Q4 2021 Harbor Custom Development Inc Earnings Call
Thank you for standing by and welcome to the Harbor Custom Development, Inc., fourth quarter and full year 2021 earnings conference call. At this time, all participants are on a listen only mode. A question and answer session from previously submitted questions will follow the formal presentation. As a reminder, this conference is being recorded.
Thank you for standing by and welcome to the Harbor Custom Development, Inc. Fourth quarter and full year 2021 earnings conference call. At this time all participants are in a listen only mode. A question and answer session from previously submitted questions will follow the formal presentation as a reminder, this.
The conference is being recorded I would now like to introduce today's presenters Sterling Griffin CEO , President and chairman of the board and Lance Brown, Chief Financial Officer, I will now turn the conference over to Mr. Brown. Thank.
I would now like to introduce today's presenters, Sterling Griffin, CEO , President and Chairman of the Board, and Lance Brown, Chief Financial Officer. I will now turn the conference over to Mr. Brown. Thank you, Operator, and thank you all for joining us today. Welcome to Harbor Customs Development's fourth quarter and full year 2021 earnings conference call.
Thank you operator, and thank you all for joining US today welcome to harbor custom developments fourth quarter and full year 2021 earnings conference call.
Lance Brown: During our discussion today, we will be referring to our earnings press release and presentation that were made available prior to the call.
During our discussion today, we will be referring to our earnings press release and presentation that were made available prior to the call.
Lance Brown: The release and presentation can be found in the Investor Relations section of the Harbor website at www.harborcustomhomes.com.
The release and presentation can be found in the Investor Relations section of the harder website at Www Dot Harbor custom homes Dot com.
Before we begin I would like to remind everyone that today's call includes forward looking statements.
Lance Brown: Before we begin, I would like to remind everyone that today's call includes forward-looking statements.
Lance Brown: Any forward-looking statements contained in the earnings release or discussed today are subject to the safe harbor provision of the Private Securities Litigation Reform Act of 1995.
Any forward looking statements contained in the earnings release or discussed today are subject to the safe Harbor provisions of the private Securities Litigation Reform Act of 1995.
Lance Brown: Such statements involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially from these forward-looking statements.
Such statements involve a number of risks uncertainties and other factors that could cause actual results to differ materially from these forward looking statements spa.
Lance Brown: specifically included our statements regarding our industry and our outlook for 2022.
Specifically included our statements regarding our industry and our outlook for 2022.
Lance Brown: Please see our recent SEC filings, which identified the principal risks and uncertainties which could affect future performance. We assume no obligation to update any...
Please see our recent SEC filings, which identify the principal risks and uncertainties, which could affect future performance, we assume no obligation to update any forward looking statements.
Lance Brown: In addition, we will be discussing or providing certain non-GAAP financial measures.
In addition, we will be discussing or providing certain non-GAAP financial measures today, including EBITDA adjusted EBITDA and adjusted EBITDA margin.
Lance Brown: including EVDA, Adjusted EVDA, and Adjusted EVDA Margin.
Lance Brown: Please see the appendix of our earnings presentation for a reconciliation of these non-GAAP measures for their most direct comparable GAAP measure. I would now like to turn the call.
Please see the appendix of our earnings presentation for a reconciliation of these non-GAAP measures to their most direct comparable GAAP measure.
I would now like to turn the call over to Sterling.
Lance Brown: Thank you, Lance, and thanks to everyone for joining the call today. We appreciate your interest in Harbor Custom Development.
Thank you Lance and thanks to everyone for joining the call today. We appreciate your interest in hardware custom development.
Lance Brown: I want to begin by recognizing all our employees for the strong performance they delivered in 2021. Their continued dedication to the business contributed to the impressive performance throughout the year and allowed us to finish with significant momentum.
I want to begin by recognizing all of our employees for the strong performance. They delivered in 2021 their continued dedication to the business contributed to the impressive performance throughout the year and allowed us to finish with significant momentum.
Lance Brown: The strength of our unique business model was on full display throughout the year with a 44% increase in revenue on a year-over-year basis.
Strength of our unique business model was on full display throughout the year with a 44% increase in revenue on a year over year basis.
We benefited from strong pricing and demand conditions during 2021, despite broader industry challenges, including supply chain disruptions labor shortages and other inflationary pressures. While these challenges are expected to persist in the near term we have successfully navigated these obstacles as evidenced by our financial results with.
