Q3 2024 AstroNova Inc Earnings Call
Good morning, and welcome to TD Astra Night box fiscal third quarter 'twenty 'twenty four financial results Conference call. Today's call will begin in a few moment time Register your question for the Q&A portion phase crashed off when they buy one and you kind of think he Pat. Thank you for your patience.
Speaker 1: Good morning and welcome to the Astronova Fiscal 3rd Quarter 2024 Financial Results Conference call. Today's call will begin in a few moments time. To register a question for the Q&A portion, please press star followed by 1 on your telephone keypad.
Speaker 2: The.
[music].
Speaker 1: Good morning and welcome to the Astranova Fiscal Third Quarter 2024 Financial Results Conference call. Today's conference is being recorded. If you would like to ask a question during the Q&A portion of today's call, please press star followed by one on your telephone keypad. I would now like to turn the conference over to Scott Solomon of the company's investor relations firm Sharon Merrill Advisors. Please go ahead, sir.
Good morning, and welcome to the Aspen Ava High school that caused that 'twenty 'twenty four financial results Conference call. Today's conference is being recorded if.
If you'd like to ask a question during the Q&A portion of today's call. Please press star followed by one on your telephone keypad.
I would now like to turn the conference over to Scott Solomon of the company's Investor Relations Fun chart marrow advisement.
Go ahead Sir.
Yeah.
Thank you Carla and good morning, everyone with me on this morning's call are Greg Woods, Astro <unk>, President and Chief Executive Officer, and David Smith.
Speaker 3: With me on this morning's call are Greg Woods, Astronova's President and Chief Executive Officer, and David Smith, Vice President and Chief Financial Officer.
Vice President and Chief Financial Officer.
Speaker 3: Greg will discuss the company's segment operating highlights. David will take you through the financials at a high level. Greg will make some concluding comments, and then management will be happy to take your questions.
Greg will discuss the company's segment operating highlights David will take you through the financials at a high level, Greg will make some concluding comments and then management will be happy to take your questions.
If you've not received a copy of this morning's earnings release. Please go to the investors page of the astronauts website Www Dot astronauts, Inc. Dot com.
Speaker 3: If you've not received a copy of this morning's earnings release, please go to the investors page of the Astronobile website, www.astronovainc.com.
Speaker 3: Statements made on today's call that are not statements of historical fact are considered forward-looking statements within the meaning of the private securities litigation Reform Act of 1995.
Statements made on today's call that are not statements of historical fact are considered forward looking statements within the meaning of the private Securities Litigation Reform Act of 1995.
Speaker 3: These forward-looking statements are based on a number of assumptions that could involve risks and uncertainties. Accordingly, actual results could differ materially, except as required by law. Any forward-looking statements speak only as of today, December 6, 2023. Astronova undertakes no obligation to update these forward-looking statements.
These forward looking statements are based on a number of assumptions that could involve risks and uncertainties. Accordingly actual results could differ materially except as required by law.
Any forward looking states statements speak only as of today December six 2023 faster.
<unk> undertakes no obligation to update update these forward looking statements.
Speaker 3: For other information regarding the forward looking statements and the factors that may cause differences, please see the risk factors in Astra Nova's annual report and form 10k and other filings the company makes with the Securities and Exchange Commission.
For other information regarding the forward looking statements and the factors that may cause differences. Please see the risk factors and Astral <unk> annual report on Form 10-K, and other filings the company makes with the Securities and Exchange Commission.
Speaker 3: On today's call management, we refer to non-GAAP financial measures. Ashenova believes that the inclusion of these financial measures helps investors gain a meaningful understanding of the changes in the company's core operating results, and also helps investors who wish to make comparisons between Ashenova and other companies on both a gap and a non-GAAP basis. A reconciliation of the non-GAAP financial measures to their most directly comparable GAAP measures is available in today's earnings release. And with that, I'll turn the call over to Greg.
On today's call management will refer to non-GAAP financial measures.
Nobody believes that the inclusion of these financial measures helps investors gain a meaningful understanding of the changes in the Companys core operating results and also helps investors who wish to make comparisons between <unk> and other companies on both a GAAP and a non-GAAP basis, a reconciliation of the non-GAAP financial measures to their most directly comparable GAAP measure.
<unk> is available in today's earnings release, and with that I'll turn the call over to Greg.
Thank you Scott and good morning.
Everyone.
Speaker 4: We began the second half of fiscal 2024 with a significantly more profitable third quarter. Our operating income increased more than threefold to $4.6 million.
