Q4 2023 SIGA Technologies Inc Earnings Call
The conference is now being recorded.
Yes.
[music].
Well Ken.
Seeger business update call.
Before we turn the call over to senior management. Please note that any forward looking statements major win just call are based on management's current expectations and observations and are subject to risks and uncertainties that could cause actual results to differ from the forward looking statements.
Welcome to the Sika business update call.
I'll return the call over to senior management.
Please note that any forward looking statements made during this call.
<unk> does not undertake any obligation to update publicly any forward looking statement to reflect events or changed circumstances. After this call.
Based on management's current expectations and observations and are subject to risks and uncertainties that could cause actual results to differ from the forward looking statements.
For a discussion of factors that could cause results to differ.
Please see the company's filings with the Securities and Exchange Commission.
CECO does not undertake any obligation to update publicly any forward looking statement to reflect events or changed circumstances. After this call.
Adding without limitation the company's annual report on Form 10-K for the year ended December 31, 2023, and its subsequent reports on Form 10-Q and form 8-K.
For a discussion of factors that could cause results to differ please see the company's filings with the Securities and Exchange Commission, including without limitation. The company's annual report on Form 10-K, or the year ended December 31 2023.
I will now hand, the call over to <unk> CEO of Seeger. Please go ahead.
Good afternoon, everyone and thank you for joining today's call and review of our business results for the fourth quarter and full year of 2023.
And its subsequent reports on Form 10-Q and form 8-K.
I will now hand, the call over to Zack <unk>.
I am joined by Dan <unk>, our Chief Financial Officer, and we're pleased to have this opportunity to provide an update to our shareholders.
CEO of Sika. Please go ahead.
Good afternoon, everyone and thank you for joining today's call and review of our business results for the fourth quarter and full year of 2023, I am joined by Dan <unk>, Our Chief Financial Officer, and we're pleased to have this opportunity to provide an update to our shareholders.
After the update we will be happy to answer any of your questions.
I'd like to begin by recognizing the work and contributions are still Gomez, who served as <unk> CEO for the seven years.
Bill was instrumental in transforming our company into a more commercial organization with sales in over 25 countries and securing key regulatory approvals for IP box franchise.
After the update will be happy to answer any of your questions.
I'd like to begin by recognizing the work and contributions are still go merge.
Served as big as CEO for the seven years.
On behalf of our team I want to thank Phil for his many contributions to making sure you get a strong company. It is today.
Bill was instrumental in transforming our company into a more commercial organization with sales in over 25 countries and securing key regulatory approvals for RFP box franchise.
On a personal note I am excited to join Zynga and take on the wall CEO having.
On behalf of our team I want to thank Phil for his many contributions to making sure you get a strong company. It is today.
Having spent nearly three decades focus on addressing unmet needs in health care I look forward to building on CSS and.
On a personal note I'm excited to join Seeger and take on the role of CEO.
And driving greater growth for the benefit of our patients customers and shareholders.
Having spent nearly three decades focus on addressing unmet needs in health care I look forward to building on CSS and.
I have a deep seated passion for scientific advancement and innovation as well as an extensive experience leading successful multibillion dollar commercial organizations.
And driving greater growth for the benefit of our patients customers and shareholders.
Extremely excited to leverage that experience to help fulfill figures potential and have our central therapies available worldwide.
I have a deep seated passion for scientific advancement and innovation as well as an extensive experience leading successful multibillion dollar commercial organization.
Although this is only my sixth week with the company I'm pleased to share my belief in <unk> bright future.
Extremely excited to leverage that experience to help fulfill figures potential and have our central therapies available worldwide.
This belief has been grounded for the fall.
First she has strong business fundamentals. It is a highly profitable company with a management team that has it.
Although this is only my sixth week with the company I'm pleased to share my belief in <unk> bright future.
Deep expertise in commercial activity.
This belief has been grounded for the following.
Anti viral R&D.
First it has strong business fundamentals. It is a highly profitable company with a management team that has.
And government relations.
And the company has built and maintained a fully integrated U S based operational supply chain.
Deep expertise in commercial activity.
This is a distinguishing asset for our customers.
Anti viral R&D.
And government relations.
Second T. Pax is our foundational product franchise that has a track record of securing multiyear government contracts.
And the company has built and maintained a fully integrated U S based operational supply chain.
This is a distinguishing asset for our customers.
Which have totaled over 1 billion in the past 10 years.
