Q3 2022 Anaergia Inc Earnings Call
Core earnings for energy as third quarter of 2022 and at September 30.
If you're following along with our slides my comments are directed at slides one through three.
For our call today I'm joined by Dr. Andrew <unk> energy as founder Board Chairman and CEO .
Dr <unk> Shearson energy as Chief operating officer.
MS Paula Monson energy as Chief Financial Officer, and Mr. Hani, Casey energy as Chief Development Officer.
Before beginning our formal remarks, we would like to refer listeners to slide two of the presentation that contains a caution on forward looking information and a note on the use of non <unk> measures.
Listeners are reminded that today's discussion may contain forward looking statements that reflect current views with respect to future events.
Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated in these forward looking statements.
<unk> does not undertake to update any forward looking statements.
As may be required by applicable laws.
Listeners are urged to review the full discussion.
Of risk factors in the Companys perspective, which is filed with the Canadian Securities regulators.
And lastly, while this conference call is open to the public for the sake of brevity questions will be prioritized for analysts.
And with that I'll turn the call over to Andrew.
Thank you Bob.
Before I start on.
Slide four.
Yes.
I didn't say that I'm very proud to have a follow up on this call.
She joins us having over three weeks ago as the new CFO .
As a company we are very fortunate to have both followed and honey.
In key roles. So Paulo has been drinking from the fire hose or the hydrant parking she likes to say, but she's getting there quickly.
We're very fortunate that honey.
We'll soon be able to focus on the growth trajectory.
For the company, which is.
Becoming a bigger and bigger as we see long term.
Looking at slide four.
I'm sorry.
First by just mentioning three particular squares that's weird.
Round off.
The first one is you made.
Major.
ACM project, probably be flagship project delays you huh.
That will be demonstrated.
Trading our technologies.
For all of Asia to see this will demonstrate the plant itself will be showing car they should be handled.
And cities.
Yeah.
<unk>.
Next square talks about.
Decarbonising shipping this has been a.
An issue as people look at the.
Marcus.
And.
Recently Merck's your largest container.
Ship shaped company plus a few others decided that they want to have these green methanol.
Well Fortunately.
Together with our partner in Denmark are able to supply.
The very first ship with green methanol that merged into.
Into the water.
That'd be need for this kind of methanol throughout the world for all of the ships and we are hoping to play a significant role in supplying this methanol.
Finally, the third square on top.
They talked ward and renewable natural gas in Europe .
We are.
The company received this year end.
Okay I appreciate that very much we recognize even though we have mapped.
European company, but we have significant European activities as you all know.
On the bottom three squares.
Basically.
Focus telling you that we are continuing to focus on exactly what we said we would do.
Our projects in Europe are coming in one by one.
So we'll be.
Putting gas into the grid.
I need to earn money for these plants.
This quarter.
Furthermore.
Being very significant.
Additional incentives announced in the quarter.
The one in Europe , it's called Repower Europe .
Wires and increase of 13 fold in this deck.
That case of renewable natural gas going into the grid.
And as far as analysts this morning, you analyst.
Covering us from Roth.
The backlog and the revenue sorry, the revenue is up in the quarter.
And we are continuing the growth trend.
We said, we would be doing we'd like to do it.
Peter a little faster, but there's still substantial growth, but I think.
Given the new accounting method that for you.
To do going forward.
On slide five.
We are showing you the backlog.
And the backlog essentially.
<unk> increased a little bit we have not added.
Major new project so.
We have some capital projects and some other.
Issues, but overall, we are still moving ahead in our backlog.
Getting back to Europe .
On the right side on slide five you will see the natural gas prices.
They have come down a bit, but they're still very high and are forecasted to remain high at least for the next two years.
In.
With regards to the Repower Europe that I mentioned.
Nah is getting translated into each major European country by U B, Kris any incentives, Italy has gone bad and in that incentive. They also include a 40% grants for new plants and so we will be building many more plants in that country.
Sorry.
The U S.
The inflation reduction act was passed which provides 30% grandson either.
Our support for renewable energy projects such as ours.
And interestingly.
We have significant progress in Canada, as well get a clean fuels regulation and additional incentives similar to Iot that haven't been announced.
You do see soon.
Also the volunteer market.
Is also growing in North America.
By many companies are trying to decarbonize by buying a bathroom gas.
