Snail Inc. Q2 2024 Earnings Call

Thank you for standing by and welcome to Mail, Inc. Second quarter 2024 earnings conference call and webcast.

Operator: Thank you for standing by, and welcome to Nail Inc.'s second quarter 2024 earnings conference call and webcast. Our participants will be in listen-only mode.

Operator: Thank you for standing by and welcome to Nailing second quarter 2024 earnings conference call and webcast. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero.

Speaker Change: All participants will be in listen only mode should you need assistance. Please signal a conference specialist by pressing the star key followed by zero.

Operator: Should you need assistance, please signal a content specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then 1 on your telephone keypad. To withdraw your question, please press star, then 2.

Operator: After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then one on your telephone keypad. To withdraw your question, please press star, then two. Please note this event is being recorded.

Speaker Change: After todays presentation, there will be an opportunity to ask question.

Speaker Change: To ask a question you May press Star then one on your telephone keypad to withdraw your question. Please press Star then two.

Operator: Please note this event is being recorded. I would now like to turn the call over to Brett Millot, Senior Vice President at ICR. Please go ahead.

Speaker Change: Please note this event is being recorded.

Brett Milott: I would now like to turn the call over to Brett Milott, Senior Vice President at ICR. Please go ahead.

Speaker Change: I would now like to turn the call over to Beth Malone Senior Vice President at ICR. Please go ahead.

Heidy Chow: Thank you. Good afternoon and welcome to Snail second quarter 2024 earnings conference call and webcast. On today's call, our Tony Town Snails co-cheap Executive Officer, Peter Kang, Chief Operating Officer, and Heidi Chow, Chief Financial Officer.

Brett Millot: Thank you. Good afternoon, and welcome to Snail's second quarter 2024 earnings conference call and webcast. On today's call are Tony Tan, Snail's Co-Chief Executive Officer, Peter Kang, Chief Operating Officer, and Heidi Chow, Chief Financial Officer. The company's second quarter 2024 earnings press release was filed today with the FTC after the U.S. stock markets closed, and it's available on the Investor Relations section of Snail's website. During this call, management may make forward-looking statements regarding future events and the future financial performance of the company. However, actual events and results may differ materially from our expectations, and forward-looking statements are subject to certain risks and uncertainties.

Beth Malone: Thank you good afternoon, and welcome to snail, second quarter 2034 earnings conference call and webcast.

Speaker Change: On today's call are Tony Chang sales co Chief Executive Officer, Peter King, Chief Operating Officer, and <unk> Chief Financial Officer.

Heidy Chow: The company's second quarter 2024 earnings press release was filed today with the FU key after the US stock markets closed, and it's available on the investor relations section of Snail's website. During this call, managing maybe four looking statements regarding future events and the future financial performance of the company. Actual events and results made different material with more expectations, and four looking statements are subject to certain risks and uncertainties. Please refer to the company's most recent Form 10-Q that was filed today with the FUC. The most recent Form 10-K that was filed with the FUC on April 1, 2024, and other SEC filings.

Speaker Change: The company's second quarter 234 earnings press release was filed today with the SEC after the U S stock markets closed and is available on the Investor Relations section of snails website.

Speaker Change: During this call management may make forward looking statements regarding future events and the future financial performance of the company.

Speaker Change: Actual events and results may differ materially from our expectations and forward looking statements are subject to certain risks and uncertainties. Please refer to the company's most recent Form 10-Q that was filed today with the SEC and most recent Form 10-K that was filed with the SEC on April one 2024, and other SEC filings.

Brett Millot: Please refer to the company's most recent Form 10-Q that was filed today with the SEC, the most recent Form 10-K that was filed with the SEC on April 1, 2024, and other SEC filings. The company makes these forward-looking statements as of today and disclaims any duty or obligation to update them or to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any statement is based.

Heidy Chow: The company makes these four looking statements as of today. It describes any due to obligation to update them or to release publicly any updates or revision to any four looking statements surfaced any change in its expectations or any change in events, conditions or circumstances, which any statement is based. Additionally, on today's call, you will refer to bookings and EBITDA, which are non-GAAP financial measures that provide useful information for the company's investors.

Speaker Change: The company makes these forward looking statements as of today and disclaims any duty or obligation to update them or to release publicly any updates or revisions to any forward looking statements to reflect any change in its expectations or any change in events conditions or circumstances, which any statement is based.

Brett Millot: Additionally, on today's call, we will refer to bookings and EBITDA, which are non-GAAP financial measures that provide useful information for the company's investors. You will find a historical reconciliation of bookings and EBITDA to the corresponding GAAP measures in the earnings press release and the company's SEC filing. Now, I will turn the call over to Heidi.

Speaker Change: On today's call, we will refer to bookings and EBITDA, which are non-GAAP financial measures provide useful information for the company as investors you will find the historical reconciliation of bookings and EBITDA to the corresponding GAAP measures in the earnings press release, and the company's SEC filings.

Heidy Chow: You will find a historical reconciliation of bookings in EBITDA to the corresponding gap measures in the earnings, press release, and the company's SEC filings.

Operator: All participants will be in listen only mode. Should you need assistance please signal a conference specialist by pressing the star key followed by zero.

Heidy Chow: And now, I will turn the call over to Heidi. Heidi?

Heidi: And now I will turn the call over to Heidi Heidi.

Heidy Chow: Good afternoon, everyone. And thank you for joining us today.

Speaker Change: Good afternoon, everyone.

Operator: After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad to withdraw your question, please press star then two. Please note this event is being recorded.

Heidi Chow: Good afternoon, everyone. And thank you for joining us today. I'm very excited to share with you our strong results this quarter. As we mentioned on our last quarter's conference call, Snail is both an incredibly passionate and skilled team, equipped with state-of-the-art technology and premier franchises such as Art, which have nurtured, engaged, and committed gaming community. We plan to continue to expand the horizon of what is achievable in the realm of interactive entertainment, enlightening our players across the globe.

Speaker Change: And thank you for joining us today.

Heidy Chow: I'm very excited to share with you all shortly South this quarter. As we mentioned on our last quarter's conference call, now both an incredibly passionate and skilled team equipped with failed art technology and premier franchises such as Art, which have nurtured, engaged and committed gaming communities. We plan to continue to expand the horizon of what is achievable in the realm of interactive entertainment, delighting our players across the globe. As we look to the future, I'm particularly excited about our plans to further leverage artificial intelligence across our development guidelines. The event AI technology in which we have the investing hold immersed potential to enhance our creativity and productivity, all while maintaining the premium qualities that our players have come to expect.

