Q3 2025 Balchem Corp Earnings Call

Earnings 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.

Speaker #3: Thank you for standing by. My name is Jeannie, and I will be your conference operator today. At this time, I would like to welcome everyone to Balchem's third quarter 2025 earnings call.

Operator: Thank you for standing by. My name is Jeannie, and I will be your conference operator today. At this time, I would like to welcome everyone to the Balchem Corporation's third quarter 2025 earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star, followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Martin Bengtsson, Chief Financial Officer. Please go ahead.

If you would like to ask a question. During this time simply press star followed by the number one on your telephone keypad.

If you would like to withdraw your question Press Star one again. Thank you I would now like to turn the call over to Martin Bengtsson CFO. Please go ahead.

Speaker #3: 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 like to ask a question during this time, simply press * followed by the number 1 on your telephone keypad.

Thank you good morning, everyone. Thank you for joining our conference call. This morning to discuss the results about Chemed Corporation for the quarter ending September 30th 2025. My name is Martin Bengtsson, Chief Financial Officer, and hosting this call with me is Ted Harris, our chairman President and CEO.

Speaker #3: If you would like to withdraw your question, press *1 again. Thank you. I would now like to turn the call over to Martin Bengtsson, CFO.

Speaker #3: Please go ahead.

Speaker #4: Thank you. Good morning, everyone. Thank you for joining our conference call this morning to discuss the results of BALCHEM CORP for the quarter-ending September 30th, 2025.

Martin Bengtsson: Thank you. Good morning, everyone. Thank you for joining our conference call this morning to discuss the results of Balchem Corporation for the quarter ending September 30, 2025. My name is Martin Bengtsson, Chief Financial Officer, and hosting this call with me is Ted Harris, our Chairman, President, and CEO. Following the advice of our counsel, auditors, and the SEC, at this time, I would like to read our forward-looking statement. Statements made in today's call that are not historical facts are considered forward-looking statements. We can give no assurance that the expectations reflected in forward-looking statements will prove correct, and various factors could cause actual results to differ materially from our expectations, including risks and factors identified in Balchem's most recent Form 10-K, 10-Q, and 8-K reports. The company assumes no obligation to update these forward-looking statements. Today's call and commentary also include non-GAAP financial measures.

Following the advice of our counsel auditors and the SEC at this time I would like to read our forward looking statements.

Statements made in today's call that are not historical facts are considered forward looking statements. We can give no assurance that the expectations reflected in forward looking statements will prove correct and various factors could cause actual results to differ materially from our expectations, including risks and factors Identive.

Speaker #4: My name is Martin Bengtsson, Chief Financial Officer, and hosting this call with me is Ted Harris, our Chairman, President, and CEO. Following the advice of our council, auditors, and the SEC, at this time I would like to read our forward-looking statement.

Speaker #4: Statements made in today's call that are not historical facts are considered forward-looking statements. We can give no assurance that the expectations reflected in forward-looking statements will prove correct, and various factors could cause actual results to differ materially from our expectations.

<unk> most recent Form 10-K, 10-Q, and 8-K reports the company assumes no obligation to update these forward looking statements.

Today's call and commentary also include non-GAAP financial measures. Please refer to the reconciliations in our earnings release for further details.

Speaker #4: Including risks and factors identified in Balchem's most recent Form 10-K, 10-Q, and 8-K reports. The company assumes no obligation to update these forward-looking statements.

I will now turn the call over to Ted Harris, our chairman President and CEO.

Thanks, Martin Good morning, and welcome to our conference call. We were extremely pleased with the financial results for the first quarter of 2025, and the strong performance of our company fueled.

Speaker #4: Today's call and commentary also include non-GAAP financial measures. Please refer to the reconciliations in our earnings release for further details. I will now turn the call over to Ted Harris, our Chairman, President, and CEO.

Martin Bengtsson: Please refer to the reconciliations in our earnings release for further details. I will now turn the call over to Ted Harris, our Chairman, President, and CEO.

Fueled by the ongoing market penetration of our unique portfolio of specialty nutrients and delivery systems and the favorable better for you trends within the food and nutrition markets that are well aligned with our food ingredient formulation systems and capabilities.

Speaker #5: Thanks, Martin. Good morning, and welcome to our conference call. We were extremely pleased with the financial results for the first quarter of 2025 and the strong performance of our company.

Ted Harris: Thanks, Martin. Good morning and welcome to our conference call. We were extremely pleased with the financial results for the first quarter of 2025 and the strong performance of our company, fueled by the ongoing market penetration of our unique portfolio of specialty nutrients and delivery systems, and the favorable better-for-you trends within the food and nutrition markets that are well aligned with our food ingredient formulation systems and capabilities. We delivered record quarterly consolidated sales, adjusted EBITDA, adjusted net earnings, and adjusted EPS, with year-over-year sales and earnings growth in all three of our reporting segments. The first quarter of 2025 was the 25th consecutive quarter of quarterly year-over-year growth in adjusted EBITDA for Balchem Corporation. We are very proud of this accomplishment, particularly in light of the market environment within which we have been operating over the last 25 quarters.

Speaker #5: Fueled by the ongoing market penetration of our unique portfolio of specialty nutrients and delivery systems, and the favorable Better For You trends within the food and nutrition markets, that are well-aligned with our food ingredient formulation systems and capabilities.

We delivered record quarterly consolidated sales.

Adjusted EBITDA adjusted net earnings and adjusted EPS with year over year sales and earnings growth in all three of our reporting segments.

Third quarter of 2025 was the 25th consecutive quarter of quarterly year over year growth in adjusted EBITDA for Balco. We are very proud of this accomplishment, particularly in light of the market environment within which we have been operating over the last 25 quarters.