At this point I'll hand.
I'll give it over to Paula.
For her maiden voyage.
[laughter]. Thank you Andrew.
And good morning, everyone.
I'll start on slide six of your pack, which is the financial summary.
And address some of the line items. Therefore, you get some color around those on the revenue we had higher revenues for that.
About 60%.
And our year to date up 47% when we're looking at revenue is coming from by segment. The majority of our revenue is concentrated in our capital sales segment.
80% of the year to date revenues.
And that's because our business is in the process of being developed.
It's a capital sales is the primary contributor in terms of regions. The EMEA region. The European region is the major driver of the growth. It comprises about 70% of the year to date revenues and we're seeing strong performance in EMEA in terms of revenue its capital sales driven.
And the reason being there is significant government incentives in the region that drive the development of facilities to different of organic waste from landfills and to produce RMG.
During the quarter. We also saw revenue growth in North America.
And on a year to date basis, that's up almost 40% over 2021, and that's largely due to several large capital sales projects in construction.
In terms of the gross margin it was 23% for the quarter, 21% year to date.
The quarter showed improvement over the prior quarter and then referenced in Q2 2022.
Which was 19% that's because Q2 was a bit of an anomaly. It contained cost overruns on certain projects as well as some startup costs as we ramped up on some certain service projects.
Has been higher SG&A relative to 2021 on both the quarter and year to date basis and this relates to some one time costs being legal fees and the higher overhead that.
We are experiencing as we position ourselves for growth.
In terms of adjusted EBITDA.
We were.
$1 million to the negative for the quarter, that's slightly better than Q3 2021, mainly because of the increase in revenue.
And on a year to date basis were negative $7 million and adjusted EBITDA.
That's lower than the first nine months of 2021, and that's driven I think by the lower gross margin that we are just discussing and due to the project cost overruns and higher SG&A.
Our small net loss for the quarter of $12 7 million contains the impact of changes related to fair.
Fair value of embedded derivatives and movement of some interest in our equity accounted Investees just as a reminder for you.
Moving to slide seven that's.
That's the capital management and liquidity side we.
We ended the quarter with cash cash equivalents and restricted cash of 141 million, that's up $53 million from the end of the prior quarter.
We used approximately $42 million in investing in the quarter.
And we've been using our cash effectively as a bridge until we get projects that are in place.
And during the quarter, we did receive the bridge financing for the Italian booths or the fixed Italian projects are fully funded.
For Rhode Island, Charlotte and the Socal D.
Anthony agreement is in place.
And we continue to work on facilities to support the condo project in Denmark.
In terms of Ah I will move to slide eight.
Eight now and Thats the financial outlook.
Starting with <unk>.
Fiscal 2022 on the revenue side.
Year to date revenues are already approximate approximately the total revenues from the entire fiscal year of 2021. So we do expect fiscal 2022 to show healthy revenue growth.
Approximately 25% to 35% compared to last year.
That would place our current estimate of the <unk>.
2022 revenues between approximately $160 million.
And then $70 million.
That is a reduction from previous guidance and the reasons underlying that change.
Is that the previous guidance assumed revenues would accelerate each quarter and it assumes that they would be particularly high in Q4 and that assumption was based on the contribution estimated contribution from the two projects.
No both Rialto and Socal Biomethane facilities were expected to be operating close to what would have been their full capacity with sales up RMG during the fourth quarter.
As we assumed would be the case that the majority of the booth in Italy.
And as we have stated.
RBS theres been a delay in the contribution.
Due to there has been some feedstock plays.
Delays in the ramp up and the delayed completion of we have to register under the federal when Enel CFS programs to allow ourselves to RMG.
So therefore, the R&D. So we wouldn't expect to start till the end of the fourth.
<unk> fourth quarter fiscal 2022.
In addition to those reasons the timing of the capital sales and project execution in both North American brick have been behind what our previous estimates were.
And that's largely due to those on the capital sales side of due to client driven delays that has slowed the progression of certain projects and basically those are things we can't.
Troll are protected they are client driven.
In terms of adjusted.
Adjusted EBITDA for 2022, we expect adjusted EBITDA to be approximately $10 million negative that's a reduction from the previous guidance and this is because of the lower revenue that we just.
In the past, but and the erosion of some gross margin due to the cost inflation with higher SG&A, we're seeing in the business.