Heidi Heidi: Very excited to share with you our strongly felt this quarter.

Speaker Change: As we mentioned on our last quarter's conference call now Volta incredibly passionate fan.

Brett Milott: I would now like to turn the call over to Brett Milott, Senior Vice President at ICR. Please go ahead. Thank you.

Speaker Change: Equivalent to scale, our technology and premier franchises, such as art.

Speaker Change: We have metrics engaged and committed gaming community with.

Unknown Executive: Good afternoon and welcome to snail second quarter 2024 earnings conference call and webcast.

Speaker Change: We plan to continue to expand the horizon of what is achievable in the realm of interactive entertainment.

Unknown Executive: On today's call, our Tony town snails co-cheap executive officer, Peter Kang, Chief Operating Officer and Heidi Chow, Chief Financial Officer. The company's second quarter 2024 earnings press release was filed today with the FU key after the US stock markets closed and it's available on the investor relations section of snail's website. During this call, managing maybe four looking statements regarding future events and the future financial performance of the company. Actual events and results made different material with more expectations and four looking statements are subject to certain risks and uncertainties.

Speaker Change: In lighting, our players across the globe.

Speaker Change: As we look to the future I'm, particularly excited about our plans to further leverage artificial intelligence across all development pipelines.

Heidi Chow: As we look to the future, I'm particularly excited about our plans to further leverage artificial intelligence across our development pipeline. The advanced AI technology in which we have been investing holds tremendous potential to enhance our creativity and productivity, all while maintaining the premium quality that our players have come to expect. Our objective is to empower our talented human teams by providing them with these powerful AI tools rather than attempting to replace them.

Speaker Change: But I have been asked technology, Inc, which we have been investing hold immersed potential to enhance our creativity and productivity.

Speaker Change: All while maintaining the premium quality that our players have come to expect.

Unknown Executive: Please refer to the company's most recent form 10Q that was filed today with the FUC. The most recent form 10K that was filed with the FUC on April 1, 2024 and other SEC filings. The company makes these four looking statements as of today, it describes any due to obligation to update them or to release publicly any updates or revision to any four looking statements surfaced any change in its expectations or any change in events, conditions or circumstances, which any statement is based.

Heidy Chow: Our objective is to empower our talented human teams by providing them with these powerful AI tools rather than attempting to replace them.

Speaker Change: Our objective is to empower our calendar human teams by providing them with these powerful AI tools.

Speaker Change: Rather than attempting to replace that.

Speaker Change: Additionally, we are eager to capitalize on the line.

Heidy Chow: Additionally, we're either to capitalize on the widespread attention that our arc animated series is receiving due to the upcoming second half of the series' first season. With the gaming world, I focus on the Billa Finchide. We have a prime opportunity to engage new players and further energize our assisting community of dedicated arts fans.

Heidi Chow: Additionally, we're eager to capitalize on the widespread attention that our ARC animated series is receiving due to the upcoming second half of the series' first season. In the gaming world, I focus on the beloved franchise. We have a prime opportunity to engage new players and further energize our existing community of dedicated art fans. We have developed ambitious plans to expand the art universe that will delight both our long-standing players and newcomers alike. With that in mind, let's quickly review the quarters in numbers.

Speaker Change: Spread attention that our arc animated series.

Speaker Change: Assuming due to the upcoming second half of the series.

Unknown Executive: Additionally, on today's call, you will refer to bookings and EBITDA, which are non-gap financial measures that provide useful information for the company's investors. You will find a historical reconciliation of bookings in EBITDA to the corresponding gap measures in the earnings, press release and the company's SEC filings.

Speaker Change: Susan.

Speaker Change: With the gaming World I focus on the pillar Finch height.

Speaker Change: We have a prime opportunity to engage the meal plans and further energize our existing community of dedicated Oxfam.

Heidy Chow: And now, I will turn the call over to Heidi. Heidi?

Heidy Chow: We have developed ambitious plans to expand the arts universe in which that will delight both our long standing players and newcomers alike.

Speaker Change: We have to follow ambitious plans to expand the universe of few weeks that will delight, both our long standing players and new Congress alike.

Heidy Chow: Good afternoon, everyone. And thank you for joining us today. I'm very excited to share with you all shortly south this quarter. As we mentioned on our last quarter's conference call, now both an incredibly passionate and skilled team equipped with failed art technology and premier franchises such as art, which have nurtured, engaged and committed gaming communities. We plan to continue to expand the horizon of what is achievable in the realm of interactive entertainment, delighting our players across the globe.

Heidy Chow: With that, let's quickly review the quarters in numbers. Our art franchise continues to be an incredible success story. Through June 30, 2024, art has been played for 3.7 billion hours, with an average playing time per user of 161 hours. Additionally, as we highlighted last quarter, the top 21 percent of all players have spent over 100 hours immersed in the game, according to data from Scene. For the second quarter of 2024, Now generated net revenue of 21.6 million, up significantly from 9.9 million in the second quarter of 2023. Next income in the second quarter of 2024 was 2.3 million versus added net loss of 4.1 million in the second quarter of 2023.

Speaker Change: With that let's quickly review the quarter in numbers.

Speaker Change: Our franchise continues to be an incredible success story there.

Heidi Chow: Our art franchise continues to be an incredible success story. Through June 30, 2024, Art will have been played for 3.7 billion hours with an average playing time per user of 161 hours. Additionally, as we highlighted last quarter, the top 21% of all players have spent over 100 hours immersed in the game. According to data from, for the second quarter of 2024, it generated net revenue of $21.6 million, up significantly from $9.9 million in the second quarter of 2023.

Speaker Change: At June 32020, before or has been in place for $3 7 billion hours with an average playing time per user of 161 hour.

Speaker Change: Additionally, as we highlighted last quarter.

Heidy Chow: As we look to the future, I'm particularly excited about our plans to further leverage artificial intelligence across our development guidelines. The event AI technology in which we have the investing hold immersed potential to enhance our creativity and productivity, all while maintaining the premium qualities that our players have come to expect. Our objective is to empower our talented human teams by providing them with these powerful AI tools rather than attempting to replace them.

Speaker Change: 21% of all players have spent over 100 hours in births in the game according to data from Spain.

Speaker Change: For the second quarter of 2024 now generated net revenue of 21 6 million.

