Q1 2025 Phibro Animal Health Corp Earnings Call
Twenty-five conference call all lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session. If you'd like to ask a question. During this time simply press Star then the number one on your telephone keypad to withdraw your question Press Star One again I would now like to turn the conference over to you.
Hello, and thank you for standing by my name is Regina and I will be your conference operator today at this time I would like to welcome everyone to the Fibril Animal Health Corporation first quarter 2025 conference call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session. If you would.
Glenn David Chief Financial Officer. Please go ahead.
Glenn David: Thank you Regina good morning, and welcome to the fiber level Home Corporation earnings call for our first quarter earnings.
For 32024.
Speaker Change: My name is Glenn David and I'm, the Chief Financial Officer, Brian.
Speaker Change: You ask a question during this time simply press Star then the number one on your telephone keypad to withdraw your question Press Star One again I would now like to turn the conference over to Glenn David Chief Financial Officer. Please go ahead.
Glenn David: Rich.
Speaker Change: I'm joined today on today's call by Jason Sun, Bancorp's, Chairman, President and Chief Executive Officer, Tony Benson Director Executive Vice President corporate strategy, and Larry Miller, Chief operating officer.
Glenn David: Thank you Regina good morning, and welcome to the <unk> Corporation earnings call from first quarter ended September 32024.
Speaker Change: We will cover our financial performance for our first quarter and provide updated financial guidance for our fiscal year ending June 32025.
Glenn David: My name is Glenn David and I'm, The Chief Financial Officer, Phibro Animal Health Corporation I'm joined today on today's call by Jack <unk>, Chairman, President and Chief Executive Officer, Tommy been time, director and Executive Vice President corporate strategy, and Larry Miller, Chief operating officer.
Speaker Change: At the conclusion of our remarks, we will open the lines for your questions I would like to remind you that we are providing a simultaneous webcast of this call on our website <unk> dot com.
Glenn David: Also on the investors section of our website you will find copies of the earnings press release and quarterly Form 10-Q, as well as a transcript on slides discussed and presented on this call.
Glenn David: Today, we will cover our financial performance for our first quarter and provide updated financial guidance for our fiscal year ending June 32025.
Glenn David: Our remarks today will include forward looking statements and actual results could differ materially from those projections.
Glenn David: At the conclusion of our remarks, we will open the lines for your questions.
Glenn David: I'd like to remind you that we are providing a simultaneous webcast of this call on our website <unk> dot com.
Glenn David: For a list and description of certain factors that could cause results to differ I refer you to the forward looking statements section in our earnings press release.
Glenn David: Also on the investors section of our website you will find copies of the earnings press release and quarterly Form 10-Q, as well as a transcript on slides discussed and presented on this call.
Glenn David: Our remarks include references to certain financial measures, which were not prepared in accordance with generally accepted accounting principles, where U S. GAAP.
Glenn David: I refer you to the non-GAAP financial information section in our earnings press release for a discussion of these measures.
Glenn David: Our remarks today will include forward looking statements and actual results could differ materially from those projections.
Glenn David: Reconciliations of these non-GAAP financial measures to the most directly comparable U S. GAAP measures are included in the financial tables that accompany the earnings press release.
Glenn David: For a list and description of certain factors that could cause results to differ.
Glenn David: Are you to the forward looking statements section in our earnings press release.
Glenn David: Our remarks include references to certain financial measures, which were not prepared in accordance with generally accepted accounting principles, where U S. GAAP.
Glenn David: We presented our results on a GAAP basis and on an adjusted basis.
Glenn David: Our adjusted results exclude acquisition related items unusual nonoperational or nonrecurring items, including stock based compensation.
Glenn David: I refer you to the non-GAAP financial information section in our earnings press release for discussion of these measures.
Glenn David: Other income expense is separately reported in the consolidated statement of operations, including foreign currency losses gains net.
Glenn David: Reconciliations of these non-GAAP financial measures to the most directly comparable U S. GAAP measures are included in the financial tables that accompany the earnings press release.
Glenn David: Also income taxes related to pre tax income adjustments and unusual or nonrecurring income tax items.
Glenn David: We present, our results on a GAAP basis and on an adjusted basis.
Speaker Change: Now, let me introduce our chairman President and Chief Executive Officer, Jack enzyme to share his opening remarks.
Glenn David: Our adjusted results exclude acquisition related items unusual nonoperational or nonrecurring items, including stock based compensation.