So I would say as an overarching comment on 2022 guidance I'd say, we're continuing to do what we said we were going to do it's taking a bit longer and thats the impact that you're seeing on the outlook.
In terms of fiscal 2023.
Both revenue and adjusted EBITDA, we believe they're.
There are significant prospects for growth for the company.
In fiscal 2023 and beyond.
But there has been some significant change in that since our March 2023 guidance.
The large macroeconomic changes that we're all experiencing in terms of interest rates and natural gas pricing when you combine that with the company related developments Inc.
Inc.
But not necessarily limited to the construction and commissioning schedule for the blues.
There is a need for us to review the key assumptions in the 2023 outlook.
And so we've made the decision to withdraw that prior guidance as a result.
Having only been here three weeks, we will be doing that in the very near term.
In reviewing those key assumptions and we will be providing an update our updated outlook for 2023 as soon as possible.
And that covers my side, so I believe I'm handing it over to Denise.
Great. Thank you Paula much appreciated I get easier starting on slide nine on capital sales segments.
I'll be summarizing the growth that we have seen quite healthy growth.
At overarching, 41% increase in our capital sales business, which as Paula mentioned has been a significant contributor to our revenue composition.
And this has been driven primarily by the growth in Italy, as well as large multiyear projects in North America.
As you know we are building in Italy the largest.
One of the largest portfolio isn't that just your facilities in the country.
As well as well as building the largest agricultural digester in North America. So these are significant contributors to the healthy capital sales business.
Alright, everyone continues to drive growth and with the backdrop of the Repower EU program.
As well as the extension of the incentives both.
In Italy and in other countries, we're seeing the buildup of a healthy pipeline with additional opportunities in 2023.
Not just driven by the higher gas prices, but as I said by the extension of programs that are government backed with long term.
Price on the renewable natural gas production.
So we're positioning our capital sales business to capitalize on the recent announcements of these of these new programs.
In the APAC region Alright.
Flagship facility that Andrew referred to is quite a significant contributor to our capital sales not only revenue contribution, but backlog with a multiyear design build contract to supply what would be a Singapore's first integrated facility, leveraging <unk> technology and expertise to integrate both solid.
Liquid waste combined at a world leading facility.
One of the one of the Premier utilities in the planet.
So we're very excited about this opportunity to showcase energy capability truly at a global scale.
Launched Singapore into the next generation of organic waste management.
We also announced one of Japan's largest.
More.
Gary B Moore Digesters to make renewable electricity during.
During the quarter.
Moving on to slide number 10.
In the backdrop of our capital sales business, we wanted to share the progress at the Sterling Natural resource Center.
In large part because of its technological significance in the marketplace, both leveraging the integration of solid and liquid waste.
This will be world, leading facility that nearly complete where all of the inputs sewage and organic waste become a commercial product and will enable the facility to not only meet its own energy demand, but export power to be a renewable energy contributor to the grid.
The utilities in Europe near completion, it Leverages energy technologies, both on the liquid side and on the solid side and.
<unk>.
Benefiting the community as a Prime example of social infrastructure, an element that we're very proud of.
Not only is this a technologically advanced facility in a market, saying model for resource recovery, but also fabric of the community with job training in a high school across the street, where we will be providing employment and job opportunities to high tech renewable energy jobs.
The water is well interestingly that is clean.
Thanks to our technology will be used to.
Across the street at a park with the Lake that is.
Protein community center in a community that is one of the disadvantaged communities in California.
Moving on to slide number 11, our service and new business do continue to grow.
Our service segment.
Variance of 59% year over year growth.
Contributions mainly from the ramp up in the North American service business with multiple <unk> and digest our facilities with the large companies are municipalities that we're servicing.
And we have additional service contracts and our revenue backlog that are <unk>.
Typically tied to the capital sales that we provide.
Yes.
On the Blue side despite.
The delays in RBS, which is caused by the delay in regulatory enforcement.
We have seen month over month increase in feedstock.
Primarily from the waste management.
<unk> and Sun Valley.
And we will be.
We are on track as we said before to implement the second Rx by the end of the quarter.
It will be contributing more feedstock and then a third Rx early next year.
The big needle mover is the ordinance, which is a year delayed.
Pursuant to <unk> 83 state law in Los Angeles that is still on schedule and on track to be implemented in December which would require all generators in Los Angeles to subscribe to the organic diversion program with.
