Q4 2023 Enthusiast Gaming Holdings Inc Earnings Call
Yeah.
Thank you for standing by the conference will begin momentarily. Please stay on the line.
[music].
Hello, and welcome to the enthusiast gaming holdings fiscal fourth quarter and full year 2023 financial results.
All participants will be in listen only mode.
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After todays presentation, there will be an opportunity to ask questions.
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As a reminder, this conference is being recorded.
I would now like to hand, the call to J D. L. Elliot EVP strategy and General Counsel. Please go ahead.
Speaker Change: Thank you operator, good afternoon, everyone and welcome to the enthusiast gaming fourth quarter 2023 results conference call I'm JV Elliot EVP strategy in General Counsel with me today is interim Chief Executive Officer, Adrian Montgomery, and Chief Financial Officer, Felicia Desert Fortuna.
We will begin with some prepared remarks, and then open the floor to questions before we begin I'd like to remind everyone that today's presentation contains forward looking information that involves known and unknown risks and uncertainties and other factors that could cause actual events to differ materially from current.
Expectations. These.
Speaker Change: These statements should not be read as assurances of future performance or results.
Such statements involve known and unknown risks uncertainties and other factors that may cause actual results performance or achievements to be materially different from those implied by such statements.
A more complete discussion of the risks and uncertainties facing the company appears in the company's management discussion and analysis for the three month period, ending December 31, 2023, which will be available on the company's profile on SEDAR plus as well as on the company's website.
D G S gaming dotcom.
You are cautioned not to place undue reliance on these forward looking statements, which speak only as of the date of this presentation.
The company disclaims any intention or obligation except to the extent required by law to update or revise any forward looking statements as a result of new information future events or for any other reason.
Now I'd like to turn the call over to Adrian Montgomery.
The call is yours.
Thank you Jamie.
And welcome everyone.
I stepped back into the role of interim CEO of enthusiast gaming in early January following the resignation of our prior CEO.
It has indeed been an eventful year for.
But what has not changed is that enthusiast gaming continues to have highly engaged communities of gamers in esports fans.
And that makes us one of the leading media and entertainment companies for gamers in North America.
With over 50 million monthly unique visitors are audience attracts world class marketing brands that want to reach them and an enviable set of strategic partners such as the National Football League.
Across our diverse portfolio of gaming and E sports assets, we are prioritizing our strategy and resources around community engagement and we find engagement significant engagement.
Across the span of our business.
Engagement in Utah G. G are data driven player insights platform, which is one of the top league of legends fan communities in the world in.
In fact U G. G is listed as a trusted partner of riot games and is one of three sites only three sites with a link on the official league of legends website.
We have introduced our proprietary desktop app only this summer this past summer, which has already attracted over one 2.1 million downloads and expanded into new titles like world of Warcraft and Valerie.
Driving even higher levels of engagement.
Time spent per user in December was five times from the same month a year ago.
For all these reasons you'd I G G. As a market leader that is extremely well positioned for continued growth.
We have engagement in the Sims resource the largest and longest running same span community and content repository in the world.
Interest in the game remains remarkably strong and fans continue to flock to our site to access our 5 million plus pieces of custom Sims content.
T S. Our community is also far more engaged than those of our competitors with time spent per user on T. S are being nearly triple that of our next largest competitor.
We therefore believe that when we bring users to the Sims resource they will stay for the long run.
We also expect the recently announced Sims movie.
Beer headed by Margot Robbie.
A very positive impact on the Simpson on the Sam's resource much as she than it did for Barbie, leading to continued growth in new Heights for this fan community.
The current trends of GSR support this thesis.
Engagement in IC veins, which is one of the largest independent Activision Blizzard fan communities in the world generating over 100 million views of content in 2023 alone.
The platform provides news and strategy guides for leading franchises like world of Warcraft Diablo heroes of the storm path of exile.
Final fantasy.
I see vans had an exemplary 2023 as it quickly became the primary destination for fans of newly launched blockbuster titles like Diablo four and expansions like world of Warcraft season of discovery.
As an example in the month of July IC vein set a record of $5 9 million unique users. It is yet another growing and profitable market leading community for us.
Engagement in alumina city, our esports Division, which operates professional teams competing in apex Legends Rocket League Super Smash brothers Ultimate Pokemon unite amongst several other titles.
Luminosity 133 championships in 2023 up from 22 total championship wins over the prior seven years combined.