Jack enzyme: Thank you Glenn and thank you to everyone joining us this morning, we.
Glenn David: Other income expense is separately reported in the consolidated statement of operations, including foreign currency losses gains net.
Speaker Change: We had an extremely strong start to the year with our annual animal health business growing sales at 14% in the quarter led by vaccines growth of 22% and MSA and other growth of 15%.
Glenn David: Also income taxes related to pre tax income adjustments and unusual or nonrecurring income tax items.
Speaker Change: And continuing the trend we saw at the end of last fiscal year, our mineral nutrition segment grew at 5% in the quarter, while our performance products segment grew at 27% each.
Speaker Change: Now, let me introduce our chairman President and Chief Executive Officer, Jack Bedtime to share his opening remarks.
Jack Bedtime: Thank you Glenn and thank you to everyone joining us this morning.
Speaker Change: These results reflect successes in many different areas as we look to increase our share of customer wallet raise prices, where appropriate benefiting industry tailwind and in certain areas increased seasonal disease pressures.
Jack Bedtime: We have an extremely strong start to the year with Angel animal health business is growing sales at 14% in the quarter led by vaccines growth of 22% and MSA and how the growth of 15%.
Speaker Change: Our leverage bottom line growth also reflects the increased attention to operating efficiencies.
Jack Bedtime: And continuing the trend we saw at the end of last fiscal year and beyond.
Speaker Change: We anticipate that these gains will be highlighted in the future as we begin to roll out the initiatives of our <unk> program.
Jack Bedtime: Nutrition technical at 5% in the quarter.
Jack Bedtime: Performance products segment grew at 27% each.
Jack Bedtime: These results reflect successes in many different areas as we look to increase our share of customer wallet raise prices where appropriate.
Speaker Change: As previously discussed most of the impact from our portfolio it should be seen in the upcoming fiscal years.
Speaker Change: Results are impressive in their own right, but even more so with the backdrop of the incredible amount of.
Jack Bedtime: <unk> industry tailwind.
Jack Bedtime: Areas increased seasonal does each practice.
Speaker Change: Work done by so many of my colleagues preparing for the closing.
Jack Bedtime: Olympic Bottomline growth also reflects the increased attention to operating efficiencies.
Speaker Change: Our acquisition of this latest medicated feed additive business.
Jack Bedtime: We anticipate that these gains will be highlighted in the future as we begin to roll out the initiatives of our fiber polypropylene.
Speaker Change: As such I would also like to take this opportunity to thank the many fiber employees for their tireless work and welcome our new colleagues, who have joined us with the closing of the acquisition.
Jack Bedtime: As previously discussed most of the impact <unk> it should be seen in the upcoming fiscal years. These results are impressive in their own right, but even more solid backdrop for the parent well.
Speaker Change: As I stated in our press release, we see an extremely bright future for the new five grow as we are not only well positioned to grow our MFA and other category, but we are now at a much more significant size and scale overall, which we intend to leverage for the benefit of all our portfolio.
Speaker Change: So many of my colleagues preparing for the closing act.
Jack Bedtime: Physician clinics.
Jack Bedtime: Clinic A&P that any business.
And as such I will.
Jack Bedtime: I would also like to take this opportunity to thank the many fiber employees for their tireless work and welcome our new colleagues, who have joined us with the closing of the acquisition.
Speaker Change: It's Glenn will further detail. We are also providing updated guidance for our fiscal year 2025, which showed mid single digit growth in revenue and a leveraged P&L on a standalone basis.
Jack Bedtime: As I stated in the press release, we see an extremely bright future for the new <unk> growth as we are not only well positioned to grow eight msas and other category, but we are now.
Speaker Change: We anticipate the favorable momentum we saw this past quarter will continue throughout the fiscal year. The guidance provided as fiber stand alone and does not include the <unk> portfolio.
Jack Bedtime: Much more significant size scale overall, which we intend to leverage for the benefit of all our portfolio.
Speaker Change: Preliminary estimates for the <unk> portfolio for the eight month period in fiscal year 2025 include net sales of approximately $200 million with an adjusted EBITDA margin of approximately 20% and adjusted earnings per share of approximately <unk> 25 inclusive of incremental interest expense negative.
Jack Bedtime: As Glenn will further detail. We are also providing updated guidance for our fiscal year 2025, which showed mid single digit royalty revenue and a leveraged P&L on a standalone basis.
Jack Bedtime: We anticipate the favorable momentum we saw this past quarter will continue throughout the fiscal year. The guidance provided as fiber stand alone and does not include the <unk> portfolio.
