results, primarily driven by patent filings in scientific research publications.
With a U S ranking of seven and global ranking of 16, Houston was the highest ranked city in Texas.
And the Houston purchasing Managers' index of 59 five in September marked the 14th straight month of the PMI in excess of 50, which is the threshold of signal economic expansion in the goods producing sectors.
As the largest Houston based community bank that is focused on the eastern region. These trends provide opportunity for us to serve more and more businesses their owners and their employees.
I'll now turn it over to our CFO Paul.
Thanks Ray we are pleased to report another solid quarter of earnings with net income of $19 1 million.
Or <unk> 93 per diluted share as compared to $22 9 million or $1 12 per diluted share in the second quarter and $16 2 million or 79 per diluted share in the third quarter of 2020.
These results were driven in part by lower funding costs Pvp related revenue as well as provisioning for credit loss in third quarter.
Our pretax pre provision income for the third quarter represented another record at $25 9 million as compared to $25 3 million in the second quarter and $21 2 million for the year ago quarter.
Recall that in the year ago quarter, we recorded $1 $9 million in write downs on other real estate owned.
Net interest income once again was a key driver to our pre tax pre provision earnings power during the quarter, where we saw an increase of $1 6 million or two 8%.
To $5 $58 2 million during the third quarter from $56 6 million in the second quarter, primarily due to higher Pvp revenue recognized on PPP loans and lower interest expense in the quarter.
Total net fee revenue related to PPP loans, recognizing the interest income during the third quarter with $7 4 million.
$963000 increase from $6 4 million in the second quarter.
Interest expense decreased by $509000 during the third quarter compared to the prior quarter.
Before moving on I should note that as of quarter end, we had approximately $10 8 million.
Net deferred fees remaining related to PPP loans after recognizing the $7 3 million.
Net PPP fee income into yield during the third quarter and a total of $27 million year.
Year to date.
Yield on loans in the third quarter with $5, three 2% as compared to five 9% for the second quarter and $4 eight 9% for the year ago quarter.
Excluding PPP loans and related revenue yield on loans would have been 5% for the third quarter five 7% in the second quarter and $5 two 5% in the year ago quarter.
Total yield on interest, earning assets was 423% from the third quarter down from $4 four 1% in the second quarter and $4 five 8% for the year ago quarter.
This trend is primarily reflective of changes in the mix of our growing earning asset base towards a higher proportion of lower yielding cash and securities.
With respect to interest expense our cost of interest bearing liabilities continues to track downwards in the third quarter to 61 basis points from 67 basis points in the second quarter, and 105 basis points for the year ago quarter.
Driven principally by CD repricing.
The overall cost of funds for the third quarter was 39 basis points versus 44 basis points in the second quarter.
We expect to see continued improvement in our funding costs going forward driven by CD repricing and continued optimization.
So with the help of Pvp of increased Pvp net fee income recognition and lower interest expense in the third quarter offsetting a significant shift in the composition of earning assets.
Our taxable equivalent net interest margin was three 9% for the quarter as compared to four 2% in the second quarter and 395% in the year ago quarter.
Excluding PPP loan balances and related revenue net interest margin would have been 357% for the third quarter from 388% in the second quarter.
Notwithstanding structural decreases in our go forward NIM profile due to our average earning asset mix. We are pleased to see net interest income growing nonetheless, thanks to the larger balance sheet.
Noninterest income was slightly down quarter over quarter decreasing to $2 1 million for the third quarter from $2 3 million for the second quarter due to a mix of factors.
We are pleased to see significant year over year increases in our interchange income.
Total non interest expense increased in the third quarter to $34 3 million compared to $33 6 million in the second quarter, largely due to professional fees tied to strategic initiatives to improve operating leverage during the quarter.
Among other things.
Aside from the uptick in professional fees, which we consider to be one off we are pleased to be holding the line on expenses.
