Q3 2023 Duke Energy Corp Earnings Call
Good morning, Thank you for attending the Duke Energy third quarter earnings review and business update My name is Matt and I'll be your moderator for today's call I'll always be muted during the presentation portion of the call up an opportunity for questions and answers at the end if you like to ask a question. Please press star one on your telephone keypad.
Turn the call over to our host Abbe months' again, Vice President of Investor Relations Abby. Please go ahead.
Thank you, Matt and good morning, everyone and welcome to Duke Energy's third quarter 2023 earnings review and business update.
Our call today is Lynn good chair, President and CEO, along with Bryan <unk> Executive Vice President and CFO.
Today's discussion will include the use of non-GAAP financial measures and forward looking information.
Actual results may differ from forward looking statements due to factors disclosed in today's materials and in Duke Energy's SEC filings.
The appendix of today's presentation includes supplemental information along with the reconciliation of non-GAAP financial measures with that let me turn the call over to Lynn L. P. Thank you and good morning, everyone. Today, we announced strong results for the third quarter adjusted earnings per share of $1 94, compared to $1 78 for.
Last year.
During the quarter. We also made great progress on regulatory outcomes and simplification of the business.
This momentum is underpinned by our strong fundamentals, we have a track record of operational excellence and serve growing jurisdictions with a long runway of investment opportunities. This positions us well for the future and gives us confidence in reaffirming our long term earnings growth rate of 5% to 7%.
For 2023, we continue to work our cost structure to offset mild weather and weaker industrial volumes.
Brian will talk more about load in cost agility efforts, but I wanted to take a moment to recognize the incredible work across the organization to mitigate pressures in 2023.
Across the company agility measure savings opportunities and efficiency improvements.
Are well underway, while never compromising on our commitment to safety and customers.
We expect to finish the year within our guidance range trending to the lower half of the range.
Moving to slide five let me spend a moment on the meaningful progress we've made in North Carolina in August the North Carolina Utilities Commission approved our Duke energy progress rate case application and related settlements. This order is the culmination of years of work with stakeholders and represents a significant milestone the first.
Mentation of performance based regulations, including multiyear rate plans authorized by H B 951.
The order approved a retail rate base of $12 2 billion or $1 6 billion increase from our last case.
Along with roughly $3 5 billion in future capital investments in the multiyear rate plan.
Importantly, the order also recognized the rising cost of capital increasing the allowed ROE to nine 8% and the equity component of the capital structure of 53%.
This outcome positions us well to continue delivering value to customers, while supporting the cash flows of the company.
New rates and residential decoupling were implemented on October one.
Turning to the Duke Energy Carolina's rate case in late August we reached a partial settlement with the public staff on many aspects of the case.
The settlement provides clarity on retail rate base of approximately $19 5 billion or.
$2 6 billion increase from our last case and includes nearly $4 6 billion of capital investments and the multi year rate plan.
Second settlement with the public staff further narrowed the open items in the case and also addressed nuclear Ptc's, which Brian will provide more detail on in a moment.
We expect the MCU seated issue its decision by the end of the year and expect permanent rates to be in fact by January 2024.
We're pleased with the constructive outcome of D E P and look forward to finalizing the <unk> rate case in the coming weeks.
North Carolina is our largest jurisdiction. So constructive outcomes are critical to supporting our strong balance sheet and derisking, our five year plan.
Turning to slide six I'd like to highlight our updated Carolinas resource plan, which is driving material growth and capital investment opportunities as we lead the nation's largest energy transition in mid August we filed our updated resource plan with the public Service Commission of South Carolina, and the North Carolina Utilities Commission the <unk>.
Single unified resource plan for the Carolinas is designed to meet the needs of this growing region spurred by rapid population growth and significant economic development activity.
The plan maintains an all of the above strategy with a diverse deployment of additional resources, including renewables battery storage and natural gas as well as energy efficiency and demand side management.
It also provides the opportunity to evaluate emerging technologies pursuing early site permit for advanced nuclear and early development activities for expanded pumped storage hydro at Bad Creek.
The filing included details about our annual solar procurement, which targets over a gigawatt of new solar each year beginning in 2027. It also outlines plans to build additional natural gas generation to maintain reliability and affordability as coal plants are retired.
Since the resource plan filing we filed pre CPC ends with E&C UC for a combined cycle plant on September one.
And combustion turbines on November <unk>, we will make our full CPC and filings in the first quarter of 2024.