Speaker Change: Negative GAAP earnings per share was driven by required purchase price accounting adjustments on cost of goods. So in one time deal cost.
Speaker Change: And give it back to the way thanks.
Jack Bedtime: Preliminary estimates for the <unk> portfolio. The eight month period fiscal year 2025 include net sales of approximately $200 million with an adjusted EBITDA margin of approximately 20% and adjusted earnings per share of approximately <unk> 25 inclusive of incremental interest expense negative GAAP earnings per share was driven by.
Speaker Change: Thanks Chuck.
Speaker Change: Starting with our Q1 performance on slide four.
Speaker Change: Consolidated net sales for the quarter ended September 32024, with $264 million, reflecting an increase of $29 1 million or.
Speaker Change: Or a 13% increase over the same quarter one year ago.
Jack Bedtime: Required purchase price accounting adjustment on cost of goods sold and one time deal cost.
Speaker Change: The animal health segment grew 14%, while mineral nutrition grew at 5% and the performance products segment grew by 27%.
Speaker Change: They give it back to Ed.
Jack Bedtime: Jack and.
Starting with our Q1 performance on slide four.
Speaker Change: GAAP net income and diluted EPS increased significantly driven by pieces of demand in both domestic and international regions improved gross margin due to favorable mix and lower input costs offset by increased SG&A due to higher employee related costs.
Jack Bedtime: Consolidated net sales for the quarter ended September 32024 were $264 million, reflecting an increase of $29 1 million or.
Jack Bedtime: Or a 13% increase over the same quarter one year ago.
Speaker Change: After making our standard adjustments to GAAP results, including acquisition related items foreign currency losses, and certain one off items.
Jack Bedtime: The animal health segment grew 14%, while mineral nutrition grew at 5% and the performance product segment grew by 27%.
Speaker Change: First quarter, adjusted EBITDA increased $12 million or 64% versus prior year.
Speaker Change: Adjusted net income and adjusted diluted EPS, both significantly increased.
Speaker Change: Increased gross profit driven by sales growth was partially offset by higher adjusted SG&A and higher adjusted interest expense with a benefit from a reduced adjusted provision for income taxes.
Speaker Change: Moving to the segment level financial performance the animal Health segment posted $182 5 million of net sales for the quarter, an increase of $22 million were 14% versus the same quarter prior year.
Speaker Change: Within the animal Health segment, we reported.
Speaker Change: MFA and other net sales growth of $13 7 million.
Speaker Change: We're 15% due to demand in both domestic and international regions.
Speaker Change: Vaccine net sales growth of $5 8 million.
Speaker Change: A healthy 22% increase driven by poultry product introductions in Latin America, plus an increase in both domestic and international demand.
Speaker Change: Nutritional specialty products net sales decreased $2 4 million or 6%, mostly due to higher sales of microbial and companion animal products.
Speaker Change: Animal health adjusted EBITDA was $40 4 million.
Speaker Change: A 42% increase due to higher gross profit from increased sales, partially offset by higher SG&A.
Speaker Change: Moving on to the first quarter financial performance for our other business segments on slide six.
Speaker Change: Starting with mineral nutrition.
Speaker Change: Net sales for the quarter were $59 1 million, an increase of $3 million or 5% due to increased sales volume and price.
Speaker Change: Mineral nutrition, adjusted EBITDA was $3 $8 million, reflecting a year on year increase of <unk> $9 million driven by higher gross profit.
Speaker Change: Looking at our performance products segment net sales of $18 8 million reflects an increase of $4 1 million or 27% as a result of higher demand for the ingredients used in personal care products.
Speaker Change: Adjusted EBITDA was $2 $3 million and grew $9 million versus the same quarter prior year.
Speaker Change: Corporate expenses increased $1 $7 million driven by increased employee related costs.
Speaker Change: Turning to key capitalization related metrics on slide <unk>.
Speaker Change: We generated $41 million of positive free cash flow for the 12 months ending September 32020.
Speaker Change: We generated $84 million of.
Speaker Change: Operating cash flow and invested $43 million and capital expenditure.
Speaker Change: Cash and cash equivalents and short term investments were $90 million at the end of the quarter.
Speaker Change: Our gross leverage ratio was three nine times at the end of the first quarter based on $477 million of total debt and $123 million with trailing 12 month adjusted EBIT.