In 2023, that's included our first ever World Championship, which was achieved by our pokemon unite team.
We had been working directly with pokemon the document that teams run to be coming back to back World Champions.
This past year, we also launched a new owned and operated smashed channel, which has quickly gained over 30000 subscribers and over 15 million lifetime views.
The average monthly views for this mass channel puts it on par with the largest E sports teams in the world.
Alongside this luminosity launched its live in person Smash event series with a license from Nintendo and will be returning for events in Toronto, New York and Miami.
The success of luminosity smash event and expansion into coverage of their R. L. C. S team on the luminosity Twitch channel.
Led to us being the seventh highest E sports channel by average daily chat engagement throughout January and February of 'twenty 'twenty four.
Peter with professional publisher broadcasts and being the only esports team in the top 10.
Engagement in pocket Gamer, which hosts the pocket Gamer connects B to B <unk>.
Speaker Change: Industry events and is celebrating its 10th anniversary in 2024.
The largest ever P. G C conference in London in January It was a must attend event that attracted over 150 sponsors and was attended by over 2600 delegates and 1300 companies.
Looking ahead, we have a long lineup of additional P. G connects conferences ahead of us as part of our 10th anniversary year, including Dubai in May in Helsinki in October.
I think he is now our second largest event behind London, and it's now going to be a central part of Finland games week.
Speaker Change: We also have upcoming events, such as the new Middle East and North Africa Games Awards in May the mobile games awards being held along Gamescom in August and the top 50 game developers, which is running for its 15th year in October.
Engagement and fantasy football Scout, the world's leading fantasy football or soccer community, which provides award winning editorial video newsletters podcasts and social media.
Premium data tools and features to over 275000 subscribers, including many paid subscribers.
Speaker Change: We also provide a variety of content tools and services direct to the Premier League and UEFA among others for their market leading fantasy games.
This season, we broken records for podcast downloads on F. F S with over $5 5 million podcasts across our direct channel and our network.
And we crossed the 500000 mark for social media followers.
<unk> continues to grow its revenue and subscriber base.
Across all of these assets lies the coveted community of gaming audiences and we remain focused on those communities as our most valuable properties.
Despite maintaining our focus on our communities and our audiences. It was immediately clear to me that we needed to move much faster and more decisively in order to position the company for sustainable profitability.
We are doing just that we.
We have taken immediate and significant steps to focus on our core.
Which is building communities and creating and curating incredible content and experiences that engage our gamers and R E sports fans.
We are immediately focused on three key areas.
One profitable revenue to gross margin expansion and three right sizing the cost structure.
The $10 million restructuring program announced in March was an important part of that effort and Felicia will walk you through that in greater detail in a moment.
We have more work to do to get enthusiast gaming to where it needs to be.
We have liquidity, but we need to strengthen our balance sheet.
We have compelling assets, but we need to streamline our cost structure and focus on our best opportunities for durable success.
The efforts to put us back on that right path are already underway.
And are not reflected in the fourth quarter results.
Speaker Change: We are moving quickly and taking immediate and decisive action.
On March 7th we announced the $10 million cost reduction program.
On the 28th of March we announced an advertising technology partnership with play wire in order to allow a global leader in monetizing sites to help us increase our yield and drive beneficial growth to our bottom line.
This morning.
We announced the sale of a small subset of certain noncore nonprofit about casual gaming site assets for a purchase price of over $4 million.
These actions have led to the business regaining its focus.
We are focusing on our most profitable revenue streams, specifically around our owned and operated properties in the most highly engaged communities that we serve.
This focus is expected to lead to significant gross margin expansion and allows us to de prioritize areas of business that have lower gross margins and where profitability is less certain or nonexistent.
This focus means being disciplined on where we're spending our money.
The underlying strategy remains the same though levered.
Leveraging a large and highly engaged audience to move toward a higher percentage of direct sales and robust brand solutions with less reliance on programmatic sales.
Which however are also expected to grow significantly and our owned and operated communities as a result of our recent partnership with play wire.
I didn't use yes, we believe we have the assets to execute this strategy, but the first step is to ensure a sustainable business model.
We've turned our direct sales into a material business for.
I'm not even having a workforce in 2022, a 40 million dollar vertical in 2023.
This is the key advantage of the portfolio in that it allows us to continue to demonstrate that the total of enthusiast gaming is much greater than the sum of its parts.
And of course, one of the key cornerstones of our direct sales.