Lance Brown: We benefited from strong pricing and demand conditions during 2021, despite broader industry challenges, including supply chain disruptions, labor shortages, and other inflationary pressures. While these challenges are expected to persist in the near term, we have successfully navigated these obstacles as evidenced by our financial results.
Lance Brown: With inventory levels at or near historic lows, we expect to benefit from continued strong pricing throughout 2022. Our distinct business plan of serving multiple segments of the home-buying market within a 20- to 60-minute commute of some of the nation's fastest-growing regions continues to provide us with a consistent stream of revenue.
With inventory levels at or near historic lows, we expect to benefit from continued strong pricing throughout 2022, our distinct business plan of serving multiple segments of the home buying market within that 20 to 60 minute commute of some of the nation's fastest growing regions continues to provide us with a consistent stream of revenue.
Lance Brown: Our expertise allows for a diversified product strategy that enables us to better serve a wide range of buyers, adapt quickly to changing market conditions, and optimize performance. We are equipped to build to the surrounding community's needs, including single-family homes, townhomes, condominiums, and apartments.
Our expertise allows for a diversified product strategy that enables us to better serve a wide range of buyers adapt quickly to changing market conditions and optimize performance. We are equipped to build to the surrounding communities needs, including single family homes, Townhomes condominiums and apartments. This flexibility allows us to targeting widened.
Lance Brown: This flexibility allows us to target a wide and diverse range of customers. Our portfolio of land, lots, home plans and finishing options, coupled with the historic low inventory of residential and multifamily housing in our geographic areas, provides an opportunity for us to increase revenue and overall market share.
First range of customers our portfolio of land lots owned plants in finishing options coupled with the historic low inventory of residential and multifamily housing in our geographic areas provides an opportunity for us to increase revenue and overall market share.
Lance Brown: In addition to our single family residential projects, we plan to build and sell townhomes, condominiums and apartments.
In addition to our single family residential projects, we plan to build and sell Townhomes condominiums, and apartments and anticipate the commencement or continuation of land development and construction projects on 10 multifamily sites, including Brzycki trails brought more comments mills crossing 20, Florida Tangle Wild Olympic Sunset.
Lance Brown: and anticipate the commencement or continuation of land development and construction projects on 10 multifamily sites, including Bridgeview Trails, Broadmoor Commons, Mills Crossing, Punta Gorda, Tanglewild, Olympic Sunset, Pacific Ridge, Winstone, Mira, and Westry Village in 2022.
Pacific Ridge, Winstone Mirror and Wall Street village in 2022. In addition to our diverse product portfolio. We continue to expand geographically Western Washington remains our largest market, but we haven't we have operations in Texas, Florida, and California, we.
Lance Brown: In addition to our diverse product portfolio, we continue to expand geographically.
Lance Brown: Western Washington remains our largest market, but we have operations in Texas, Florida, and California.
Lance Brown: We have grown our real estate assets, lot and unit counts across the entire portfolio. In an effort to strategically control the expanding needs of our corporate team, we signed a lease on October 5th, 2021, for a new office space in Tacoma, Washington, and expect to relocate our headquarters there in the second quarter of 2022. The new office space is designed with a hybrid workforce in mind and takes into account employment trends that arose after the COVID-19 pandemic.
We have grown our real estate assets lot and unit counts across the entire portfolio in an effort to strategically control the expanding needs of our corporate team. We signed a lease on October 5th 2021 for a new office space in Tacoma, Washington, and expect to relocate our headquarters there in the second quarter of 2022.
The new office space is designed with a hybrid workforce in mind and takes into account employment trends that arose after the COVID-19 pandemic.
Lance Brown: We continue to demonstrate strong and consistent growth, delivering increased revenues each year.
We continued to demonstrate strong and consistent growth.
Delivering increased revenues each year of operation.
Lance Brown: For the years ended December 31st, 2021 and December 31st, 2020, our total revenues were 72.4 million and 50.4 million.
For the years ended December 31, 2021, and December 31, 2020, our total revenues were $72 4 million and $54 million respectively. As of December 31, 2021, and December 31, 2020, our backlogs are fully executed contracts for the sale of developed residential lot.
Lance Brown: As of December 31st, 2021 and December 31st, 2020, our backlogs of fully executed contracts for the sale of developed residential lots and single-family homes were $13.7 million and $9.1 million, respectively.