Significantly from $9 9 million in the second quarter of 2023.

Heidi Chow: Net income in the second quarter of 2024 was $2.3 million versus a net loss of $4.1 million in the second quarter of 2023, primarily driven by the successful launch of the new survival game Bell Rites, new DLC for art survival Ascended, The Power Ranger premium model, and revenue recognition for the release of the Scorch Earth DLC on Ark Survival Ascendant. I will now hand the call over to Peter Kang, our Chief Operating Officer, to review our product roadmap and share some key developments. Hello everyone.

Speaker Change: Net income in the second quarter of 2024 was 2.3 pneumonia versus other than that loss of $4 1 million in the second quarter of 2023.

Peter Kang: Primarily driven by the successful launch of new survival game, Bell Wright, new DLC for art survival ascended. The power ranger premium model and revenue recognition for the release of the scorcher or CLC Art Survival Ascended.

Speaker Change: Primarily driven by the successful launch of new survival game, Bel Ray Neil <unk> CFO art survival ascended.

Heidy Chow: Additionally, we're either to capitalize on the widespread attention that our arc animated series is receiving due to the upcoming second half of the series first season. With the gaming world I focus on the Billa Finchide, we have a prime opportunity to engage new players and further energize our assisting community of dedicated arts fans. We have developed ambitious plans to expand the arts universe in which that will delight both our long standing players and newcomers alike.

Speaker Change: The power range of premium market and revenue recognition for the release of the scorched Earth plc arc survival offended.

Peter Kang: I will now hand the call over to Peter Kim, our Chief Operating Officer, to reveal a powdered roadmap and share some key developments. Hello, everyone. In the second quarter of 2024, Donkey Crew released the survival simulation titled Bell Wright into early access on scheme to ray reviews. With over 77% of the reviews giving a positive score and the overall review score on scene being mostly positive, we have sold over 300,000 units and the wishlist clown for the game covers around 900,000. We plan to continue to add content to the game and fulfill our vision for the product to set new heights of expectations for a game in this genre.

Speaker Change: I will now hand, the call over to Peter Kim Our Chief operating officer.

Peter Kim: Our product roadmap and share some key developments.

Speaker Change: Hello, everyone in the second quarter of 2024, Funky crew released a survival simulation titled Bill rate into early access on scheme to rave reviews.

Peter Kang: In the second quarter of 2024, Donkey Crew released the survival simulation titled Bell Rites into early access on Steam to rave reviews. With over 77% of the reviews giving a positive score, and the overall review score on Steam being mostly positive, we have sold over 300,000 units, and the wishlist count for the game hovers around 900,000. We plan to continue to add content to the game and fulfill our vision for the product to set new heights of expectations for a game in this genre.

Peter Kim: With over 77% of the review is giving you a positive score and the overall review score on theme being mostly positive.

Heidy Chow: With that, let's quickly review the quarters in numbers. Our art franchise continue to be an incredible success story. Through June 30, 2024, art has been played for 3.7 billion hours with an average playing time per user of 161 hours. Additionally, as we highlighted last quarter, the top 21 percent of all players have spent over 100 hours immersed in the game according to data from scene. For the second quarter of 2024, now generated net revenue of 21.6 million, up significantly from 9.9 million in the second quarter of 2023.

Speaker Change: <unk> sold over 300000 units and the wish list for the game hovers around 900000, we plan to continue to add content into the game and fulfill our vision for the product to new heights of expectations, where he gained and the stronger we look forward to a large content update in Q4 of 2020 for which we.

Peter Kang: We look forward to a large content update in Q4 of 2024, which will be very exciting for fans and wishlist holders of the title.

Peter Kang: We look forward to a large content update in Q4 of 2024, which will be very exciting for fans and wishlist holders of the title. Additionally, our indie publishing label, Wondering Wizard, is pushing ahead full steam with our plans to expand our publishing catalog. We have signed two additional games in Q2 of 2024 to be released at the end of 2024 and the beginning of 2025. The first project is titled The Cecil, The Journey Begins, a horror game set in the legendary Cecil Hotel in Los Angeles and developed by Genie Interactive Games. The second title is named Chasmo Fear, another horror FPS game developed by two brothers in Macedonia under the Misty Dove banner.

Speaker Change: I'll be very exciting for fans and wishlist holders of the title.

Peter Kang: Additionally, our indie publishing label Wondering Wizard is pushing ahead full steam with our plans to expand our publishing catalog. We have signed two additional games and Q2 of 2024 to be released at the end of 2024 and beginning of 2025. The first project is titled The Cecil, the journey begins. A horror game set in the legendary Cecil Hotel in Los Angeles and developed by Genie Interactive Games. The second title is named Chazmofir, another horror FPS game developed by two brothers in Macedonia under the Missy Dev banner. With plans to add eight more titles to our upcoming slate by the end of 2024, wondering whether it continues to seek out new projects with a focus on quality gameplay and the defined march.

Speaker Change: Additionally, our indie publishing label wondering Wizard is pushing ahead full steam with our plans to expand our publishing catalog. We have signed two additional games in Q2 of 2024 could be released at the end of 2024 and beginning of 2025. The first project is titled the seasonal the journey.

Heidy Chow: Next income in the second quarter of 2024 was 2.3 million versus added net loss of 4.1 million in the second quarter of 2023. Primarily driven by the successful launch of new survival game, Bell Wright, new DLC for art survival ascended. The power ranger premium model and revenue recognition for the release of the scorcher or CLC art survival ascended.

Speaker Change: Begin.

Speaker Change: The horror game set in the legendary Cecil Hotel in Los Angeles, and developed by Genie Interactive game.

Speaker Change: Second title was named Chad more fear another horror Fps game developed by two brothers and Macedonia under the <unk> banner with plans to add eight more titles to our upcoming slate by the end of 2024 wondering was there continues to seek out new projects with a focus on quality gameplay and a defined market.

Peter Kang: With plans to add eight more titles to our upcoming slate by the end of 2024, Wandering Wizard continues to seek out new projects with a focus on quality gameplay and a defined market. Internally, at Snail Games USA, we have five projects in development. On August 15th, Project Hermes will unveil a first glimpse at pre-rendered footage, and we will be unveiling the project's commercial title in a first-look developer interview with Game Director Primus Majda. Next, we have Project Aether and Project Ares. Both will be projects set in Eastern fantasy.

Peter Kang: Thank you.