Speaker Change: Our net leverage ratio was three one times at the end of the first quarter based on $387 million of net debt and $123 million on a trailing 12 month adjusted EBITDA.
Speaker Change: Turning to dividends consistent with our history, we paid a quarterly dividend of <unk> <unk> per share were $4 $9 million in aggregate.
Speaker Change: As a reminder, $300 million of our debt is at a fixed rate of five one plus the applicable margin.
Speaker Change: In addition in September 2024, we entered into a new swap arrangement for $150 million at a fixed rate of three 8% plus the applicable margin.
Speaker Change: As of quarter end, the remaining $27 million with our total debt is subject to variable interest rates, although offset somewhat by interest income earned on short term investments.
Speaker Change: As of the date of the delayed draw up to $350 million and additional term a loans the remaining $377 million above that is subject to variable interest rates.
Speaker Change: Effective July <unk>, we refinanced our credit facilities.
Speaker Change: Our new 2024 credit facilities.
Speaker Change: As an initial aggregate principal amount of $610 million.
Speaker Change: Consisting of a $300 million term, a loan and a $310 million revolver.
Speaker Change: <unk>, a $300 million term, a loan which replaced the company's existing 2021 term loan and 2023 incremental terminal.
Speaker Change: <unk> included a $310 million revolver, which replaced the company's existing $310 million revolver.
Speaker Change: Extended the maturity date of the company's 2021 credit facilities from April 2026 to maturity dates ranging from July 2029 to July 31.
Speaker Change: It also included a $350 million delayed draw provision that has been exercised with the closing of the <unk> transaction.
Speaker Change: Additional information regarding the terms and conditions of the 'twenty 'twenty four credit facilities are contained in our Form 10-Q that was filed yesterday.
Speaker Change: Let's turn to slide nine which lays out our guidance for fiscal year 2025.
Speaker Change: Please note that our guidance is on a standalone basis without giving effect to the completed acquisition of the wettest medicated feed additive portfolio.
Speaker Change: Included in this guidance for fiscal year 2025 are early benefits related to our fiber forward income growth initiatives that will help drive additional EBITDA and margin growth.
Speaker Change: One time costs related to this initiative are also included in our GAAP guidance and primarily consist of one time consulting fees.
Speaker Change: The initiative is focused on unlocking additional areas of revenue growth and cost savings.
Speaker Change: Areas, such as potential price increases expanded product offerings procurement initiatives and other cost savings initiatives.
Speaker Change: Please note, we do not anticipate significant head count reductions as part of the submission.
Speaker Change: Our increased guidance for fiscal year 2025 on a standalone basis is as follows.
Speaker Change: Net sales of $1 billion to $50 million to $1 billion $100 million.
Speaker Change: This represents a growth range of 3% to 8% and a midpoint of approximately 6%.
Speaker Change: Growth versus prior year, driven by continued growth in our animal health segment as well as recovery in both our mineral nutrition and performance products.
Speaker Change: Adjusted EBITDA of $124 million to $132 million.
Speaker Change: This represents a growth range of 11% to 19% with a midpoint of approximately 15%.
Speaker Change: Adjusted net income of $55 million to $60 million. This represents growth of.
Speaker Change: <unk> thousand 14% to 24% with a midpoint of approximately 18%.
Speaker Change: This growth is driven by growth in EBITDA and an improvement in our adjusted effective tax rate, partially offset by incremental interest expense due to our new deputy.
Speaker Change: GAAP net income and EPS assumes constant currency, no further gains or losses from FX movements.
Speaker Change: Also included in our GAAP net income and EPS are onetime costs related to our fiber of forward income growth initiative.
Speaker Change: As mentioned previously this guidance does not include does the wettest MFA acquisition as we just closed on the business a few days ago.
Speaker Change: Our preliminary estimates for <unk> for the eight months remaining in our fiscal year 2025 are as follows.
Speaker Change: Approximately $200 million revenue.
Speaker Change: Ultimately, 20% EBITDA margin.
Speaker Change: Approximately 25.
Speaker Change: Adjusted EPS impact.
Speaker Change: We will incorporate <unk> into our fiscal year 2025 guidance in our Q2 earnings release.
Speaker Change: The preliminary estimates so theres the wettest MSA contribution to fiscal year 2025 includes some of the usual impact you would expect during integration such as Destocking of inventory the impact of blackout periods and incremental costs related to transition service and distribution service agreements.