Second <unk> is a foundational product franchise that has a track record of securing multiyear government contracts.
Again this is a point of distinction it speaks to the significant value of T. PA.
Third figure out has achieved best in class financial performance.
Which have totaled over $1 billion in the past 10 years.
Our average annual pretax operating income over the past four years has been $75 million.
Again this is a point of distinction it speaks to the significant value of T Park.
These results have been achieved while maintaining a strong balance sheet.
Third <unk> has achieved best in class financial performance.
Fourth so you gotta has attractive growth opportunities.
Our average annual pretax operating income over the past four years has been $75 million.
Let me just mentioned a few.
In the near term Sika has the potential to expand the indications of cheap Pax include post exposure prophylaxis, which we like to call Pep and park.
These results had been achieved while maintaining a strong balance sheet.
Fourth sika has attractive growth opportunities.
Let me just mention a few.
I'll provide an update on these programs a little later in these remarks.
In the near term Sika has the potential to expand the indications of <unk> to include post exposure prophylaxis, which we like to call Pat and pox.
Also in the near term Sika has the opportunity to expand geographically and work with governments across the world to fully embraced stockpiling and preparedness for a full range of Orthopoxvirus risks.
I'll provide an update on these programs a little later in these remarks.
Also in the near term Sika has the opportunity to expand geographically and work with governments across the world to fully embraced stockpiling and preparedness for a full range of or the pox virus spread.
We want to ensure government have a modernized view of the risks and.
And the tools for protection against the or the pox viruses.
And thinking more broadly Vega has strong anti viral in government procurement capabilities.
We want to ensure governments have a modernized view of the risks and the tools for protection against the or the pox viruses.
Believe these capabilities are best in class.
That we can leverage to move into complementary therapeutic areas with similar points of patient care.
And thinking more broadly Vega has strong anti viral in government procurement capabilities.
Importantly, all of this has reinforced T Pax leadership among infectious disease countermeasures.
We believe these capabilities are best in class.
That we can leverage to move into complementary therapeutic areas with similar points of patient care.
So you get the expertise and experience of commercial execution.
R&D innovation and government contracting enables us to support the highest level of public and individuals' safety.
Importantly, all of this has reinforced <unk> pox leadership among infectious disease countermeasures.
Figures expertise and experience of commercial execution.
As a result of these four critical factors I believe seagate is well positioned for further innovation.
R&D innovation and government contracting enables us to support the highest level of public and individuals' safety.
<unk> business performance and attractive value creation for our shareholders.
As a result of these four critical factors I believe they get is well positioned for further innovation.
Now turning to our financial results I am very pleased to report that we finished the year strong.
<unk> business performance and attractive value equation for our shareholders.
Full year 2023 product revenues of 131 billion are the highest amounts achieved over the past five years.
Now turning to our financial results I am very pleased to report that we finished the year strong.
This reflects a 51% increase over 2022.
Full year 2023 product revenues of 131 billion are the highest amounts achieved over the past five years.
Approximately $116 million of a full year product revenues were achieved in the fourth quarter coming from a diversity of sources.
This reflects a 51% increase over 2022.
Including those U S strategic national stockpile or the SNS.
Approximately 116 billion of a full year product revenues were achieved in the fourth quarter coming from a diversity of sources.
The U S Department of defense and five international government.
Pretax operating income was approximately $84 million in 2023.
Including those U S strategic national stockpile or the SMS.
96% increase over 2022.
The U S Department of defense and five international governments.
This is a testament to the strength of the sika team the value of our franchise.
Pre tax operating income was approximately $84 million in 2023.
Millions of our company.
Dan will provide more details on these results shortly.
And 96% increase over 2022.
Additionally, in 2023, we spent 43 million on capital management through a combination of special cash dividend and share buyback.
This is a testament to the strength of the Sega team the value of our franchise and the resilience of our company.
Dan will provide more details on these results shortly.
And I'm pleased to announce that our board of directors has declared a special dividend of 60 cents per share to pay paid in April. This represents a 33% increase over the special dividend we paid in June of 2023.
Additionally, in 2023, we spent 43 million on capital management through a combination of a special cash dividend and share buyback.
And I am pleased to announce that our board of directors has declared a special dividend of <unk> 60 per share to pay paid in April. This represents a 33% increase over the special dividend we paid in June of 2023.
This demonstrates the financial upgrades of our company and the confidence the board of the management team have in our feature.
