Full Year 2023 Protalix BioTherapeutics Inc Earnings Call

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Unknown Speaker: Bye everyone. Around the World Professor with a License. Bye!

Unknown Speaker: Thanks for watching. Eyal Rubin, Amal Adarothn' www. UNCLUTTEREDvideos.com Eyal Rubin, Dror Bashan, Eyal Rubin, Protalix Bio, Vandermosten, Unknown Attendee, Boobalan Pachaiyappan, Dror Bashan, Eyal Rubin, Protalix Unknown Attendee, Boobalan Pachaiyappan, DrorBashan, Eyal Rubin, Protalix Biology, DrorBashan, DrorBashan, Eyal Rubin, Protalix, DrorBashan, DrorBashan, Eyal Lubaan, DrorBashan, DrorBashan, DrorBashan, DrorBashan, DrorBashan, and Dror Bashan. And that's it. Thank you for watching. I hope you enjoyed the video.

Operator: If you did, please like and subscribe. I'll see you in the next video, in Adobe Art... == Transcription == I Am A Spiderman. Thanks for watching. Good morning, ladies and gentlemen, and welcome to the Protalix Biotherapeutics Fiscal Year 2023 Financial and Business Results Conference Call. As a reminder, this conference call is being recorded. I'll now turn the conference over to our host, Lauren Merrick of Lifesci Advisor. Investor Relations for Protalix. You may now begin.

Okay.

Good morning, ladies and gentlemen, and welcome to the pro Talecris Biotherapeutics fiscal year, 2023 financial and business results Conference call.

As a reminder, this conference call is being recorded.

I'll now turn the conference over to our host MS. Lauren America of lifestyle Advisors Investor Relations for <unk> you may now begin.

Thank you, Rob and welcome to the Portola ex Biotherapeutics fiscal year, 2023 financial results and business update conference call.

Lauren Merrick: Thank you, Rob, and welcome to the Protalix Biotherapeutics Fiscal Year 2023 Financial Results and Business Update Conference Call. With me today are Dror Bashan, President and CEO of Protalix, and Eyal Rubin, Senior Vice President and Chief Financial Officer. The press release announcing the results and the update was issued this morning and is available now on the Protalix website. Please take a moment to read the disclaimer about forward-looking statements in the press release. The earnings released in this teleconference include forward-looking statements. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from the statements made. Factors that could cause actual results to differ are described in the disclaimer and in Protalix's filings with the U.S. Securities and Exchange Commission. I will now turn the call over to Mr. Dror Bashan. Dror?

Today, our drawbar, Sean <unk>, President and CEO, Protonix and I, All Rubin Senior Vice President and Chief Financial Officer a.

A press release announcing the results from the update was issued this morning and is available now on the <unk> website.

A moment to read the disclaimer about forward looking statements in the press release earnings release and this teleconference include for forward looking statements. These forward looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from the statements made factors that could cause actual results to differ are described in the disc.

Squamous and in <unk> filings with the U S Securities and Exchange Commission.

I'll now turn the call over to Mr. Jarvis Sean sure.

Thank you Laurie.

Dror Bashan: Thank you, Lorraine, and welcome everyone to our fiscal year 2023 financial results and business update course. We'll begin by reviewing our accomplishments over the past year and recent work. Following my remarks, Eyal will provide a more detailed review of our financial results, and we will then open the lines for questions. 2023 marks a significant year for Protalix, as we received regulatory approvals for our second drug, Elfabrio, for the treatment of adult patients with Fabry disease. In May of 2023, both the FDA and the EMA approved El Fabrio for the treatment of adult patients with Fabry disease. Since then, El Fabrio has been granted additional regulatory approvals in other markets, like the UK, Sweden, and most recently in Israel as well. Our commercial partner, Kiersey Global Realty, remains focused on the commercial launches which are underway in the United States, the European Union, the UK, and additional markets where approvals are granted.

And welcome everyone to our fiscal year 'twenty to 'twenty, three financial results and business update call.

I will begin by reviewing our accomplishments over the past year and recent progress.

Following my remarks, you all will provide a more detailed review of our financial results. We will we will then open the line for questions.

23 miles of a significant year for Photonics is a reason we received regulatory approval for our second drug and probably will for the treatment of adult patients before green disease in.

In May of 2023, both David D. A N. The NDA approved there probably will for the treatment of adult patients, which will be busy since then.