Speaker Change: We remain confident in our ability to deliver over 60 adjusted EPS in our first full fiscal year 2026, and our ability to deliver below three times net leverage by fiscal year 2027.
Speaker Change: In closing we're excited about the strong performance in the quarter and the momentum for fiscal year 2025.
Speaker Change: We are confident in the demand for our products around the world and look forward to seeing continued improvement in our business as we move forward.
Speaker Change: With that Virginia could you. Please open the lines for questions.
Speaker Change: At this time I would like to remind everyone in order to ask a question press star followed by the number one on your telephone keypad. Our first question will come from the line of Ikat Arena Nets Carver with J P. Morgan. Please go ahead.
Speaker Change: Hey, Thank you so much and congrats on the quarter. So first question is just around gross margin seems a WTO, particularly healthy, especially relative to last year can you talk a little bit about what drove that is that coming mostly from price their product mix or something else.
Speaker Change: And then second question is just on the on.
Speaker Change: The acquisition.
Speaker Change: As you've gone through the process of closing that transaction any areas of the portfolio, where you are seeing any incremental opportunities or any areas, where you think you'll need to put additional investment behind <unk>.
Speaker Change: Thank you so much.
Speaker Change: Yes, thanks for the question Catherine.
Speaker Change: Gross margin there are a number of factors that drove the positive gross margin that we saw in the quarter first was mix starting very strong performance in our vaccine portfolio with 22% growth and also even within MFA and other category. There are certain products that have higher gross margin performed very well in the quarter. We also saw a benefit.
Speaker Change: From input costs in some of our products being favorable and also foreign exchange had some favorability as well in terms of the overall gross margin.
Speaker Change: In terms of surprises from the acquisition as I mentioned, we're only a few days in at this point. We're obviously, we're working through additional information that we got at closing, but nothing initially.
Speaker Change: Poses any big surprises that we've seen.
Speaker Change: Yes, let me add to that David.
Speaker Change: Okay.
Speaker Change: And sales force, both domestic and internationally continue to be very very optimistic.
Speaker Change: About the portfolio that we acquired.
Speaker Change: And.
Speaker Change: Obviously, we will work to some.
Speaker Change: Early early months starts early days stance, but overall I think this is going to be proved to be an exceptional acquisition for the company.
Speaker Change: Thank you so much.
Speaker Change: Our next question will come from the line of Michael Ruskin with Bank of America. Please go ahead.
Speaker Change: Great. Thanks for taking the question guys and congrats on a great start to the year.
Speaker Change: As far as some of these off in rapid succession first on the so at US MFA acquisition.
Speaker Change: The $200 million in revenues, a 20% EBITDA margin I think you previously talked and 25 cents of EPS right I think you'd previously talked about full year first 12 months, a $400 million of revenues and 60 in EPS.
Speaker Change: Is this just timing or is there some seasonality.
Speaker Change: I guess.
Speaker Change: I realize it's eight months versus 12 months, but I would have thought that the eight month contribution will be a little bit higher.
Speaker Change: So just kind of can you walk me through the bridge there.
Speaker Change: Sure. So when you look at it.
Speaker Change: Got it has been mentioned that we had talked about the trailing 12 months revenue initially at the time of the deal of about $400 million, we updated that in one of the future calls that the trailing 12 months was around 300.
Speaker Change: And $75 million on our sale of gel terms do not necessarily translate that exactly into what the future revenue would be.
Speaker Change: When you look at the revenue of $200 million. Obviously, then some lower than what we'd expect for a normal eight month period within the first eight months there is destocking related to to the deal and that's just destocking that you sort of required as part of the transition there are certain market square.
Speaker Change: Due to the regulatory transition youre not allowed to sell call. It six months to a year and the customer then had to purchase in advance to make sure that they can satisfy the customer team over that time and then there's a lot of our larger markets as well there are certain blackout periods as we transition to us providing new orders as well. So those are all normal things that you would expect.
Speaker Change: And those hit most impactful leak and call. It the first three to six months of the deal. So it's really more transition already impact and not a reflection of lack of confidence you still being able to deliver a significant normal 12 months of revenue gain.
Speaker Change: In terms of 25.
Speaker Change: In Etfs as you mentioned, we had guidance of <unk> 60 for the first two.
Speaker Change: 12 months.
Speaker Change: <unk> debt to eight months, that's 40 <unk>.
Speaker Change: Some of these impacts that we're talking about at revenue, which again are just transition area nature did impact that delivering what illustrate 40.
