Q4 2023 IDEX Biometrics ASA Earnings Call

Unknown Executive: to phone, which is a much more scalable and deployable solution for enrolling the biometric smart card. We deployed a full end-to-end implementation program for banks and issuers, and Kat will probably talk about that a little bit more later.

Billable and deployable solution for enrolling the biometric smartcard.

We deployed a full end to end implementation program for banks and issuers and cat will probably talk about that a little bit more later, we enabled more than 20 car manufacturers and partners to come to market with the IDEXX Biometrics fast track program. This includes all the software and solution as I've talked about earlier.

Vincent Graziani: We enabled more than 20 car manufacturers and partners to come to market with the Idex Biometrics fast track program. This includes all the software and solutions I've talked about earlier, but it also includes manufacturing know-how, which capital equipment to purchase, et cetera, and what it takes to get through their LOA and get their final certification. We have now launched, as a result of all of this work, the world's first biometric metal carb program with EBL and Idex Pay in Asia. And we have our first customer to launch Idex Access with Authentrend, opening up the markets in Japan for access control and authentication. Coming up in 2024, we anticipate having many more bank launches with IdexPay in Asia and in Europe. We are working hard to get our certification done with Visa, which will open up even more banks and issuers. A big part of the world's banking industry is Visa.

But also includes manufacturing knowhow, which capital equipment.

Purchase et cetera, and what it takes to get through there.

L O a and get their final certifications.

We now have launched as a result of all of this work the world's first biometric metal card program with E B L and IDEXX pay in Asia.

And we have our first customer to launch IDEXX access with authentic brand and opening up the markets in Japan for access control and authentication.

Coming up in 2024, we anticipate to have many more bank launches with IDEXX pay in Asia and in Europe.

We are working hard to get our certification done with visa, which will open up even more banks and issuers are big part of the world's banking industry is visa and of course, we need to get that out there into the market space as well, we will be launching as well a crypto cold wallet platform solution similar to IDEXX.

Vincent Graziani: And, of course, we need to get that out there in the market space as well. We will also be launching a crypto cold wallet platform solution similar to IDEX Pay and IDEX Access, but for the crypto cold wallet space, and we'll be launching a new biometric platform together with our partner ST Microelectronics for card manufacturing partners and banks and issuers that want to have choice when it comes to their secure element chips. And we are continuing to work on our operational efficiencies. These are coming into effect, and we'll talk about that a little bit more as we get into the financial section here. Okay, let's go into the quarterly highlights for the fourth quarter.

Pay an IDEXX access, but for the crypto cold wallet space.

And we'll be launching a new biometric platform together with our partner S. T microelectronics for.

Card manufacturing partners and banks and issuers that want to have choice when it comes to the secure element chip.

And we are continuing to work on our operational efficiencies those are coming into effect and we will talk about that a little bit more as we get into the financial section here.

Okay, let's go into the quarterly highlights for the fourth quarter.

Vincent Graziani: On the payment side, Eastern Bank Limited in Bangladesh launched their first biometric metal card globally based on IDEX Pay. This is a great deployment for both IDEX and Eastern Bank and demonstrates that our strategy to launch in the affluent segment first is a great strategy for execution. We now have three metal card manufacturers globally and anticipate that we'll have more design wins and more banks launching here, starting with the affluent programs and then bringing in the mainstream customers as part of our overall strategy. We do have a partner in Asia who's piloting our first central bank digital currency card. And This is a pretty early deployment.

On the payment side Eastern Bank limited in Bangladesh launched their first biometric metal card globally based on IDEXX pay this is a great deployment for both.

IDEXX and eastern Bank and demonstrates that our strategy to launch at the affluent segment first is a great strategy for execution. We now have three middle car manufacturers globally, and anticipate that we'll have more design wins and more banks launching here starting with the affluent programs and then.

Bringing in the mainstream customers as part of our overall strategy.

We do have a partner in Asia, who is piloting our first central bank digital currency card.

And this is a pretty early deployment, but we do believe that we will see future deployments of central Bank digital currency cards with biometric as other governments and central banks begin to deploy digital currency programs.

Vincent Graziani: But we do believe that we'll see future deployments of central bank digital currency cards with biometrics as other governments and central banks begin to deploy digital currency programs. We also have our first programs in development for entitlement programs, and this is an area where Social Security and other entitlement programs are dealing with lots of fraud.

We also have our first programs in development for entitlement programs and this is an area where.