So I'm really has been granted additional regulatory approvals in other markets.

Like U K, Switzerland, and then most recently in Israel.

Our commercial policy wont get the global rare diseases remains focused.

On the commercial launches which are underway.

In the United States in the European Union, and the U K in additional markets, where food was bumped it.

We are confident the kidney kills you will continue to position us for success and we look forward to continued growth of our Fabulous franchise.

Dror Bashan: We are confident that Chiesi will continue to position Alfa Breuil for success, and we look forward to continued growth in our friendship. Fabry is now the second approved drug expressed via our proprietary plant called the protein expression system Procelli, which further highlights the success of our unique platform, with these significant milestones behind us and while we are supporting Chiesi's operations. We are continuing to focus on building our..., the development of our pipeline of innovative assets for the treatment of genetic and non-genetic heart disease. Our next Clinical Development Candidate is PRX115, which is being developed for the potential treatment of severe gout. PRX115 is a recombinant-pegylated uric acid product candidate that is also produced using our Protelix product. In March of 2023, we initiated a Phase I, first in human clinical trial of PRX115 to evaluate its safety, pharmacokinetics, pharmacodynamics, and immunogenicity. This is a double-blind, placebo-controlled, single-ascending-dose study being conducted in New Zealand in approximately 56 patients with elevated uric acid levels.

In February as you know the second approved drug Express we are all for priority a plane called based protein expression used in prosthetics.

Which further highlights the success of our unique platform.

This significant milestone behind us and while we are supporting P. As these operations.

We are continuing to focus on building our.

The development of our pipeline of innovative all states for the treatment of genetic and known genetic rare diseases.

The next clinical development candidate is <unk> 115, which is being developed for the potential treatment of severe adult.

Yeah. It makes 115 is a recombinant pegylated uricase product candidate that is also produced using also say its platform in March of 2023, we have initiated a phase one first in human clinical trial of <unk> one.

One five to evaluate the safety pharmacokinetics pharmacodynamics and Immunogenicity.

This is a double blind placebo controlled single ascending dose study being conducted in New Zealand in approximately 56 patients with elevated uric acid.

We are pleased to announce the trial is now fully enrolled and we expect to report preliminary results from this study in the second quarter of 2024 hour.

Dror Bashan: We are pleased to announce that the trial is now fully enrolled, and we expect to report preliminary results from this study in the second quarter of 2024. Our next pipeline candidate, also being expressed through Protalix, is PRX119. PRX 119 is a pegylated recombinant human DNase 1.

Our next pipeline candidate also being expressed goalposts, Alex it's Eric It's one one.

It's one one mine is a pegylated recombinant human being those one.

Dror Bashan: Candidate in development for the potential treatment of diseases associated with neutrofluid extracellular traps or NETs. Additional preclinicals are ongoing, and we will update you accordingly, of course. In addition to PRX-115 and PRX-119, we have multiple preclinical programs in progress, and we look forward to providing updates on these potential development candidates as they become more mature. On the corporate side, in 2023, we welcome Dr. Eliot Forster as Chairman of our Board of Directors and a member of our nominating committee. Dr. Forster succeeded Ze'ev Braunfels, who retired, and we are grateful to Ze'ev for his dedication and leadership since the founding of Protalix, and we are grateful for Elliot's contributions thus far as we prepare for an exciting phase of development of the complex.

Candidate in developing.

So for the potential treatment.

Of diseases associated with nuclear food extra sort of those clinics or mix.

Additionally, preclinical is all ongoing.

We will update you accordingly of course.

In addition to peer rates 115 in PR rates, one nine we have multiple preclinical programs in progress and we look forward to providing updates on these potential development candidates as they become more mature.

On the corporate side in 'twenty to 'twenty, three we will come back to idiots Forza as chairman of our board of directors and a member of our nominating.

Call me.

Doctor Foster succeeded they've blown switchable retired.

I'm grateful to the employees' dedication and leadership since the founding of probiotics.

We are grateful for his contributions to us so as we prepared for an exciting phase of development of the company.

Dror Bashan: Finally, and before turning the call over to Eyal, I want to note that our strong balance sheet provides us with sufficient cash runway to support our operations, and in addition, as Eyal will discuss, sales of Efabrio to Chiesi increased after regulatory approvals of Efabrio, while Chiesi builds its inventory to support, and We expect sales to PSE to gradually continue as they anticipate future approvals and launches in additional countries throughout the world. With that, it is now my pleasure to turn the call over to Eyal for a view of our financials. Eyal, please, go ahead.