Speaker Change: Internally, yes snail games USA, we have five projects in development on August 15th project Hermes, We unveil our first peak pre rendered footage and we will be building the projects commercial title and a first look developer interview with game director of premise Mazda.

Peter Kang: Currently at Snail Games USA, we have five projects in development. On August 15th, Project Hermes will unveil a first peak at pre-rendered footage, and we will be unveiling the project's commercial title in a first-look developer interview with Game Director Primus Magda. Next, we have Project Ather and Project Aries. Both will be Project Set and Eastern Fantasy. These two projects will be familiar to fans of Snail Games as they will tap into one of our well-known original IPs. Project Ather will be a multiplayer experience, while Project Aries will gravitate with those seeking an AAA Eastern Fantasy RPG experience.

Peter Kang: These two projects will be familiar to fans of Snail Games, as they will tap into one of our well-known original IPs. Project Aether will be a multiplayer experience, while Project Ares will appeal to those seeking an AAA Eastern Fantasy RPG experience. We also have Project Poseidon, which will be very exciting for fans of Snail Games as it will be set in a franchise that is very familiar to our audience. Last but not least, we have Project Dionysus, which is a new IP we are very excited about. Project Dionysus will explore a unique genre of games that is emerging in popularity.

Peter Kang: I will now hand the call over to Peter Kim, our chief operating officer to reveal a powdered roadmap and share some key developments. Hello, everyone. In the second quarter of 2024, Donkey Crew released the survival simulation titled Bell Wright into early access on scheme to ray reviews. With over 77% of the reviews giving a positive score and the overall review score on scene being mostly positive, we have sold over 300,000 units and the wishlist clown for the game covers around 900,000. We plan to continue to add content to the game and fulfill our vision for the product to set new heights of expectations for a game in this genre.

Speaker Change: We have project either in project Aries, both will be projects set an eastern fantasy.

Speaker Change: These two projects will be familiar to fans of snow games as they will cut into one of our well known original IP.

Speaker Change: Patrick day, there will be a multiplayer experience.

Speaker Change: Aries will gravitate would those seeking and AAA eastern fantasy RPG experience. We also have project Poseidon, which will be very exciting for fans of snail games as it will be set in the franchise that is very familiar to our audience.

Peter Kang: We also have Project Poseidon, which will be very exciting for fans of Snail Games as it will be set in the franchise that is very familiar to our audience. Last but not least is Project Dionysus, which is a new IP we are very excited about. Project Dionysus will explore a unique genre of games that is emerging in popularity.

Peter Kang: We look forward to a large content update in Q4 of 2024, which will be very exciting for fans and wishlist holders of the title. Additionally, our indie publishing label wondering wizard is pushing ahead full steam with our plans to expand our publishing catalog. We have signed two additional games and Q2 of 2024 to be released at the end of 2024 and beginning of 2025. The first project is titled the Cecil, the journey begins.

Speaker Change: Last but not least this project Dionysus, which is the new IP. We are very excited about project Dionysus will explore a unique genre of games that is emerging in popularity more information will be released about these projects in development as they become ready for our fans keeping an eye out on her news feed for updates.

Peter Kang: More information will be released about these projects and development as they become ready for our fans. Keep an eye out on our new speed for updates. Turning to our survival ascended, the development timeline has settled down into a cadence of a new DLC every three months. This is up on the previously stated two months as we define in more detail the amount of content we want to present in each DLC. We are looking forward to asset content catching up to that of our Survival Evolved and hope to be presenting new content in the future.

Peter Kang: More information will be released about these projects and developments as they become ready for our fans. Keep an eye out on our news feed for updates. Turning to Arc Survival Ascended, the development timeline has settled down into a cadence of a new DLC every three months. This is up from the previously stated two months as we define in more detail the amount of content we want to present in each DLC. We're looking forward to ASA's content catching up to that of Ark Survival Evolved and hope to be presenting new content in the future.

Speaker Change: Turning to our survival attended the development timeline has settled down into a cadence of new DLC every three months. This.

Peter Kang: A horror game set in the legendary Cecil hotel in Los Angeles and developed by Genie Interactive Games. The second title is named Chazmofir, another horror FPS game developed by two brothers in Macedonia under the Missy Dev banner. With plans to add eight more titles to our upcoming slate by the end of 2024, wondering whether it continues to seek out new projects with a focus on quality gameplay and the defined march.

Speaker Change: This is up from the previously stated two months as we defined in more detail the amount of content, we want to present in each DLC. We're.

Speaker Change: We're looking forward to asses constant catching up to that have worked survival evolved and hope to be presenting new content in the future.

Peter Kang: Regarding our two, the development is still ongoing, and we will be releasing news about the project as soon as more information becomes available.

Peter Kang: Regarding R2, the development is still ongoing, and we will be releasing news about the project as soon as more information becomes available. Lastly, ARK, the animated series, is looking forward to the release of the second part of season one. With episodes 7 through 13 on the slate, fans of the ARK franchise can look forward to more dino battles as the storyline continues to develop. I will now pass the call off to Heidi to discuss our financial results in more detail. Heidi said,

Speaker Change: Regarding our two the development is still ongoing and we will be releasing news about the project as soon as more information becomes available.

Peter Kang: Thank you. Currently at Snail Games USA, we have five projects in development.

Peter Kang: Lastly, ARC, the animated series, is looking forward to the release of the second part of season 1. With episode 7 through 13 on the slate, fans of the ARC franchise can look forward to more dyno battles as the storyline continues development.

Speaker Change: Lastly arc the animated series is looking forward to the release of the second part of season, one with episode seven through 13 on the slate fans of the art franchise can look forward to more Dino battles as the storyline continues development.

Peter Kang: On August 15th, Project Hermes will unveil a first peak at pre-rendered footage, and we will be unveiling the project's commercial title in a first-look developer interview with Game Director Primus Magda. Next, we have Project Ather and Project Aries. Both will be Project Set and Eastern Fantasy. These two projects will be familiar to fans of Snail Games as they will tap into one of our well-known original IPs. Project Ather will be a multiplayer experience while Project Aries will gravitate with those seeking and AAA Eastern Fantasy RPG experience. We also have Project Poseidon, which will be very exciting for fans of Snail Games as it will be set in the franchise that is very familiar to our audience.

Heidy Chow: I will now pass the call off to Heidi to discuss our financial results in more detail. Heidi?

Now I'll pass the call off to Hardy to discuss our financial results in more detail I D.