Involves NFL Tuesday night gaming, our weekly gaming competition series in partnership with the National Football League.
N F L TNG unique.
Speaker Change: Uniquely represents the intersection of gaming and sports culture building the bridge between two distinct communities to create one unified viewing experience.
Our collaboration on this proprietary content showcases how two leaders can come together to create the template for highly engaged user experiences in a brand safe environment.
We are looking forward to doing it all over again with the NFL.
Yeah.
For for an upcoming successful season as well as to extend NFL like collaborations to other professional sports leagues in the short term.
We've increased our subscriber base, which is our highest margin revenue stream and therefore, a direct contributor to profitability.
Speaker Change: And following a comprehensive organizational review initiated at the beginning of the year.
We are expecting to operate with a streamlined and simplified cost structure.
And perhaps lower revenue, but with a significant reduction in our burn rate.
As we move towards sustainable profitability and conserving cash on an accelerated timeline.
It's easiest gaming as a media and entertainment company for gamers, we are rooted in our highly engaged communities.
We happen to own brands that are the best in their respective verticals in the world.
We are built on insert on servicing our enthusiast audience. It has always been strong.
And we will focus on making it larger than ever and more highly engaged than ever.
With that simple focus the monetization opportunities will be significant.
More programmatic advertising than ever more subscribers than ever more.
More creative packaged solutions for clients than ever.
And much more disciplined in our spend.
That's the recipe to make this a high margin sustainably profitable growth company.
We have more work to do but we are on the right focus track, let me now turn the call over to Felicia.
Felicia: Thank you Adrian this is my first call as the Chief Financial Officer, then Theseus gaming having joined in mid November it became apparent that we needed to accelerate the changes being made to in D. C. S gaming business model and cost structure in order to enable sustainable profitability.
The plan reflected stretch targets that were not attainable the cost reduction initiatives were taking too long and we needed to do more to deemphasize certain low margin businesses faster as well as exiting subscale operations that we're unlikely to generate value in the near term so.
So we took immediate and decisive action, while sharpening our focus on three growth areas direct sales optimizing P. P M across their programmatic offerings increasing subscribers.
The actions that we announced in March are expected to generate 10 million in annual run rate savings I mean, you'll start to see material benefit to our financials beginning the second quarter of 2024. This is in addition to the $2 million in savings previously announced that we expect to realize from the NASDAQ delisting.
I'd like to outline several of the major areas that will reduce costs, while focusing on growth areas for us.
As announced last week, we have outsourced AD tech to play wire and will now be able to leverage their expertise in gaming and complete technology platform to power. Our network is gaming websites channels and apps. We believe this collaboration will enable us to maximize the efficiency of our AD Tech operation.
Second we've in sourced our production capabilities in order to be able to better and more cost effectively execute upon media and content sponsorships for our advertisers.
Lastly, we executed on a restructuring that has reduced our workforce by 25% relative to December 2023, while also better prioritizing investment in our growth drivers.
Streamlining our business and saying goodbye to team members. It is never easy, but these changes will go a long way toward right sizing our cost structure. They are helping us drive toward a significant improvement in adjusted EBITDA, which is now a T. P. I included in our filings that we are laser focused on.
It is also clear that we need to strengthen our balance sheet to that end, we have been evaluating our portfolio to ensure that all of our assets meet our priority for high margin revenue growth and sustainable profitability and if not well look for ways to monetize them. This morning's announcement that we signed an asset sale agreement of 4 million.
Some of our nonprofit about casual gaming assets helps us accomplish that.
We're also working closely with our lender to establish a mutually agreed foundation going forward.
We feel confident in our direction, we are taking the company because our audience is our community.
It's more engaged than ever weeks.
We extended our position as the number one gaming property for unique visitor traffic in the United States, reaching 52 million unique visitors or 4% year over year growth based on the latest digital media ratings from Comscore in December 2023 <unk>.
Excluding omnia minutes per user increased by low double digits across our owned and operated and represented property.
Net revenue retention for direct sales at the end of the year at an average deal size of $50000 plus with over 60% net revenue retention is calculated by dividing the direct sales media and content revenue for the trailing 12 months from the close of the reporting period from advertisers who were also advertisers.
At the close to the same period in the prior year.
I'll speak on the numbers shortly but first I note that our results are presented in Canadian dollars. The significant majority of our revenue and expenses are measured in U S dollars and are translated into Canadian dollars for presentation in our financial statements.