Accordingly, our efficiency ratio for the third quarter decreased slightly to $56, 91% compared to the 57, 7% from the second quarter and 65, 8% for the prior year quarter.
Moving on to credit we recorded a provision for credit losses of $2 3 million during the quarter.
Just under $1 million of the provision related to unfunded commitments.
The rest of the provision for loan losses was driven by an increase in loan balances and increase in reserve related to individually evaluated loans and net charge offs during the quarter among other things.
I should note that due to uncertainty related to the significant spike in Covid cases during the quarter, we elected not to loosing qualitative factors in our allowance model at quarter end.
So our allowance for credit losses on loans ended the quarter at $55 million, representing 118 basis points of total loans and 126 basis points on core or non PPP lab.
Bottom line, our third quarter, ROE and ROA TCE metrics came to 114% and $13 four 9%, respectively, both representing solid results.
Quarter end tangible book value per share was $27 67.
Making for an increase of approximately 10, 8% since the year ago quarter, notwithstanding dividends and some share repurchases over the last year.
So as we prepare to close out 2021.
We are at over $6 7 billion in assets with profitability capital and liquidity levels at or near all time highs. We look forward to building on our momentum as.
As we close out 2021 and move into 2022.
I will now turn the call back over to Steve.
Thanks, Paul with that I will now turn the call over to the operator to open the line for questions.
Thank you as a reminder to ask a question you will need to press star one on your telephone to withdraw your question press the pound key.
Standby, while we compile the Q&A roster.
Our first question comes from David Feaster with Raymond James Your line is open.
Hey, good morning, everybody.
I wanted to.
I just wanted to follow up on the origination it's great to hear that you guys are continuing to set new records I just wanted to get some insights from your perspective, what do you think it's drivable I mean, how much is just from the general improvement in the economic backdrop versus the new hires and ppt client acquisition.
And then just wanted to touch on whether you expect this trend of improving production to continue.
Hey, David.
The last part, yes, I expect it to continue.
I think whats driving it is the.
Economic conditions in Houston are still extremely strong customers are.
Have good sentiment about the future and we.
We do have all of our our entire lending stats out there working on their pipeline and getting that pipeline close so.
We're extremely excited about the 454 million that we originated in and continue to set records.
And when we look at that pipeline going into the fourth quarter. It looks similar to what we've seen in the first two quarters that produced these results.
During 2020, we turned our sights to helping customers through PPG, even in a little bit in earlier this year and we knew that was taken a little toll, but we also knew that it would start up ticking.
After we.
Werent distracted by that and we've seen that happen.
We're out there really making it work. So we're really encouraged by and I would just just to add David on the loan originations from PPP, We're still that's still an opportunity for us.
Those customers still are somewhat flush or dealing with whatever they were with what why we needed the pvp in the first place so.
I think thats just more opportunity you don't see this record the record is really doesn't have much meaningful originations from the PPP side yet.
That's great that's extremely encouraging and I think I heard it correctly, but it sounds like new loan yields have been pretty stable.
Just wanted to get a pulse of the competitive landscape from your standpoint.
We hear a lot of competition on pricing, which makes stable new loan yields.
Even more impressive just curious what youre seeing on the competitive landscape and whether you're starting to see more pressure on structure and standards or is it mostly on pricing.
There is still significant competition out there we were extremely pleased to see a three basis point uptick in this quarter's loan originations versus last quarter.
457.
I mean, that's very strong that's just a tribute to the work in the field and the kind of value proposition, we provide for the customers.
<unk>.
If you kind of another way to look at it is we saw a little bit although payoffs were high we saw a little bit of the mix of the payoffs that's related to refinance ticked down just a tad so thats a little bit of a guess, it's just one quarter, but.
That might be another sign that maybe we're seeing a little bit of relief there but.
It's still there.
That being said, it's still competitive on the rate side.
Yes.
Yes that makes sense.
And then cognizant that the margin is an output not an input I did just wanted to touch on some of the puts and takes as we go forward just.