With this in place we remain optimistic and viewed a significant increase in turnaround and feedstock bodies to Rialto. The facility otherwise is receiving feedstock working and doing what we said it would do technologically.
The revenue.
Revenue contribution however that we have experienced in the boot business had been primarily be from the tipping fee.
As our facilities are ramping up.
Mainly the North American plants.
And the gap has been stuff that has been stored that both rialto as socal.
Till such time as the rent and Lcs that are registered we've been driving these registrations.
Aggressively and rapidly working collaboratively with the agencies.
In large part the agencies.
I have been moving at the speed that they can with the reality of shortage of staff.
A lot of applications to deal with but we remain.
We still remain on schedule to have Rialto as registrations by the end of this year.
Moving on to slide number 12.
Snapshot of the boom overview.
We continue to execute on our plan with our 13 build on operate facilities around the world.
European gas prices have been a strong tailwind.
We see an immediate term or short term benefits over the next two years as Andrew alluded to with higher natural gas prices and as a reminder, the.
Government is that incentive is additive to natural gas price.
And so then the government incentive states fixed long term in the natural gas commodity prices added term.
So while we see that as being at.
Beneficial timing immediate term as our Italian facilities are starting to inject gas and get online and real time, one Taiwan.
Alright.
The biogenic supply at <unk> is really a game changer in the market setting all of our plants produce cotwo as a as a waste products.
And the ability to leverage a waste product into a revenue stream for a new market segments to Decarbonize now shipping sector is very exciting and applicable at the global stage. So.
We're excited about the the toner opportunity.
Our market presidents.
On the on the execution side.
Two of our six Italian facilities have been commissioned during 2022 and injecting gas.
Toner will be injecting gas very shortly.
Expected next week.
And we are on track to have the phase one completion for our toner plants. This quarter so that remains on track.
The remaining facilities are coming online.
And.
I'll start commissioning by the end of this year.
Back to North America on Rhode Island to construction to convert that plant from an electricity generating plant, which it is today into R&D continues and is on track.
We're advancing the construction of that conversion of this facility.
At the Charlotte facility.
We are continuing to operate the plants and generate electricity.
And we will be executing on the plan next year to convert that facility to R&D as well.
And taking a step back on to what we're seeing in macro level at the market.
In North America, the IRA and the voluntary market.
Enormous enormous drivers.
The IRA has now created a deadline and a major opportunity to start construction on projects in the next two years with up to a 40%.
Incentive tax credits quarter.
Facilities that we own or for our municipal customers reimbursement and an incentive from the IRS. We're very excited about the opportunity with the wastewater sector, where energy is.
It has extremely differentiated technology and a reference base.
From which to build.
And a very untapped market segments that we're aggressively pursuing so the <unk> is providing a significant economic boost debate in.
In the backdrop of the voluntary market utilities <unk> companies seeking decarbonization through carbon based procurement carbon negative fuels to decarbonize their portfolio.
Italy remains an attractive market not only in the backdrop of the extension of the incentive program. Another three years.
Developing opportunities in other European markets UK, Germany as examples.
Who are all implementing similar programs.
As Italy with respect to long term incentives.
So we continue to stay focused in the European market.
And now back over to Andrew.
Thank you.
Between the uneven IV pretty much summarize the key takeaways that are shown on this slide.
And I don't want to repeat it.
So.
But you have each year.
What.
All of this means.
We have many.
<unk> that we are developing in Europe and in America.
And that these will eventually translate into.
Increase continue to increase growth.
We would also require.
A significant amount.
So we are looking in parallel.
To both investing in people.
We announced a few management changes already in the last one I just announced.
With honey CRO, joining the theme on the.
Development side.
And.
Furthermore, looking good.
Current ways of financing this potential level onshore projects.
Is a really good time from opportunity point of view it as a.
Somewhat challenging from an execution point of view, but we do remain.
Strong and we're looking forward to growing the company as we always said it would.
Yeah.
At this point I believe we are ready for questions.
Berlin.
Got it.
Yep.
Certainly I'm going ask Jordan Yep.
Jordan here to remind everyone how to ask a question I'll, let you do that Jordan.
Thank you as a reminder, if you'd like to register a question. Please press star followed by one on your telephone keypad. If you change your mind. Please press star followed by two I am please ensure your unmetered when speaking.