Social security and other entitlement programs are dealing with lots of fraud and so the biometric card here adds value with proof of identity and proof of life for those who are on these entitlement programs and we anticipate we will see more of these government programs globally.

Vincent Graziani: And so the biometric card here adds value with proof of identity and proof of life for those who are on these entitlement programs. And we anticipate we'll see more of these government programs globally as these biometric cards become more mainstream in the market. On the access side, AuthentTrend, our partner, has launched a FIDO2 biometric card for digital access based on our IDEX access total software platform.

As these biometric cards come become more mainstream in the market.

On the access side Aten trend our partner has launched a final two biometric card for digital access based on our IDEXX access total software platform.

Vincent Graziani: We also have additional contract customers for access taking advantage of the IDEX access program. And the way that program works is we do the full card operating system and enable our partners through an API to add their own value to their access cards and authentication cards by doing their own applets and applications on the card and deploying their own unique solutions for their target markets and their geography. Our partner Sentry is now working on their next generation access cards based on Idex technology, and those are soon ready for launch into the market as well. Furthermore, regulatory enforcement in Europe and in the U.S. is creating more demand for cybersecurity.

We also have additional contract customers for access taking advantage of the IDEXX access program and the way that program works as we do the full card operating system and enable our partners through an API to add their own value to their access cards and authentication cards by doing their own applets and applications on.

The card and deploying their own unique solutions for their target markets in their geography or.

Our partner century is all working on their next generation access cards based on IDEXX technology and those are soon ready for launch into the market as well.

And then regulatory enforcement in Europe and in the U S is creating more demand for cyber security. So we see more and more demand and more and more partners and customers coming to us for access control and digital authentication.

Vincent Graziani: So we see more and more demand and more and more partners and customers coming to us for access control and digital authentication on the card manufacturer side. We have card manufacturers and partners who are in certification with IdexPay. As we've talked about in the past, IdexPay is fully certified for software and security, all pre-certified today by MasterCard and soon to be pre-certified also by Visa.

On the card manufacturer side.

We have car manufacturers and partners, who are in certification with IDEXX pay as we've talked about in the past IDEXX pay is fully certified for software and security all pre certified today by Mastercard and soon to be pre certified also by visa.

Vincent Graziani: This means that our card manufacturing partners only need to go through the card structural integrity part of the certification in order to get their LOAs. And we anticipate that in the first half of the year, several more card manufacturers will soon be coming out and announcing their own LOAs. We have the first manufacturer in Europe already certified with IDEX-PAY, and as previously announced, they were able to get that certification in LOA in record time thanks to the pre-certification of our IDEX solution. And then our visa certification is in progress. We're working closely with visa on this and anticipate to have that certification completed sometime in the first half of 2024.

This means that our card manufacturing partners only need to go through the card structural integrity part of the certification in order to get their L. O as and we anticipate in the first half of the year. Several more car manufacturers will soon be coming out and announcing their own loa's.

We have the first manufacturer in Europe already certified with IDEXX pay and as previously announced they were able to get that certification in L. O E. In record time, thanks to the pre certification of our IDEXX solution.

And then our visa certification is in progress we're working closely with visa on this and anticipate to have that certification complete sometime in the first half of 2024.

Now, let's go into the fourth quarter financial summary.

Vincent Graziani: Now let's go into the fourth quarter financial summary. Fourth quarter revenues were down from the prior quarter as we're in the process of transitioning our business from our legacy components customers to selling the full solutions for IdexPay and IdexAccess. This transition is happening, and we're seeing an impact of that also in our margins. First, let's talk about the quarter itself.

Fourth quarter revenues were down from the prior quarter as we're in the process of transitioning our business from our legacy components customers to selling the full solutions for IDEXX pay an IDEXX access.

This transition is happening and we're seeing an impact of that also in our margins, let's talk about first on the quarter itself. We had negative gross margins total but that was the result of one time inventory write offs of some of our old legacy products.

Vincent Graziani: We had negative gross margins total, but that was the result of one-time inventory write-offs of some of our old legacy products that we still had in inventory. So we're getting those products off the books. Excluding these one-time write-offs, our margins actually grew to 44% for the fourth quarter.

Yet we still had an inventory so we're getting those products and that inventory off the books. Excluding these one time write offs our margins actually grew to 44% for the fourth quarter. This is an improvement that demonstrates that our approach of selling the complete solution is also going to improve our margins over time are operating.