As we get more PPP forgiveness and deposit growth and policies more securities purchases, you think we should see some additional compression or just.
Could this be the drop as the earning asset mix is set to improve in new new loan yields are at least stabilize.
I guess, just how do you think about some of the puts and takes with the margin as we look forward.
David I'll take that really the.
Largest dynamic thats going to drive.
The margin story is funded core loan growth and funding core loan growth.
We're really doing a darn good job as it relates to what we're originating in the rates that we're putting on those.
On the books on for what we haven't had as much control on agency over is the payback story and it's an industry wide phenomenon, but we've been feeling it as much as anyone all of our great work this quarter showed.
Little less by way of funded core loan growth than we would have hoped at the byproduct of Paydowns. So yes.
Youre right NIM is an output not not an input and core loan growth and the extent to which core loans represent a larger part of our balance sheet is going to be the largest driver of our NIM story, we're down to about 59% of total assets being core loans and if we're able to get anywhere close.
Any forward progress towards our pre COVID-19 levels of 80% of our assets being core loans.
That's when from a from a NIM and from our core profitability standpoint, we'll really be cooking with gas so.
In the absence of meaningful core loan growth youre going to see that liquidity build and ultimately.
Cash sitting on the.
At the fed at 15 basis points or Alternatively, our securities at incremental levels of yield without taking meaningful levels of interest rate risk.
Are going to be poultry returns by comparisons that core loan profile.
Okay.
Thanks, everybody.
Alright, Thank you David.
Our next question comes from Brad <unk> with Piper Sandler Your line is open.
Hey, good morning, guys.
Got it.
Hey, I appreciate the commentary around the uptick in production.
When I think about allegiance bigger picture I think high single digit low double digit type loan growth.
Obviously, I think we can throw 2020 out the window for four reasons, everyone knows but if I look back you guys really havent achieved that level of growth since maybe the first quarter of 19.
Ray or Steve I mean, do you feel like you've got that.
The pieces in place to accelerate growth off of the levels Youre seeing it just seems things have been sort of stalled out for a bit even.
Even.
Covid notwithstanding.
Yes, so the.
Yes.
When we talk about this.
How we get to the loan growth that starts with the it starts with the origination so we're for quarters and quarters, we had talked about.
Real happy with $300 million of core loan originations I mean, we know as the organization is a lending team that that just has to be a higher number in order to generate core loan growth. After you take out pay downs and then the amortization of the portfolio and if we can get some a little uptick in our advances in our unfunded so.
I think that it still comes back to loan originations and I think we're positioned to get to that mid to high digit single growth.
Based on just this quarter.
And it makes it may take more originations to get there and that's what we're focused on and we have the team to do it we have the embedded capacity to do it and it's probably going to be a combination of.
Even having higher originations and as well as.
Seeing some of that unfunded fund, which is just go straight to the bottom line when our unfunded funds up and we have about $1 billion in unfunded right now.
A couple of quarters ago, we mentioned that we would be entertaining maybe slightly larger loan relationships and.
Kind of just we're exploring that territory Ray what was the number in terms of percentage growth from this year alone.
Whereas relationships over over our larger relationships are now about 50% of what we do.
This year so.
That's helping.
On both the origination side and it is coming off of a pretty small base. So there's a lot of room and a lot of potential for us.
Kind of move a little bit larger in relationship size or even loan size for that much and so we're working pretty hard on all fronts.
Is it showing up.
Unfortunately, like the rest of the country that we're seeing.
Pay downs at this particular point in time.
No great. That's helpful. So I mean, you guys still wood over the longer term still think about that kind of high single digit type type growth.
May take a little bit to buildup backup to it.
Yes, I believe that yes sure David.
Okay.
And Paul you alluded this a little bit but your average cash.
I think average liquidity doubled almost doubled linked quarter.
And in the period and cash was almost $300 million higher than the average.
We see that represents a lot of loan growth potentially down the road.
In the interim are you thinking that you are going to hold more of that just at the fed or do you think.