Speaker #5: We delivered record quarterly consolidated sales, adjusted EBITDA, adjusted net earnings, and adjusted EPS. With year-over-year sales and earnings growth in all three of our reporting segments, the third quarter of 2025 was the 25th consecutive quarter of quarterly year-over-year growth in adjusted EBITDA for BALCHEM.

I'd like to take this opportunity to thank the entire <unk> team for their exceptional performance and contributions toward this significant achievement. Thank you all very much before we get into more detail on the quarter I would like to make a few comments about the overall market environment, including the evolving global trade situation.

Speaker #5: We are very proud of this accomplishment, particularly in light of the market environment within which we have been operating over the last 25 quarters.

Speaker #5: I would like to take this opportunity to thank the entire Balchem team for their exceptional performance and contributions toward this significant achievement. Thank you all very much.

Ted Harris: I would like to take this opportunity to thank the entire Balchem team for their exceptional performance and contributions toward this significant achievement. Thank you all very much. Before we get into more detail on the quarter, I would like to make a few comments about the overall market environment, including the evolving global trade situation, as well as some of the new science that has recently been published supporting our nutrients and the further expansion of our marketing efforts to help drive awareness and market penetration. We continue to see healthy demand across the vast majority of our end markets.

As well as some of the new science that has recently been published supporting our nutrients and the further expansion of our marketing efforts to help drive awareness and market penetration.

Speaker #5: Before we get into more detail on the quarter, I would like to make a few comments about the overall market environment, including the evolving global trade situation, as well as some of the new science that has recently been published supporting our nutrients and the further expansion of our marketing efforts to help drive awareness and market penetration.

We continue to see healthy demand across the vast majority of our end markets.

Our human nutrition and health segment continues to perform extremely well driven by strong demand for both our unique portfolio of minerals nutrients and vitamins and our food ingredients and solutions, which are benefiting from trends toward nutrient dense high protein high fiber and lower sugar or.

Speaker #5: We continue to see healthy demand across the vast majority of our end markets. Our human nutrition and health segment continues to perform extremely well, driven by strong demand for both our unique portfolio of minerals, nutrients, and vitamins, and our food ingredients and solutions, which are benefiting from trends toward nutrient-dense, high-protein, high-fiber, and lower-sugar or Better For You foods, where our nutrient portfolio and our formulations expertise bring considerable value to our customers.

Ted Harris: Our human nutrition and health segment continues to perform extremely well, driven by strong demand for both our unique portfolio of minerals, nutrients, and vitamins, and our food ingredients and solutions, which are benefiting from trends toward nutrient-dense, high-protein, high-fiber, and lower-sugar or better-for-you foods, where our nutrient portfolio and our formulations expertise bring considerable value to our customers. In the animal nutrition and health segment, we delivered another quarter of year-over-year growth on improved demand in both our monogastric and ruminant businesses. As a result of further market penetration of our rumen-protected precision-release encapsulated nutrient portfolio, and modestly improving market conditions in the European monogastric market, we remain encouraged by the overall performance of our animal nutrition and health product portfolio.

Better for you foods, where our nutrient portfolio and our formulations expertise bring considerable value to our customers.

In the animal nutrition and health segment, we delivered another quarter of year over year growth on improved demand in both our mono gastric and ruminant businesses.

As a result of further market penetration of our rumen protected precision release encapsulates.

Speaker #5: In the animal nutrition and health segment, we delivered another quarter of year-over-year growth on improved demand in both our monogastric and ruminant businesses. As a result of further market penetration of our rumen-protected precision-release encapsulates nutrient portfolio and mostly or modestly, I'm sorry, improving market conditions in the European monogastric market.

Nutrient portfolio, and mostly were modestly sorry, improving market conditions in the European mono gastric market.

And we remain encouraged by the overall performance of our animal nutrition and health product portfolio.

And within our specialty products segment, both our performance gases business and our plant nutrition business are performing well driven primarily by higher demand as a result of healthier market conditions within performance gases.

Speaker #5: And we remain encouraged by the overall performance of our animal nutrition and health product portfolio. And within our specialty product segment, both our performance gases business and our plant nutrition business are performing well.

And successful geographic expansion growth within plant nutrition year.

Ted Harris: Within our specialty product segment, both our performance gases business and our plant nutrition business are performing well, driven primarily by higher demand as a result of healthier market conditions within performance gases and successful geographic expansion growth within plant nutrition. Year to date, on a consolidated basis, we have delivered strong growth, both on the top and bottom lines, while continuing to generate strong free cash flow. Our outlook for the remainder of the year remains positive. As discussed on the last few earnings calls, we believe we are relatively well positioned to effectively manage through the current global trade environment. To date, we have managed to fully offset the impact of tariffs associated with the U.S. administration's evolving trade policy, either through alternate supply chain options or subsequent pricing actions.

Year to date on a consolidated basis, we have delivered strong growth both on the top and bottom lines, while continuing to generate strong free cash flow and our outlook for the remainder of the year remains positive.

Speaker #5: Driven primarily by higher demand, as a result of healthier market conditions within performance gases, and successful geographic expansion growth within plant nutrition. Year to date, on a consolidated basis, we have delivered strong growth, both on the top and bottom lines.

As discussed on the last few earnings calls, we believe we are relatively well positioned to effectively manage through the current global trade environment to date, we have managed to fully offset the impact of tariffs associated with the U S administration's evolving trade policy either through <unk>.

Speaker #5: While continuing to generate strong free cash flow, our outlook for the remainder of the year remains positive. As discussed on the last few earnings calls, we believe we are relatively well positioned to effectively manage through the current global trade environment.

Alternate supply chain options or subsequent pricing actions and based on what we know today, we expect a similarly be able to offset any impact of future tariffs as the trade situation further evolves.