Heidy Chow: Thank you, Peter. As mentioned, net revenue for the three months ended June 30, 2024, was 21.6 million as compared to 9.9 million in the three months ended June 30, 2023. Similar to Q1, the strong increase in net revenues was primarily due to the release of ARC Survival Appended on October 25, 2023.

Hardy: Thank you Peter.

Heidi Chow: Thank you, Peter. As mentioned, net revenue for the three months ended June 30, 2024 was $21.6 million as compared to $9.9 million for the three months ended June 30, 2023. Similar to Q1, the strong increase in net revenue was primarily due to the release of ARC Survival Ascendant on October 25, 2023. As a reminder, to properly account for revenues from sales, we must recognize revenue over time rather than all at once.

Hardy: As mentioned net revenue for the three months ended June 30 of 2024 was $21 6 million as compared to $9 9 million in the three months ended June 30 of 2023.

Hardy: Similar to Q1, the strong increase in net revenues was primarily due to the release of our survival ascended on October 27 2023.

Heidy Chow: As a reminder, to public account for revenues from sales, now must recognize revenue over time, rather than all at once. This involves estimating when we will deliver the full game experience to customers through the transfer of the game license, downloadable content, technical support obligations, and how long we estimate that player will be engaged with our games. The timing of future game updates and content releases is based on projection of when our developer will hit certain milestones. However, those estimates can change if the developer meets unexpected delays or if the game platform requirements shift up and expect it.

Hardy: As a reminder to properly account for revenue from sales.

Peter Kang: Last but not least is Project Dionysus, which is a new IP we are very excited about. Project Dionysus will explore a unique genre of games that is emerging in popularity. More information will be released about these projects and development as they become ready for our fans. Keep an eye out on our new speed for updates.

Heidi Chow: This involves estimating when we will deliver the full game experience to customers through the transfer of the game license, downloadable content, technical support obligations, and how long we estimate that players will be engaged with our game. The timing of future game updates and content releases is based on projections of when our developers will hit certain milestones. However, those estimates can change if developers meet unexpected delays or if the game platform requirements shift unexpectedly.

Hardy: Now lets you recognize revenue over time.

Speaker Change: Rather than all at once.

Speaker Change: It doesn't involve estimated when we will deliver the full game experience to our customers through the transfer of the license.

Speaker Change: <unk> content technical support obligations and how long, we estimate that clay <unk> and engage with our games.

Peter Kang: Turning to our survival ascended, the development timeline has settled down into a cadence of a new DLC every three months. This is up on the previously stated two months as we define in more detail the amount of content we want to present in each DLC. We are looking forward to asset content catching up to that of our survival evolved and hope to be presenting new content in the future. Regarding our two, the development is still ongoing and we will be releasing news about the project as soon as more information becomes available.

Speaker Change: The timing of future game updates and content releases is based on projections of when how dybala burn will hit sort of milestone.

Speaker Change: However, those estimate can change is develop our meet unexpected delays or if the game platform requirements shifts unexpectedly.

Speaker Change: Essentially probably accounting for all gain revenue overtime involve making projections that are subject to change based on development milestones.

Heidi Chow: Essentially, public accounting for our gain revenue over time involves making projections that are subject to change based on development milestones. The Estimated Service Period of Virtual Goods and Market Conditions This can affect the timing of our revenue recognition each period and can cause the deferral of significant revenues into future quarters. With that in mind, let's get into some of our other results. Net income for the three months ended June 30, 2024 was $2.3 million, compared to a net loss of $4.1 million for the three months ended June 30, 2023. This improvement in net income was driven by increased revenues and continued cost-cutting efforts in our general and administrative operating expenses.

Heidy Chow: Heidy Chow, Peter Kang, Heidy Chow, Heidy Chow, Peter Kang, Heidy Chow. A significant increase in EBITDA was due to an increase in that income of 6.4 million and an increase in the company's tax provision for the income taxes of 1.7 million. As of June 30, of 2024, a restricted cash and cash equivalent was 15.5 million.

Peter Kang: Lastly, ARC, the animated series is looking forward to the release of the second part of season 1. With episode 7 through 13 on the slate, fans of the ARC franchise can look forward to more dyno battles as the storyline continues development.

Speaker Change: The estimated service period.

Speaker Change: Virtual goods and market condition.

Speaker Change: This can affect the timing of our revenue recognition each period and Ken caused the deferral of significant revenue into future quarters.

Heidy Chow: I will now pass the call off to Heidi to discuss our financial results in more detail. Heidi? Thank you, Peter. As mentioned, net revenue for the three months ended June 30, 2024 was 21.6 million as compared to 9.9 million in the three months ended June 30, 2023. Similar to Q1, the strong increase in net revenues was primarily due to the release of ARC Survival Appended on October 25, 2023. As a reminder, to public account for revenues from sales, now must recognize revenue over time, rather than all at once.

Speaker Change: With that in mind.

Speaker Change: Get into some of our other results.

Speaker Change: Net income for the three months ended June 32024 was $2 3 million compared to a net loss of $12 1 million for the three months ended June 32023.

Speaker Change: This improvement in net income was driven by increased revenue and continued cost cutting efforts in our general and administrative operating expenses.

Speaker Change: Well. Thanks for the three months ended June 32024 was $22 9 million as compared to 9.3 pneumonia for the three months ended June 32023.

Heidi Chow: So things for the three months ended June 30th, 2024 were $22.9 million as compared to $9.3 million for the three months ended June 30th, 2023. The 13.6 million or 146.7% increase in revenue is due mainly to the release of Ark Survival Ascendant in the fourth quarter of 2023 as well as the release of Bob's Tall Tales and Bell Rite along with the Ark Survival Ascendant DLC Forge Earth in April 2024. In addition to the increased sales of the aforementioned titles, the company deferred approximately 7.1 million in revenue during the three months ended June 30, 2024 for the ARC Survival Extended DLC and part of Bob's Tall Tales, which have not yet been released, partially offset by the recognition of $5.6 million for the release of Scorched Earth. Earnings before interest, taxes, depreciation, and amortization were $3.1 million versus a loss of $4.8 million in the prior year period.

Heidy Chow: This involves estimating when we will deliver the full game experience to customers through the transfer of the game license, downloadable content, technical support obligations, and how long we estimate that player will be engaged with our games. The timing of future game updates and content releases is based on projection of when our developer will hit certain milestones. However, those estimates can change if the developer meets unexpected delays or if the game platform requirements shift up and expect it.