Exchange rate between the U S dollar in our presentation currency, if the Canadian dollar should be monitored and considered when analyzing or forecasting our results. Additionally, it's important to note that the historical financial results don't reflect the cost reductions and changes in emphasis we've discussed the historical financials will likely not very strong.
Resemblance to feature of yourself.
Now turning to the financial results for the fourth quarter in Q4 revenue was $47 1, million% to 13% decrease compared to 54 million in Q4 2022.
Media and content revenue, which represents approximately 90% of total revenue decreased 13% to $42 6 million. The decline was primarily due to lower if you spend at city of platforms due to the strategic decision to prioritize lower margin revenue lines.
E Sports and entertainment remained relatively consistent year over year, and finally subscription revenue decreased 13% to $3 3 million well.
Well the number of paid subscribers increased 1% to 268000 as of December 31, 2023, and it's up 2% as compared to December 31, 2022, there were a number of consumer marketing initiatives introduced that were not successful and are now being reversed.
Gross profit was $18 9 million in Q4 up 5% compared to the $18 1 million of gross profit reported in Q4 2022 gross margin increased from 33, 5% to 40.2%. This gross margin increase reflects the greater.
You shouldn't have direct sales and subscription revenue to our overall revenue profile as well as the de prioritization of certain represented video channels.
Operating expenses were $27 8 million down 8% from the fourth quarter last year operating expenses. In Q4 include noncash items, such as depreciation and amortization of $1 7 million and share based compensation of $1 2 million.
Adjusted EBITDA loss was $13 million in Q4 compared to an adjusted EBITDA loss of $15 1 million in Q4 of last year adjusted EBITDA in the quarter exclude coupon <unk> 6 million in severance and approximately 400000 in public company costs, such as annual NASDAQ listing fees and ink.
Your mental D&O insurance costs that will no longer be shouldering as a result of our delisting from NASDAQ and S. T C D registration.
Felicia: Net loss was $39 7 million in Q4 as compared to $11 8 million in Q4 of last year, our net loss for the quarter includes $38 million in noncash impairment charges, primarily related to goodwill and intangible assets.
The write downs, which were non cash were concentrated in parts of the business that we have either T prioritized or have restructured.
Turning to the balance sheet, we ended the year with $6 9 million in cash as of December 31, 2023, we are working closely with our primary lender. It's on a long term resolution to our working capital lineup credit addressing our balance sheet is a primary focus for our management team.
As of December 31, 2023, net working capital had a deficiency of 36 million. However that included 22 million with Scotia and $6 million in contract liabilities, bringing this to a net balance of 8 million, which we are addressing through our restructuring initiatives from early 2024.
While the current landscape is challenging we are focused as a management team on continuing to cater to our highly engaged communities improving our financials. So that we can be sustainably profitable and ensuring we continue to conserve cash and strengthen our balance sheet and with that I will pass back to Adrian.
Thank you Felicia and now I would I would open it to questions.
Thank you we will now begin the question and answer session.
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We will pause momentarily to assemble our roster.
Okay.
Today's first question comes from Griffin boss with B Riley Securities. Please go ahead.
Hey, Thanks for taking my questions.
So I guess, we'll just start out I'm curious if there's any.
More color you can give on advertising trends are maybe in the fourth quarter, but given that we're through the first quarter already too maybe if you could talk about how how those have been trending from what I've seen at least on the display side. It seems like the AD market has been.
Turning a little bit more positively and in in 'twenty 'twenty four but wondering if we could get your thoughts on that.
Of course, so if I'm looking at the overall programmatic trend specifically as it relates to video. This is an area that we are prioritizing as a result of the low gross margin profile and so with that we've been impacted both on the number of fees that we generate in a quarter as well as the.
C P N.
And we expect as we move through the 'twenty 'twenty four year that those numbers will start to ease them, we'll be able to start to see gross margin expansion as that becomes a lower percentage of our total revenue.
With the web programmatic, we are seeing positive trends in web programmatic, we have focused more on our owned and operated properties and less on site that we represent which is creating a decrease infused however, being almost entirely offset by them.
Increase in RPM for C. P M and that is the trend that we anticipate continuing as we work through 'twenty 'twenty four we are hoping as well with the with the announcement alongside play wire, but this will be an area of opportunity for us in order to further optimize our yield specifically on our own.
Great insight.
Okay, great. Thanks for that Felicia and then I I guess that that transition is well into my next question on play why are so just to get some clarity as it says it's play wire now managing all our SSP relationships and yield optimization efforts.
I guess my if I recall correctly, I think enthusiast built its own AD tech stack and programmatic optimization platform. So just want to be clear. If if this means that you're no longer managing any of that in house and play wires now effectively managing all of those efforts.
That's correct and that was one of the areas where it was important for us as we maximize profitability in order to reduce the cost structure associated with it.
And partner with with the expert so we will still be maintaining our direct sales and programmatic, but they will be they will be owning the relationships with the individual assets piece.
Got it okay, great. Thanks for that and then just if I could sneak one more in Felicia did you you said you talked about a N. R are the the net revenue retention for direct sales did I hear that correctly did you say it was it was 60% or was that 160%.
It is net revenue retention and it's so it's at 60% so for any advertiser that spend $50000 and above we look at the trailing 12 months of.
The current year, which is 2023 relative to what that advertisers spent last year. So for any advertiser that has returned we've showed that 60% of that revenue has been retained.
Got it okay. All right. Thanks for taking my questions I appreciate it.
Thank you as a reminder to ask a question you May Press Star then one.
The next question is from Robert Young with Canaccord Genuity. Please go ahead.
Hi, good a good evening.
The 25% reduction in head count maybe I'll start there if you could give us a sense does that incremental $10 million, that's within the 10 million I assume and then.
Maybe to take that one step further I know that Q1, typically sees a seasonal slowdown and so I would expect that EBITDA would be negative.
In Q1, given the 10 million impact in Q2, but when would you expect to see a material improvement in EBITDA and then potentially even getting when you forecast that you might get positive given all these changes.
So to answer your first part of the question. So yes, the head count reduction of 25% was included in the $10 million and so as it relates to the $10 million. We wanted to make sure that we were reducing our fixed infrastructure in order to better.
<unk> maintained profitability as we move as we move through the year. So in 2024, we are anticipating there to be more traditional advertising seasonality because direct sales and programmatic will be a larger percentage of our total revenue and with that seasonality we are expecting.
One to be the low point and then as we move through the year, where we are anticipating sequential improvement not only in gross margin expansion as we're able to show the scalability of our revenue lines as well as the change in mix, but also as we are able to scale revenue with the fixed.
Felicia: Cost structure that we're putting into place that will be largely effective at the start of Q2 and so in thinking about overall profitability you would start to see those trends.
Beginning in Q2 with a back half heavy profitability for the year.
Felicia: Okay.
And then.
The sale of assets that you announced this morning is there any can you give us any sense of how much revenue you're foregoing related to those or if there was any profitability.
Related to those.
They were unprofitable.
<unk> probably to the tune of a million dollar EBITDA loss last.
Last year, and I think they would represent.
<unk>, 2% or less than 2% of the over overall revenue mix. So.
We felt it was it was pretty accretive on that basis.
Okay. Okay.
Maybe two more if I could just if.
If you could clarify.
The gross margin cadence that you just shared a couple of minutes ago Im not sure I picked it up but I understand.
Maybe gross margin is impacted negatively in Q1, and then recovers through the back half of the year or would that be a good way to model it or did I, maybe did I misunderstand.
No so I mean.
The video programmatic becomes a lesser percentage of total that drag on overall gross margins should show.
Improvement in our gross margin. So we should be showing gross margin percentage point expansion beginning in Q1 2024 relative to Q4 2023, and as we move through the seasonal uplift of the year I would expect that gross margin expansion to continue okay great.
None: And last question is just the decision to move towards play wire does that have any short term impact on the direct sale business like does that cause a gap or slow down efforts.
Direct sale or should that be a invisible and I'll pass the line.
Thanks, Rob no that that does not affect it in and in fact that was one of the areas that.
That we sought and received a lot of comfort from play why are we as we said in our remarks and you know from from following US from early days direct sales is a $40 million book of business for US we wanted to retain the independents and the autonomy to pursue that knowing that play.
The wire has a direct sales force.
And can introduce direct sales for our owned and operated communities in particular in other parts of the world.
None: In Europe, and Africa, Australasia et cetera, and they work with a number of companies. They work with just dot com in the past they work with redfin, they work with significantly bigger companies than ours and they managed to have their direct sales team and redfin direct sale.
Team coexist and and and it seems through their customer referrals, which were studious about that.
It actually works to the company's benefit to have both of those forces working in the marketplace. So we actually are really excited about the play wire relationship because not only does it address cost efficiencies that we can exploit but we also believe that there will be significant raw.
Revenue and margin growth as a result of.
This relationship.
Okay. Thank you.
Yeah.
Thank you and again if you have a question you May press Star then one.
Next question comes from Kevin Krishna Rodney with Scotiabank. Please go ahead.
Hey, there good evening just the first couple of questions on revenue just if we look at the the the brand solutions revenue. It was up kind of 8% I think in 23, how do you think about you know how that looks in 'twenty. Four what are you thinking about there in terms of you gave the metric of the revenue retention.
Was that 60% in 'twenty three does that improve in 'twenty four I'm just any high level thoughts you can give us on on how to think about the growth in this business for 24.
We're anticipating growth in excess of what we reported in 2023.
And you know I would perhaps veer off off script and stuff.
Stuff for the potential ire of of my CFO, but while we're very proud of the retention number and again and we spoke about this at your conference Kevin that retention number.
Is.
A tremendous point of validation that our solutions and our ability to help brands activate with younger audiences through gaming works otherwise they wouldn't come back to us and now we're dealing with the Disney's the movie studios, the NFL et cetera, et cetera, so that retention figure is important.
But we also.
Want to start putting the growth back on steroids, and we would want the overall pie to increase and end as gaming becomes a more mature portal for user engagement. We also want to see that retention number perhaps be compromised by bringing newer and newer brands into the space.
But again.
It's always grown we wanted to continue to grow we think we're well positioned to do that.
Adrian appreciate that thanks, very much on the direct sale side, if I switch to the programmatic you know base and look at what you did in <unk> and 'twenty. Three can you just talk about how how to think about the maybe the percentage of the programmatic rather than you.
None: <unk> is going to be deemphasize I'm, just trying to understand maybe if you could talk about one versus non owned.
That's because and I think as you've mentioned that the revenue mix might change, but the gross profit will change you. Just if you can help us just understand you know how much of that revenue and programmatic could be you know kind of a headwind to revenue in 'twenty four but then you get it back on better margin.
You understand me any any help there just for thought through 'twenty four.
So as I look out to 'twenty 'twenty, four and specifically as it relates to the media and content revenue line I would anticipate as as video programmatic becomes a lower percentage of the total revenue mix that in the first half direct sales and web programmatic a turnkey.
Could be.
The majority of the revenue mix.
And you know fairly equally distributed across the two line and I think within the web programmatic line, specifically because we have now created so much owned and operated at scale right. Adrian had noted some of the metrics on E. G. G. In terms of time spent per user in a cross P. S Saar as well.
With a C. D. We do expect that the owned and operated sites will become the majority of the revenue itself and as we move through the year. We do expect to have easy comps at some of the represented sites left at the back half of 2023.
Yeah.
Okay. Thanks, Felicia I'm not maybe just the last one for me I I might not have heard it properly on your adjusted EBITDA maybe.
But I have in my model here that in Q3, you did negative four four.
For a million and then last Q4 negative $5 7 million adjusted EBITDA loss, what's the comparable adjusted EBITDA.
Number that you reported in Q4.
So in Q4 of 2023 negative 3 million of adjusted EBITDA and in calculating our net negative $3 million I.
And in calculating our adjusted EBITDA and I just wanted to be clear, we're where we have only included our only including two add back severance being one of them and the second being the NASDAQ delisting piece.
And there is a work that is going to be included in the financial statements that I'll show that for all of the historical quarters.
Got it okay. Thanks, a lot appreciate it I'll pass the line.
Thank you very much. This concludes our question and answer session I'd like to turn the call back over to management for closing remarks.
Thank you and thanks to everyone who participated in the call. We're very appreciative of the support we receive from our stakeholders.
And we are continuing to focus on.
On the path to building the sustainably profitable business and build it from the audience out the community out.
And we're confident.
With that we're going to succeed.
What I would like to leave the call is by thinking a very important stakeholder, our which is our employee base.
All the enthusiasts.
None: That have embraced the change embraced.
The circumstances, both macro and micro who show up to work every day.
And give it their all and we're so so appreciative.
And we benefit mightily from your talents your passion and your dedication and so thank you to the enthusiasts, who who work so hard to make us a better business every day and with that I would conclude the call. Thank you.
The conference has now concluded thank you for your debt.
Yeah.
Thank you for attending today's presentation you may now disconnect your lines.
Okay.
Hum.
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Yeah.
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