Speaker #5: To date, we have managed to fully offset the impact of tariffs associated with the U.S. administration's evolving trade policy. Either through alternate supply chain options or subsequent pricing actions.

Additionally, I would like to share some progress we have made in our scientific and clinical research pipeline, which continues to bolster our human nutrition and health segment.

Speaker #5: And based on what we know today, we expect to be able to offset any impact of future tariffs as the trade situation further evolves.

Ted Harris: Based on what we know today, we expect to similarly be able to offset any impact of future tariffs as the trade situation further evolves. Additionally, I would like to share some progress we have made in our scientific and clinical research pipeline, which continues to bolster our human nutrition and health segment. We continue to actively invest in the science behind our brands, such as VitaCholine, K2VITAL, OptiMSM, and Albion Minerals. These studies are integral to our strategy for entering new markets, expanding our ingredient categories, and building consumer awareness. I would like to highlight one of the studies published recently that is of particular importance. Late in 2017, we informed you that Balchem Corporation funded a pilot study. Dr.

We continue to actively invest in the science behind our brands such as <unk> Colleen Kay to vital hopped, the MSM and Albion minerals.

Speaker #5: Additionally, I would like to share some progress we have made in our scientific and clinical research pipeline which continues to bolster our human nutrition and health segment.

These studies are integral to our strategy for entering new markets expanding our ingredient categories.

Speaker #5: We continue to actively invest in the science behind our brands such as Vitacoline, K2 Vital, Opti-MSM, and Albion Minerals. These studies are integral to our strategy for entering new markets, expanding our ingredient categories, and building consumer awareness.

And building consumer awareness.

I would like to highlight one of the studies published recently that is of particular importance.

Late in 2017, we informed you that Val <unk> funded a pilot study.

Doctors Stephens side sell the former director for the University of North Carolina's Nutrition Research Institute received a $2 6 million grant from a unit of the National Institutes of health or NIH to develop a blood based test or biomarker to help measure choline status in humans.

Speaker #5: I would like to highlight one of the studies published recently that is of particular importance. Late in 2017, we informed you that BALCHEM funded a pilot study at Dr. Steven Seisel, the former director for the University of North Carolina's Nutrition Research Institute, received a $2.6 million grant from a unit of the National Institutes of Health, or NIH, to develop a blood-based test or biomarker, to help measure choline status in humans.

Ted Harris: Steven Zeisel, the former Director for the University of North Carolina's Nutrition Research Institute, received a $2.6 million grant from a unit of the National Institutes of Health, or NIH, to develop a blood-based test or biomarker to help measure choline status in humans. The NIH-funded choline biomarker study was known to be a lengthy study, only further delayed by the COVID-19 pandemic, that has now been completed, and the results have been published as a pre-print. This was an important study from our perspective since it promised to help more easily identify choline deficiency in humans by identifying a choline biomarker in order to ultimately help address deficiencies through supplementation, while also facilitating research on the benefits of choline supplementation in humans.

The NIH funded choline biomarker study was known to be a lengthy study only further delayed by the COVID-19 pandemic that has now been completed and the results have been published as a pre print. This was an important study from our perspective since it promise to help more easily identify co.

Speaker #5: The NIH-funded choline biomarker study was known to be a lengthy study. Only further delayed by the COVID-19 pandemic, it has now been completed and the results have been published as a pre-print.

<unk> deficiency in humans by identifying a choline biomarker in order to ultimately help address deficiencies through supplementation, while also facilitating research on the benefits of choline supplementation in humans.

Speaker #5: This was an important study from our perspective, since it promised to help more easily identify choline deficiency in humans by identifying a choline biomarker, in order to ultimately help address deficiencies through supplementation.

The study was a double blind randomized crossover controlled feeding study in which all 101 subjects received 100%, 50% and 25% of the choline recommended daily intake in two weeks segments separated by two week washout the results of the study.

Speaker #5: While also facilitating research on the benefits of choline supplementation in humans. The study was a double-blind, randomized crossover-controlled feeding study in which all 101 subjects received 100%, 50%, and 25% of the choline recommended daily intake in two-week segments separated by two-week washouts.

Ted Harris: The study was a double-blind, randomized, crossover-controlled feeding study in which all 101 subjects received 100%, 50%, and 25% of the choline recommended daily intake in two-week segments separated by two-week washouts. The results of the study show that plasma choline and betaine, when measured together, are highly predictive of actual dietary choline intake. These findings offer a new opportunity to assess choline dietary adequacy and will likely be included in future clinical and population studies and ultimately be used as a common measurement in health screenings of choline intake versus daily recommended intake levels. On the marketing front, within our Animal Nutrition and Health segment, we continue to expand our reach and impact through marketing.

Showed that plasma choline and <unk> when measured together are highly predictive of actual dietary choline intakes.

These findings offer a new opportunity to assess choline dietary adequacy and will likely be included in future clinical in population studies and ultimately be used as a common measurement and health screening of choline intake versus daily recommended intake levels.

Speaker #5: The results of the study show that plasma choline and betaine, when measured together, are highly predictive of actual dietary choline intake. These findings offer a new opportunity to assess choline dietary adequacy and will likely be included in future clinical and population studies. Ultimately, this will be used as a common measurement in health screening of choline intake versus daily recommended intake levels.

On the marketing front within our animal nutrition and health segment, we continue to expand our reach and impact through marketing, we have strengthened our marketing capabilities and <unk> real science exchange platform now celebrating five years since its launch has grown into a leading industry information.

Speaker #5: On the marketing front, within our Animal Nutrition and Health segment, we continue to expand our reach and impact through marketing. We have strengthened our marketing capabilities, and BALCHEM's Real Science Exchange platform, now celebrating five years since its launch, has grown into a leading industry information and technology resource with webinars, podcasts, and symposiums that have attracted a strong following across the industry.