Our proven track record coupled with the potential of a new long term contract with the us isn't it.
Demonstrates the financial upgrades of our company and the confidence the board of the management team have in our feature.
Provides both a compelling and attractive backdrop for our company in both the short and longer term.
Our proven track record coupled with the potential of a new long term contract with us in that.
Looking forward, we plan on continuing to invest to grow our business.
While maintaining a balanced and disciplined capital allocation approach.
Both are compelling and attractive backdrop for our company in both the short and longer term.
With the goal of delivering strong long term revenues and earnings growth and creating value for our shareholders.
Looking forward, we plan on continuing to invest to grow our business.
While maintaining a balanced and disciplined capital allocation approach.
Yeah.
And now I would like to talk about Pep and <unk> programs.
With the goal of delivering strong long term revenues and earnings growth.
With regard to pet I will start by recapping what was reported on the last investor call.
And creating value for our shareholders.
Based on the studies and trials that have been conducted.
And now I would like to talk about Pep and <unk> programs.
We believe T PA benefit patients in a prophylactic situations.
With regard to pet I will start by recapping what was reported on the last investor call.
The FDA has not asked for any additional studies to prove the efficacy of tape Pax for pets.
Based on the studies and trials that have been conducted.
But has asked for extended safety data in humans for treatment for 28 days.
We believe T PA benefits patients and a prophylactic situations.
The FDA has not asked for any additional studies to prove the efficacy of T Pax for pets.
We have completed this requirement and the data is consistent with prior safety study. It is important to emphasize the clinical trial results do not show any drug related serious adverse events.
But has asked for extended safety data in humans for treatment for 28 days.
We have completed this requirement and the data is consistent with prior safety study.
Consistent with T Pax existing strong safety profile.
In addition to the safety trial, we have completed a Jennie O T. Pax immunogenicity trials solely to evaluate if T. Pax has an impact on the vaccine immune response.
It's important to emphasize the clinical trial results do not show any drug related serious adverse events.
Consistent with two pox existing strong safety profile.
In addition to the safety trial, we have completed a Jennie O T path immunogenicity trials slowly to evaluate its teeth pox.
Because in the event of an outbreak he pause treatment would likely it could be used in combination with a smallpox vaccine.
Yeah.
In the preliminary analysis of the data from the Immunogenicity trial consistent with what we expected the results did not show a meaningful difference between the immunogenicity of those who receive the genius vaccines, while on placebo compared to those that received the genius vaccine while on T Park.
Has an impact on the vaccine immune response.
Because in the event of an outbreak key paths treatment would likely it could be used in combination with our smallpox vaccine.
In the preliminary analysis of the data from the Immunogenicity trial consistent with what we expected the results did not show a meaningful difference between the Immunogenicity of those who received the genius vaccines while on placebo.
However, as mentioned previously the results indicated that the number of volunteers, who had measurable immune response to the Geneva as vaccine.
Pair to those that received the genius vaccine while on <unk> Park.
Both the placebo and T Pax groups was lower than expected.
However, as mentioned previously the results indicated that the number of volunteers, who had measurable immune response to the genius vaccine.
Given this result, the data being difficult to assess for the non inferior statistical determination.
Which was necessary for the primary endpoint as originally planned in this study.
Both the placebo and T Pax groups was lower than expected.
On the last Investor call. We also reported that a subset of the Ginnie of anti Pax samples from the Immunogenicity trial were sent to our colleagues at the C. D C who performed they're validated print analysis on them.
Given this result, the data being difficult to assess for the non inferior statistical determination.
Which was necessary for the primary endpoint as originally planned in this study.
On the last Investor call. We also reported that a subset of the Ginnie of Antifog samples from the Immunogenicity trial were sent to our colleagues at the CDC, who performed they're validated print analysis on them.
These samples shows the expected immune responses.
As such we are now working on getting the entire set of the samples realized given the challenges associated with a prior analysis conducted by our CRO vendor.
These samples shows the expected immune responses.
We believe these preliminary C. D C analyses provide a potential path forward. Despite the unexpected nature of the prior results.
As such we are now working on getting the entire set of samples realized given the challenges associated with a prior analysis conducted by our CRO vendor.
As such in parallel we are working towards a supplemental NDA submission within the next 12 months.
We believe these preliminary CDC analyses provide a potential path forward. Despite the unexpected nature of the prior results.