We would also ask participants to limit themselves to one question with an additional follow up.
Okay.
We have a question from Aaron Macneil of TD Securities. Please go ahead.
Hey, good morning, all thanks for taking my questions.
I can appreciate that you're reevaluating your.
Internal forecasts and you've already given kind of broad strokes, but I.
I guess I would argue that.
The rationale is patients that you've used to reduce servicing guidance were.
Known when you reported Q2 results or earlier, so I guess.
I'm, hoping you can give us a better sense of what specific has changed.
Quarter over quarter.
Well Aaron.
The reality of FERC.
We're living in.
Turbulent times turbulent times in the sense that.
Hugh.
You will have.
Basically.
Every company has.
<unk> issues and issues.
Both efficiency in terms of the new world and lack of people.
And so.
We can control our end.
But we can't control.
The other.
From our bodies that we work with.
No.
Simple example, the sector Ora.
That we were ready to install and plan to install in the second quarter will not start a operating on their first quarter next year.
And we just not going to be could do because of.
Our partner of our clients.
To get permits.
And then it has to get construction boom and things take longer than we've been assuming and so all of this is happening even in give you. Another example in Italy.
Our second the first one you were rebuilt finish building.
And we finished it.
It's running.
Early feedback.
Because when you.
Took a couple of months too.
Figure out how do we let us put it in because they were not up to scratch and have to boost.
And of their own.
So this is the the world we're living in now so.
I wish we werent dependent on others outside of our company. They can just do what we think for sure.
But.
This is happening now on on many fronts.
It's a more difficult the world then.
We have ever seen.
Perhaps I guess, how long do you run away from some of the rewards of this and more.
Could we get a little more specific for earn.
Hi.
Not much more to add.
Andrew.
And then I would say I would amplify.
The the.
Prior forecast.
Good.
Hi.
Like I mentioned the random CFS.
[noise] programs being in place for Q4 that with key <unk>.
That was that was the assumption in August but that is one of the big assumptions that's changed it things like that and as Andrew mentioned, it's those things that are not within our control.
Right Okay.
Maybe just focusing on Italy for my follow up question I think in the guidance you cited that.
The boost would it be.
Operating.
Most of the business wouldn't be operating in Italy versus.
Prior guidance, but.
Only two have been commissioned thus far.
And there is a ramp.
And volume, so where you previously expecting.
All of those facilities would be operational in Q4 for the <unk>.
Previous guidance and.
Maybe you could also just give us a sense of where those two commission facilities are today relative to their nameplate capacity.
Sure I'll.
I'll take this one also.
We assume the curve.
Five of them would be.
That would be operating this year.
Three of them will.
Who will be.
Be injecting gas next year.
Yeah.
B we were.
Rushing.
Because.
We also have to meet the incentives deadlines, but these have been asked.
The pressure of spin off.
It's the same story I just mentioned to you.
B two plants are one is in.
We are monitoring the subs and the Italy, if you look at the booth.
Kind of near there.
Near the front of the book.
Thus far from a place called <unk> that is.
And the other one is in your home.
And there'll be one more neutral.
Uh huh.
A couple of in the north and one of them more arms on the islands.
Sardinia.
I guess I'm just wondering.
Today.
What sort of volumes of feedstock are they accepting relative to the nameplate those two commissioned facilities.
There is no shortage of folks it's not it's.
It's not real for them.
We're making excess gas right now.
You're wrong and.
We'll be pretty close to making the guests are very shortly and the one in the phone.
Okay. Thanks, guys I'll turn it over.
Sure.
Yes.
As a reminder, if any further questions not star followed by one on your telephone keypad.
Our next question comes from Craig Irwin of Roth Capital Partners. Please go ahead.
Hi, good morning, and thank you for taking my questions.
Can you maybe update us on the the.
The equipment sales opportunity.
Both domestically in the U S and then in Canada.
And then probably more pertinent as the conversation about Europe and Germany.
<unk>.
The severe shortage of natural gas and the strong financial support for for Green gas projects.
In North America, and Europe seems to be supporting a more accommodative environment for equipment sales.
Can you maybe just give us some color on what's changing what we can expect how this could potentially take shape over the next.
Number of months and quarters.
Do you want to take that on.
Sure Yeah I believe.