Technology resource with Webinars podcasts, and symposiums that is attracting a strong following across the industry.

Ted Harris: We have strengthened our marketing capabilities, and Balchem's Real Science Exchange platform, now celebrating five years since its launch, has grown into a leading industry information and technology resource with webinars, podcasts, and symposiums that are attracting a strong following across the industry with high-quality content across leading streaming platforms such as YouTube, Spotify, and Apple Podcasts. This channel to the industry gives Balchem a unique opportunity to reach and interact with an expanded target audience. We will continue to invest in our marketing capabilities, and we recently partnered with Progressive Dairy Magazine to introduce the Real Producer Exchange for practical insights for dairy farmers. Later this month, we are excited to expand into the companion animal sector with new webinars and podcasts, reinforcing our commitment to advancing animal science and industry collaboration.

With high quality content across leading streaming platforms, such as Youtube Spotify and Apple podcasts.

This channel to the industry gives <unk>, a unique opportunity to reach and interact with an expanded target audience we have.

We'll continue to invest in our marketing capabilities and we've recently partnered with Progressive dairy magazine to introduce the real producer exchange for practical insights for dairy farmers and later this month, we are excited to expand into the companion animal sector with new Webinars and podcasts reinforcing.

Speaker #5: With high-quality content across leading streaming platforms such as YouTube, Spotify, and Apple Podcasts, this channel to the industry gives BALCHEM a unique opportunity to reach and interact with an expanded target audience.

Speaker #5: We will continue to invest in our marketing capabilities, and we recently partnered with Progressive Dairy Magazine to introduce the Real Producer Exchange for practical insights for dairy farmers.

Our commitment to advancing animal science and industry collaborations.

So some exciting progress being made on our strategic growth initiatives, while at the same time delivering strong financial results now regarding the third quarter of 2025 financial performance. This morning, we reported record quarterly consolidated revenue of $268 million.

Speaker #5: And later this month, we are excited to expand into the companion animal sector with new webinars and podcasts, reinforcing our commitment to advancing animal science and industry collaboration.

Speaker #5: So, some exciting progress is being made on our strategic growth initiatives while, at the same time, delivering strong financial results. Now, regarding the third quarter of 2025's financial performance, this morning we reported record quarterly consolidated revenue of $268 million.

Ted Harris: Some exciting progress is being made on our strategic growth initiatives while at the same time delivering strong financial results. Now regarding the third quarter of 2025's financial performance, this morning, we reported record quarterly consolidated revenue of $268 million, which was 11.5% higher than the prior year quarter. We delivered record quarterly GAAP earnings from operations of $55 million, an increase of 13.7% versus the prior year. Consolidated net income closed the quarter at $40 million, an increase of 19.1%. This quarterly net income translated to diluted net earnings per share of $1.24 on a GAAP basis, up $0.21 or 20.4% compared to the prior year. On an adjusted basis, we delivered record quarterly adjusted EBITDA of $71 million, an increase of 11% compared to the prior year.

Which was 11, 5% higher than the prior year quarter.

We delivered record quarterly GAAP earnings from operations of $55 million, an increase of 13, 7% versus the prior year.

Consolidated net income closed the quarter at $40 million, an increase of 19, 1%. This quarterly net income translated to diluted net earnings per share of $1 24 on a GAAP basis up 21 score 24% compared to the prior.

Speaker #5: Which was 11.5% higher than the prior year's quarter. We delivered record quarterly GAAP earnings from operations of $55 million, an increase of 13.7% versus the prior year.

Speaker #5: Consolidated net income closed the quarter at $40 million, an increase of 19.1%. This quarterly net income translated to diluted net earnings per share of $1.24 on a GAAP basis.

Year on an adjusted basis, we delivered record quarterly adjusted EBITDA of $71 million.

An increase of 11% compared to the prior year.

Our record quarterly adjusted net earnings were $44 million, an increase of 19, 1% from the prior year, which translated to $1 35 per diluted share up 22, or 19, 5% compared to the prior year.

Speaker #5: Up 21 cents, or 20.4% compared to the prior year. On an adjusted basis, we delivered record quarterly adjusted EBITDA of $71 million, an increase of 11% compared to the prior year.

Speaker #5: Our record quarterly adjusted net earnings were $44 million, an increase of 19.1% from the prior year. Which translated to $1.35 per diluted share, up 22 cents or 19.5% compared to the prior year.

Ted Harris: Our record quarterly adjusted net earnings were $44 million, an increase of 19.1% from the prior year, which translated to $1.35 per diluted share, up $0.22 or 19.5% compared to the prior year. Overall, another excellent quarter for Balchem Corporation as we continue to deliver strong financial results while making good progress on our strategic growth initiatives. With that, I'm now going to turn the call back over to Martin to go through the third quarter consolidated financial results for the company in more detail and the results for each of our business segments.

Overall, another excellent quarter for <unk> as we continued to deliver strong financial results, while making good progress on our strategic growth initiatives with that I'm now going to turn the call back over to Martin to go through the third quarter consolidated financial results for the company in more detail and the results for each of our business segments.

Speaker #5: Overall, another excellent quarter for BALCHEM as we continue to deliver strong financial results while making good progress on our strategic growth initiatives. And with that, I'm now going to turn the call back over to Martin to go through the third quarter consolidated financial results for the company in more detail.

Thank you Ted.

As Ted highlighted the third quarter was a great quarter for about Kim with record sales earnings from operations adjusted EBITDA adjusted net earnings and adjusted earnings per share.

Speaker #5: And the results for each of our business segments.