We are grateful to our colleagues at the C. D C for this collaboration and efficient path forward.
We believe this is the best course of action in terms of getting timely data from the Immunogenicity trial.
As such in parallel we are working towards a supplemental NDA submission within the next 12 months.
The FDA agrees as they had been briefed on our plan and have not voice any objections.
We are grateful to our colleagues at the C. D C for this collaboration and efficient path for us.
We believe this is the best course of action in terms of getting timely data from the Immunogenicity trial.
But as a final comment on the pet program I want to emphasize that the Immunogenicity analysis.
The FDA agreed as they have embraced our plan and have not void any objections.
Not about the efficacy or safety of T Park.
Nor are they about <unk> impact on those individuals who are showing an immune response.
But as a final comment on the pet program I want to emphasize that the Immunogenicity analysis.
Rather the relevance of the Immunogenicity study is that in the case of an ortho pox virus epidemic.
Not about the efficacy or safety of T pox.
Or are they about <unk> impact on those individuals who are showing an immune response.
See it impact or small park.
Youth is T Pax with a vaccine for pet will be important to reduce the morbidity and mortality of the population without sacrificing patient safety.
Rather the relevance of the Immunogenicity study is that in the case of an ortho pox virus epidemic.
Be it <unk> or small park.
Now I would like to shift gears and provide a quick update on the current impact trials.
Youth is T Pax with a vaccine for pets will be important to reduce the morbidity and mortality of the population without sacrificing patient safety.
Baldwin Chief Pocked with include four randomized controlled trials.
As well as multiple observational studies.
Now I would like to shift gears and provide a quick update on the current impact trials.
These studies continue to enroll patients and collect data.
To provide some specific data points.
Baldwin Chief Pax, which include four randomized controlled trials.
Okay.
In Africa as of February the NAIAD Palm trial being conducted in the DRC has enrolled approximately 425 patients.
Well multiple observational studies.
These studies continue to enroll patients and collect data.
To provide some specific data points.
A large increase from the 314 patients noted in our last call.
In Africa as of February the NAIAD Palm trial.
And then I had stopped trial as of February there were 267 patients, which is also a substantial increase from the 157 patient noted on our last call.
Being conducted in the DRC has enrolled approximately 425 patients.
A large increase from the 314 patients noted in our last call.
And then I had stopped trial as of February there were 267 patients, which is also a substantial increase from the 157 patients noted on our last call.
These increases in patient numbers demonstrate that the case counts continue to accumulate especially in Africa.
Importantly, they also provided go live.
Some would say a warning.
These increases in patient numbers demonstrate that the case counts continue to accumulate especially in Africa.
Into the overall global health risks posed by Orthopoxvirus disease.
As such we are working closely with the NIH and other health agencies.
Importantly, they also provided to live.
On randomized clinical trials to demonstrate where they're cheap pockets of safe and effective for treating impasse in Africa. The U S and other parts of the world to achieve the best possible outcome for <unk> patients from a public health perspective.
Some would say a warning.
Into the overall global health risks posed by Orthopoxvirus.
As such we are working closely with the NIH and other health agencies.
On randomized clinical trials to demonstrate where they're cheap Pax is safe and effective for treating impasse in Africa. The U S and other parts of the world to achieve the best possible outcome for Amdocs patients from a public health perspective.
I would like to remind however, T. Pax is approved for smallpox and park cowpox and the Affinia complications in Europe, and then the U K.
At this point I would like to turn the call over to Dan for the financial update.
I would like to remind however, T. Pax is approved for smallpox and park cowpox and extending our complications in Europe and then the U K.
Thanks, Jim.
As noted earlier on the call.
At this point I would like to turn the call over to Dan for the financial update.
Strong performance was represented in 2023.
Sales for the 12 months ended December 31 2023.
$31 million.
Thanks, Jim.
This is the highest amount achieved over the past five years.
As noted earlier on the call <unk> strong performance is represented in 2023.
This reflects a 51% increase over 2022.
Sales for the 12 months ended December 31 2023.
$116 million of the full year product sales were achieved in the fourth quarter.
$31 million.
Which is the highest amount achieved over the past five years.
Coming from a diversity of sources.
Including in the U S strategic National Stockpile U S Department of defense and five international governments.
This reflects a 51% increase over 2022.
$116 million of the full year product sales were achieved in the fourth quarter.
Fourth quarter product sales include.
S net product sales of $98 million for the delivery of royalty box.
Coming from the diversity of sources.
Including in the U S strategic National Stockpile U S Department of defense and international governments.
$6 million won't keep ourselves to the U S Department of defense.
$12 million of international all coupons.
Fourth quarter product sales include.
Net product sales of $98 million for the delivery of all acute box.
First of which relates to orders under her contract announced in October 2023.
$6 million warranty parts sales to the U S Department of defense.
I would like to add that the process of product deliveries under existing orders.
$12 million of international royalty parks.
Which started in the fourth quarter of 2023.
First of which relates to orders under her contract announced in October 2023.
<unk> in the first two months of 2024.
With approximately $15 million that delivers a royalty pox two the SNS.
I would like to add that the process of product deliveries under existing orders.
And approximately $7 million of international deliveries wont G box.
Which started in the fourth quarter of 2023.
In the first two months of 2024.
Pretax operating income.
With approximately $15 million of delivers of loyalty to the SNS.
Which excludes interest income and taxes.
It was approximately $84 million for 2023.
And approximately $7 million of international deliveries wont G box.
This represents an increase of 96% over the corresponding 2022 amounts.
Pretax operating income.
<unk>, which excludes interest income and taxes.
Viking.
Pre tax operating income for the past four years, a time period of 2020 to 2023.
It was approximately $84 million for 2023.
This represents an increase of 96% over the corresponding 2022.
$75 million.
We believe this average.
Right.
2023 financial results highlight the robust earnings power and Sega.
Pre tax operating income for the past four years, a time period of 2020 to 2023.
Continuing the strong performance net income for 2023 was $68 million.
$75 million.
We believe this average.
2023 financial results highlight the robust earnings power and Sega.
Kris of approximately a 100%.
The corresponding amount in 2022.
In turn fully diluted income per share for 2023 95 cents.
Continuing the strong performance net income for 2023 was $68 million.
Versus 46 and 2022.
<unk> of approximately a 100%.
At December 31, 2023 <unk>.
From the corresponding amount in 2022.
In turn fully diluted income per share for 2023 95 cents.
The company maintained a strong balance sheet.
Our cash balance of approximately $150 million and no debt.
Versus 46% in 2022.
In 2023, so you could spend approximately $43 million in capital imagined.
At December 31, 2023 <unk>.
The company maintained a strong balance sheet.
With a special cash dividend of approximately $32 million and.
Our cash balance of approximately $150 million and no debt.
And share repurchases of approximately $11 million.
In 2023 biggest spend approximately $43 million in capital management.
Earlier today.
<unk> declared a special cash dividend of <unk> 60 per share.
With a special cash dividend of approximately $32 million and.
Payable on April 11.
Shareholders of record after close of business on March 26.
And share repurchases of approximately $11 million.
Earlier today.
This concludes the financial update.
Probably has declared a special cash dividend of <unk> 60 per share.
At this point I will turn the call back to Sam.
Payable on April 11.
Okay.
Thank you Dan before I conclude our prepared remarks, I'd like to offer one more insight to my role as CEO.
Shareholders of record after close of business on March 26.
This concludes the financial update.
At this point I will turn the call back to Sam.
I am committed to creating shareholder value for our shareholders by doing what I believe is best in the long term interests of our company partners and patients.
Thank you Dan before I conclude our prepared remarks, I'd like to offer well.
One more insight to my role as CEO.
I am bringing a fresh perspective with a sense of urgency.
I am committed to creating shareholder value for our shareholders by doing what I believe is best in the long term interests of our company partners and patients.
Two our strategic planning.
Operational processes development effort and.
And capital allocation just to name a few.
I am bringing a fresh perspective with a sense of urgency.
You'll be hearing more from me in the coming months as our plans evolve and we leverage the progress and momentum from 2023 into 2024.
Through our strategic planning.
Operational processes development effort and.
And capital allocation just to name a few.
So in summary, our company is in an exciting and important launch moments as we strategically invest in our research and development programs.
You'll be hearing more from me in the coming months as our plans evolve and we leverage the progress and momentum from 2023 into 2024.
Expand geographically by broadening our partnerships with governments around the world.
So in summary, our company is in an exciting and important launched moment as we strategically invest in our research and development programs.
Leverage our anti viral experience and expertise to pursue attractive opportunities in other therapeutic areas with similar points of patient care.
Expand geographically by broadening our partnerships with governments around the world.
And continued initiatives that directly benefit our shareholders.
Leverage our anti viral experience and expertise to pursue attractive opportunities in other therapeutic areas with similar points of patient care.
Now I would like to open the call to Q&A.
Yeah.
Okay.
And continued initiatives that directly benefit our shareholders.
Thank you ladies and gentlemen, we will now begin the question and answer session should you have any question. Please press star followed by the one on you touched on phone.
Now I would like to open the call to Q&A.
Yeah.
You will hear a treat on prompt acknowledging your request questions will be taken in the order received should you wish to cancel your request. Please press the star followed by the channels.
Thank you ladies and gentlemen, we will now begin the question and answer session should you have any question. Please press the star followed by the one on you touched on pound you will hear outreach on prompt acknowledging your request questions will be taken in the order received.
You are using a speaker phone please lift your handset before pressing any case.
Once again that Istar wants you do wish to ask a question.
Should you wish to cancel your request. Please press the star followed by the channels. If you are using a speaker phone. Please lift the handset before pressing any case.
Yes.
Your first question is from Sea Romanoff from Edison Group. Please ask your question.
Great. Thank you for taking my questions and congratulations on the quarter, it's nice to see the healthy.
Once again that Istar once you do wish to ask a question.
Your first question is from <unk> Rama from Edison Group. Please ask your question.
Distribution Oh.
My first question was on oral T Pax delivery it looks like.
Great. Thank you for taking my questions and congratulations on the quarter, it's nice to see the healthy.
Well Mark the last deliveries under the 2018 contract with BARDA for oral <unk>.
Distribution.
My first question was on royalty Pax delivery it looks like.
Have we had any other further discussions with the government the U S government on possible extensions to the contract or new long term rolling SNS contract.
Well Mark the last deliveries under the 2018 contract with BARDA for oral <unk>.
Thank you Sue for the question.
Have we had any other further discussions with the government.
Want to share that we have maintained a continued as well as healthy dialogue with the U S government at.
S government on possible extensions to the contract or new long term rolling SNS contract.
At this time, we're targeting an RFP for SNF from the administration of strategic preparedness and response this year.
Thank you Sue for the question, we want to share that we have maintained a continued as well as healthy dialogue with the U S government.
Specifically, we're not in a position to point.
Or pinpoint the exact timing, but we do know that we're prepared to engage in any conversation and address any needs that they may have.
At this time, we're targeting an RFP for the SNF from the administration of strategic preparedness and response this year.
Thank you.
Specifically, we're not in a position to point.
My second question was really on right I mean that was a really big milestone for Sega and who is.
Or pinpoint the exact timing, but we do know that we're prepared to engage in any conversation and address any needs that they may have.
We've seen any incremental opportunities develop in the last few months, we saw that nice double.
Thank you.
My second question was really on <unk> I mean that was a really big milestone for Sega and it was.
Double digit million procurement deal that was already signed what kind of other sales potentials can we assume looking ahead.
Have we seen any incremental opportunities develop in the last few months, we saw that nice.
At this point as you have all been aware, we have sold to more than 25 countries. There are multiple countries in Europe and beyond have ordered in the past or indicating interest in ordering more T box, often a larger quantity than the prior order.
Double digit.
Procurement deal that was already signed.
Kind of other sales potentials can we assume looking ahead.
At this point as you have all been aware, we have sold to more than 25 countries. There are multiple countries in Europe and beyond have ordered in the past or indicating interest in ordering more T. Pax often a larger quantity than the prior order.
These conversations tend to be productive, but yet iterative. So we will share once we're able to I will note that we've had $21 million in international sales in 2023, and we are looking to strengthen the sales in the years ahead.
Conversations tend to be productive, but yet iterative. So we will share once we're able to I will note that we've had $21 million in international sales in 2023, and we are looking to strengthen the sales in the years ahead.
Okay.
Great. Thank you so much.
Okay.
Thank you once again that is star one should you wish to ask a question.
Yeah.
Great. Thank you so much.
Yeah.
Your next question is from George <unk> private Investor. Please ask your question.
Thank you once again that is star one should you wish to ask a question.
Hi, Yes, I'm not sure if you covered this earlier in the call, but do you still have an option coming up for later this year.
Your next question is from George <unk> a.
Final option exercise for T box for the U S government.
Private Investor Please ask your question.
Yes. This is Dan and you're correct in that the existing contract does have a remaining option for $113 million for all of T box.