We began in the second half of fiscal 2024, with a significantly more profitable third quarter.
Operating income increased more than threefold to $4 6 million.
Speaker 4: Operating margin improved 890 basis points to 12.3%, and adjusted EBITDA hit an all-time record of 81% to $5.7 million or 15% of revenue.
Operating margin improved 890 basis points to 12, 3% and.
And adjusted EBITDA hit an all time record up 81% to $5 7 million or 15% of revenue.
This profit improvement is a testament to the great agility hard work and execution by our teams around the world.
Speaker 4: This profit improvement is a testament to the great agility, hard work, and execution by our teams around the world.
The increased profit generation was achieved despite an 11% year over year revenue decline in our product identification segment.
Speaker 4: The increased profit generation was achieved despite an 11% year-over-year revenue decline in our product identification segment.
Speaker 4: This was primarily from the supply side of the business, where the lingering negative impact of an inequality issue from one of our suppliers has decreased incodalization on some of our printers.
This was primarily from the supply side of the business or the lingering negative impact of an ink quality issue from one of our suppliers has decreased thank utilization on some of our printers.
Speaker 4: To a lesser extent, the temporary effect of higher customer ink inventories ahead of a price increase from that same supplier Enter a decree the impact of exiting certain product lines as part of the restructuring we announced last quarter
To a lesser extent the temporary effect of higher customer inventories ahead of a price increase from that same supplier and to a degree the impact of exiting certain product lines as part of the restructuring we announced last quarter.
We believe the ink related slowdown issues will abate as we move through the next few quarters.
Speaker 4: We believe the inc related slowdown issues will abate as we move through the next few quarters.
Speaker 4: Additionally, we expect to realize strong margins from several new product releases as they gain traction in the market.
Additionally, we expect to realize strong margins from several new product releases as they gain traction in the market.
Speaker 4: Meanwhile, the commercial aviation industry continues to experience robust demand, closing in on, and in some cases exceeding the 2019 high.
Meanwhile, the commercial aviation industry continues to experience robust demand closing in on and in some cases exceeding the 2019 highs.
Speaker 4: Both aircraft operating hours and new aircraft orders are up market.
Both aircraft operating hours and new aircraft orders are up markedly these.
Speaker 4: These trends are expected to continue and bode well for the aerospace product line within our test and measurements segment in the fourth quarter of fiscal 2024 and beyond.
These trends are expected to continue and bode well for the aerospace product line within our test and measurement segment in the fourth quarter of fiscal 2024 and beyond.
Speaker 4: Now let's review our segment results in a bit more detail starting with the PI segment.
Now, let's review our segment results in a bit more detail starting with the Pi segment.
Operating profit increased 62% to $4 $8 million with margin up to 820 basis points to 18, 1%.
Speaker 4: Operating profit increased 62% to $4.8 million with margin up to 820 basis points to 18.1%.
Speaker 4: The vastly improved performance primarily reflected favorable product mix as some of the margin improvement actions we implemented earlier to hold. Additionally, we reduced expenses, had lower warranty costs, and improved operating efficiencies from the restructuring.
The vastly improved performance, primarily reflected favorable product mix as some of the margin improvement actions, we implemented earlier took hold.
Additionally, we reduced expenses and lower warranty costs and improved operating efficiencies for the restructuring.
Speaker 4: We have simplified the PI segment by transitioning more printer manufacturing from Asia and West Warwick to our Astra Nova Astra Machine Plant, rather in Illinois.
We have simplified the Pi segment by transitioning more printer manufacturing from Asia, and West Warwick, two are Astro, Nova Astro machine plant rather in Illinois.
Speaker 4: exiting low margin or low volume label printers, consolidating international sales and distribution facilities, and streamlined our global channel partner network.
Exiting low margin or low volume label printers.
Consolidated international sales and distribution facilities and streamlined our global channel partner network.
As an ongoing fundamental of our strategy, we continue to invest in new products that meet our customers' needs for printing solutions that our compact efficient and flexible.
Speaker 4: As an ongoing fundamental of our strategy, we continue to invest in new products that meet our customers' needs for printing solutions that are compact, efficient, and flexible. In the third quarter, we unveiled three new prayers.
In the third quarter, we unveiled three new prayers.
Quick label QL 900 Trojan.
Speaker 4: Trojan Label T2 Pro and the Trojan Label T3 Pro.