Vincent Graziani: This is an improvement that demonstrates that our approach of selling a complete solution is also going to improve our margins over time. Our operating expenses decreased by 33% compared to the prior quarter, and this is in line with previously announced actions that we have taken to right-size the business and lower operating expenses. We continue to focus on this and look for operating efficiencies, and you'll see these numbers continue to come down over the coming quarters. During the quarter, we did complete a capital raise of $35 million NOC and a convertible debt offering of $100 million NOC. Our goal here was to minimize dilution for our shareholders and get access to the capital we needed to continue to run the business. Both of those were successfully completed by the end of the fourth quarter and met all of our expectations there. So now we're going to move over to the fourth quarter commercial update, and I will turn it over to Katarina to walk you through the commercial update portion of the presentation. Okay Kat?

Expenses decreased by 33% compared to the prior quarter and this is in line with previously announced actions that we had taken to right size the business and lower the operating expenses. We continue to focus on this and look for operating efficiencies and Youll see these numbers continue to come down over the coming quarters.

During the quarter, we did complete a capital raise of 35 million knock and a convertible debt offering of 100 million knock our goal here was to minimize dilution for our shareholders and get access to the capital we needed to continue to run the business.

Both of those were successfully completed by the end of the fourth quarter and.

Met all of our expectations. There. So now we're going to move over to the fourth quarter commercial update and I will turn it over to Curt Arena to walk you through the commercial update portion of the presentation.

<unk>.

Katarina: Thank you, Vince. So just as a reminder to everyone, our business model is still based on three different solutions that we take to market. So, as you heard Vin say, we do have our biometric sensor that our legacy customers are using. We are also commercializing the biometric system solution, which includes both the sensor and the algorithm. And this second product is mostly sold out to our Asian customers.

Thank you Vince I'm. So just as a reminder to everyone. Our business model is still based on on two different solutions that we take to market. So as you heard <unk> say, we do have our biometric sensor that.

That we have our legacy customers taking.

We are also commercializing the biometric system solution, which contains both the sensor and the algorithm and the second product is mostly sold out to our Asian customers and then we have our biometric card platform. The IDEXX pay focused on the payment and the banking sector and IDEXX acts.

Katarina: And then we have our biometric card platform, Idex Pay, focused on the payment and banking sectors, and Idex Access Platform, which is focused on the authentication space. The way we take these solutions to market, we have four different channels that we work with. So, the first one and the most important one is our manufacturing. The second one is our ecosystem partners, so these are processors, mainly integrators.

This platform, which is focused on the authentication space. The way we take these solutions to market. We have four different channels that we work with so the first one and the most important one is our manufacturer.

Second one is our ecosystem partners are so these are processors, mainly integrators are and then we have resellers in specific dedicated market.

Katarina: And then we have resellers in specific dedicated markets. We focus geographically, just to remind everyone, we focus on Asia as our prime Set and key markets in Europe for payments, and for access markets, we have a global focus. The three sectors that we are concentrating on are banking and payment, public and private services, and government and enterprise security. As Finn said, Idex is currently in commercialization with 20 plus manufacturers and partners, and we have a healthy growth of new customers. So, as you can see, looking at the map of our customers, we are expanding heavily in Asia, but we have also added key geographies such as the Middle East and also India during the fourth quarter. So we have added places like KL Hitech, which is one of the largest manufacturers in India. We have added Toppan Gravity, which is a well-renowned manufacturer in the Middle East and is also linked to the Japanese mother company Toppan in Japan.

We focus on geographically just to remind everyone. We focus on Asia as our prime Seth and key markets in Europe for the payments and and for access markets, we have a global focus.

The three sectors that we are concentrating on banking and payment public and private services and government and enterprise security.

As been said IDEXX is currently commercialization with 20, plus manufacturers and partners and we have a healthy growth of new customers.

As you can see looking at the map of our customers. We are expanding heavily in Asia, but we have also added key geographies such as the middle East.

And also India during the fourth quarter. So we have added play snake K in Hy Tech because one of the largest manufacturers in India. We have added top on gravity.

Isn't it.

Well renowned manufacture in middle East, which is also linked to the Japanese mother company took on in Japan.

Katarina: And if we look at the growth, so over the year on year growth, we've moved from 15 to almost 28 customers in 23. And all of these manufacturers together today represent a time of total addressable markets, which represents 1.2 billion cards. The other thing that is very important that happened during the fourth quarter is that the regulatory environment and industry standardization have both increased pressure on and accelerated. The payment service directive has come into effect.