Finally, and before turning the call over to Jan I want to note that our strong balance sheet provides us with sufficient cash sweep cash runway to support our operations and in addition, as we already discussed sales, okay. Pablo to PSC increased after regulatory approval Pablo what kids he built its inventory.

To support.

A successful launch we expect phase two kids he to gradually continue.

Hey, they anticipate future approvals and launches in additional countries throughout the world.

With that it is now my pleasure to turn the call over to a young for a review of all of those shows and the El. Please go ahead.

Thank you Dror and thank you everyone for joining today's call. Let me review our fiscal year 2023 financials.

Eyal Rubin: Thank you, Dror, and thank you, everyone, for joining today's call. Let me review our fiscal year 2023 financial... We recorded revenues from selling goods of $40.4 million for the year ended December 31st, 2023, an increase of $15.1 million, or 60%, compared to revenues of $25.3 million for the year ended December 31st, 2023. The increase resulted primarily from an increase of 14.1 million cells of the alfavoreal drug product to Chiazi following the approvals by the FDA and the EMA of alfavoreal, as Dror described.

We recorded revenues from selling goods of $40 4 million for the year ended December 31st 2023, an increase of $15 1 million or 60%.

Turning to revenues is $25 3 million for the year ended December 31st 2022.

The increase resulted primarily from an increase of $14 1 billion sale of its five year drug trials.

Following the approval by the end of the NDAA, Although fabry onshore described at.

Eyal Rubin: An increase of 0.1 million in sales to Pfizer and of 0.9 million in sales to, We recorded revenues from licensed and R&D services of $25.1 million for the year ended December 31, 2020, an increase of 2.8 million, or 13%, compared to revenues of $22.3 million for the year ended December 31, 2022. The increase resulted from the $20 million regulatory milestone payment from Chiesi in connection with the FDA approval of Efrabrio, which was partially offset by a decrease of $17.2 million in revenues recognized in connection with the R&D performance obligation under the Chiesi agreement. As the company has completed the phase 3 clinical program they're under, Revenues from license and R&D services represent primarily the revenues the company recognized for services provided under the KFDA.

An increase of <unk> 1 million in sales to Pfizer and <unk> nine.

9 million intends to pursue.

We recorded revenues from licensing and R&D services and $25 1 million for the year ended December 31st 2023, an increase of $2 8 million or 13% compared to revenues of $22 3 million for the year ended December 31st 2022.

The increase resulted from the 20 million regulatory milestone payments from <unk> in connection with the FDA approval of <unk>, which was partially offset by a decrease of $17 2 million in revenues recognized in connection with the R&D performance obligation under the <unk> agreement.

And the company has completed the phase III clinical program thereafter.

That means from license and R&D services represent primarily the revenues the company recognized for services provided under the kids eat free.

Eyal Rubin: Cost of goods sold was $23 million for the year ended December 31, 2023, an increase of $3.4 million or 17% compared to cost of goods sold of $19.6 million for the year ended December 31, 2020. The increasing cost of goods sold was primarily the result of an increase in sales of goods for Chiesi, Brazil, and France. Sales to CARES included certain drug substance costs, which had already been recognized as research and development expenses as they were produced as part of the research and development activities. Accordingly, the related cost of goods sold does not include the cost of such drugs.

Cost of goods sold was $23 million for the year ended December 31st 2023, an increase of $3 4 million or 17% compared to cost of goods sold of $19 six months for the year ended December 31st 2022.

The increase in cost of goods sold was primarily the result of increasing sales and good sticky as he pursues them Pfizer.

That was the cans, including certain drug substance calls, which had already been recognized as research and development extension.

It was produced and as part of the research and development activities Accordingly, and related cost of goods sold does not include the cost of such drug substance.

For the year ended December 31st 2023, the company told the research and development expenses were approximately $17 1 million comprised of approximately $6 3 million subcontractor related expenses.