Our third quarter net sales of $268 million or 11, 5% higher than prior year driven by strong performance in all three segments human nutrition, <unk> health animal nutrition, <unk> health and specialty products.

Speaker #4: Thank you, Ted. As Ted highlighted, the third quarter was a great quarter for BALCHEM with record sales, earnings from operations, adjusted EBITDA, adjusted net earnings, and adjusted earnings per share.

Martin Bengtsson: Thank you, Ted. As Ted highlighted, the third quarter was a great quarter for Balchem Corporation with record sales, earnings from operations, adjusted EBITDA, adjusted net earnings, and adjusted earnings per share. Our third quarter net sales of $268 million were 11.5% higher than prior year, driven by strong performance in all three segments: human nutrition and health, animal nutrition and health, and specialty products. Our third quarter gross margin dollars were $95 million, up 11.8% compared to the prior year. Our gross margin percent was 35.7% of sales, up 10 basis points compared to the prior year. Consolidated operating expenses for the third quarter were $41 million as compared to $37 million in the prior year. The increase was primarily due to an increase in professional services and higher compensation-related costs.

Our third quarter gross margin dollars were $95 million up 11, 8% compared to the prior year and our gross margin percent was 35, 7% of sales up 10 basis points compared to the prior year.

Speaker #4: Our third-quarter net sales were $268 million, which is 11.5% higher than the prior year, driven by strong performance in all three segments: human nutrition and health, animal nutrition and health, and specialty products.

Speaker #4: Our third quarter gross margin dollars were $95 million, up 11.8% compared to the prior year. Our gross margin percent was 35.7% of sales, up 10 basis points compared to the prior year.

Consolidated operating expenses for the third quarter were $41 million as compared to $37 million in the prior year.

The increase was primarily due to an increase in professional services and higher compensation related costs.

GAAP earnings from operations for the third quarter were a record $55 million, an increase of 13, 7% compared to the prior year.

Speaker #4: Consolidated operating expenses for the third quarter were $41 million, compared to $37 million in the prior year. The increase was primarily due to an increase in professional services and higher compensation-related costs.

On an adjusted basis as detailed in our earnings release. This morning record non-GAAP earnings from operations of $60 million were up 12, 1% compared to the prior year.

Speaker #4: Gap earnings from operations for the third quarter were a record $55 million, an increase of 13.7% compared to the prior year. On an adjusted basis, as detailed in our earnings release this morning, record non-GAAP AP earnings from operations of $60 million were up 12.1% compared to the prior year.

Martin Bengtsson: GAAP earnings from operations for the third quarter were a record $55 million, an increase of 13.7% compared to the prior year. On an adjusted basis, as detailed in our earnings release this morning, record non-GAAP earnings from operations of $60 million were up 12.1% compared to the prior year. Adjusted EBITDA was a record $71 million, an increase of 11% compared to the prior year, with an adjusted EBITDA margin rate of 26.7%. Net interest expense for the third quarter was $3 million, a decrease of $1 million compared to the prior year, driven primarily by lower outstanding borrowings. Our net debt decreased to $89 million, with an overall leverage ratio on a net debt basis of 0.3. The effective tax rates for the third quarters of 2025 and 2024 were 22.6% and 22.9% respectively.

Adjusted EBITDA was a record $71 million, an increase of 11% compared to the prior year with an adjusted EBITDA margin rate of 26, 7%.

Net interest expense for the third quarter was $3 million, a decrease of $1 million compared to the prior year, driven primarily by lower outstanding borrowings.

Speaker #4: Adjusted EBITDA was a record $71 million, an increase of 11% compared to the prior year, with an adjusted EBITDA margin rate of 26.7%. Net interest expense for the third quarter was $3 million, a decrease of $1 million compared to the prior year, driven primarily by lower outstanding borrowings.

Our net debt decreased to $89 million with an overall leverage ratio on a net debt basis of 0.3.

The effective tax rates for the third quarters of 2025, and 2024 or 22, 6% and 22, 9% respectively.

Speaker #4: Our net debt decreased to $89 million with an overall leverage ratio on a net debt basis of 0.3. The effective tax rates for the third quarters of 2025 and 2024 were 22.6% and 22.9%, respectively.

The decrease in the effective tax rate from the prior year was primarily due to certain lower state taxes.

Consolidated net income closed the quarter at $40 million up 19, 1% from the prior year.

This quarterly net income translated into diluted net earnings per share of $1 24.

Speaker #4: The decrease in the effective tax rate from the prior year was primarily due to certain lower state taxes. Consolidated net income closed the quarter at $40 million, up 19.1% from the prior year.

Martin Bengtsson: The decrease in the effective tax rate from the prior year was primarily due to certain lower state taxes. Consolidated net income closed the quarter at $40 million, up 19.1% from the prior year. This quarterly net income translated into diluted net earnings per share of $1.24, an increase of $0.21 compared to the prior year. On an adjusted basis, our third quarter adjusted net earnings were a record $44 million, an increase of 19.1% from the prior year, which translated to $1.35 per diluted share. Cash flows from operations were $66 million, with free cash flow of $51 million, and we closed out the quarter with $65 million of cash on the balance sheet.

An increase of 21 cents compared to the prior year.

On an adjusted basis, our third quarter adjusted net earnings were a record $44 million, an increase of 19, 1% from the prior year, which translated to $1 35 per diluted share.

Speaker #4: This quarterly net income translated into diluted net earnings per share of $1.24. An increase of 21 cents compared to the prior year. On an adjusted basis, our third quarter adjusted net earnings were a record $44 million, an increase of 19.1% from the prior year, which translated to $1.35 per diluted share.

Cash flows from operations were $66 million with free cash flow of $51 million and we closed out the quarter was $65 million of cash on the balance sheet.