You did add in the bond portfolio fairly significantly this quarter does that continue.
Curious, how you're thinking about the cash knowing that.
A lot of that is out of your control with how much deposits are coming into the bank.
Absolutely we had just phenomenal deposit growth.
In addition, we had a lot of PPP.
Forgiveness activity and that really did fill up our cash levels to really all time highs and we have been pretty measured about what we put into the securities portfolio, we don't want to necessarily invest it all at once.
And we want to be mindful of the overall interest rate risk dynamics that come as a byproduct of putting securities.
Putting cash into securities in particular, we don't can't go too long with too much volume and securities otherwise we put ourselves.
And an interest rate risk position that.
Idealizing, so ultimately it's dynamic.
We'll continue to leg into the securities market, we want we're.
We're valuing having excess liquidity to fund up our potential billion in unfunded commitments and.
To support the origination so right now we may be testing the adage of whether you can have too much of a good thing by way of liquidity.
But it definitely beats the alternative and.
We feel like we're pretty well positioned.
From both liquidity and capital standpoint to support growth as well as plenty of financial flexibility.
Without talking about.
Okay can you talk about the yields of some of the bonds that you are buying that you bought in the third quarter.
The yield story, it's not super exciting, particularly as it relates to.
The front end of the curve and Thats why youre seeing dilution in the.
The overall securities yield I mean incremental on a weighted average basis.
Thankfully going up now because were seeing some steepness in the yield curve, but on a weighted average basis.
Take into account kind of the bar belling that we're doing.
Not really putting some.
<unk> on our books for more than call it 60 basis points.
Weighted average whats on the front end and what's on the backend.
Now that we have and that's because we're not putting more duration on our books. We don't want if we went and invested $500 million in.
Securities that yielded call it.
170 basis points that would have a meaningful impact on our IRR profile. So right now up to this point, we've been staying relatively shortened the purchases thats why youre not necessarily seeing.
That some of that profitability.
Move the proverbial needle as much.
Okay, Great and then maybe final one for me I saw professional fees were also doubled linked quarter, Paul anything there that.
We should be aware of that might reverse out just kind of wanted to get a sense of kind of what kind of where you thought the core sort of expense rate might be.
Definitely expect that to be one off.
So it was.
The run rate.
With pivot back to your second quarter run rate.
Great. Thanks, guys I appreciate the color.
Right.
Our next question comes from Brian Lee with <unk>. Your line is open.
Hey, good morning, guys good morning.
Great.
Just to follow up on that expense question. So I mean, if it reverts back to <unk> levels and professional fees that will put you a little under $34 million.
On a quarterly expense run rate is that that feels like the right number for you guys.
Yes, absent that uptick in professional fees, we're actually pretty pretty pleased to be holding the proverbial line on expenses and that's the intent.
We go forward.
Okay.
The $11 million of PPP fees remaining.
Thank you can realize the majority of those in the fourth quarter or is that happen more over the next like two to three quarters.
If the fourth quarters like the third quarter.
The majority will happen in the fourth quarter, but it is not quite the same ultimately this is a customer.
<unk> initiated workflow so we don't have.
Control over that Theres, so much outside of our control as it relates to the timing of.
Our receipts.
That forgiveness I will say so far it has slowed down directionally granted a third quarter with.
Really a record so we expect.
A considerable amount of recognition in the fourth quarter, but.
<unk>.
Less unless things were to change materially then a record third quarter and that would leave some of course.
Go into 2022 as well.
Yes.
Alright, and then on the M&A front, it's been what.
Three years or so since you announced and closed the post oak deal.
New on that front are you still actively looking for possible targets.
I would say, we're still very interested in that prospect.
Move into 'twenty two.
It's definitely something that is.
Front of mind.
Actionable at this point that.
There is to report today, but there.
<unk>.
Hey.
Yeah.
From an acquisition perspective, theres candidates out there.
We'll look at all of them.
Come our way.
Okay, and I know you guys have a while until you really need to worry about it because you are under 7 billion, but.
<unk> 10 billion.
Is there I mean, how do you all think about the impact for Durbin for allegiance is that going to be a notable headwind or more in line with peers.
For us it's not as.
A bigger deal as it is for more retail oriented.
Banks now.
We're working hard on.
On increasing our interchange income and we're actually pleased to see our interchange income increase a lot here in the last 12 months, but.
But still relative to most banks.
It's.
The 40% or so kind of haircut that we would take on interchange income is less.
Less than.
Lower impact for us and it would be for.
Some.
Thanks, it's different.
This thing.
But we feel pretty well positioned from an infrastructure and otherwise standpoint, as we kind of look forward towards.
Thresholds like the $10 billion threshold and beyond.
And where are you guys running on interchange fees on an annual basis roughly right now.
Our most recent quarter.
771000 interchanges effectively that line on our press release for debit card and ATM card income.
We actually are.
Only started to break out that line last quarter and <unk>.
Pretty pleased on it.
Year to date basis last year, we were at $1 6 million and year to date. This year, we're close to $2 2 million. So.
Initiatives, it's growing from a small base, but initiatives up to this point have been.
Pretty successful to drive meaningful growth in that line item.
Okay, alright, great. Thanks for the color.
Great. Thanks.
Thank you as a reminder to ask a question time. Please press Star then one on you touched on the telephone.
Our next question comes from Matt Olney with Stephens. Your line is open.
Thanks, Good morning, guys.
Paul you mentioned $1 billion in unfunded commitments.
I'm trying to appreciate how big of a move this is do you have a comparable number.
A year ago. So we can just appreciate that more.
Now youre going to have to make me take around but it is it is significantly higher.
And then in the past.
Hello.
Well, even a big portion of our reserves were driven by that you're actually you'll have an ask a question on reserves.
We kind of outlined in the discussion.
Nearly $1 million of our reserves was driven by an increase in unfunded commitment so of that $2 $3 million 900, and change was driven by the increase in unfunded commitments I think yeah, just just to clarify Matt.
The.
Think about things is the $1 billion unfunded. It was 1 billion at the end of the year is $1 6 billion today.
Okay. So I'm, sorry, it's $1 6 billion today and it was $1 billion at 12 31 last year, that's right yes.
Got it.
Okay and then.
You also mentioned the <unk>.
Vision expense the $1 million of that was from the unfunded commitment.
Growth I guess the question is if a origination stay at this elevated level and it sounds like they could given some of the.
The progress Youre, making in some of the new hires.
Is it fair to assume that this provision expense is going to maintain around these.
Third quarter levels around $2 million for awhile.
The provision is very dynamic there's so many forces at play at play.
The unfunded is meaningful but as that funds.
There is less of a need for reserve for unfunded and then of course, Anita Mitra funded with very interesting here is of that provisioning level of provisioning that we put forth this quarter.
Only about I'd say.
400, or so thousand dollars of it is attributable to net.
Funded loan growth that that.
900000 in the unfunded so really.
So much goes into it but that gets you down to call it.
$1 $3 million in.
Provisioning now the X factor in our provisioning and the provisioning of all banks is ultimately what level of qualitative reserves to layer on our seasonal model and up to this point or at least in the third quarter we elected.
Due to Delta variant and things along those lines really to not.
Loosen some of those key factors so.
There is potential as it relates to.
The economy goes and where sentiment goes for a lot of things to ultimately drive our reserve levels.
The seasonal has a way of we're getting used to see somewhat up to this point has a way of.
Introducing a little bit more uncertainty, but the.
The real effect, it's going to have on our.
Risk provisioning levels is going to be a function of paydown.
That's the X factor as it relates to funded loan growth and.
If that slows down, we'll probably have greater need to reserve because funded loans.
Presumably be increasing.
Okay, Yeah, no I get it it's a nuance topics, Italy, so not easy to have much of an outlook there, but I appreciate the commentary.
What about on the stock repurchase plan I don't think I saw any activity in the third quarter can you just remind us what the authorization is and then what the what the appetite is to.
Become active on that here and then more the near term.
Absolutely we've won.
Millions share authorization and.
A meaningful appetite to get into the market, but that said, it's probably third on our hierarchy of what we want to be using capital for first and foremost is growing.
Growing core loans.
And <unk>.
Once again the wildcard there is pay off we feel good about our.
Our potential to drive funding core loan growth, which is our highest and best use of capital next is preserving flexibility.
What we think is a real meaningful M&A market where scales.
The increasing importance and then.
And then third of course is.
Financial engineering, and the benefits that we get from kind of capital return strategies such as.
Share repurchases. So it is very high on our mind definitely.
An option that we are.
Very thoughtful around.
Okay. Thanks for that and then I guess going back to the discussion around the core margin and I'll put the I'll put the liquidity aspect aside for a moment given that that's tough to predict I think the core loan yields were down about six or seven basis points, if I remove PPP.
And accretion.
Pretty similar to the decline that we saw the interest bearing deposit cost about seven bps in the third quarter and it sounds like you expect additional relief there.
And further benefits of lowering deposit costs can you talk about just the relation the pressure on the core loan yields as it relates to.
Lowering core deposits do you think those two will continue to be in lock step.
Next few quarters or do you think.
You know there could be one would be greater than the other.
I think.
They ought to be.
Pretty close to lock step, but there could be more pressure.
With deposits, Unfortunately, having a lower bound of zero.
Like like likely to be a little more pressure on the loan side. Although we are just over the moon as it relates to the level of pricing that we're able to continue to get.
In tandem with this record origination notwithstanding the fact that there are a lot of folks who are originating lateral lengths with a three handle and whatnot. So we feel really good about our pricing power, we feel great about our originations so.
We're just extremely focused on growing that NII line and recognizing our NIM.
NIM as an output, especially as this level of liquidity.
It's really just.
Exceeding all expectations.
Yes.
Okay.
Hi, guys Thats all from me Thanks for your help.
Okay.
Thank you. Our next question is follow up from Brad Milsap with Piper Sandler Your line is open.
Hey, Thanks for taking a follow up.
Paul just kind of curious if the fed were to.
You know raise rates late next year early 2023, just kind of curious if you could remind us how you think your loan portfolio and margin might react to stay at 25 or 50 basis point increase in fed funds.
We would be thrilled to see a 25% to 50 basis point increase in fed funds were not.
Not not as we try to stay neutral from an overall.
IRR position, but we are we are neutral with a.
With a lean towards asset sensitivity, now, which is actually a little bit new for us and to see such a meaningful level of what we have in variable rate securities as well as kind of the nature of our.
Loan portfolio start to reprice, we feel like we're going to see meaningful improvements in.
Our overall NIM profile, our net interest income profile I should say.
Mediately, so we like the rest of the industry.
Quietly cheer on a measure of.
Higher absolute value of interest rates.
I'm not sure about what comes with that but we are from an interest rate perspective, we're positioned well for it and not not as asset sensitive as most but we look forward to the potential revenue benefits that would come.
Okay, and then just housekeeping do you have it handy.
Average balance of PPP loans in the quarter.
That I do not have.
Ill let.
It started it wasn't engine.
They've got that got that okay. So the timing of that yet.
You are consistent and that I had at last quarter end.
Apologies for not having it at my fingertips this quarter no problem no problem, we can follow up I appreciate it. Thank you.
Thank you. Thank you.
Thank you and I'm currently showing no questions at this time I'd like to turn the call back over to Steve Retzloff for closing remarks.
Well, we just want to thank everybody for joining this meeting and I. Appreciate your attendance and look forward to speaking to you in exports. So thank you all very much.
This concludes today's conference call. Thank you for participating you may now disconnect.
[music].
Yeah.