And single family homes, or $13 7 million and $9 1 million respectively.
Lance Brown: Our fee bill backlog as of December 31st, 2021 and December 31st, 2020 were $10 million and $0,000,000,000, respectively.
Our fee build backlog as of December 31, 2021 and December 31, 2020 were $10 million and zero respectively.
Our financial condition continues to improve.
Lance Brown: We made significant progress during 2021 to strengthen our balance sheet and finish the year with $26.2 million in cash, up from $2.4 million the previous year.
We made significant progress during 2021 to strengthen our balance sheet and finished the year with $26 2 million in cash up from $2 4 million in the previous year.
Lance Brown: We continue to invest in our business to drive shareholder value.
We continue to invest in our business to drive shareholder value.
Subsequent to year end, we announced the closing of a revolving credit facility of 25 million with Bankunited.
Lance Brown: Subsequent to year-end, we announced the closing of a revolving credit facility of $25 million with Bank United. The facility provides us with the liquidity and financial flexibility to build on our already strong foundation and pursue further growth initiatives.
<unk> provides us with the liquidity and financial flexibility to build on our already strong foundation and pursue further growth initiatives.
I am confident that the continued demand in the single and multifamily housing markets strength of our balance sheet and our unique business model makes us well positioned to deliver a strong performance in 2022 and beyond.
Lance Brown: I am confident that the continued demand in the single and multifamily housing markets, strength of our balance sheet, and our unique business model makes us well positioned to deliver a strong performance in 2022 and beyond. I will now turn the conference call over to Lance Brown, our Chief Financial Officer, to further discuss our financial results.
I will now turn the conference call over to Lance Brown, our Chief Financial Officer to further discuss our financial results.
Lance Brown: On a quarterly basis, revenues increased by approximately 8% to $26.3 million for the three months into December 31st, 2021, as compared to $24.3 million for the three months into December 31st, 2020. The increase in revenue was primarily driven by an increase in sales of developed lots of $6.5 million.
On a quarterly basis revenues increased by approximately 8% to $26 3 million for the three months ended December 31, 2021 as compared to $24 3 million for the three months ended December 31, 2020. The increase in revenue was primarily driven by an increase in sales of developed lots of $6 5 million.
Lance Brown: fee billed revenue of $2.6 million and $0.9 million from entitled land sales offset by a $7.9 million decrease in home sales.
The billed revenue of $2 6 million and <unk> 9 million from entitled Land sales offset by a $7 9 million decrease in home sales.
Lance Brown: Our overall gross profit margin was 41.2% for the three months ended December 31st, 2021, compared to 1.5% for the three months ended December 31st, 2020.
Our overall gross profit margin was 41, 2% for the three months ended December 31st 2021, compared to one 5% for the three months ended December 31 2020.
Lance Brown: The increase was driven primarily by meaningful improvement in gross profit margins on entitled land sales of 72.6% and developed lot sales of 49.3%.
The increase was driven primarily by meaningful improvement in gross profit margin on entitled Land sales of 72, 6% and developed lot sales of 49, 3%.
Our operating expenses increased to $3 5 million for the three months ended December 31, 2021, as compared to $1 7 million for the three months ended December 31 2020.
Lance Brown: Our operating expenses increased to $3.5 million for the three months ended December 31st, 2021 as compared to $1.7 million for the three months ended December 31st, 2020.
Lance Brown: This anticipated increase in total operating expenses is primarily attributable to the continued investment in public company infrastructure and personnel to support our future growth plan.
This anticipated increase in total operating expenses is primarily attributable to the continued investment and public company infrastructure and personnel to support our future growth plans.
Lance Brown: For the three months ended December 31st, 2021 and 2020, we had net income of $5.6 million and a net loss of $1.9 million respectively.
For the three months ended December 31, 2021 and 'twenty 'twenty, we had net income of $5 6 million and a net loss of $1 9 million respectively.
The $5 6 million of net income was a new quarterly record for the company.
Lance Brown: The 5.6 million of net income was a new quarterly record for the company.
Lance Brown: The improvement in net income was primarily attributable to an increase in revenue and improved gross margins in 2021.
The improvement in net income was primarily attributable to an increase in revenue and improved gross margins in 2021.