As we look at the third quarter from a segment perspective, our human nutrition and health segment generated record sales of $174 million, an increase of 14, 3% from the prior year.

Speaker #4: Cash flows from operations were $66 million, with free cash flow of $51 million, and we closed out the quarter with $65 million of cash on the balance sheet.

Driven by higher sales within both the nutrient business and the food ingredients and solutions businesses are.

Speaker #4: As we look at the third quarter from a segment perspective, our Human Nutrition and Health segment generated record sales of $174 million, an increase of 14.3% from the prior year, driven by higher sales within both the Nutrients business and the Food Ingredients and Solutions businesses.

Martin Bengtsson: As we look at the third quarter from a segment perspective, our Human Nutrition and Health segment generated record sales of $174 million, an increase of 14.3% from the prior year, driven by higher sales within both the nutrients business and the food ingredients and solutions businesses. Our Human Nutrition and Health segment also delivered record quarterly earnings from operations of $41 million, an increase of 14.8% compared to the prior year. This was primarily driven by the aforementioned higher sales and a favorable mix, partially offset by certain higher manufacturing input costs and higher operating expenses. Third quarter adjusted earnings from operations for this segment were a record $44 million, an increase of 13.2%. We are extremely pleased with the overall performance of our Human Nutrition and Health segment. As Ted mentioned earlier, we continue to experience strong demand for our unique portfolio of ingredients and solutions.

Our human Nutrition and health segment also delivered record quarterly earnings from operations of $41 million.

An increase of 14, 8% compared to the prior year.

This was primarily driven by the aforementioned higher sales and a favorable mix, partially offset by certain higher manufacturing input costs and higher operating expenses.

Speaker #4: Our human nutrition and health segment also delivered record quarterly earnings from operations of $41 million, an increase of 14.8% compared to the prior year.

Third quarter adjusted earnings from operations for this segment were a record $44 million an increase of 13, 2%.

Speaker #4: This was primarily driven by the aforementioned higher sales and a favorable mix, partially offset by certain higher manufacturing input costs and higher operating expenses.

We are extremely pleased with the overall performance of our human nutrition and health segment and as Ted mentioned earlier, we continued to experience strong demand for our unique portfolio of ingredients and solutions.

Speaker #4: Third quarter adjusted earnings from operations for this segment were a record $44 million, an increase of 13.2%. We are extremely pleased with the overall performance of our human nutrition and health segment.

We believe our human nutrition and health businesses are well positioned to build on the momentum we're seeing across our end markets.

Speaker #4: And as Ted mentioned earlier, we continue to experience strong demand for our unique portfolio of ingredients and solutions. We believe our human nutrition and health businesses are well positioned to build on the momentum we are seeing across our end markets.

And as consumers increasingly favor better for you ingredients and solutions, we see significant opportunities ahead to leverage our formulation expertise nutrient portfolio and strong market positions to continue to deliver healthy growth in human nutrition <unk> health.

Martin Bengtsson: We believe our Human Nutrition and Health businesses are well positioned to build on the momentum we are seeing across our end markets. As consumers increasingly favor better-for-you ingredients and solutions, we see significant opportunities ahead to leverage our formulation expertise, nutrient portfolio, and strong market positions to continue to deliver healthy growth in Human Nutrition and Health. Our Animal Nutrition and Health segment generated quarterly sales of $56 million, an increase of 6.6% compared to the prior year. The increase was driven by higher sales in both the ruminant and monogastric businesses. Animal Nutrition and Health delivered earnings from operations of $4 million, an increase of 5.2% from the prior year. The increase was primarily due to the aforementioned higher sales and a favorable mix, partially offset by certain higher manufacturing input costs and higher operating expenses.

Speaker #4: And as consumers increasingly favor Better For You ingredients and solutions, we see significant opportunities ahead to leverage our formulation expertise, nutrient portfolio, and strong market position to continue to deliver healthy growth in human nutrition and health.

Our animal nutrition, and health segment generated quarterly sales of $56 million in.

An increase of six 6% compared to the prior year the.

The increase was driven by higher sales in both the ruminant and mono gastric businesses.

Speaker #4: Our animal nutrition and health segment generated quarterly sales of $56 million, an increase of 6.6% compared to the prior year. The increase was driven by higher sales in both the ruminant and monogastric businesses.

Animal nutrition and health delivered earnings from operations of $4 million.

An increase of five 2% from the prior year.

The increase was primarily due to the aforementioned higher sales and a favorable mix, partially offset by certain higher manufacturing input costs and higher operating expenses.

Speaker #4: Animal nutrition and health delivered earnings from operations of $4 million, an increase of 5.2% from the prior year. The increase was primarily due to the aforementioned higher sales and a favorable mix, partially offset by certain higher manufacturing input costs and higher operating expenses.

Third quarter adjusted earnings from operations for this segment were $4 million, an increase of one 2% compared to the prior year.

The end markets for animal nutrition health remain relatively stable at the moment and we were pleased to see another quarter of top and bottom line growth.

Speaker #4: Third quarter adjusted earnings from operations for this segment were $4 million, an increase of 1.2% compared to the prior year. The end markets for animal nutrition and health remain relatively stable at the moment, and we were pleased to see another quarter of top and bottom line growth.

Martin Bengtsson: Third quarter adjusted earnings from operations for this segment were $4 million, an increase of 1.2% compared to the prior year. The end markets for Animal Nutrition and Health remain relatively stable at the moment, and we were pleased to see another quarter of top and bottom line growth. We continue to see market penetration of our rumen-protected encapsulated nutrients for the dairy market, including our ReaShure encapsulated choline and our more recently launched AminoShure-XL encapsulated lysine. On the monogastric side, we see a relatively stable U.S. end market at the moment and a modestly improved European market environment following the provisional anti-dumping duties on Chinese choline that were announced last quarter. As we look forward, we expect animal nutrition and health to continue to deliver growth over the long term.