Similar to previous filings the Carolinas resource plan is based on significant stakeholder engagement and outlines multiple portfolios each of which preserve affordability and reliability, while transitioning to a cleaner energy resources next steps will include hearings in both states in the spring of 2024.
We expect an order in South Carolina in mid 'twenty, four and an order in North Carolina by the end of 'twenty four.
Turning to slide seven with the closing of the commercial renewable sale last month, our portfolio repositioning is complete.
We are now a fully regulated company operating in some of the fastest growing and most attractive jurisdictions across the U S.
I just mentioned some of our progress in North Carolina, and our other utilities continue to deliver as well at.
At Piedmont, We recently received South Carolina Commission approval of our settlement and our RSA proceeding.
We also received approval of our settlement and are proceeding in Tennessee. These.
These annual rate updates to allow for efficient recovery of investments as we continue to modernize our natural gas system.
And a D C South Carolina, we've made significant investments since our last rate case in 2019 and are evaluating the timing of our next rate case application.
These investments have strengthened the grid against storms reduced outage times and maintained the high level of reliable service our customers expect.
In Florida, we're seeing some of the fastest customer growth in the state and have efficient recovery mechanisms for our grid and solar investments. Our response to hurricane of Dalian September yet again demonstrated the value of our grid hardening investments the storm caused over 200000 outages and we restored power to 95% of the <unk>.
Customers within 36 hours.
Further our investment in self healing grid technologies saved more than 7 million outage minutes for customers.
Shifting to the Midwest in October the Kentucky Public Service Commission approved the new rates in our electric rate case, which utilized our forecasted test year.
The commission approved a 975% Roe.
50 basis point increase from the previous case as well as increasing the equity component of the capital structure to 52%.
Across our footprint, we built considerable momentum over the last year and our long term organic growth strategy has never been more clear. This past year has made our company stronger and more agile as we've responded to macroeconomic headwinds.
Confident we're well positioned to deliver sustainable value in 5% to 7% earnings growth over the next five years and with that let me turn the call to Brian.
Thanks, Lynn and good morning, everyone I'll start with a brief discussion on quarterly results.
As shown on slide eight our third quarter reported earnings per share were $1 59, and our adjusted earnings per share were $1 94.
This compares to reported and adjusted earnings per share of $1 81, and $1 78 last year.
Please see the non-GAAP reconciliation in today's materials for additional details.
Within our within the operating segments electric utilities and infrastructure results were down a penny per share compared to last year.
We experienced earnings growth from rate cases, and writers favorable weather and lower O&M from our cost mitigation initiatives, which I will discuss further in a moment.
These positive items were offset by lower weather normalized volumes higher storm costs and higher interest expense.
Shifting to gas utilities and infrastructure results were up a penny due to riders and customer growth.
And within the other segment, we were up 16 cents over the prior year, primarily due to a lower effective tax rate, which reflects the ongoing tax efficiency efforts in the company.
We expect our full year 2023 effective tax rate to be at the low end of our 11% to 13% guidance range.
As Lynn mentioned, we are tightening our full year 2023 guidance range to $5 55 to $5 65.
We entered the year with one of the mildest winters on record.
And although weather improved in the third quarter.
We remained 20 below normal.
We also continued to see weakness in volumes estimated at approximately 20 year to date, some of which may be attributable to weather, but also to a softening of industrial load and returned to work for residential customers.
To mitigate the impact we have increased our 2023 agility target to 30.
Which includes tactical O&M savings, a lower effective tax rate and other levers.
As we look to the fourth quarter, we expect a strong finish to the year targeting $1 50 to $1 60 per share.
Our original plan was back end loaded due to growth from rate cases, and riders. We will also see the benefit of our ongoing cost management efforts. We are closely monitoring volume trends and have included fourth quarter drivers in the appendix.
Turning to slide nine let me discuss more specifics on volume trends.
Volumes are down one 2% on a rolling 12 month basis.
Many of our industrial customers are acknowledging a near term pullback.
Managing inventory levels and costs in a disciplined way due to uncertainty in the broader economy.
Most are describing the pullback is temporary.
There is optimism about a turnaround in mid to late 2024 and into 2025.
We continue to see strong customer growth from population migration and robust economic development, giving us confidence in growth over the long term.
Based on our recent success in economic development efforts in key sectors, such as battery Evs semiconductors in Datacenters.
We see meaningful load growth over the next several years as outlined on slide nine.
For example in 2024, we expect economic development projects coming online will add between 1000 2000 gigawatt hours as.
As we look further out we have line of sight to 7000 to 9000 gigawatt hours by the end of 2027, giving us confidence in our half to 1% growth rate.
Turning to slide 10, let me spend a few minutes on 2024.
Consistent with historical practice.
We will provide 2024 earnings guidance and our detailed capital and financing plans and our February update.
Today, we have provided growth drivers for 2024.
We've executed an active regulatory calendar. This year that has yielded constructive outcomes as we head into next year.
The multiyear rate plan and <unk> will be in effect for a full year in.
We expect permanent rates under the <unk> multi year rate plan to be effective in January.
In Florida, we will see the impact of the third year of our multiyear rate plan and growth from storm protection plan investments.
In the Midwest, we will see the impact of our Kentucky rate case, and grid riders, Indiana and Ohio.
And the gas segment, we will see robust growth from rate cases integrity management investments and customer additions.
From a load perspective, we.
We projected we project a pick up in 2024 from return to normal weather.
Additionally, while we continue to closely monitor customer usage trends.
We expect higher weather normalized volumes, driven by economic development activity and residential customer growth.
Recall residence residential decoupling will be in place in 2024, North Carolina, So both DTC and Bep revenue growth will be basically will be based on customer increases which have been robust.
We expect interest rates to be higher for longer resulting in increased financing costs in 2024.
For O&M, we have aggressive efforts underway to sustain all cost savings identified in 2000 to 2022 for 2023.
As well as about half of the agility efforts, we identified during the course of 2023 to mitigate weather and volumes.
As we continue to pursue a technology enabled.
Best in class cost structure, we expect our culture of continuous improvement to drive 2020 for O&M to be lower than 2023 and significantly below our spending level in 2022.
Moving to slide 11, let me highlight some of the credit supportive actions, we've taken to maintain balance sheet strength.
We continue to collect deferred fuel balances and have filed for recovery of all remaining uncollected 2022 fuel costs with about 90% approved and in rates.
We're on pace to recover $1 7 billion of deferred fuel cost in 2023, and expect our deferred fuel balance to be back in line with our historical average by the end of 2024.
As Lynn mentioned, we completed the sale of our commercial renewables business in October.
With that about $1 5 billion of commercial renewables that will come off the balance sheet.
They're supporting our credit metrics.
In August as part of our ongoing DTC North Carolina rate case, we reached a settlement with public staff on the treatment of nuclear Ptc's related to the inflation reduction Act.
The settlement provides for the flowback of annual Ptc's to customers over a four year amortization period.
If approved by the commission this settlement would provide savings for customers and be supportive to our credit metrics.
We intend to utilize the transferability provisions of the IRA and have engaged an external adviser to run a formal auction style process, providing access to a broad range of qualified buyers.
With these positive developments, we are targeting <unk> debt between 13, and 14% in 2023 and 14% in 2024% through 2027.
Finally, as I mentioned, we will provide an update in February on our financing plan, along with a comprehensive refresh and rolled forward our five year capital plan.
We expect our capital plan to increase as we move further into the energy transition.
We will take a balanced approach to funding the incremental capital.
Supporting our growth rate and balance sheet strength.
As part of this balanced approach, we will evaluate modest funding through our dividend reinvestment plan and at the aftermarket program.
Yeah.
The growth potential in our business is at a level, we havent seen in decades.
For customers, we will achieve the right balance of affordability reliability and increase in clean energy and.
And for investors, we will achieve growth, while maintaining balance sheet strength.
Moving to slide 12.
Executing on our priorities and are excited about the path ahead as a fully regulated company.
We operate in constructive growing jurisdictions, which combined with our 65 billion five year capital plan strong operations and cost efficiency capabilities gives us confidence in our 5% to 7% growth rate through 2027.
Our attractive dividend yield coupled with long term earnings growth from investments in our regulated utilities.
Provide a compelling risk adjusted return for shareholders.
With that we'll open the line for your questions.
If you would like to ask a question. Please press star followed by one on the telephone keypad. If for any reason you liked to removed a question. Please press star followed by two again to ask a question Press Star Wars as a reminder, if you're using a speaker phone. Please remember to pick up your handset before asking your question. We will pause here briefly as questions are registered.