Trojan label, <unk> Pro and the Trojan label <unk> three pro.
The rugged QL 800 is a desktop inkjet label printer designed for full color labeling applications.
Speaker 4: The Rugged QL900 is a desktop inkjet label printer designed for full-color labeling applications.
Speaker 4: Manufactured our Esther Machine Plant in Illinois, the product features a touch-free interface and internal job library, enabling users to easily manage printer setup and operation.
Manufactured at our Astral machine plant in Illinois, the product features a touch screen interface and internal job library, enabling users to easily manage printer setup and operation.
The new <unk> Pro is the latest addition to our Trojan label brand of compact digital label presses targeted towards industrial and professional printing segments.
Speaker 4: The new T2 Pro is the latest addition to our Trojan label brand of compact digital label presses, targeted toward industrial and professional printing sites.
With a printed with a 12 75 inches and a print resolution of six to 800 by 600 dots per inch the tissue pro offer superior cost of ownership across all available aqueous inkjet technologies on the market.
Speaker 4: with a print width of 12.75 inches and a print resolution of 1600 by 1600 dots per inch. The T2 Pro offers superior cost of ownership across all available aqueous inkjet technologies on the market.
The <unk> pro is a compact <unk> digital print module ideal for Oems that want to easily integrate print station to conveyors, our other specialty equipment to offer full color digital printing solutions for envelopes corrugated and a wide variety of flat surface products.
Speaker 4: The T3 Pro has a compact CMYK digital print module ideal for OEMs that want to easily integrate a print station into conveyors or other special equipment to offer full-coupled digital printing solutions for envelopes, corrugated, and a wide variety of flat surface products.
Yeah.
In addition to those three printers, we recently unveiled <unk> a high speed commercial vacuum Peter.
Speaker 4: In addition to those three printers, we recently unveiled the VF 280, a high-speed commercial vacuum feeder.
Speaker 4: This product is designed to handle a variety of materials like bags, envelopes, heavy card stocks, corrugated cardboard, jewel cases, calendars, and sheetstocks.
This product is designed to handle a variety of materials like bags envelopes heavy card stocks corrugated cardboard jewel cases calendars and sheet stocks.
Speaker 4: When integrated with the Trojan Label T3OpX, the VF 280 offers a modular direct-to-package post printing system that enables high-quality full-color automated printing.
When integrated with the Trojan label <unk>. The V F. Two <unk> offers a modular direct to package.
<unk> printing system that enables high quality full color automated printing.
Speaker 4: Customers benefit from faster time to market and reduce weight.
Customers benefit from faster time to market and reduce waste.
In recent months, we've had the pleasure of integrating.
Speaker 4: In recent months, we've had the pleasure of integrating
Speaker 4: and interacting with the thousands of current and prospective customers who demote our digital label printers, envelope printers and direct-to-package printing solutions at major trade shows such as Pack Expo in Las Vegas, label Expo Europe in Brussels, and the printing United Expo in Atlanta.
And interacting with the thousands of current and prospective customers, who are digitally enabled printers and below.
Look printers and direct to package printing solutions at major trade shows such as pack Expo in Las Vegas label label.
Label Expo Europe in Brussels.
And the printing United Expo in Atlanta.
What we heard from customers is clear.
Speaker 4: Within the digital printing market, what differentiates astronauta is our ability to provide customers with a unique total printing solution.
Within the digital printing market, what differentiates Astro Nova is our ability to provide customers with a unique total printing solution.
Speaker 4: We consistently earn high ratings, not only for the breadth of products we offer, but also for the Confuciative Services and support that we provide that tailors a solution to each customer's application and business needs.
We consistently earn high ratings not only for the breadth of products, we offer but also for the consultative services and support that we provide that tailors, a solution to each customer's application and business needs.
For instance.
Speaker 4: Within our ASTRO machine subsidiary, we are continuing our product innovation initiatives with the upcoming launch of two new digital printing and addressing systems. Purpose built for a large OEM cost-
Within our Astro machine subsidiary, we are continuing to continuing our product innovation initiatives with the upcoming launch of two new digital printing and addressing systems purpose built for a large OEM customer.
Speaker 4: These products embody the voice of the customer methodology that is a central tenant of our astronauta operating system.
These products embody the voice of the customer methodology, but it is a central tenet of our Astro Novo operating system.
Speaker 4: Engaging with customers on the design engineering of new products is enable us to apply that valuable learning to gain traction both existing and new market vertical.