For the three months ended December 31, 2021, and 2020, we had basic earnings per share of 26 cents compared to a loss per share of 34 cents.
Lance Brown: For the three months ended December 31st, 2021 and 2020, we had basic earnings per share of 26 cents compared to a loss per share of 34 cents.
Lance Brown: EBITDA for the fourth quarter was $8 million compared to $1.3 million in 2020, while adjusted EBITDA was $8.3 million compared to $1.4 million in 2020.
EBITDA for the fourth quarter was 8 million compared to $1 3 million in 'twenty 'twenty, while adjusted EBITDA was $8 3 million compared to $1 4 million in 2020.
Turning to the full year.
Lance Brown: We are pleased to report on a full-year basis, revenues increased by approximately 43.6 percent to $72.4 million for the year ended December 31st, 2021, as compared to $50.4 million for the year ended December 31st, 2020.
We are pleased to report on a full year basis revenues increased by approximately 43, 6% to $72 4 million for the year ended December 31, 2021, as compared to $50 4 million for the year ended December 31 2020.
Our revenue increase in 2021 was primarily driven by increased sales of entitled land of $20 6 million.
Lance Brown: Our revenue increase in 2021 was primarily driven by increased sales of entitled lands of $20.6 million, sales of developed lots of $14.3 million, and $6.8 million sales of
Well the developed lots of $14 3 million.
And $6 8 million from T build.
Lance Brown: offset by a $19.6 million decrease in home sales.
Offset by a $19 6 million decrease in home sales.
Lance Brown: Our full-year gross profit margin was 30.3% for the year ended December 31st, 2021, compared to 4% for the year ended December 31st, 2020.
Our full year gross profit margin was 33% for the year ended December 31, 2021 compared to 4% for the year ended December 31 2020.
Lance Brown: We believe our 30% gross margin for the full year 2021 was one of the highest in the industry.
We believe our 30% gross margin for the full year 2021 was one of the highest in the industry.
Lance Brown: The increase was primarily driven by strong gross profit margin on entitled land of 43.3% and developed lot sales of 40.8%.
The increase was primarily driven by strong gross profit margin on entitled Land, a 43, 3% and developed lot sales of 48%.
Lance Brown: Full-year operating expenses increased to $11.2 million for the year ended December 31, 2021, as compared to $5.5 million for the year ended December 31, 2020.
Full year operating expenses increased to $11 2 million for the year ended December 31, 2021 as compared to $5 5 million for the year ended December 31 2020.
Lance Brown: This anticipated increase in total operating expenses was primarily driven by the continued investment in public company infrastructure and personnel to support our future growth plan.
This anticipated increase in total operating expenses was primarily driven by the continued investment and public company infrastructure and personnel to support our future growth plans.
Lance Brown: For the year ended December 31st, 2021 and 2020, net income was $8.9 million compared to a net loss of $3.8 million.
For the year ended December 31, 2021, and 2020 net income was $8 9 million compared to a net loss of $3 8 million.
Lance Brown: The improvement in net income was primarily driven by an increase in revenue and improved gross profit margins in 2021.
The improvement in net income was primarily driven by an increase in revenue and improved gross profit margins in 2020 one.
For the year ended December 31, 2021, and 2020 basic earnings per share was 43 cents compared to a loss per share of <unk> 84 cents.
Lance Brown: When the year ended December 31st, 2021 and 2020, basic earnings per share was 43 cents compared to a loss per share of 84 cents.
EBITDA for the full year was $14 2 million compared to <unk> 6 million in 2020, while adjusted EBITDA was $14 9 million.
Lance Brown: EBITDA for the full year was $14.2 million, compared to $0.6 million in 2020, while adjusted EBITDA was $14.9 million, compared to $0.8 million in 2020.
Compared to <unk> 8 million in 2020.
The year over year increase highlights the value of our unique business model and ability to monetize real estate assets at the most opportune time.
Lance Brown: The year-over-year increase highlights the value of our unique business model and ability to monetize real estate assets at the most opportune time.
We were able to raise a significant significant amount of capital during the year, including $91 7 million from common and preferred stock issuances and $73 2 million from construction loan financing.
Lance Brown: We were able to raise a significant amount of capital during the year, including $91.7 million from common and preferred stock issuances and $73.2 million from construction loan finance.
Lance Brown: We ended the year with $26.2 million of cash, which was a $23.8 million increase from the prior year.