We continue to see market penetration of our rumen protected encapsulated nutrients for the daily market, including our reassure encapsulated choline and our more recently launched amino sure excel encapsulated lysine.

On the morning, gastric side, we see a relatively stable U S end markets at the moment and a modestly improved European market environment. Following the provisional antidumping duties on Chinese choline that were announced last quarter.

Speaker #4: We continue to see market penetration of our rumen-protected encapsulated nutrients for the dairy market, including our ReAssure encapsulated choline and our more recently launched AminoSure XL encapsulated lysine.

As we look forward, we expect animal nutrition and health to continue to deliver growth over the long term.

Speaker #4: On the monogastric side, we see a relatively stable U.S. end market at the moment, and a modestly improved European market environment following the provisional anti-dumping duties on Chinese choline that were announced last quarter.

Our specialty products segment delivered quarterly sales of $36 million, an increase of seven 5% compared to the prior year driven by higher sales in both the performance gases and plant nutrition businesses spur.

Speaker #4: As we look forward, we expect animal nutrition and health to continue to deliver growth over the long term. Our specialty product segment delivered quarterly sales of $36 million, an increase of 7.5% compared to the prior year, driven by higher sales in both the performance gases and plant nutrition businesses.

Specialty products delivered a record quarterly earnings from operations of $12 million, an increase of nine 7% versus the prior year, primarily driven by the aforementioned higher sales.

Martin Bengtsson: Our specialty product segment delivered quarterly sales of $36 million, an increase of 7.5% compared to the prior year, driven by higher sales in both the performance gases and plant nutrition businesses. Specialty products delivered record quarterly earnings from operations of $12 million, an increase of 9.7% versus the prior year, primarily driven by the aforementioned higher sales. Third quarter adjusted earnings from operations for this segment were a record $13 million, an increase of 8.8%. We continue to be really pleased with the performance of specialty products, delivering another strong quarter of growth both on the top and bottom line. Within performance gases, our international reach is creating value for our customers and helping to drive growth rates above historical levels. Similarly, within our plant nutrition business, we're having good success with our geographic expansion efforts, particularly in Latin America and Asia Pacific.

Third quarter adjusted earnings from operations for this segment were a record $13 million an increase of eight 8%.

Speaker #4: Specialty products deliver a record quarterly earnings from operations of $12 million, an increase of 9.7% versus the prior year. Primarily driven by the aforementioned higher sales.

We continue to be really pleased with the performance of specialty products delivering another strong quarter of growth both on the top and bottom line.

Speaker #4: Third quarter adjusted earnings from operations for this segment were a record $13 million, an increase of 8.8%. We continue to be really pleased with the performance of specialty products.

Within performance gases, our international reach is creating value for our customers and helping to drive growth rates above historical levels and similarly within our plant nutrition business. We are having good success with our geographic expansion efforts, particularly in Latin America and Asia Pacific.

Speaker #4: Delivering another strong quarter of growth, both on the top and bottom line. Within performance gases, our international reach is creating value for our customers and helping to drive growth rates above historical levels.

Specialty products is performing well and going forward, we expect to be able to continue to drive solid growth for the specialty products segment.

Speaker #4: And similarly, within our plant nutrition business, we are having good success with our geographic expansion efforts, particularly in Latin America and Asia Pacific. Specialty products are performing well, and going forward, we expect to be able to continue to drive solid growth for the specialty product segment.

Overall, the third quarter was another excellent quarter for <unk> and we believe we are well positioned for continued growth as we head into the remainder of the year.

Martin Bengtsson: Specialty products are performing well, and going forward, we expect to be able to continue to drive solid growth for the specialty product segment. Overall, the third quarter was another excellent quarter for Balchem Corporation, and we believe we are well positioned for continued growth as we head into the remainder of the year. I'm now going to turn the call back over to Ted for some closing remarks.

I'm now going to turn the call back over to Ted for some closing remarks.

Thanks, Martin once again, we are extremely pleased with our third quarter financial results reported earlier. This morning as a company. We continue to show an ability to deliver results in a variety of market conditions, given our strong market positions and our value added portfolio of products. The company is performing.

Speaker #4: So, overall, the third quarter was another excellent quarter for Balchem, and we believe we are well positioned for continued growth as we head into the remainder of the year.

Speaker #4: I'm now going to turn the call back over to Ted for some closing remarks.

Speaker #5: Thanks, Martin. Once again, we are extremely pleased with the third quarter financial results reported earlier this morning. As a company, we continue to show an ability to deliver results in a variety of market conditions.

Ted Harris: Thanks, Martin. Once again, we are extremely pleased with the third quarter financial results reported earlier this morning. As a company, we continue to show an ability to deliver results in a variety of market conditions, given our strong market positions and our value-added portfolio of products. The company is performing very well. We have once again effectively managed through the latest macroeconomic and tariff-related trade environment with minimal impact on the company. At the same time, our growth has strengthened as a result of the accelerating better-for-you trends within the health and nutrition market, given our unique portfolio of nutrients coupled with our food ingredients and solutions capabilities. We are extremely proud of delivering 25 consecutive quarters of quarterly year-over-year growth in adjusted EBITDA with the third quarter results reported earlier this morning. We remain confident in the long-term growth outlook for Balchem Corporation as a company.

Very well we have once again effectively managed through the latest macroeconomic and tariff related trade environment with minimal impact on the company and at the same time our growth has strengthened as a result of the accelerating better for you trends within the health and nutrition markets, given our unique portfolio of nutrients.