Engaging with customers on the design and engineering of new products has enabled us to apply that valuable learning to gain traction in both existing and new market verticals.
Speaker 4: Switching to the test and measurements segment, third quarter revenue increased 16% year over year to $11 million.
Switching to the test and measurement segment third quarter revenue increased 16% year over year to $11 million.
Speaker 4: with growth in both our aerospace and test and measurement products.
With growth in both our aerospace and test and measurement product groups.
Segment operating profit was $2 6 million or 23, 2% of revenue compared with $1 7 million or 18% of revenue a year earlier.
Speaker 4: Segment operating profit was 2.6 million or 23.2% of revenue compared with 1.7 million or 18% of revenue a year earlier.
Speaker 4: driven primarily by favorable product mix and the impact of offering leverage on the higher revenue in that unit.
Driven primarily by favorable product mix and the impact of operating leverage on the higher revenue in that unit.
Speaker 4: As we've discussed on prior calls, we are gradually upgrading OEM and direct airline customers to our more advanced top-grader branded printers from the other three brands in our portfolio.
As we've discussed on prior calls we are gradually upgrading.
OEM and direct airline customers to a more advanced tough freighter branded printers from the other three brands in our portfolio.
Pairing the number of brands that we offer will allow us to reduce our overall manufacturing costs, thereby driving higher margins.
Speaker 4: pairing the number of brands that we offer will allow us to reduce our overall manufacturing costs thereby driving higher margins.
Speaker 4: By the end of fiscal 2027, we estimate that 9 out of every 10 printers we ship will be a topwriter, compared with a little less than 4 in every 10 today.
By the end of fiscal 2027, we estimate that nine out of every 10 printers, we ship will be a tough writer compared with a little less than four and every 10 today.
As we execute that transition we wanted to also point out to investors that an additional benefit of this transition will be that the royalty we pay to Honeywell international under our asset purchase and licensing agreement will decline.
Speaker 4: As we execute that transition, we will want to also point out to investors that an additional benefit of this transition will be that the royalty we pay to Honeywell International under our asset purchase and licensing agreement will decline and it will disappear completely at the end of the third quarter of fiscal 2028.
And it will disappear completely at the end of the third quarter of fiscal 2028.
We will not be forecasting that decline for you, but we will report on that as it happens beginning next year.
Speaker 4: We'll not be forecasting that decline for you, but we will report on that as it happens beginning next year.
Speaker 4: Finally, I'd like to mention another platform design win for our top-barrier printer.
Finally, I'd like to mentioned in other platform design win for our top freighter printer.
Speaker 4: The Tough Rider will be standard equipment on Boeing's new 777X, a wide-body twin-engine jetliner expected to enter service in 2025.
Tough Friday will be standard equipment on Boeing's, new Triple seven X a wide body twin engine jet line are expected to enter service in 2025.
Speaker 4: Last month, our aerospace group exhibited at the Dubai Air Show.
Last month, our aerospace group exhibited at the Dubai Air show.
Speaker 4: where I had the privilege of touring the triple 7x flight test aircraft and hearing from a number of commercial aircraft airline pilots about the favorable experiences with our printer.
Where I had the privilege of touring the Triple seven X flight test aircraft and hearing from a number of commercial aircraft airline pilots about the favorable experiences with our printers.
Speaker 4: An Ember or Captain captured it best when he referred to our printer as, quote, a lifesaver.
In Edinburgh Captain captured it best when he referred to our printer as quote a lifesaver.
Great.
Speaker 4: With that, let me turn the call over to David for some further financial comments.
With that let me turn the call over to David for some further financial comments.
Thanks, Greg and good morning, everybody.
Speaker 5: I'll reinforce and add some comments about the third quarter financial performance.
Ill reinforce and add some comments about the third quarter financial performance.
Speaker 5: As Greg said, total revenue for the quarter was $37.5 million, down about 5% year-over-year, with the lower revenue in the PI segment, partly offset by growth on the test of money.
As Greg said total revenue for the quarter was $37 5 million down about 5% year over year with the lower revenue in the Pi segment.
Currently offset by growth in the test and measurement side.
Speaker 5: Hardware revenue of 12.9 million was about 8% higher than last year's third quarter. And supply revenue is about 13% to 20 million. Well, the service of other revenue grew about 4% to 4.7 million.
Hardware revenue of $12 9 million was about 8% higher than last year's third quarter supplies revenue was down about 13% to $20 million, while the service and other revenue grew about 4%.
To $4 7 million.
Speaker 5: domestic revenue was 21.8 million for the third quarter 55.8% of the total compared to 57% in the year earlier period. International revenue was 16.6 million, a 44% of revenue compared to 43% in the third quarter of fiscal 2023.
Domestic revenue was $21 8 million for the third quarter at 55, 8% of the total compared with 57% in the year earlier period international revenues of $16 $6 million or 44% of revenue compared with 43%.
The third quarter of fiscal 2023.
Gross profit increased 770 basis points to 39, 4% in the third quarter driven by better product mix.
Speaker 5: Gross profit increased 770 basis points to 39.4% in the third quarter, driven by better product mix.
Speaker 5: or manufacturing expenses, expenses, and better absorption and reduced period costs.
Lower manufacturing experience.
<unk> expenses and better absorption and reduced period costs.
Speaker 5: of the improvement, the directly trackable impacts on the PI segment restructuring benefits was approximately 450,000 in the fourth quarter, third quarter rather, and that impacted both gross margin and operating extent.
Of the improvement the direct fleet trackable impacts on the Pi segment restructuring benefits was approximately 450000 in the fourth quarter third quarter and that impacted both gross margin and operating expense.
Speaker 5: Operating expense declined about 9% in the third quarter to $10.2 million on a non-GAAP basis.
Operating expense declined about 9% in the third quarter to $10 2 million.
non-GAAP basis.
This is the factors Greg outlined were why the operating income increased.
Speaker 5: This and the factors create outline for why the operating income increased.
Speaker 5: more than twofold to 3.6 million. Well, non-GAAP operating margin improved over 710 basis points.
More than twofold to.
The $3 6 million, while non-GAAP operating margin improved over 710 basis points.
Two.
Speaker 5: 12.3%. On the bottom line, we reported net income with 2.8 million at 37 cents per completed share.
12, 3%.
On the bottom line, we reported net income of $2 8 million or <unk> 37 per diluted share.
Speaker 5: for this just to next quarter versus 289,000 or 4 cents for the alluded chair in the year earlier period. But keep in mind that the gap net income to the third quarter of fiscal 23 included transaction costs. So.
This.
Just the next quarter.
289000, or <unk> <unk> per diluted share in the year earlier period.
Keep in mind that the GAAP net income for the third quarter of <unk>.
Fiscal 'twenty three included transaction costs.
Speaker 5: 540,000 or 7 cents per minute chair associated with the
540000.
<unk> seven <unk>.
Per diluted share associated with the <unk>.
Speaker 5: August 22, acquisition of Astro Machine.
August 22, the acquisition of Astra and machine.
Speaker 5: on a non-gap basis net income for the third quarter, official 23 was 11 cents per billeted share.
On a non-GAAP basis net income for the third quarter of fiscal 2003 was <unk> 11 per diluted share.
Speaker 5: Adjusted even DA in the third quarter of this year was 5.7 or 15% compared to 2.4 million.
Adjusted EBITDA in the third quarter.
This year was five seven or 15% compared to two.
$2 4 million.
Speaker 5: or 6% of revenue in the same period last year, excluding transaction costs last year's adjusted EVDA for the third quarter was 3.1 million.
Or 6% of revenue in the same period last year, excluding transaction costs last year's adjusted EBITDA for the third quarter.
Was $3 1 billion or 8%.
Speaker 5: Bookings for the third quarter of fiscal 24 increase 1% to 35.5 million from 35 in the third quarter last year. That blog as of October 28, 2023 decreased 20%.
Bookings for the third quarter of fiscal 2004 increased 1% to $35 5 million from 35.
Third quarter of last year.
Backlog as of October 20.
2023 decreased 20%.
Speaker 5: the 31.2 million from 39.3 million a year ago. But this don't climb is largely due to the timing and the T&M segments and it's not indicative of what we expect in the fourth quarter this year.
The $31 2 million from $39 3 million a year ago, but this still climb is largely due to the timing of the <unk> segment.
It is not indicative of what we expect in the fourth quarter this year.
Speaker 5: when we expect the income statement overall to be consistent with the third quarter.
When we expect the income statement overall to be consistent with the third quarter.
As previously discussed we have identified about 150 printers sold to customers that were affected by the towards the ink and we're working with those customers to either repair or replace the affected printers on a gradual basis.
Speaker 5: As previously discussed, we had identified about 150 printers sold to customers that were affected by the toll fee ink. And we're working with those customers to either repair or place the affected printers on a gradual basis.