The first question is from the line of sharper razor with Guggenheim. Your line is now open.
Thank you good morning, guys.
Hi, sharp on insurance.
Good morning morning, but I know you mentioned in your prepared remarks that youll be obviously updating the capital plan in February as you always do and Directionally, you're talking some upside bias with Capex, but maybe you can help at least claimed the potential magnitude. So is it kind of supportive of the five to seven.
Or potentially better.
Where you see the increase is coming from sort of the various buckets and which states as we think about capex upside. Thanks.
Sure sure.
The capital is really underpinned by the integrated resource plans that we have filed and so if you look at the Carolinas alone.
The filing that we made in August compared to where we were in 2022, we see load growth.
And we also see the need to raise the reserve margin is a result of all of the growth going on in this region in the winter, peaking nature and so if you look across all of the types of megawatts from solar to battery natural gas et cetera, you see an increase there and that will become reflected more fully in our capital plan of course.
Working through that process with the commission in 'twenty, four, but we see a need for additional megawatts in the Carolinas really driven in large measure by population growth economic development and reserve margin.
We're also moving deeper into generation transitioned in Indiana.
So.
As we have filed integrated resource plans and we've accelerated our thinking around the timing of coal retirements, we see natural gas coming into the picture in Indiana as well as renewables and so CPC ends will be filed in the next several months really setting the cadence for Indiana.
And then I think you know on our regular schedule in Florida.
We will be updating the multiyear rate plan effective one $1 25, and so expectations for capital spending there will be updated and then the gas business continues to see not only extraordinary growth for a number of customers, but integrity management continues as capital. So are we.
We are in an extraordinary period of growth and all of our jurisdictions.
It's transparent it's filed with our commissions in the form of integrated resource plans on the electric side and and clear on the on the gas side as well. So we're anxious to provide that update to you in February and have a chance to talk further about them at that point.
Got it and then obviously you highlighted the current base plan assumes no equity through 2007, which is consistent with.
But you obviously, you're leaving it open for potential equity to fund spending above the current base plan as we think about sort of your balance sheet capacity should we be assuming that every dollar of incremental capex is funded with a balanced cap structure still 50, 50 debt equity or is that too simplistic and we should be also factoring other.
Sources of equity funding of bulk straight equity. So just I guess help us bridge quote unquote balanced approach with quote unquote balance sheet strength.
And Shar I would think about balanced approach kind of in the 30% to 50% range.
And when I think about equity we've talked about shareholder friendly equity you have seen us accomplish that with our transaction in Indiana.
Don't know how much potential exists for that given present cost of capital, but we would of course explore that and then evaluating the role of dividend reinvestment and at the market programs as well.
I'd also say that the other couple of things that we're watching we have yet to finalize the GEC case. So we'll have more visibility on that in December and then waiting for Treasury guidance on these nuclear PTC and the transferability market. Those are also very consequent specials cashless standpoint, so I feel like we have just.
A number of levers available to us and we will exercise them in a way that maintains our growth rate.
But also underpins the strength of the balance sheet.
Got it perfect. Thank you guys will see you in about a week I appreciate it. Thank you. Thank.
Thank you.
Your question.
Next question is from the line of Julien Dumoulin Smith with Bank of America. Your line is now open.
Hey, good morning team. Thank you guys very much really appreciate it hey, Glenn pleasure.
Just coming back in the same direction as short here.
Just in terms of the balance sheet obviously.
Source of continued conversation as illustrated by the first couple of questions here. How do you think about maybe shoring up the balance sheet incrementally. In addition to funding these incremental upside here I just want to make sure that we're clear about how you think about that piece of it obviously coming into a position of strength here with the rate case resolution.
But you're already.
Our resolutions that you alluded to buy <unk> here, but how do you think about kind of getting to that next step where perhaps conversations a little less focus there, but thank you.
Yes, Julian thanks for that and I.
As we lay out what we laid out today I think you're watching out strengthen the balance sheet of $1 billion seven of deferred fuel to be collected in 2003. Another 1 billion seven of deferred fuel to be collected in 'twenty, four and the multi year rate plans, which have not only given us an opportunity to reset.
Rate base from historic spending, but also prepare and put into effect rates for future I think those will be credit positive. The transferability that I mentioned on the IRA will be credit positive and so as we bring to you a financing plan and think about the future and the continued growth that we see from capital.
Investment, we will be targeting a minimum of 14% as we go forward and feel like we have the tools to accomplish that.
Thank you for your question.
Our next question is from the line of Steve Fleishman with Wolfe Research. Your line is now open.
Yes, hi, good morning, Brian.
Just.
Hi, so the.
You mentioned a couple of times the monitoring sales trends.
I know you gave a little bit of color on the return to working.
And.
Could you just talk a little bit more and.
In more depth on what's going on with.
Sales in your territories.
And some of that.
Yes.
Sure and Steve I'll give it a start and then I know, Brian will have something to add to it.
So we've seen some weakness in 'twenty three and I think you saw us early in the year trying to figure out do we have volume weakness or is it weather because we had such extraordinarily weak weather in the first and second quarter, but the weakness has continued into the third quarter I would mentioned textiles I would mentioned paper is.
To industries that have been impacted and then outside of those industries, we're hearing from our customers supply chain labor intra.
Interest rates being an impact to them that they are adjusting they also many of them have inventory theyre working through so they've dialed back production and production of course hits us in terms of lower lower volumes, but I would say there is optimism in that same industrial group about a rebound later in 'twenty four and into 'twenty five.
And what I would would further say as we have evaluated this.
Residential of course return to work, but we think we are probably aware that returned to work trend is situated.
Meaning no more impact from returned to work I think we've pretty well worked artery that ourselves through that transition and then for our largest jurisdiction. We go to a decoupled environment in 2024 and customer growth continues to be very strong and its customer growth that will drive revenue.
And then on the industrial side the rebound is positive on existing customers, but this economic development has been extraordinary.
And we've given you a sense of what that can look like it starts to layer in as early as 'twenty four and so that gives us some confidence around our longer term growth rate that we've got customers sort of working through the macro trends here in the short term, but over the long term we continue to see this economic development being incredibly strong.
Im sure you saw yesterday in the journal the Toyota Battery plant is expanding further also sitting here in the North Carolina territory. So that's what I would share and Brian what would you add I would add Steve.
North Carolina residential has contributed a significant amount to the weakness this year over half. So go into decoupling is something we need to really emphasize it's going to mitigate risk and volatility going forward and our Florida jurisdiction has seen strong growth in the residential space, it's been a hard year in Florida, but.
We've also had strong population migration strongest in the state of Florida. So we see positive shoots coming out and we do see this industrial load in the Carolinas, turning as we talk to customers kind of mid to late next year.
Okay.
Great. That's helpful. One other separate question just on when you're doing your plan and your growth rate from.
From the standpoint of interest rates are you generally just kind of using those.
What are the forward curve as of rates for.
So whatever the.
And any change of refinancings and the like.
We are generating outlook et cetera.
Yes, absolutely absolutely and as you know Thats a dynamic area. So we look at a range a range of outcomes we.
We did that in 'twenty three we will do it again in 'twenty four.
And as we talked about all of this work we're doing on cost structure, our objective is to offset.
The impact of interest rates in 2024.
Okay. That's very helpful. Thank you see you soon thank you.
Thank you.
Thank you for your question. The next question is from the line of Nick Campanella with Barclays. Your line is now open.
Hey, everyone. Thanks for taking my question.
Morning sure good.
Good morning, Hey, I just wanted to ask there's been some pretty significant changes in the Carolinas in terms of just rate structure with these NY rfps and I know that you are a little lower in the range for fiscal 'twenty three but could you just help frame EPS volatility 23 versus <unk> 24, and the residential to decoupling just Stan.
Out to us if you could just.
Frame, how that informs your confidence to hit the $5 to seven implied EPS growth for 'twenty four specifically thanks.
So Nick I would confirm that it does.
Underpinning our confidence in 5% to 7% growth is modernized construct in the Carolinas as consequential.
Kind of a first in the history of the utility that we will have multiyear rate plans the ability to set price as we go forward of course delivering value to customers every step of the way, but also more closely matching the expenditure of capital with return and I would add to that our confidence in the capital.
Underpinning that 5% to 7% growth very transparent integrated resource plans that outline what it's going to be necessary to serve this growing state.
So.
The Carolinas are very well positioned for the future and as Brian mentioned, a moment ago continue to see extraordinary growth in Florida, and we have strong capital in Florida, and grid and solar will be updating our multiyear rate plan and our investment in the Midwest continues well well along both generation and grid in Ohio.
For example, so I feel like we've got all of the elements to underpin our confidence in the growth.
And the jurisdictions are constructive jurisdictions that find the right balance between benefits to customers and investors and we're we're confident in the future.
Okay great.
What about just on O&M.
Slides, where you kind of talked about 50% sustainable.
After 'twenty three but just looking back to prior calls I think we've kind of talked about 75%. So just maybe that's just different buckets and I'm mischaracterizing, it but could you help reconcile that view.
And then how to just think about 24. Thank you.
Yeah. So Nick I really appreciate that question, because we have two different $300 million that I think.
As I look at some of the commentary has been confusing to you also let me step through it for you.
You may recall that we entered 23 with a cost initiative identified at driving out $300 million of costs, primarily in the corporate center and we said to you at that time, we saw a 75% of that 300 would be sustainable we have executed on that throughout 2023 and have gained confidence that the <unk>.
95% is going to a 100 that we'll be able to sustain all of it into 2024.
And then further we have developed mitigation plans based on weak weather in volume in 2023, which is included not only O&M, but other levers, including tax ideas those totaled $300 million as well and we think 50% of those are sustainable into 2024.
<unk>.
And we also highlighted on our drivers schedule.
We will continue to look for cost savings ideas part of the continuous improvement structure. That's what we're talking about on slide 10. So we believe we have various elements in place to continue to drive O&M lower we think 'twenty four it will be lower than 23.
And that's just part of our conviction to continue to drive productivity and efficiency in our operations.
Many thanks, we'll see you soon thank you thank you and good day.
Thank you for your question.
The next question is from the line of <unk> Chopra with Evercore. Your line is now open.
Hey, good morning team, thanks for giving your time.
All my other questions have been answered I just had a.
Good morning, Lynn Good morning, Brian All my questions have been answered just a quick clarification and then I think in response to the first question you mentioned, 30% to 50%.
I believe you were reporting to the equity content of.
Any incremental Capex could you just clarify if that if my understanding is correct.
That's correct yes.
It was in response to what does balanced mean.
And so that's the range I would think about and of course, we'll bring a concrete financing plan and capital plan in February that will lay this out more clearly, but as we think about all of the tools and levers and cash flow opportunities that we have across all of our business.
That is the range I would consider.
Four.
Incremental equity matched with incremental capital for growth.
Perfect. Thanks, so much for clarifying that I appreciate it thank you.
Thank you for your question.
Next question is from the line of Carly Davenport with Goldman Sachs. Your line is now open.
Hi, Good morning, you've got Joe Miller on for Cory Thanks for taking my question.
Good morning, maybe just to start.
With the North Carolina Resource plan, just curious if theres any areas, where you expect if any to get some pushback, obviously, a healthy chunk of renewables in there with the wind and solar but also a share of natural gas as well. So curious if you're expecting the focus on reliability with that outweigh any ESG concerns with natural gas.
John I appreciate that question and I'd start by saying these integrated resource plans are informed by a very robust stakeholder process and as you.
<unk> pulling stakeholders together they are different points of view across the spectrum from renewables to batteries to natural gas to nuclear some pro some con.
But we believe what we've put forward is a very balanced all of the above strategy that provides.
The right balance between reliability affordability and increasingly clean which is our commitment to the state. So we think all of those elements will be closely reviewed and evaluated as part of the process in front of the commission.
<unk>.
We believe we will work through this in a very constructive way consistent with the way we move forward in the previous plans and we will keep us posted every step of the way.
Got it that's helpful. Thank you and then maybe just one follow up to the O&M discussion I know a decent bit of the business agility savings will come in <unk>, but as we are now in the year November just curious if you have any indications where you're trending towards that target of 50% being sustainable.
We're going to make 50% sustainable and that's right where.
Were there John we have line of sight to the Q4 efforts because a lot of it was tied to the to the fall outage season as well as <unk>.
Just a culmination of work that takes it takes a couple of months to implement and we've evaluated the ability to keep those going on for 2024 and beyond.
We confirm that.
Okay got it great. Thank you so much.
Thank you. Thank you for your question.
There are no additional questions waiting at this time, so I'll pass the call back doing good for any closing remarks.
Well. Thank you all appreciate your engagement today investment in <unk> and we're looking forward to seeing all of you at EI. So we'll continue the conversation then and of course.
And Brian and I are always available so thanks, so much.
That concludes.
The conference call. Thank you for your participation you may now disconnect your lines.