Speaker Change: The $13 six 146, 7%.

Speaker Change: Increase in revenue is due mainly to the release of our survival assumed that in the fourth quarter of 2023 as well as the release of Bob Pop Health and Bel Ray along with the arc survival ascended DLC.

Speaker Change: In April 2024.

In addition to the increased sales of the aforementioned titles the company deferred approximately $7 1 million in revenue during the three months ended June 32024 for the Ark survival of setting that DLC and part of the boss pop health, which have not yet been released.

Heidy Chow: Heidy Chow, Peter Kang, Heidy Chow, Heidy Chow, Peter Kang, Heidy Chow, A significant increase in EBITDA was due to an increase in that income of 6.4 million, and an increase in the company's tax provision for the income taxes of 1.7 million. As of June 30, of 2024, a restricted cash and cash equivalent was 15.5 million.

Speaker Change: Partially offset by the recognition of $5 six munis for the release of scorched Earth.

Speaker Change: Earnings before interest taxes, depreciation and amortization was $3 1 million versus a loss of $4 8 million in the prior year period.

Speaker Change: The significant increase in EBITDA was due to an increase in net income of $6 4 million and an increase in the company's tax provision for the income taxes of $1 7 million.

Operator: The significant increase in EBITDA was due to an increase in net income of $6.4 million and an increase in the company's tax provision for income taxes of $1.7 million. As of June 30, 2024, the company's unrestricted cash and cash equivalents was $15.5 million. To review our detailed financial statements, please refer to the earlier press release and our most recently filed Form 10-Q, which was filed today with the SEC. Thank you for joining us today, everyone. We will now open the call to questions. Operator, Thank you. We will now begin the question and answer session. To join the question queue, you may press star, then one on your touchtone phone.

Speaker Change: As of June 30 of 2020 for unrestricted cash and cash equivalents was $15 5 million.

Heidy Chow: To review our detailed financial statements, please refer to the earnings press release in our most recently filed Form 10-K, which was filed today with the SEC.

Speaker Change: Sure.

Speaker Change: Detailed financial statements. Please refer to the earnings press release, and our most recently filed Form 10-Q, which was filed today with the SEC.

Heidy Chow: Thank you for joining us today, everyone.

Speaker Change: Thank you for joining us today, everyone. We will now open the call to questions.

Operator: We will now open the call to questions.

Operator: Operator?

Speaker Change: Operator.

Operator: Thank you. We will now begin the question and answer session. To join the question queue, you may press star, then one on your touchtone phone. If you are using a speaker phone, please pick up your handsets before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star, then two.

Speaker Change: Thank you.

Speaker Change: We will now begin the question and answer session.

Speaker Change: He joined the question queue you May Press Star then one on your Touchtone phone.

Operator: If you're using a speakerphone, please pick up your handset before pressing the keys. If at any time your question has been answered and you would like to withdraw your question, please press star, then two. The first question comes from Pat McCann with Noble Capital Markets. Please go ahead.

Speaker Change: Youre using a speakerphone please pick up your handset before pressing the Keith if at any time. Your question has been addressed and you would like to withdraw your question. Please press Star then two.

Patrick McCann: The first question comes from Pat McCann, with Noble Capital Markets. Please go ahead.

Speaker Change: The first question comes from Pat Mccann with Noble capital markets. Please go ahead.

Patrick McCann: Good afternoon, and thanks for taking my questions. My first question has to do with the ARP Survival Assended Adoption. As I think you mentioned before, there were some technological disconnects between the potential user base of AFA and the game based on the processing power that's necessary to run such a complex game on Unreal Engine 5. I was wondering could you provide an update to how the adoption of that game is trending, and have there been any changes to your expectations for the adoption period for that game as far as the quarters going out several quarters and the adoption period may be taking a little longer than originally expected because some users don't have the high-end PC.

Pat McCann: Good afternoon, and thanks for taking my questions.

Patrick McCann: Good afternoon, and thanks for taking my questions. My first question has to do with the Ark Survival Ascended adoption. As I think you've mentioned before, there was some technological disconnect between the potential user base of ASA and the game, you know, based on the processing power that's necessary to run such a complex game on Unreal Engine five. I was wondering, could you provide an update on how the adoption of that game is trending?

Speaker Change: First question is has to do with.

Speaker Change: The arc survival ascended adoption.

Speaker Change: As I think you've mentioned before there were some technological disconnects between the potential user base of Esa.

Speaker Change: And the game based on the processing power that is necessary to run such a complex game on Unreal engine. Five I was wondering could you provide an update to how the adoption of that game is trending and have have there been any changes to your expectations for the adoption period for that game as far as.

Patrick McCann: And have there been any changes to your expectations for the adoption period for that game as far as, you know, the the quarters, you know, going out, you know, several quarters, and the adoption period may be taking a little longer than originally expected because some users don't have the high-end PCs? How is that going?

Speaker Change: The the quarters.

Speaker Change: Going out several quarters and the adoption period, maybe taking a little longer than originally expected because some users don't have the.

Speaker Change: The high end PC.

Heidy Chow: To review our detailed financial statements, please refer to the earnings press release in our most recently filed form tank queue, which was filed today with the SEC.

Peter Kang: How is that going? Is that going as expected, or any changes there?

Speaker Change: Is that how is that going is that going as expected or any changes there.

Peter Kang: Is that going as expected, or any changes there? Hi, this is Peter Kang. I'll be answering this question. Great question.

Peter Kang: Hi, this is Peter Kang. I'll be answering this question. Great question. I believe last time when I spoke on this topic it was regarding the technological adoption rate. There's another factor that also contributes to the adoption rate, and that is the catch-up of content from ARC Survival Evolved to ARC Assended. As we release more DOC and ARC Assended, the adoption rate we certainly do see an increase. We know this by the average concurrent users on both games. We slowly see the amount of ARC Ascended while ARC Survival Evolved is decreasing at a similar rate. As far as technologically, the case with the graphics cards, well that factor is contributed and compounded also by the adoption of AI and the usage of these same graphics cards keeping the price high.

Speaker Change: Hi, This is Peter King will be answering this question.

Speaker Change: Question.

Unknown Executive: Thank you for joining us today, everyone.

Peter King: I believe last time when I spoke on this topic.

Operator: We will now open the call to questions. Operator? Thank you.