Speaker 5: We anticipate this will be largely done by the end of this fiscal year. At the end of January 2024, with maybe some of it trailing into the first quarter.
We anticipate this will be largely done by the end of this fiscal year.
At the end of January 2024, with maybe some of its trailing into the first quarter.
Speaker 5: In Q3, we incurred costs of about 240,000 for that program, which had been reserved for in connection with the restructure.
In Q3, we incurred costs of about 240000.
That program, which had been reserved for in connection with the restructuring.
Speaker 5: Inventory reduction was modest and while the supply chain challenges are abating, we're still recovering on the inventory level, the reduction test that we have. Inventory was 46.3 million at the end of the quarter, down 9% from the end of the fiscal 23.
Inventory reduction was modest and while the supply chain challenges are abating, we are still recovering of the inventory level.
Level reduction task that we have inventory was $46 3 million at the end of the quarter down 9% from the end of fiscal 'twenty three.
Speaker 5: Term 1, dead at the end of the third quarter was 9.5 million compared with 12 million at the end of last fiscal year. The revolving credit is down a million to 14.9 million. Our expectation is to generate cash, remuneration and working capital reduction in Q4. And to continue the current focus, I'm using available cash to reduce that. So I'll turn the call back to Greg.
Term loan debt at the end of the third quarter was $95 million.
Third with $12 million at the end of last fiscal year.
And credit is down a $1 billion to $14 49 billion and our expectation is to generate cash from earnings and working capital reduction.
In Q4 and to continue the current focus on using available cash to.
To reduce debt.
So I'll turn the call back to Greg for closing comments.
Yeah.
Thanks, David.
Our operational and financial momentum entering the final quarter of fiscal 2024 is strong.
Speaker 4: Our operational and financial momentum entering the final quarter of Fiscal 2024 is strong.
The recently completed strategic restructuring has significantly improved the cost structure and margin profile of the business and we expect both segments to perform in line with these results again in the fourth quarter.
Speaker 4: The recently completed strategic restructuring has significantly improved the cost structure and margin profile of the business. We expect both segments to perform in line with these results again in the fourth quarter.
Speaker 4: The restructuring of our PI segment allows us to focus on those products with the strongest volume and margin potential while contingent drive demand through innovative new solutions such as the QL900, the T2 Pro, and the T3 Pro.
The restructuring of our <unk> segment allows us to focus on those products with the strongest volume and margin potential while continuing to drive demand through innovative new solutions, such as the QL 900, the <unk> pro and the <unk> probe.
Speaker 4: And we're very excited about the new OEM products in our Aster machine pipeline.
And we're very excited about the new OEM products and our Astro machine pipeline.
And the test and measurement segment. The key demand drivers are commercial air traffic, new aircraft orders and OEM market forecast all of which are pointing up into the right.
Speaker 4: In the custom measurement segment, the key demand drivers are commercial air traffic, new aircraft orders, and OEM market forecasts, all of which are pointing up and to the right.
Speaker 4: based on strong demand, high barriers entry, and the extended nature of the contracts, we feel very good about the prospects for our aerospace products group over the long term. Now with that,
Based on strong demand high barriers to entry and the extended nature of the contracts, we feel very good about the prospects for our aerospace products group over the long term.
Now with that I'll turn the call back to the operator for questions.
Thank you Greg.
Your question. Please press star one.
Pat.
Speaker 1: When you are preparing for your question, please ensure your device is unmuted locally. And if you would throw out your question, please press star followed by two. We can now pause here.
Preparing for your question. Please ensure your device is Amit.
And if you wish to revoke your question. Please press star followed by Jay.
We cannot push I briefly wait for questions to be retrofits.
Can we have no questions registered at this time, so with that thank you.
Speaker 1: Do we have no questions registered at this time? So with that, I will hand back to Gregory, final remarks.
Gregory final remarks.
Well, thanks, everyone for joining us here. This morning as always we look forward to keeping you updated on our progress and hope you have a wonderful holiday.
Speaker 4: Thanks everyone for joining us here this morning. As always, we look forward to keeping you updated on our progress and hope you have a wonderful holiday.
Bye now.
Speaker 1: This concludes today's call. Thank you for your participation. You may now disconnect your line.
This concludes today's call. Thank you for your participation you may now disconnect your lines.
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Speaker 2: The there.
Yeah.
Okay.
Sure.
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Yeah.
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