Eyal Rubin: For the year ended December 31st, 2023, the company's total research and development expenses were approximately 17.1 million, comprised of approximately 6.3 million subcontractor-related expenses, approximately 7.8 million of salary-related expenses, approximately 0.6 million material-related expenses, and approximately 2.4 million of other expenses. For the year ended December 31, 2022, the company's total research and development expenses were approximately $29.3 million, comprised of approximately 17.8 million subcontractor related expenses, approximately 7.3 million of salary related expenses, approximately 1.4 million of material related expenses, and approximately 2.8 million of other expenses. The decrease in research and development expenses was 12.2 million, or 42%, for the year-end of December 31st, 2023, compared to the year-end of December 31st, 2022. A decrease in research and development expenses resulted primarily from an $11.5 million decrease in subcontractor-related expenses in connection with the PRX-102 clinical trial and a $0.8 million decrease in materials-related expenses. Selling General Administrative Expenses were $15M for the year ended December 31, 2023.

<unk> $7 8 million of salaries and related expenses, approximately <unk> 6 million material related expenses and approximately $2 4 million of other expenses.

For the year ended December 31st 2022, the company's total research and development expenses were approximately $29 3 million comprised of approximately $17 8 million and some contract related expenses proxy.

Approximately $7 3 million of salaries and related expenses, approximately one point for material related expenses and approximately $2 8 million of other expenses.

Greece in research and development expenses was $12 2 million or 42% for the year ended December 31st 2023 compared to the year ended December 31st 2022.

The decrease in research and development expenses resulted primarily from a sheet 11 5 million decrease in subcontractor related expenses in connection with the pure X one or two clinical trials.

And a point 8 million decrease in materials related expense.

Selling general and administrative expenses were $15 million for the year ended December 31st 2023, an increase of $3 3 million or 28% from $11 7 million for the year ended December 31st 2022.

Eyal Rubin: An increase of $3.3M, or 28% from $11.7M, for the year ended December 31, 2023. The increase resulted primarily from an increase of approximately $2.3 million in one-time cash bonuses, share-based compensation, and salary and related expenses, as well as an increase of $0.3 million in travel, conferences, and employee training. Financial expenses net were $1.9 million for the year-end and the cemetery-first 2020, an increase of 0.5 million or 36% compared to financial expenses of 1.4 million for the year end of December 31st, 2022. The increase was primarily due to a decrease of 0.9 million in income related to exchange rates, as well as an increase in interest expenses of 0.7 million, which was partially offset by a gain recognized due to the conversion of a portion of the 2024 notes of 0.4 million and a 0.6 million increase in interest.

The increase resulted primarily from an increase of approximately $2 3 million in one time cash bonuses share based compensation and salary and related expenses as well as an increase of $43 million in travel conferences and employee training expenses.

Cash and expenses net was $1 9 million for the year ended December 31st 2023, an increase of <unk> 5 million or 36% compared to financial expenses of $1 4 million for the year ended December 31st 2022.

The increase was primarily due to a decrease.

9 million income related to exchange rates as well as an increase in interest expenses of $4 7 million, which was partially offset by a gain recognized due to the conversion of a portion of the 2024 notes of <unk> 4 million and two 6 million increase in interest income.

For the year ended December 31st 2023, we recorded income taxes of approximately <unk> 3 million, a decrease of <unk> 2 million or 40% compared to tax expenses of <unk> 5 million for the year ended December 31st 2022.

Eyal Rubin: For the year-end of December 31st, 2023, we recorded income taxes of approximately 0.3 million, a decrease of 0.2 million or 40% compared to tax expenses of 0.5 million for the year-end of December 31st, 2023. The income taxes resulted primarily from the provision for current taxes and income mainly derived from U.S. taxable global intangible low-taxed income, GILT, mainly in respect of Section 174 of the U.S. Tax Cuts and Jobs Act.

Income taxes resulted primarily from the provision for current taxes and income mainly derived from U S taxable global intangible low taxed income guilty may.

Mainly in respect of section 174 of the U S tax cuts and jobs Act.

In 2022 section 174 of the P. C. G. A requires all U S companies for tax purposes, the capitalized and subsequently amortize R&D expenses.

Dror Bashan: Unknown Attendee, Boobalan Pachaiyappan, Dror Bashan, Eyal Rubin, Protalix Bio, that fall within the scope of Section 174 over 5 years for research activities conducted in the United States and over 15 years for research activities conducted outside of the United States rather than deducting such costs in the current year. The net income taxes give effect to a valuation allowance release equal to approximately $3.1. Cash and Cash Equivalents in Short-Term Bank Deposits were approximately $44.6 million on December 31, 2020. Net income for the year ended December 31st, 2023 was approximately $8.3 million or $0.12 per share basic and $0.09 per share diluted. Pachaiyappan, Dror Bashan, Eyal Rubin, Protalix Bio. I will now turn the call back to you. Thank you, Eyal.