Peter Kang: You know, I believe the last time when I spoke about this topic, it was regarding the technological adoption rate. There's another factor that also contributes to the adoption rate. And that is the catch-up of content from our Survival Evolved to ARK Ascended. So, as we release more DLCs in ARK Ascended, the adoption rate, we certainly do see an increase. We know this by the average concurrent users on both games. We slowly see the amount of ARK Survival Ascended increasing while ARK Survival Evolved is decreasing at a similar rate. As far as technologically, the case with the graphics cards, Well, that factor is contributed to and compounded also by the adoption of AI and the usage of these same graphics cards, keeping the price high.

Peter King: Regarding the technological adoption rate.

Peter King: There is another factor that also contributes the adoption rate and that is.

Operator: We will now begin the question and answer session. To join the question queue, you may press star then one on your touchtone phone. If you are using a speaker phone, please pick up your handsets before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star then two.

Speaker Change: The catch up of content from arc.

Speaker Change: Survival evolved to Argus ended.

Speaker Change: So as we release more DLC and ARCUS ended.

Speaker Change: The adoption rate, we certainly do see an increase.

Speaker Change: We know this but the average concurrent users on both games, we slowly see the amount of Argos.

Patrick McCann: The first question comes from Pat McCann, with Noble Capital Markets. Please go ahead. Good afternoon and thanks for taking my questions.

Speaker Change: Rival ascended increasing well arc survival evolve is.

Speaker Change: Decreasing at a similar rate.

Peter Kang: My first question has to do with the ARP Survival Assended Adoption. As I think you mentioned before, there were some technological disconnects between the potential user base of AFA and the game based on the processing power that's necessary to run such a complex game on Unreal Engine 5. I was wondering could you provide an update to how the adoption of that game is trending and have there been any changes to your expectations for the adoption period for that game as far as the quarters going out several quarters and the adoption period may be taking a little longer than originally expected because some users don't have the high-end PC. How is that going? Is that going as expected or any changes there?

Speaker Change: As far as technologically.

Speaker Change: The case with the graphics.

Speaker Change: Cards.

Speaker Change: Well that factor has contributed and compounded also.

Speaker Change: By the adoption of AI and the usage of these same graphics cards, keeping the price high.

Peter Kang: So we do have hurdles, but in order for us to overcome this, we have also started some development projects that will alleviate this concern by adding more content over time to ARC Survival Evolved.

Speaker Change: We do have hurdles, but.

Speaker Change: In order for us to overcome this we have also.

Speaker Change: Started some development projects that will alleviate this concern by adding more content over time to our survival default.

Patrick McCann: Great, thanks for that. And then my next question I guess I should say was, just if we could piggyback on that question with the technological gap, would it be fair to look at the launch of ARC2, which of course you haven't stated exactly when that will happen, but out in the future, would it be fair to sort of look at the ASA adoption rate and crossing that technological barrier as kind of a leading indicator for the timing of ARC2 since you sort of have to cross that, you might want to cross that barrier first before you launch the next big launch.

Speaker Change: Great. Thanks, Thanks for that.

Peter Kang: So, we do have hurdles, but in order for us to overcome them, we have also started some development projects that will alleviate this concern by adding more content over time to Arc Survival Evolves. Great, thanks. Thanks for that. And then my other question, or my next question, I guess I should say was just if we could piggyback on that question with the technological gap, would it be fair to look at the launch of arc, which, of course, you haven't stated, you know, exactly when that will happen, but you know, out in the future, would it be fair to sort of look at the ASA adoption rate and crossing that technological barrier as Absolutely, and that's a very astute point of view to notice.

Speaker Change: And then.

Speaker Change: My other question or my next question I guess I should say was just if we could piggyback on that question with the technological gap.

Speaker Change: Or would it be fair to look at the launch of arc, two which of course, you haven't stated exactly when that will happen, but out in the future.

Peter Kang: Hi, this is Peter Kang, I'll be answering this question. Great question. I believe last time when I spoke on this topic it was regarding the technological adoption rate. There's another factor of that also contributes to adoption rate and that is the catch-up of content from ARC Survival Evolved to ARC Assended. As we release more DOC and ARC Assended, the adoption rate we certainly do see an increase. We know this by the average concurrent users on both games.

Speaker Change: Would it be fair to sort of look at the ASC adoption rate and crossing that technological barrier as as kind of a leading indicator for.

Speaker Change: The timing of arc two since you sort of have to cross that you might want to cross that barrier first before you launch the next.

Speaker Change: Next big launch.

Peter Kang: Page. Absolutely, and that's a very astute point of view to notice. We are using ARC ascended as an indicator on mass adoption for Unreal 5 game engine on a multiplayer gameplay. So yes, you're absolutely right. Once we see that the mass market is ready to accept an Unreal Engine 5 in a multiplayer environment able to process with the right computing power, that will give us the right market window to launch ARC 2.

Speaker Change: Absolutely and that's a very astute point of view to notice.

Peter Kang: We are using ARC Ascended as an indicator of mass adoption for the Unreal 5 game engine in multiplayer gameplay. So, yes, you're absolutely right. Once we see that the mass market is ready to accept an Unreal Engine 5 in a multiplayer environment, able to process with the right computing power, that will give us the right market window to launch ARC 2.

Speaker Change: We are using arc ascended as an indicator on mass adoption for Unreal Fives game engine on a multi player game play.

Peter Kang: We slowly see the amount of ARC Assended while ARC Survival Evolved is decreasing at a similar rate. As far as technologically the case with the graphics cards, well that factor is contributed and compounded also by the adoption of AI and the usage of these same graphics cards keeping the price high. So we do have hurdles, but in order for us to overcome this we have also started some development projects that will alleviate this concern by adding more content over time to ARC Survival Evolved.

So, yes, you're absolutely right once we see that the mass market is ready to accept that unreal engine five in a multiplayer environment able to process.

Speaker Change: The right computing power that will give us the right market window to launch our two.

Speaker Change: Great and if I, if I could just squeeze in one more I was just wondering if you could give any update on how the marketing program is going is word of that spreading and on the other hand has there been any pushback from users.

Patrick McCann: Great. And if I could squeeze in one more, I was just wondering if you could give any update on how the modding program is going. Is word of that spreading?

Patrick McCann: Great. If I could squeeze in one more, I was just wondering if you could give any update on how the modding program is going, is word of that spreading, and on the other hand, has there been any pushback from users who don't want to pay for mods and that sort of thing? How is the community accepting the program? The program is being very well received. Our partners that over both were handling the curation of the mods have reported nothing but great things about the success of our program.