If we look at the gross so over the year year on year growth, we've moved from 15.

To almost 28 customers are doing 23.

And all of these manufacturers together today represents a total addressable market, which represents one point to being in college.

The other thing that is very important that has happened during the fourth quarter is that the regulatory environment in the industry standardization has both increased pressure and accelerated.

The payment services directive has come into effect and so there are strong pressure on banks to bring out.

Katarina: So there is strong pressure on banks to bring out Accessible Payment Vehicles, further to be enhanced during 2025, and the NIS2 Directive. It's a security directive coming out for enterprises on how to protect their assets and their employees, and I will cover that a little bit later.

Accessible payment vehicles, but it should be enhanced during 2025.

And the nice two directive, it's a security directive coming out for enterprises, how to protect their assets and ramping is and I will cover that a little bit.

Katarina: And the other act of coming into operation is the DORA, so the Digital Operational Resilience Act, also exercising and demanding enterprises to level up their security services. When we look at industry standardization, the main thing that happened during Q4 is that EMVICO, the standardization body for payments, which is global, put biometrics on the agenda and the first initiatives to standardize biometrics globally above MasterCard and Visa. Because, as you know, there are several more payment schemes that are interested in deploying biometrics, and EMVICO setting the framework enables both certification to be faster, more economical, and streamlined, but, foremost, also the consumer experience to be streamlined across all schemes. And the other thing that we're seeing is that FIDO is becoming deployed in two countries that are front runners here for national deployment, Japan and Taiwan.

Nature and the other assets coming to operation as the door. So the digital operation and Resilience Act also exercising and demanding the enterprises.

To level up their security services.

We look at the industry standardization. The main thing that happened during Q4 is that M. D code to standardization body for payments, which are global.

<unk> put biometrics on the agenda and the first initiatives to standardize biometrics globally above Mastercard and visa because as you know there are several more payment schemes that are interested in deploying biometrics and E&E equal setting the framework enables both certification to be faster more economical.

Streamlined, but foremost also the consumer experience to be streamlined across all schemes and the other thing that we're seeing is that fido is becoming deployed in two countries that are front runners here for national deployment is Japan and Taiwan.

If we look at what are we down in IDEXX to actually drive the market. When it's been said the key thing is to actually ensure that the bank's has a full suite of enrollment solutions. So that'd be the activation or biometric Cox follows the bank processes that they deploy today so.

Katarina: If we look at what we have done in Idex to actually drive the market, well, as Vin said, the key thing is to actually ensure that the banks have a full suite of enrollment solutions so that the activation of biometric cards follows the bank processes that they deploy today. So Idex has put to market an iOS mobile application. We have also introduced an Android solution that we call ActivationPad.

IDEXX has put to market iOS mobile application. We have also introduced a an android solution that we call activation pad. We have also worked significantly on cost optimization, both for manufacturers streamlining the card manufacturing processes and ensuring together that we come out.

Katarina: We have also worked significantly on cost optimization, both for manufacturers, streamlining the card manufacturing processes and ensuring together that we come out with a card product that is as cost efficient as possible. The other key thing that we have spent a significant amount of time on is launching our metal cards into production with three manufacturers. And this is really the wedge into biometrics, starting with the affluent and high network customer segments of banks. As you've seen, we have deployed this first in Asia.

With a card product that is as cost efficient as possible.

The other key thing that we have spent a significant amount of time on is launching our metal cards are into.

<unk> with three manufacturers and this is really that the wedge into biometric stocking with the affluent and high network customer segments of banks as you've seen we have deployed this first out in Asia.

Katarina: The other thing that's coming into the market with IDEX is actually using the combination of a mobile phone. So the communication is steered through the banking and mobile app. So when one uses the mobile phone, they get communication and affirmation confirmation that the transaction has happened, where and when, which is a natural link.

The other thing that's coming into market with IDEXX is actually using the combination of a mobile phone. So the communication is S D edge to the banking and mobile up so when one uses the mobile so you'll get communication and affirmation and confirmation that that transaction has happened where and when we can say.

It's a natural linking and we see banks appreciate and to have the strong linkage between mobile and the biometric card.

Katarina: And we see banks appreciating having the strong linkage between mobile and the biometric card. Lastly, just for everyone to understand what we have in the market today. So, as I said, we're rolling out the metal cards on our plastic cards; they are based on recycled PVC.