That fall within the scope of section 194, or five years of research activities conducted in the United States and over 15 years for research activities conducted outside of the United States, rather than deducting such cost in the cards here.

And then income taxes gives effect to a valuation allowance release equal to approximately $3 1 million.

Cash and cash equivalents and short term bank deposits were approximately $44 6 million at December 31st 2023.

Net income for the year ended December 31st 2023 was approximately $8 3 million or <unk> $12 per share basic and nine cents.

Per share diluted compared to a net loss of 14.9 million or points every $1 per share basic and diluted for the same period in 2022.

I would like turn the call back to usual.

Thank you yeah I.

Dror Bashan: I would like to conclude by expressing how proud we are... of all that Protalix has accomplished throughout 2023. With two drugs expressed via our proven platform now approved, we are continuing to build our expertise to develop a pipeline of assets to potentially transform the treatment of rare diseases. I'm grateful for a world-class team who constantly demonstrates an unwavering commitment to our mission.

I would like to conclude by expressing how proud well.

Of all the parties has accomplished throughout 'twenty to 'twenty three with two drugs Express.

Moving platform I'll now, where we are continuing to build out.

Because it seems to develop the type of assets to potentially transform the treatment of rare disease.

I'm grateful for our World class team, who constantly demonstrates.

Unwavering commitment to our mission, we look forward to updating you on our progress as we continue to drive innovation and create long term value for the patients and stockholders no I would like to ask the operator to open the call for questions.

Operator: We look forward to updating you on our progress as we continue to drive innovation and create long-term value for patients in Stockholm. Now, I would like to ask the operator to open the call to questions. Thank you. We will now be conducting a question and answer session. If you'd like to ask a question at this time, please press star 1 on your telephone keypad, and a confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to withdraw your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star key.

Thank you well now be conducting a question and answer session.

I have to ask a question at this time. Please press star one from your telephone keypad, a confirmation tone will indicate your line is in the question queue.

Let me first start to feel like to withdraw your question from the queue.

For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys.

Operator: One moment, please, while we poll for questions, and once again, that is Star 1. Thank you. Thank you, and our first question comes from the line of John Vandermosten with Zax. Please proceed with your question. Great, thank you, and good afternoon, Dror and Eyal. I thought I'd start off with a question about some of the PRX102 studies that are going on. I noticed you had one in Japan and one in the United States for pediatric patients. Can you give us a timeline on how long this might take and what the next steps would be there to get approvals for Japan? Pediatric.

One moment, please poll for questions and once again that is star one thank you.

Thank you and our first question comes from the line of Jon Vander Boston with sacks. Please proceed with your questions.

Great. Thank you and good afternoon, Dror and they all thought I'd start off with a question about some of the peer X 102 studies that are going on I noticed you had one in Japan and one in the United States for pediatric.

Can you give us a timeline on on how long this might take and what the next steps would be there to to get approvals for Japan and and for pediatric indication.

John D. Vandermosten: So thank you, Joan. Actually, these studies are conducted by Chievi, and this is their responsibility, so... You know, I don't have the timeline in front of me, of course, and this is for them to address, but you can understand that they put a lot of attention and resources into expanding, if I may say, the franchise. This is clear. Yeah, great. It sounds like they have a lot of opportunities out there. And also, you know, you may not have gotten a lot of information from Piazzi on this, but when you look at your revenues and kind of expenditures for the year, how should we think of those balancing out, you know, in terms of free cash flow on the bottom line? Are they going to be pretty equal based on the view right now?

So thank you Joe and that's really Dizzy.

AH study this is a well conducted by Kid him. He said that was supposed to ability so.

I don't have the time line in front of mind of meal schools.

This is for them, it's really cool to address that.

Okay, you can understand that they took a lot of attention and resources into expanding if I may say the franchisees just correct.

Yeah, great. It sounds like you have a lot of opportunities out there and also are you know you may not have gotten a lot of information from Tas you on this but you know when you look at your revenues and kind of expenditures for the year. How should we think of those balancing out you know in terms of free cash flow on the bottom line or are they going to be pretty equal based on the view right now is that how you're planning going forward.

Dror Bashan: Is that how you're planning going forward? Hey, thanks for the question, John. So I don't know what equal means, but as Dror mentioned, gradually, we expect the sales obviously to grow. And in terms of, you know, the free cash flow, it depends how much money we're going to invest in the early stage and the later stage. As I mentioned in previous calls, the cells to KSV are comprised of an inventory build-up as well as obviously commercial cells for the enrolled commercial patient.

Yeah. Thanks for the question Jon So I don't know what you call me, but they are as Dror mentioned gradually.

To grow.

And in terms of you know the free cash flow it depends how much money, we're going to invest.

In the early stage in the latest stage a R&D.

As I mentioned in previous calls the sales the kids the are comprised of a inventory buildup as well as obviously commercial thing to the ingold commercial patients.

Eyal Rubin: We expect that the sales are going to eventually grow, and then gradually, we'll get to the place as we indicated in the presentation that we believe that Kiese, with a good job, can take in the market. Got it. And then looking at PRX 115, you had mentioned that there would be results from that, it seems like in the next couple weeks. What, assuming those are positive, what are the next steps for that program? Is that, is that phase two? Or might there be some other?

Yeah, we expect that they are the shares that are going to eventually grow and gradually.

Get to the.

Place as we indicated in our presentation.

We believe that he is he would be a good job can they take.

<unk> taken the market.

Got it and then looking at peer excellent on five you had mentioned that there's going to be results from that it seems like in the next couple of weeks what assuming those are positive what are the next steps for that program is that is that a phase two or I might there be some other pursuit there.

Dror Bashan: So, if indeed we continue to go forward, of course, we move into phase two. Okay. And would that be before the end of this year? This depends. I think it will be between the end and the first half of next year. The first half of next year.

So you shouldn't did we continue to grow for the schools.

Moving to a phase two yes.

Yes.

And would that be before the end of under this year that you would start that phase two.

It depends I think it will be between the end to the first half of next year.

The first half of next year, Okay got it and then last question on a pure X. One on nine what are the next steps for that is that something you might put into the clinic this year.

Dror Bashan: Okay. Got it. And then the last question on PRX 119: What are the next steps for that? Is that something you might put into the clinic this year? Not yet.

Yeah.

They are not yet we are looking into you know the right indication to continue recycling this will take further.

Dror Bashan: We are looking into, you know, the right indication to continue with. I think this will take further, a bit more to decide. And then any other milestones on the R&D side that we should think about as we progress through 2024? You know, once there is something to update, we will update, of course. We are not exactly, you know, sitting on our hands.

A bit more to the site.

Okay, and then any other milestones on the on the R&D side that we should think about as we progress through 2024.

And you know at once it will be something dropped a bit schools. What exactly are you don't see it you'll know him well.

You know I think we will pretty much I would say even intensively in order to make sure that we can add the additional early stage assets.

Dror Bashan: You know, I think we work pretty hard, I would say, even intensively in order to make sure that we can add the additional early stage assets. It is just, you know, we take our time and. I hope we will cut, you know.

If you just you know we take hold time and.

I hope we win.

Do you know.

John D. Vandermosten: The right move will make sense. All right. Thank you, Dror. Thank you, Eyal. I appreciate your answer.

The right moves that will make sense.

Okay, Alright, Thank you George and thank you all appreciate your you are welcome.

Operator: You're welcome. Once again, if you'd like to ask a question at this time, you may press star 1. We'll pause for a moment to poll for questions. Thank you. At this time, there are no additional questions. The gentleman would like to make some further remarks. So this is Dror speaking. I just would like to thank everybody again for the time and again to thank our shareholders and our employees for supporting us and moving on with our commitment, and we will, of course, we'll update you accordingly on any sort of development, and we will meet in the next earnings call. This will conclude today's conference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day. Thank you.

Once again I'd like to ask a question at this time you May press Star one will pause a moment to poll for questions.

Thank you at this time there are no additional questions gentlemen, I'll try to make some further remarks.

So with this is all speaking I would just would like to thank everybody again for all the time.

And again too.

Well, thank all shareholders and our employees for supporting Us and they you know moving going with our commitment.

And we will of course, we will update you accordingly on any sort of development, we will meet in the next earnings update.

Thank you.

This will conclude today's conference you may disconnect. Your lines at this time. Thank you for your participation and have a wonderful day.

Thank you.