Speaker Change: Okay, Okay, Alright thats helpful.
Speaker Change: And the.
Speaker Change: In the press release I think you also called out.
Speaker Change: As you are Curating, our portfolio you discontinued the atopic derm product project.
Speaker Change: Just curious on any additional color you could provide there was that tied to any of the other developments in the derma space that <unk> seen from from others in the last couple of months.
Speaker Change: And just sort of how should we think about the companion animal investment going forward is that money just directly being shifted somewhere else as there just how do we think about the pipeline there.
Speaker Change: Michael I'll take as Dani.
Speaker Change: So we've always had a very strong.
Speaker Change: The target product profile for our for that product with all of our products and we stick to it.
Speaker Change: We have quarterly updates, where we look at where we are doing and how we're doing versus our TPP and frankly amidst the marks.
Speaker Change: So we discontinue that we're not going to get into specifically.
Speaker Change: Because of unfair to license or.
Speaker Change: But we are continue to be bullish about our overall pipeline and.
Speaker Change: Continue to invest in it.
Speaker Change: As far as where the dollars from Debra care or what we call. The atopic dermatitis product goes I think thats still to be determined.
Speaker Change: We will continue with that going forward.
Speaker Change: Okay.
Speaker Change: And if I can squeeze in one last one.
Speaker Change: Maybe just a high level question on the MFA business on the legacy on your existing Msas and other business, 50% growth in the quarter.
Speaker Change: You guys have obviously had a really impressive stretch here multiple quarters in a row I mean going back to the last couple of years, what I would think to be above market growth are bubbled, we would historically have thought of mfa's.
Speaker Change: You called out a couple of drivers in terms of just demand some new products, but just maybe take a step back and put that MSA performance for fiber over the last year or two in context, just how sustainable is that is this meaningful share gains from others is this the market is sort of.
Speaker Change: Take an incremental step higher and now its a better performing market.
Speaker Change: Just big picture thoughts on the strength of Msas for Ya.
Speaker Change: Everyone. This is Larry I'll take the question Doug. So as you mentioned first thing, particularly as we look to first quarter performance. It was continued a strong trend that we experienced particularly in the second half of our FY 'twenty for us so that trend continued.
Speaker Change: Within the first quarter itself, we do certainly have had some favorable seasonality disease challenges, particularly in the southern hemisphere winter months.
Speaker Change: That.
Speaker Change: Really added a lot of demand for our products in the fourth quarter of 2020 for our FY 'twenty four and the first quarter of our FY 'twenty five.
Speaker Change: And we did have a couple.
Speaker Change: Rhyming patter.
Speaker Change: Pattern orders that.
Speaker Change: That took place in our first quarter.
Speaker Change: Net debt.
Speaker Change: Favorable to the first quarter of last year, but I guess overlying we just see very strong continued demand for our products.
Speaker Change: And.
Speaker Change: No.
Speaker Change: That's how we see it.
Speaker Change: Yes, Mike I would just add I think its products and people and we have a strong focus on these products and we are definitely a good way to going out and discussing these products with our customers and really sharing the benefits.
Speaker Change: And that's what gives us additional confidence in acquiring meso edits MFA portfolio, believing that we can have better performance than perhaps they've had.
Speaker Change: And within our animal health products, certainly msas, but also we had very strong performance in our nutritional specialty products as well as our vaccines.
Speaker Change: Great. Thanks, so much and congrats again guys.
Speaker Change: Our next question will come from the line of Lin Schultz with Morgan Stanley. Please go ahead.
Speaker Change: Glenn you might be on mute.
Speaker Change: Our next question will come from the line of Ana <unk> with BNP Paribas. Please go ahead.
Speaker Change: Oh, Hi, actually my question has been asked.
Speaker Change: And I had the same question about the difference there.
Speaker Change: Ladies MSA and there may be a little kind of at parity at dusk till dawn discontinuation.
Speaker Change: Hum.
Speaker Change: Yes, I think my question away and so that unless you have anything to add thank you.
Bob: Thanks, Bob.
Speaker Change: Again for any questions. Please press star followed by the number one on your telephone keypad.
Speaker Change: And with that I will now turn the call back to Glenn David for any closing remarks.
Glenn David: Thank you Regina and thank you everyone for listening in on today's call. We really appreciate your time and attention interest and support of fiber on health and hope you have a great day.
Glenn David: Yeah.
Speaker Change: That will conclude today's call. Thank you all for joining and you may now.
Speaker Change: Okay.