We ended the year with $26 2 million of cash, which was a $23 8 million increase from the prior year.
Lance Brown: Net cash used in operating activities for the year ended December 31st, 2021 was $86.4 million compared to cash provided by operating activities of $3 million for the year ended December 31st, 2020.
Net cash used in operating activities for the year ended December 31, 2021 was $86 4 million compared to cash provided by operating activities of 3 million for the year ended December 31 2020.
Lance Brown: The primary use of cash during 2021 was for the acquisition and development of real estate assets, totaling 98.5 million.
The primary use of cash during 2021 was for the acquisition and development of real estate assets totaling $98 5 million.
Lance Brown: Our real estate assets have increased approximately 500% to $122.1 million as of December 31, 2021, from $20.4 million as of December 31, 2020.
Our real estate assets have increased approximately 500% to $122 1 million as of December 31, 2021 from.
24 million as of December 31, 2020.
Lance Brown: As of December 31st, 2021, our real estate assets were levered approximately 40%.
As of December 31, 2021, our real estate assets were levered approximately 40%.
I will now turn the call back to Sterling.
Thank you Lance as evidenced by the significant increase in our real estate assets, we have and continue to invest in the future of our company or.
Speaker Change: Thank you, Lance. As evidenced by the significant increase in our real estate assets, we have and continue to invest in the future of our company.
Speaker Change: For 2022, we expect continued strength in the single-family housing and multifamily rental markets and reiterate our revenue guidance for 2022 of approximately $160 million. Our guidance implies a year-over-year revenue increase of 121%.
For 2022, we expect continued strength in the single family housing and multifamily rental markets and reiterate our revenue guidance for 2022, approximately $160 million our guidance implies a year over year revenue increase of 121%.
We anticipated adjusted EBITDA of approximately $20 million during 2022, which implies a 34% increase on a year over year basis.
Speaker Change: We anticipated adjusted EBITDA of approximately $20 million during 2022, which implies a 34% increase on a year-over-year basis.
Speaker Change: We remain focused on strengthening our current market position and believe that we have a strong foundation to accelerate our growth and market reach during 2022 and beyond.
We remain focused on strengthening our current market position and believe that we have a strong foundation to accelerate our growth and market reach during 2022 and beyond.
We will now switch to the question and answer session. Prior to the call inquiries were submitted to IR at Harvard persons that Dot Com I will now read the previously submitted questions from Mr. Griffin and Mr. Brown to respond too. Thank you to everyone who submitted questions.
Speaker Change: We will now switch to the question and answer session. Prior to the call, inquiries were submitted to IR at harborcustomdev.com. I will now read the previously submitted questions for Mr. Griffin and Mr. Brown to respond to. Thank you to everyone who submitted questions.
Question number one will you provide an update to the $158 million credit facility with U S Global capital announced last fall.
Speaker Change: Question number one, will you provide an update to the $158 million credit facility with U.S. global capital announced last fall?
With this loan we decided to go a different direction the three western Washington projects slated for the facility have all received construction loan commitments from other lenders in the fourth project mentioned in the original release in Florida is still in the architectural planning stages.
Speaker Change: With this loan, we decided to go a different direction. The three Western Washington projects slated for the facility have all received construction loan commitments from other lenders, and the fourth project mentioned in the original release in Florida is still in the architectural planning stages.
Speaker Change: After completion of the plans and building permits submittal, we plan to secure a loan for this project as well.
After completion of the plans and building permits the metal we plan to secure alone for this project as well.
Question number two.
Speaker Change: Question number two, why did you move forward on a second round of preferred stock priced at $15?
Why did you move forward on a second round of preferred stock priced at $15.
We are growing very rapidly our executive team and board of directors saw the second preferred offering as an opportunity to raise additional capital to secure a healthy pipeline of multifamily projects. We anticipate these projects will provide substantial top line growth in 2022, and 2023, which we see as a critical component.
Speaker Change: We are growing very rapidly. Our executive team and board of directors saw the second preferred offering as an opportunity to raise additional capital to secure a healthy pipeline of multifamily projects. We anticipate these projects will provide substantial top line growth in 2022 and 2023, which we see as a critical component for our success.
For our success.
Question number three.
Speaker Change: Why has Harvard changed several of its projects from condominiums to apartments?
It has harbor changed several of its projects from condominiums to apartments.
Over the past year, we've seen apartment rents escalate to historically high levels, while capitalization rates for multifamily projects in the suburbs are correspondingly decreased substantially this financial combination that's caused a rapid escalation of apartment values and created a great opportunity for a CDI and the markets that we serve we bill.
Speaker Change: Over the past year, we have seen apartment rents escalate to historically high levels, while capitalization rates for multi-family projects in the suburbs have correspondingly decreased substantially. This financial combination has caused a rapid escalation of apartment values and created a great opportunity for HCBI in the markets that we serve. We believe a substantial percentage of our income will be driven by revenues from the sale of apartments for the next several years.
Leave a substantial percentage of our income will be driven by revenues from the sale of apartments for the next several years.
Question number four do you think the real estate market will continue to see record increases in single family home and apartment rental rates in 2022.
Speaker Change: Question number four. Do you think the real estate market will continue to see record increases in single-family home and apartment rental rates in 2022?
Speaker Change: In the markets we serve, the answer is yes. We expect to continue to see escalating single-family home prices and apartment rent increases in 2022. This is a classic case of supply and demand. Until the housing market reaches normal inventory levels, generally described as a four- to six-month supply, home prices will continue to rise. With apartments, you have the same situation. The shortage of rental units has driven rents to unprecedented levels, and the cycle is expected to continue until supply catches up with demand.
And the markets. We serve the answer is yes, we expect to continue to see escalating single family home prices in apartment rent increases in 2022. This is a classic case of supply and demand.
Until the housing market reaches normal inventory levels generally described as a four to six months supply home prices will continue to rise with apartments. You have the same situation. The shortage of rental units is driven rents to unprecedented levels and the cycle is expected to continue until supply catches up with demand.
Question number five.
Speaker Change: Question number five, does the company have sufficient liquidity to complete your current project and continue growing at the current pace?
Does the company has sufficient liquidity to complete your current projects and continue growing at the current pace.
As we mentioned on today's call. We ended the year with approximately $26 million of cash.
Speaker Change: As we mentioned on today's call, we ended the year with approximately $26 million of cash.
Speaker Change: We also recently announced the execution of a revolving credit facility, which provides an additional $25 million of liquidity.
We also recently announced the execution of the revolving credit facility, which provides an additional 25 million of liquidity.
Speaker Change: Based on our cash on hand, our additional liquidity from the revolving credit facility, and our proven track record for both the acquisition and monetization of our real estate assets, we feel confident we can achieve our goals and our growth objectives. Question number six. How does the company...
Based on our cash on hand, our additional liquidity from our revolving credit facility and our proven track record for both the acquisition and monetization of our real estate assets, we feel confident we can achieve our goals and our growth objectives.
Question number six.
How does the company think about future capital allocation.
Speaker Change: Our planned primary use of cash in 2022 are for funding our work and capital needs, servicing our debt, investing in real estate assets, capital expenditures, and preferred stock dividends.
Our planned primary uses of cash in 2022 are for funding our working capital needs servicing our debt investing in real estate assets capital expenditure spend insurers and preferred stock dividends.
Speaker Change: We may also consider strategic uses including, but not limited to, additional equity buybacks, debt pay downs, and acquisition.
We may also consider strategic uses including but not limited to additional equity buybacks debt pay downs and acquisitions.
Speaker Change: This now ends the question and answer portion. Thank you everyone for participating in today's call.
This now and the question and answer portion.
Thank you everyone for participating in today's call.
We look forward to providing additional updates soon.
Speaker Change: You can find more information about the presentation and future events on our investor relations page under the tab events on our website, harvardcustomhomes.com.
You can find more information about the presentation in future events on our Investor Relations page under the tab events on our website Harbor custom homes Dot com for the most recent updates on company news, we encourage you to sign up for email notifications on the Investor resources tab of our website.
Speaker Change: For the most recent updates on company news, we encourage you to sign up for email notifications on the Investor Resources tab of our website. If anyone has further questions, we can be reached at 866-744-0974 or at ir at harborcustomdev.com. Thank you again for joining us today. We appreciate your time.
If anyone has further questions. We can be reached at 8667440974 or at IR at Harbor custom Dev Dot com. Thank you again for joining US today, we appreciate your time.
Speaker Change: This does conclude today's presentation. We appreciate your participation.
This does conclude today's presentation. We appreciate your participation.