Hi, Yes, I'm not sure if you covered this earlier in the call, but do you still have an option coming up for later this year. The final option exercise for T box for the U S government.
Well as an IV pax option for $26 million.
Yes. This is Dan and you are correct in that the existing contract does have a remaining option for $113 million for royalty Fox as well as an IV pax option for $26 million.
Okay.
I'm sorry go ahead.
Yes.
That's for the 24 fiscal year.
That's what we're targeting is that those auctions, we are targeting to.
Okay.
Good exercise this year.
I'm sorry go ahead.
Okay. Thank you.
Yes.
For the 24 fiscal year.
Okay.
Yeah.
That's what we're targeting is that those options we are targeting to the good.
Thank you. Your next question is from Lance Kimbrough from <unk> capital. Please ask your question.
Good exercise this year.
Okay. Thank you.
Congratulations on the Great 2023 result, my question was related to in the last quarter call.
Thank you. Your next question is from Lance Kimbrough from <unk> capital. Please ask your question.
You had highlighted that there was some manufacturing bottlenecks that were kind of holding up deliveries.
Congratulations on the great two.
2023 result, my question was related to in the last quarter call.
Looks like or it sounds like you worked through those it was also mentioned that the reorder cycle for 'twenty 'twenty four would be.
You had highlighted that there was some manufacturing bottlenecks that were kind of holding up deliveries.
Approximately 128 million do you feel like manufacturing capacity now is such that you can meet that target if it's.
It looks like or it sounds like you worked through those it was also mentioned that the reorder cycle for 2024 would be.
Filled.
Sure. This is Dan I'll start off and Sam can jump in if she wants.
Proximately 128 million do you feel like manufacturing capacity now is such that you can meet that target if it's.
Yeah, we did navigate.
The slow pace of the supply chain towards the end of the year.
Fulfilled.
Sure. This is Dan I'll start off and Sam can jump in if she wants.
We are still working on getting that to a more normalized way I'm.
Yes, we did.
I'm happy to say that it's back to where it was a couple of years ago, but we did.
<unk>.
The slow pace.
We did manage to get deliveries within the fourth quarter for the most part.
<unk> changed towards the end of the year.
Still working on getting that to a more normalized way.
Going forward it will be a continuing focus.
I'm happy to say that it's back to where it was a couple of years ago, but we did.
Your timing is important in terms of when the order comes in in terms of when deliveries are made.
We did manage to get deliveries within the fourth quarter for the most part.
But provided that we get a timely order.
Going forward it will be a continuing focus.
From the U S. Government, then we'd be working toward making it leases.
Timing is important in terms of when the order comes in in terms of when deliveries are made.
Abstention portion.
<unk> this year.
And Lance I would just add that given my experience is.
But provided we get a timely.
From the U S government.
Running large or commercialize organizations I recognize the importance of a strong manufacturing capability. So within the week that I joined I started to take a deep dive on the manufacturing.
Then we will be working towards making it leases.
Statue portion of deliveries this year.
And Lance I would just add that given my experiences.
Running large or commercialize organizations I recognize the importance of a strong manufacturing capability.
Partnerships, how we can be more effective in communication and you will see that we will be working towards a successful delivery of products in the future.
Within the week that I joined I started to take a deep dive on the manufacturing.
Great.
Partnerships, how we can be more effective in communication and you will see that we will be working towards.
Alright, well congratulations again on the great results.
Thank you Lasse.
Successful delivery of products in the future.
Thank you there are no further questions at this time. Please proceed.
Great.
Alright, well congratulations again on the great results.
Thank you Lasse.
Thank you Jenny I, just want to pause and say thank you for everyone for their time today and their continued interest and Seeger.
Thank you there are no further questions at this time. Please proceed.
As I mentioned in my remarks earlier Seeger is in an exciting and important large moment.
Thank you Jenny I, just want to pause and say thank you for everyone for their time today and their continued interest and Seeger.
We look forward to providing you an update with our progress next quarter and thank you to everyone have a great day.
As I mentioned in my remarks earlier Seeger is in an exciting and important and large moment.
Thank you ladies and gentlemen, the conference has now ended.
You all for joining you may all disconnect.
We look forward to providing you an update with our progress next quarter and thank you to everyone have a great day.
Okay.
Thank you, ladies and gentlemen, the conference has now.
Yeah.
Okay.