Lastly, and just for everyone to understand what life is having market today. So I said, we're rolling out the metal cards and are on our plastic cards. They are based on recycled PTC IDEXX issues cards, together with banks and manufacturers across a debit credit prepaid and corporate costs all.

Katarina: Idex issues cards together with banks and manufacturers across debit, credit, prepaid, and corporate cards, all segments to enable banks to enforce biometrics and put it where their segments see best fit. And lastly, in Bangladesh with EBL, which is the leading innovator bank in Bangladesh. We are very happy to announce that EBL is taking the charge of bringing biometrics to Bangladesh, and it has caused a lot of excitement and many customers awaiting this card. The core reasons for EBL to launch are that it brings them differentiation and is very focused on their high-end customers. So as they travel, look for fewer declines.

Segments to enable banks to enforce biometrics and put it where their segments.

See best fit.

And lastly.

In Bangladesh with E band, which is D, leading innovator bank in Bangladesh and very happy to announce that <unk> is taking the charge of bringing biometrics to Bangladesh and it has caused a lot of excitement and many customers are waiting this card.

Corey sensory band to launch this it brings them differentiation and very focused on their high end customers. So as they traveled look for less declines.

Katarina: Customers are demanding secure cross-border payments. The ambition is to drive top of wallet and, of course, by that, it will result in customer loyalty. So exciting news as this gets into the market.

<unk> are demanding secure cross border payments.

The ambition is to drive top of wallet and of course by that and that it renders customer loyalty. So.

Citing news as this gets into market.

Katarina: Now, as it comes to our access and authentication product. Today, globally, cybersecurity represents over $10 trillion, with McKinsey forecasting double-digit growth over to 2025. Therefore, today we see 90% of enterprises implementing a zero-trust strategy as a framework to combat this threat.

Now as it comes to to our access and authentication products today globally cyber security represents over 10 trillion.

Mackenzie forecasting a double digit growth over there over to 2025. Therefore today, we see 90% of the enterprises implementing zero trust strategy as frameworks to combat. These threats. So access management is becoming a top priority for these enterprises and fuel.

Katarina: So access management is becoming a top priority for these enterprises, and few will buy some key trends. So first of all, you all know, cyber crimes and methods are becoming more sophisticated. It's pressuring enterprises to raise the bar because of the increasing dependency on online collaboration. So all enterprises are dealing with collaboration between employees, contractors, suppliers, and customers, and this requires enterprises to be extremely diligent about who can access what. And the last key thing that has happened since COVID is, of course, the hybrid work model. So the right people can access the right system no matter where they are outside or within the firewall.

By some key trends. So first of all you all know cyber crimes are methods are becoming more sophisticated is pressuring the enterprises to raise the bar the increasing dependency on online collaborations. So all enterprises are dealing with collaboration between employees contractors.

Suppliers and customers and this requires enterprises to be extremely diligent in who can access what and the last key thing that has happened since COVID-19 is of course hybrid work more than so right people can access the right system no matter, where they are outside or within the firewall.

Katarina: So this is driving the global market for multi-factor authentication. And it is becoming a standard, a de facto standard. And with that, as Idex operates globally, when we meet our market partners, we see that biometric authentication is the only way to secure that user credentials are not shared.

So this is driving the global market to multi factor authentication and it is becoming a standard a de facto standard.

And with that as IDEXX operates globally, when we meet to our market partners. We see that biometric authentication is the only way to secure that user credentials are not shed.

Katarina: And biometric access should be decentralized. And in conclusion, physical access is as important as online access to the enterprise, and our partners Sentry, eSignus, and partners out in Asia are all enabling Microsoft, Apple, and Google compatibility. For crypto, we are now enabling Ethereum and Bitcoin. And, as Vin said, we've launched in one of the most proponent markets for Fido, Japan, with Authentrend, with strong interest from corporate clients in Japan.

And biometric access should be decentralized and in conclusion physical access is as important as online access to enterprises.

And our partners century E Cygnus and partners out in Asia are all enabling the Microsoft Apple Google compatibility.

For crypto, we are now, enabling a theory and bitcoin.

And as Dean said, we've launched are in one of the most proponent markets for Phyto, Japan with authentic trend with strong interests from corporate clients and in Japan.

Katarina: Market Outlook. Well, in short, the payment market for metal cards is growing at plus 24%, and the PVC market is growing at 35%.

Market outlook.

Well in short the part the payments market for metal cards is growing at plus 24% and the mm PVC market is growing at the 75%.