Great question right.
In North America that.
Significant opportunities in the municipal sector.
Which had been sort of with an extra acceleration with the IRA backdrop. That's now provides significant financial incentive premium stability.
Restructuring facility specific I'm, referring to.
Two.
Leverage at a biogas and Matt.
Utilizing a beneficial way as an example, most wastewater plant to give some some color do not have digesters.
And about 90% to be specific.
And those that do.
Minority fraction actually using about that's been officially so equipment sales, but actually system solution turnkey system solutions like the turnkey.
Sterling plant that we talked about.
And a significant growth opportunity now with what is good to have an electrical sector to the point that we can't control decision, making.
And when there's economic turmoil in the backdrop decision, making often gets slowed or stalled until.
Interest rates become more predictable.
But in the municipal sector the IRA drivers.
Now, putting a significant financial incentive at a time, where we source our company's sustainability are.
<unk> center, so the municipal waste water sector is going to be a big driver in North America, and we're seeing it now with the more opportunities than we've seen historically.
In Europe the.
We're seeing significant.
Pipeline opportunity of capital sales.
A private entity.
Who are.
Tried to capture exactly the opportunity you mentioned the massive shortfall of domestic natural gas production and taking advantage of now.
Incentives across across the EU for.
For LNG and so these are materializing into folks coming to us.
The.
Capabilities deliberate deliberate plants with a single point of responsibility and a vertically integrated partner who can.
Instead, the Src essentially off the customers' confidence and comfort that there's one person to rely on one entity to rely on for full turnkey delivery from the plant and equipment to the service operation and so we're seeing the pipeline.
Increase mostly from the private sector.
Developers.
Or large multinationals.
<unk> plans to generate R&D.
And benefit from the new incentive programs.
Greg you answered the question.
Yeah, No. That's very helpful. That's very helpful. So then the bigger question then is.
The urgency with which to bring on gas production. It was pretty significant what's the approximate lead time, if someone wants to adopt your technology shipbuilder biogas production.
By introducing a little bit of food waste into into the stream and treating those bugs extra special delay you guys do.
What's the timeline for <unk>.
Wastewater permanent too.
Spec in and adopt this technology is this something that can be done.
In less than a year.
Or do these projects typically take multiyear horizons for Pla.
Planning and procurement and implementation.
Yes.
The actual.
From the time from the time of contract signs.
Our retrofit the tripling.
Our technological ability that triple capacity of existing Digesters is 12 months to 18 months construction.
Construction timeline typically.
What is on the pre end of that timeline that has more broad variability.
Is the decision making is the method of procurements.
Rfps in any pre design work and municipal approvals so that back.
That can be an additive timeline with more broad.
Variables Mega projects. However.
The one in Singapore.
The multiyear.
Project enormous and scale with lots of detailed design milestones and so.
The timeline there is not driven by procurement of equipment more so by the execution of a large.
But really large complex facility for which we have a paid sub scope.
Understood understood well. Thank you for that color I'll go ahead and hop back in the queue.
As a final reminder, for any further questions pop star followed by one on your telephone keypad.
Yeah.
Okay.
We have noticed I have a questions on the phone line, so I'll hand back to Andrew for any closing remarks.
Okay.
Sure.
Well, thank you for the questions Aaron and Craig.
<unk>.
The bottom line is that.
I pointed out the market is expanding.
In the developed world.
And even at a lesser level for.
Re.
We are we see.
Long list of projects.
Or both.
And capital.
And we are sitting with the worlds leading.
Technology.
For accessing any kinds of waste in.
And the ability to turn it into orange efficiently with demonstrated plants.
Throughout the world.
In markets, where no one else could actually do what we are doing and these are the largest market. So when you marry expanding opportunities.
Yes.
Powerful platform sooner.
Sooner or later.
It is going to be.
Good results and that's exactly what we do Atlanta as fast as we'd like but they're all they're all coming.
And so on so thank you very much for tuning in.
And we look forward to.
Continuing the progress and reporting them.
Darling.
Thank you Andrew.
As always for additional information or since you have any questions. Please contact the IR team at IR at <unk> Dot com.
This online identity Dot com.
Thank you all once again for your time today.
Operator, you may end the call.
Thank you. This concludes today's call you may now disconnect your lines.
Yeah.
Yes.
Yeah.
[noise].