Speaker Change: Who don't want to pay for Mod and Thats.

Speaker Change: How is the how is the community.

Speaker Change: Accepting the program.

Speaker Change: The program is being very well received our partners over Wolf.

Patrick McCann: And on the other hand, has there been any pushback from users who don't want to pay for mods and that sort of thing? How is the community, you know, accepting the program? The program is being very well received. Our partners at Overwolf, who are handling the curation of the mods, have reported nothing but great things about the success of our program. Recently, we launched a Power Rangers mod through the program, which was 100% contributed by a third-party studio, and this mod performed exceptionally.

Speaker Change: We're handling a deterioration of the months have reported nothing but great things about the success of our program recently, we've launched a power Rangers model through the program, which was 100% contributed by a third party studio.

Peter Kang: Great, thanks for that. And then my next question I guess I should say was, just if we could piggyback on that question with the technological gap, would it be fair to look at the launch of ARC2, which of course you haven't stated exactly when that will happen, but out in the future, would it be fair to sort of look at the ASA adoption rate and crossing that technological barrier as kind of a leading indicator for the timing of ARC2 since you sort of have to cross that, you might want to cross that barrier first before you launch the next big launch.

Peter Kang: Recently, we've launched a Power Rangers mod through the program, which was 100% contributed by a third party studio, and this mod performed exceptionally. As we're launching our programs, we have seen other games also launch similar paid-for modding programs. And the other titles have not received the amount of support that we have from our community. We have received no flashback, no negative reviews about our ecosystem and allowing content creators to generate revenue from the modding program, whereas the approaches from other competitors have received backlash due to their approach being significantly different from ours.

Speaker Change: And this mod performed exceptionally.

Speaker Change: As we are launching our programs we have seen other games also launch similar pay for marketing programs and the other titles have not received the amount of support.

Patrick McCann: As we're launching our programs, we have seen other games also launch similar paid-for modding programs, and the other titles have not received the amount of support that we have from our community. We have received no backlash, and no negative reviews about our ecosystem in allowing content creators to generate revenue from the modding program, whereas the approaches from other competitors have received backlash due to their approaches being significantly different from ours.

Speaker Change: We have from our community.

Speaker Change: We have received no lash back no negative reviews about.

Speaker Change: Our ecosystem and allowing content creators to generate revenue from the marketing program warheads.

Peter Kang: Page. Absolutely, and that's that's a very astute point of view to notice. We are using ARC ascended as an indicator on mass adoption for Unreal 5 game engine on a multiplayer gameplay. So yes, you're absolutely right. Once we see that the mass market is ready to accept an Unreal Engine 5 in a multiplayer environment able to process with the right computing power that will give us the right market window to launch ARC 2.

Speaker Change: The approaches from other competitors.

Unknown Executive: Great.

Speaker Change: Have received backlash.

Speaker Change: Do their approach being significantly different from ours.

Patrick McCann: Great. Much appreciated. Thanks so much for answering the questions.

Speaker Change: Great much appreciated thanks, so much for answering the questions.

Operator: Great, much appreciated. Thanks so much for answering the question. This concludes our question and answer session and today's conference call. Thank you for attending today's presentation. You may now disconnect your lines.

Operator: This concludes our question and our session and today's conference call. Thank you for attending today's presentation. You may now disconnect your lines. .

Speaker Change: This concludes our question and answer session and today's conference call.

Speaker Change: You for attending today's presentation you may now disconnect your lines.

Speaker Change: Yeah.

Peter Kang: If I could squeeze in one more, I was just wondering if you could give any update on how the modding program is going, is word of that spreading and on the other hand, has there been any pushback from users who don't want to pay for mods and that sort of thing? How is the community accepting the program? The program is being very well received. Our partners that over both were handling the curation of the mods have reported nothing but great things about the success of our program.

Speaker Change: Okay.

Speaker Change: [music].

Peter Kang: Recently, we've launched a Power Rangers mod through the program, which was 100% contributed by third party studio and this mod performed exceptionally. As we're launching our programs, we have seen other games also launch similar paid for modding programs. And the other titles have not received the amount of support that we have from our community. We have received no flashback, no negative reviews about our ecosystem and allowing content creators to generate revenue from the modding program, whereas the approaches from other competitors have received backlash due to their approach being significantly different from ours.

Operator: Executive Executive, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Executive Executive, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Executive Executive, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Executive Executive, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Executive Executive, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Heidy Chow, Peter Kang, Jake, Executive Executive, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Executive, Unknown, Jr., American Candidate, Yong Trinh, Peter Kang, Hogarth, Herman Lukak, Jeff Sessions, Tom Camell, Eddie Mixon, Eric Howard, Peter White, Brian Lee, Ambassador Naples, Matt Leary, Matt Eddams, Daver ???? Just On The Dry-The Cease. Jim Tsai, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, , , , , , , and the boat.

Unknown Executive: Great. Much appreciated. Thanks so much for answering the questions.

Operator: This concludes our question and our session and today's conference call. Thank you for attending today's presentation. You may now disconnect your lines.

Operator: Well. Complete with Stuff by Frank Norberto Left, Right, Left, And many more to come Jim Tsai, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Snail Jim Tsai, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Jim Tsai, Heidy Chow, Scott Mack, Peter Kang, Pete, Jim Tsai, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Jim Tsai, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Jim Tsai, Heidy Chow, Peter Kang, Jake Pisano, Snail Jim Tsai, Heidy Chow, Heidy Chow, Peter Kang, Heidy Chow Executive Producer, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake, Unknown Attendee, Unknown Attendee, Patrick McCann, Jim Tsai, Heidy Chow, Peter Kang, Jake

Speaker Change: Sure.

Speaker Change: [music].

Unknown Executive: Heidy Chow, Heidy Chow, Peter Kang, Jake Pisano, Snail Heidy Chow, Peter Kang, Heidy Chow, Peter Kang, Jake Pisano,[inaudible] Heidy Chow, Peter Kang, Jake Pisano, Snail Heidy Chow, Peter Kang, Jake Pisano, Snail[inaudible][inaudible] know, I don't know, I don't know, I don't know, I don't know[inaudible] I don't know, I don't know

Speaker Change: Yeah.

Speaker Change: Yeah.

Speaker Change:

Speaker Change:

Speaker Change: [music].

Speaker Change: