Q2 2024 Live Ventures Inc Earnings Call

Good day, everyone and welcome to today's live ventures second quarter Conference call. At this time all participants are in a listen only mode. Later, you'll have the opportunity to ask questions. During the question and answer session. You May Register answer your question at any time I personally star and one on your telephone keypad you may withdraw yourself procure anytime we're pressing star.

Operator: Good day, everyone, and welcome to today's Live Ventures second quarter conference call. At this time, all participants are in a listen-only mode. Later, you will have the opportunity to ask questions during the question and answer session. You may register to ask a question at any time by pressing the star and 1 on your telephone keypad. You may withdraw yourself from the queue at any time by pressing star 2. Please note this call is being recorded, and I will be standing by if you need any assistance. It is now my pleasure to turn today's conference over to Greg Powell, Director of Investor Relations. Please go ahead, sir.

Please note this call is being recorded and I'll be standing by.

It's not my pleasure to turn today's conference over to Greg Powell Director of Investor Relations. Please go ahead Sir.

Greg Powell: Thank you, Travis. Good afternoon, and welcome to the Live Ventures second quarter fiscal year 2024 conference call. Joining us this afternoon for the call are John Isaac, our Chief Executive Officer and President, and David Verret, our Chief Financial Officer. Some of the statements we are making today are forward-looking and are based on our best view of our businesses as we see them today. The actual results could differ materially due to a number of factors, including those outlined in our latest form.

Greg Powell: Thank you Travis and good afternoon, and welcome to the White ventures second quarter fiscal year 2024 conference call.

Greg Powell: 10QK, and 10Q as filed with the Securities and Exchange Commission. We have no obligation to publicly update any forwarded statements after this call, whether as a result of new information, future events, changes in assumptions, or otherwise. You can find a copy of our press release referenced on this call in the Investor Relations section of the Investor Relations website. I direct you to our website, www.liveventures.com, or scc.gov for our historical SCC filings. And now, I'll turn the call over to David to walk you through our financial performance for the quarter.

Greg Powell: Joining us this afternoon for the call are John <unk>, Our Chief Executive Officer, and President and David Berry, Our Chief Financial Officer.

Greg Powell: Some of the statements we're making today are forward looking and are based on our best view of our businesses as we see them today. The actual results could differ material materially due to a number of factors, including those outlined in our latest forms.

David Verret: 10-K, and 10-Q as filed with Securities and Exchange Commission.

David Verret: We have no obligation to publicly update any forward looking statements. After this call whether as a result of new information future events changes in assumptions or otherwise you can find a copy of our press release referenced on this call in the Investor Relations section of the Investor Relations website.

David Verret: I direct you to our website Www, my best Theres Dot com or FCC dot Gov for historical SEC filings.

David Verret: And now I'll turn the call over to David to walk you through our financial performance for the quarter.

David: Thank you, Greg and good afternoon, everyone.

David Verret: Thank you, Greg, and good afternoon, everyone. Let's jump right in and discuss the financial results for the second quarter ended March 31st, 2024. Total revenue for the quarter increased 30.2% to approximately $118.6 million. The increase is primarily attributable to the acquisitions of PMW, which was acquired during the fourth quarter of fiscal year 2023, and Flooring Liquidators, which was acquired during the second quarter of fiscal year 2023, which collectively added $29.6 million in revenue.

David: Let's jump right in and discuss the financial results for the second quarter ended March 31 2024.

David: Total revenue for the quarter increased 32% to approximately $118 6 million.

David Verret: In addition, the flooring manufacturing segment contributed incremental revenue of approximately $3.8 million in the quarter. However, the increase was partially offset by decreased revenue of approximately $5.9 million in the company's other businesses due to general economic conditions. Boring manufacturing revenue of approximately $34.2 million increased by $3.8 million or 12.7% as compared to the prior year period. The increase is primarily due to increased sales related to Harris Flooring Group Brands, which was acquired in the fourth quarter of fiscal year 2023.

David: The increase is primarily attributable to the acquisitions of P. M. W, which was acquired during the fourth quarter of fiscal year, 2023, and flooring liquidators, which was acquired during the second quarter of fiscal year, 2023, which collectively added $29 6 million in revenue.

In addition, the flooring manufacturing segment contributed incremental revenue of approximately $3 8 million in the quarter.

David: The increase was partially offset by decreased revenue of approximately $5 9 million and the company's other businesses due to general economic conditions.

David: Flooring manufacturing revenue of approximately $34 2 million increased by $3 8 million or 12, 7% as compared to the prior year period.

David: The increase was primarily due.

David: Due to increased sales related to Harris flooring group brilliant brands, which was required acquired in the fourth quarter of fiscal year 2023.

David: Retail entertainment revenue of approximately $16 8 million decreased $2 3 million or 12, 2% as compared to the prior year period.

David Verret: Retail entertainment revenue of approximately $16.8 million decreased $2.3 million, or 12.2%, as compared to the prior year period. The decrease in revenue is primarily due to reduced consumer demand and a shift in sales mix towards used products, which generally have lower ticket sales with higher margins.

David: The decrease in revenue is primarily due to reduced consumer demand and a shift in sales mix towards used products, which generally have lower ticket sales with higher margins.

David: Retail flooring revenue for the quarter was approximately 32 million an increase of $11 3 million or 54, 2% compared to the prior year period.

David Verret: Retail flooring revenue for the quarter was approximately $32 million, an increase of $11.3 million or 54.2% compared to the prior year period. The increase is due to the acquisition of flooring liquidators in fiscal year 2023, as well as the acquisitions of CRO and Johnson in Q1 2024. Steel manufacturing revenue of approximately $35.5 million increased $15.6 million or 78.2% as compared to the prior year period. The increase is primarily due to increased revenue of approximately $18.3 million at PMW, partially offset by a $2.7 million decrease in the company's other steel manufacturing business. Corporate and other revenue was approximately $100,000, a decrease of $800,000 compared to the prior year period. The decrease is primarily due to the closure of SW Financial in May 2023.

David: The increase is due to the acquisition of flooring liquidators in fiscal year, 2023 as well as the acquisitions of <unk> and Johnson in Q1 2024.

David: Steel manufacturing revenue of approximately $35 5 million increased $15 6 million or 78, 2% as compared to the prior year period.

David: The increase was primarily due to increased revenue of approximately $18 3 million at P. M. W. Partially offset by $2 7 million decrease in the company's other steel manufacturing businesses.

David: Corporate and other revenue was approximately 100000, a decrease of 800000 compared to the prior year period.

David: The decrease was primarily due to the closure of S. W financial in May 2023.

David: Gross profit for the second quarter was $35 5 million from.

David Verret: Gross profit for the second quarter was $35.5 million, up from $31.6 million in the prior year period. However, the gross margin percentage for the company decreased to 29.9% from 34.7% in the prior year period. The decrease in gross margin is primarily due to the acquisition of PMW, which has historically generated lower margins, as well as overall decreased margins in the steel manufacturing segment due to general economic conditions impacting the industry. The decrease in gross margin was partially offset by the acquisition of foreign liquidators, which contributed a gross margin of 36.5% in the quarter.

From $31 6 million in the prior year period.

David: The gross margin percentage for the company decreased to 29, 9% from 34, 7% in the prior year period.

David: The decrease in gross margin is primarily due to the acquisition of P. M. W, which has historically generated lower margins as well as overall decreased margins in the steel and manufacturing segment due to general economic conditions impacting the industry.

David: The decrease in gross margin was off was partially offset by the acquisition of flooring liquidators, which contributed a gross margin of 36, 5% in the quarter.

David: General and administrative expense increased approximately $7 2 million to $29 8 million.

David Verret: General and administrative expense increased approximately $7.2 million to $29.8 million. The increase is primarily due to the acquisitions of liquidators and PMW, which collectively contributed an additional $6.4 million in general and administrative expense during the quarter. Sales and marketing expense increased approximately $2.4 million to $6.5 million. The increase is primarily due to increased sales personnel acquired in connection with the acquisition of Harris Flooring Group brands and increased convention and trade show activity in the flooring manufacturing segment. Interest expense increased by approximately $925,000 as compared to the prior year period.

David: The increase was primarily due to the acquisitions of flooring liquidators in P. M W, which collectively contributed an additional $6 4 million and general and administrative expense during the quarter.

David: Sales and marketing expense increased approximately $2 4 million to $6 5 million.

David: The increase was primarily due to increased sales personnel acquired in connection with the acquisition of Harris flooring group brands and increased convention and trade show activity and the flooring manufacturing segment.

David: Interest expense increased by approximately 925000 as compared to the prior year period the.

David Verret: The increase is primarily due to incremental debt incurred in connection with the acquisitions of flooring liquidators and PMWs. Net loss was approximately $3.3 million, and loss per share was $1.04 compared to net income of approximately $1.6 million and diluted EPS of $0.49 per share in the prior year period. This decrease is primarily attributable to the quarter's operating loss and higher interest expense.

David: The increase was primarily due to incremental debt incurred in connection with the acquisitions of flooring liquidators in P. M. W.

David: Net loss was approximately $3 3 million and loss per share was $1.04 compared to net income of approximately $1 6 million and diluted EPS of 49 cents per share in the prior year period.

David: This decrease is primarily attributable to the quarter's operating loss and higher interest expense.

David: Adjusted EBITDA for the second quarter was approximately $4 5 million a decrease of approximately $4 7 million compared to the prior year period.

David Verret: Adjusted EBITDA for the second quarter was approximately $4.5 million, a decrease of approximately $4.7 million compared to the prior year period. Turning to liquidity, we ended the quarter with total cash availability of $36 million, consisting of cash on hand at $4.5 million and availability under our various lines of credit totaling $31.5 million. Our working capital was approximately $78.8 million as of March 31st, 2024, compared to $85 million as of September 30th, 2023. Total assets were $433.9 million, and total stockholders' equity was $95.9 million as of March 31.

David: Turning to liquidity, we ended the quarter with total cash availability of 36 million consisting of cash on hand at $4 5 million and availability under our various lines of credit totaling $31 5 million.

David: Our working capital was approximately $78 8 million as of March 31, 2024, compared to 85 million as of September 32023.

David: Total assets were $433 9 million in total shock shock stockholders' equity was $95 9 million as of March 31.

David: As part of our capital allocation strategy, we may make share repurchases from time to time, we believe our stock repurchases represent long term value for our stockholders.

David Verret: As part of our capital allocation strategy, we may make share repurchases from time to time. We believe our stock repurchases represent long-term value for our stockholders. During the quarter, we repurchased 11,849 shares of common stock at an average price of approximately $25.16 per share. As of March 31st, the company had approximately $2.9 million available for repurchase under our repurchase program. In conclusion, we are pleased that our second quarter revenue increased by 30.2%.

David: During the quarter, we repurchased 11849 shares of common stock at an average price of approximately $25 16 per share.

David: As of March 31, the company had approximately $2 9 million available for repurchases under our repurchase program.

In.

David: We are pleased that our second quarter revenue increased 32%.

David Verret: Despite some challenging industry-specific headwinds, we are committed to adapting to market changes, maintaining operational efficiency, and enhancing customer satisfaction. As we navigate the current market conditions, we're confident about our business prospects and are steadfast in our commitment to our long-term strategy of buy, build, and hold. This approach underscores our belief in creating sustainable growth and value over time.

David: Despite some challenging industry specific headwinds, we are committed to adapting to market changes maintaining operational efficiency and enhancing customer satisfaction.

David: As we navigate the current market conditions, we're confident about our business prospects and are steadfast in our commitment to our long term strategy of buy build hold.

David: This approach underscores our belief in creating sustainable growth and value over time.

Jon Isaac: We will now take questions from those of you on the conference call. Operator, please open the line for questions. Yes, sir. At this time, if you would like to ask a question, please.

Speaker Change: We will now take questions from those of you on the conference call. Operator, Please open the line for questions.

Operator: Yes, sir. At this time, if you would like to ask a question, please press the star and 1 on your telephone keypad. You may remove yourself at any time by pressing star 2. Once again, that is star 1 to ask a question. We will pause for a moment to allow questions to queue.

Speaker Change: Yes, Sir at this time, if you would like to ask a question. Please press the star and one on your telephone keypad.

Speaker Change: You may remove yourself at any time the pricing start to once again that is star one to ask a question.

Speaker Change: We'll pause for a moment to allow questions to queue.

Speaker Change: Let's take the question from Joseph Please.

Operator: Let's take the question from Joseph, please.

Joseph: Yes, Sir.

Operator: We do have a question from Joseph Kowalski.

Joseph: I have a question from Joseph Colosky.

Joseph Colosky: Joseph <unk> investment partners.

Joseph Colosky: Hello, and good afternoon. Thanks for the information nice talking to you guys.

Joseph Kowalski: Hello and good afternoon. Thanks for the information. Good afternoon. Well, I'm very happy to hear about the increased revenue. I like the idea of having new products, but obviously, I'm not thrilled with losses as opposed to profits. But I have a couple questions specifically. Where do we stand on debt, and is there a timetable for the reduction of that debt? I mean, I know you said how much debt there was and so on, but I mean, what's your timetable? What's your thought on the timetable for the due date?

Joseph Colosky: Well I'm very happy to hear about the increased revenue I like the idea of having the new products, obviously, I'm not thrilled with losses as opposed to profits.

Joseph Colosky: But I have a couple of questions, specifically, where do we stand on that and is there a timetable for the reduction of that debt.

Joseph Colosky: I mean, I know you said, how much that there wasn't a lot, but I mean whats the whats your timetable what's your thought on the timetable for reducing the debt.

Joseph Colosky: Oh, well, we'll reduce debt as you know as the companies perform.

David Verret: Well, we'll reduce debt as the companies perform, provide cash, and really, they're lines of credit that we borrow as we need for current needs. But absent any future acquisitions, we're going to constantly look at our leverage ratio and just make the best decisions based on the leverage ratio and kind of what prospects we have out there in terms of acquisitions.

Joseph Colosky: [noise] provide cash and really their lines of credit that we borrow as we eat for current needs but.

Joseph Colosky: Absent any future acquisitions, I mean, we're gonna.

Joseph Colosky: Constantly look at our leverage ratio and just make the best decisions based on the leverage ratio and and and kind.

Joseph Colosky: Kind of what prospects, we have out there in terms of acquisitions.

Joseph Kowalski: Okay. I mean, I love having share buybacks, but I just wonder if it would be more prudent to focus more on debt reduction as opposed to share buybacks for the foreseeable future until things become more profitable. Is that, I presume that's part of the consideration.

Speaker Change: Okay, I mean I.

I love, having share buybacks, but I just wonder if.

Speaker Change: It would be more prudent to focus more on debt reduction.

Speaker Change: As opposed to share buybacks for the foreseeable future until things become more profitable is that I mean.

Speaker Change: I presume that's part of the consideration it.

David Verret: It is part of the consideration, and actually, the share repurchase program ends at the end of May. So that's something that we'll look at. We only repurchased eleven thousand eight hundred forty nine shares.

It is part of the consideration and actually the share repurchase program and as at the end of May.

Speaker Change: So that's something that we'll look at it we only repurchased 11849 shares.

Joseph Kowalski: Right, no, I saw that, yeah, I appreciate it. Yeah, exactly, so as David stated, we will make the right money allocation decisions as they come up. A lot of our debt is sub-market now anyway, you know, so we are getting some favorable rates in some areas and others not so much. But yes, we are keenly focused on debt refinancing as one of the places that we can invest our cash. All right, cool.

Speaker Change: Right no I saw that huge amount.

Speaker Change: Yes.

Speaker Change: So as David stated, we will make the right money allocation decisions as they come up a lot of our debt is sub market now anyway. So we are getting some favorable rates in some areas and others not so much but yes.

Speaker Change: We're keenly focused on debt repayment as one of the.

Speaker Change: The places that we can.

Speaker Change: Invest our cash.

Joseph Kowalski: So then, the other two questions that I had are: you mentioned that in the entertainment world, there were more secondary sales, which were lower sales, lower ticket sales with higher margins. Is it generally, in your opinion, to have higher margins even if the ticket sales are lower, or would you rather see higher ticket sales even if the margins are lower?

Speaker Change: Right cool so then.

Speaker Change: The other two questions that I had are you mentioned that within the entertainment World.

Speaker Change: There were more of the secondary sales with which were lower sales lower ticket sales with higher margins is.

Speaker Change: Is it generally.

Better in your opinions to have higher margins, even if the ticket sales are lower or would you rather see higher ticket sales, even if the margins are lower.

Speaker Change: I think we've or is that not something that youre directing yourself is this something that you just say well whats the market looking for and we have to do it.

Operator: I think we've lost him.

David Verret: That's probably the best case of what it is. I would characterize it like that, but higher margins are obviously preferable. But at the same time, we also have to offer new products, because they kind of go hand in hand. We're focused on them.

Speaker Change: That's probably the best case of what it is.

Speaker Change: We characterize it but higher margins is obviously.

Speaker Change: Preferable, but at the same time, we are also have to offer the new products because they kind of go hand in hand.

Speaker Change: We're focused on the bottom line.

Speaker Change: Joe, but as David stated, sometimes we have to sell the high ticket items in order to.

Speaker Change: Increase the momentum on the lower items for example, the vintage stock I know when the new console comes out we have to sell it even though we make very very little to make pennies on it.

David Verret: And we offer it because when we sell it, people end up, you know, psychologically, coming back to the same place where they bought the console, and they end up buying games, and they end up buying other items, and then they end up selling them back to us.

Joe: Gotcha, and we offered because when when when we sell it people end up.

Joe: Psychologically they come back to the same place they bought the console and they end up buying games and they end up buying other items and then they end up selling it back to us. So it's more of a service more than anything but to answer. Your question. We're more focused obviously on what brings returns to shareholders and what how do we maximize profitability with us.

David Verret: So it's more of a service more than anything. But to answer your question, we're more focused, obviously, on what brings returns to shareholders and how do we maximize profitability. Revenue is a great number to have, a great headline to have. But at the end of the day, it's all about earnings per share and the bottom line.

Joe: Revenue is a great number to have a great headline have but at the end of the day, it's all about earnings per share and bottom line.

Joseph Kowalski: Yeah, I'm suddenly reminded of the sales of Razorblades. You know, you see all these ads for Harry's and all these companies. They want to sell you their... Do you plan to, when you're looking for new companies to acquire, Are you looking more into areas that are similar to the companies that you have or in the areas of the companies that you have? Are you looking for any type of company that you think would be beneficial? Or is there some goal to have a certain scale in the companies that you have? I guess that's what I'm getting at.

Joe: Suddenly reminded of the sales of of razor blades.

Joe: You see all these add for Harris.

Joe: And I'll just.

Joe: Companies they want to sell you their there.

Joe: Holder.

Joe: The blades, because that's where the money is so it sounds it sounds similar.

Speaker Change: Yes, do you plan to when you are looking for new companies to acquire.

Speaker Change: Are you looking.

Speaker Change: More into areas that are.

Speaker Change:

Speaker Change: Like the companies that you have or any areas of the companies that you have are you looking for any type of company that you think would be beneficial.

Speaker Change: Or is there you know us.

Speaker Change: Is there some goal to have a certain scale of the companies that you have I guess is what I'm getting at yeah.

David Verret: Yeah, I don't know that we look for a particular industry. I think we look for what is out there and what makes sense. It happens that as we get into the carpet industry, we start getting a lot more opportunities that complement the businesses that we have, and to the extent that we can make our current investments even more profitable by adding on, I think that's also another positive. I think we're industry agnostic, but to the extent of complements we have, that's a bonus. Gotcha!

Speaker Change: Yeah, I don't know that we look for a particular industry I think we look for what is out there and what is it makes sense. It happens that as we get into the carpet industry. We have we start getting a lot more opportunities that complement the businesses that we have in and to the extent that we can make our current investments even.

Speaker Change: More profitable by by adding on I think that's also another positive, but I think we're industry agnostic.

Speaker Change: But to the extent of complements what we have that's all that's a bonus.

Speaker Change: Gotcha.

Speaker Change: I think.

Operator: [inaudible] Oh, the only last question I had is, and forgive me because I'm no accountant, but how does free cash flow play into all this? And do you have a timetable when you think profitability will be in hand?

Speaker Change: Oh, the only the last question I had is and forgive me because I'm no accountant, but.

Speaker Change: How does free cash flow play into all this.

Speaker Change: And do you have a timetable when you think profitability will be in hand.

Speaker Change: And then I'm done.

Speaker Change: So I mean.

David Verret: So, I mean, from an EBITDA standpoint, we'd like to be positive. When you're looking at free cash flow, I mean, I think we're in good shape. And even in today's market, when everybody is kind of having a little bit of hardships, we look at our peers, and we see that we're performing about the same, if not better, in certain circumstances as well. So I think we like how we're positioned. And when we start to see an uptick, I think that's going to just help across the board. Flip it over.

Speaker Change: From a from an EBITDA standpoint, we liked that were positive when youre looking at free cash flow I mean, I think we're we're in good shape and even in todays market when when we're.

Speaker Change: Everybody is kind of.

Speaker Change: Having a little bit of hardships we look at our peers, we see that we're performing.

Speaker Change: About the same if not better in certain circumstances as well so I think we like how we're positioned.

Speaker Change: And so when we start to see an up tick I think thats going to just help across the board but.

Speaker Change: Yeah.

Speaker Change: Yes.

Speaker Change: I don't know if it is specifically answered my question I was I mean look in my business I don't look for profits I look forward to doing the right things for customers and <unk>.

Joseph Kowalski: I don't know if it specifically answers my question. I mean, look, in my business, I don't look for profits. I look for doing the right things for customers, and the profits come along with that. And that's what I would expect that you guys would be doing as well. I certainly don't expect you to say, oh, yeah, we're going to profit at any cost because that's not profit in the long run as far as I'm concerned.

Speaker Change: Profits come along with that and Thats, what I would expect that you guys would be doing as well I certainly don't expect you to say Oh, yes, we're going to <unk>.

Speaker Change: Profit at any cost because that's not profit in the long run as far as I'm concerned right.

Joseph Kowalski: But I was just wondering if you had a vision or an idea based on your knowledge of the markets as far as when it appears that things would turn from losses to profits. Maybe you do, maybe you don't, I don't know.

Speaker Change: I was just wondering if you had a vision or an idea based on your knowledge of the markets as far as.

Speaker Change: It appears that things would turn from losses to profits.

Speaker Change: You do maybe you don't I don't know.

David Verret: No, no, I think, I mean, we're in different industries that are all kind of somewhat related but also have their own unique aspects. But when you're looking at the flooring business, I mean, interest rates. Interest rates are what drives consumer decisions. And so that's one of the things we're kind of keeping an eye on.

Speaker Change: Yeah.

I mean, we're in different industries that are all kind of.

Somewhat related but are but also have its own unique aspects but.

Speaker Change: When you're looking at the flooring business I mean, its interest rates.

Speaker Change: Interest rates is what drives consumer decision and and so that's one of the things we're kind of keeping an eye on when people are moving then they're replacing carpets.

David Verret: When people are moving, then they're replacing carpets. They're buying new carpets. When we're building new houses, then there are more carpets getting sold. But when the market is tight, interest rates are high, and liquidity is down for consumers, we're going to see less spending. And that kind of correlates even to the retail side, which on the retail side, on the entertainment side, was vintage. We see that people are spending less money because they have less free cash, but they're buying higher-margin items for us. So we're making up for it a little bit on the back end. So yeah, there are various things, just I think in general, manufacturing, interest rates, and just consumer sentiment.

Speaker Change: Brian New carpets win when we're building new houses than.

Speaker Change: Theres more carpets are getting sold when when the market is tight interest rates are high and liquidity is down on the consumers were going to see less spending.

Speaker Change: And that kind of even correlates even to the retail side, which you know on the retail side on the entertainment was a vintage we see that well people are spending less money because they have less free cash and and but what they are buying higher margin items for us. So we're making up for it a little bit.

Speaker Change: On the backend.

Speaker Change: So yes, they were kind of various things just I think in general manufacturing interest rates are and just consumer sentiment.

Joseph Kowalski: Alright, so I'll go talk to Jay Powell. Thank you very much. Let us know what he says.

Speaker Change: Alright, So I'll go talk to Jay Paul.

Speaker Change: Thank you very much.

David Verret: Let us know what he says. Thank you.

Speaker Change: So theres nobody says thank you.

Speaker Change: Okay.

Speaker Change: Yes.

Speaker Change: We have no further questions in the queue at this time.

Operator: We have no further questions in the queue at this time.

Speaker Change: Okay, well I'd like to thank everyone.

Jon Isaac: I'd like to thank everyone for calling in to the second quarter earnings call and look forward to talking with everyone next quarter. Thank you.

Speaker Change: For calling into the second quarter earnings call and look forward.

Speaker Change: Next quarter to talking with everyone. Thank you. Thank you.

Speaker Change: Yeah.

Speaker Change: This does conclude today's program. Thank you for your participation you may disconnect at any time.

Operator: This does conclude today's program. Thank you for your participation. You may disconnect at any time.

Speaker Change: Okay.

Speaker Change: Hum.

Speaker Change: Okay.

Speaker Change: Yes.

Speaker Change: Okay.

Speaker Change: Okay.

Speaker Change: Yes.