Katarina: We still see financial and digital inclusion as a key global priority, and you will hear this being proclaimed by governments around the ESG agenda. And there are still today 1.4 billion unbanked.

We still see a financial and digital inclusion as a key global priority in and you will hear this being pronounced by governments around the ESG agenda and there is still today $1 4 billion Unbanked.

Katarina: And the forecast that we have is that there will be around 40 million cards by 2028. So that's the growth figures that we have. And that's fueled then by these different initiatives. So both banks are rolling out stronger regulatory enforcement and standardization. And the other key driver, as we talked about just before, is that the digital ID market is also forecasted to grow for different applications at a very strong pace. Finally, an important part of 2024's agenda is really looking at ESG and both across companies like Mastercard and BBC News all over the world. The notion of digital exclusion is becoming top of the agenda, foremost by the European Union means to actually ensure that people who have disabilities need to be able to pay with other means than mobile or in combination with mobile. So driving accessible payments for elderly, visually, memory impaired, and digitally excluded people is becoming something that's now regulated on agendas for governments, and Idex is very much at the forefront and will be driving, you will hear more about our initiatives on

The forecast that we have is that there would be around 40 million cards by 2028. So that's the gross figures we have and that's you will then buy by these different initiatives. So both banks rolling out stronger regulatory enforcement and standardization.

And the other key driver as we talked about just before is that the digital I D. Market is also forecasted to grow for different applications at the very strong pace.

Yeah.

Finally are an important part of our 2020 force agenda is really off of looking at our ESG and both across companies like Mastercard and BBC news.

All over the world the <unk> the notion of digital exclusion Ah is becoming top of the agenda foremost by European Union.

It means to actually ensure that people.

Who have disabilities needs to be able to pay with other means than mobile or in combination with mobile.

So driving accessible payments for elevation in memory and Pat and they get excluded is becoming something that's not regulated on an agenda for governments and IDEXX is very much at the forefront and we'd be driving you will have more on our initiatives in this.

Katarina: Analysis Conclusion. Idex today is actually deployed across a range of different markets. So, as you all know, we do payments, we have just introduced cyber and digital access. We do the digital currency central bank in Asia Pacific, we do public transportation, and we're just in the cusp of rolling out health care programs, and government security has just been implemented. And each market represents its own very large opportunity for both the partners and Idex. Vince, over to you.

And as this conclusion.

IDEXX today is actually deploying across a range of different markets. So as you. All know we do payments, we have just introduced cyber and digital access.

We do dig into digital currency Central Bank in Asia Pacific, We do public transportation and we're just in the in the cusp of Rolling out Health care program and government security has just been implemented in each market represents its own a very knowledgeable.

<unk> for both the partners and IDEXX.

Vince over to you.

Vincent Graziani: Thank you, Kat. And great, great job. Great summary there. And then we'll sum it all up here as well.

Thank you Kat and a great great job, Great summary, there and let's sum it all up here as well so at IDEXX, we see ourselves as enabling the future of payments and authentication.

Vincent Graziani: So at Idex, we see ourselves as enabling the future of payments and authentication. As Kat just pointed out on the last slide, it's a multi-billion dollar market opportunity. It's just huge across many applications, and we are executing on our strategy, which includes complete solutions for both banks and car manufacturers to drive market adoption. And the second part of our strategy is to open up markets region by region and segment by segment. So this focused marketing approach is really working for us and is really paying off. And further, we now see ourselves, as Kat just showed in the last slide, expanding the use cases for biometric smart cards into other markets and other market opportunities. So with that, we'll summarize and thank you all for joining us for our fourth quarter presentation and look forward to talking to you again in the next quarter. Thank you very much, and others. Be safe. Be well.

As catches pointed out on the last slide it's a multibillion dollar market opportunity, it's just huge across many applications.

And we're executing on our strategy, which includes complete solutions for both banks and car manufacturers to drive market adoption.

And our our second part of our strategy is to open up markets.

Region by region and segment by segment. So this focused marketing approach is really working for us and really paying off.

And further we now see ourselves as catcher showed in the last slide as well expanding the use cases for biometric smartcards into other markets and other market opportunities. So the market opportunity just continues to grow.

So with that we'll summarize in thank you all for joining our fourth quarter presentation, and I look forward to talking to you again in the next quarter.

Thank you very much.

Unknown Executive: Be unique. Be unique. Be unique. Be unique.

Yeah.

Okay.