Speaker #5: Given our strong market position and our value-added portfolio of products, the company is performing very well. We have once again effectively managed through the latest macroeconomic and tariff-related trade environment, with minimal impact on the company.

Coupled with our food ingredients and solutions capabilities.

We are extremely proud of delivering 25 consecutive quarters of quarterly year over year growth in adjusted EBITDA with the third quarter results reported earlier this morning.

Speaker #5: As at the same time, our growth has strengthened as a result of the accelerating Better-for-You trends within the health and nutrition market.

Speaker #5: Given our unique portfolio of nutrients coupled with our food ingredients and solutions capabilities, we are extremely proud of delivering 25 consecutive quarters of quarterly year-over-year growth in adjusted EBITDA.

And we remain confident in the long term growth outlook for <unk> as a company.

I will now hand, the call back over to margin that will open up the call for questions. Thank you Ted.

This now concludes the formal portion of the conference at this point, we will open up the conference call for our questions.

Speaker #5: With the third quarter results reported earlier this morning, and we remain confident in the long-term growth outlook for BALCHEM as a company. I will now hand the call back over to Martin who will open up the call for questions.

At this time I would like to remind everyone in order to ask a question Press Star then the number one on your telephone keypad.

Ted Harris: I will now hand the call back over to Martin, who will open up the call for questions.

Speaker #4: Thank you, Ted. Let's now conclude the formal portion of the conference. At this point, we will open up the conference call for questions.

Martin Bengtsson: Thank you, Ted. This now concludes the formal portion of the conference. At this point, we will open up the conference call for questions.

And your first question comes from the line of Bob <unk> with CJS Securities. Please go ahead.

Good morning, congratulations on another record quarter.

Speaker #6: At this time, I would like to remind everyone that in order to ask a question, please press star, then the number 1 on your telephone keypad.

Operator: At this time, I would like to remind everyone, in order to ask a question, press star, then the number one on your telephone keypad. Your first question comes from the line of Bob Labick with CJS Securities. Please go ahead.

Thanks, Bob.

Sure.

I wanted to start with the food ingredients and solutions for the last several quarters, it's kind of really picked up after previously lagging the minerals and nutrients growth rate. You. Just mentioned you know the better for you trend, but could you drill down a little more and talk about the changes.

Speaker #6: And your first question comes from the line of Bob Labek with CJS Securities. Please go ahead.

Speaker #7: Good morning. Congratulations on another record quarter.

Bob Labick: Good morning. Congratulations on another record quarter.

Speaker #4: Thanks, Bob.

Martin Bengtsson: Thanks, Bob.

Speaker #7: Sure. I wanted to start with the food ingredients and solutions. For the last several quarters, it's kind of really picked up after, you know, previously lagging the minerals and nutrients growth rate.

Bob Labick: Sure. I wanted to start with the food ingredients and solutions. For the last several quarters, it's kind of really picked up after previously lagging the minerals and nutrients growth rate. You just mentioned the better-for-you trend, but could you drill down a little more and talk about the changes in food solutions and the drivers and the outlook for each of the subsegments in 2026?

Food solutions, and the drivers and the outlook for each of the sub segments in 'twenty.

Absolutely Bob first of all just stepping back a little bit we really we're extremely pleased with the performance of.

Speaker #7: You just mentioned, you know, the Better For You trend, but could you drill down a little more and talk about the changes and, you know, food solutions and the drivers and the outlook?

The entire segment human nutrition and health.

Speaker #7: You know, for each of the subsegments in 2020?

Just to kind of Peel that onion back a little bit sale.

Sales for <unk> were up 14%.

Speaker #5: Absolutely. Bob, and first of all, just stepping back a little bit, we really were extremely pleased with the performance of, you know, the entire segment, human nutrition and health.

Ted Harris: Absolutely, Bob. First of all, just stepping back a little bit, we really were extremely pleased with the performance of the entire segment, human nutrition and health. Just to kind of peel that onion back a little bit, sales for H&H were up 14%. If you talk about the nutrient portfolio, it was up about 30%. As you highlight, the food ingredient business was up nicely as well. It was really good to see the food business up almost 7%. We don't see that growth rate differential necessarily changing over time. We always see the nutrient portfolio as growing faster than the food portfolio. As you point out, the food growth was kind of low single digits there for a while and now significantly increased. The primary driver of that is what we touched on in the prepared remarks.

And then if you talk about the nutrient portfolio was up about 30%.

But as you highlight the food ingredient business.

Speaker #5: Just to kind of peel that onion back a little bit, sales for H&H were up, you know, 14%. And then if you, you know, talk about the nutrient portfolio, was up about 30%.

US nicely as well so it was really good to see the food business up almost 7% and.

We don't we don't see that that.

Speaker #5: But, as you highlight, the food ingredient business was up nicely as well. It was really good to see the food business up almost 7%.

Growth rate differential necessarily changing.

Over time, we always see the nutrient portfolio is growing faster than the food portfolio, but as you point out the food growth was.

Speaker #5: And you know, we don't see that growth rate differential necessarily changing over time. We always see the nutrient portfolio as growing faster than the food portfolio, but as you point out, the food growth was kind of low single digits there for a while.

Kind of load.

Single digits, therefore for a while and now significantly increased in <unk>.

The primary driver of that is what we touched on in the prepared remarks and that really is the benefits we're seeing from the <unk>.

<unk> trends.

The market whether it's.

In meat sticks, which is a high protein.

Snack to replace.

You know other snacks or whether it's a high fiber nutritional beverage that is trying to address even some of the negative.

Ted Harris: That really is the benefits we're seeing from the better-for-you trends in the market, whether it's in meat sticks, which is a high-protein snack to replace other snacks, or whether it's a high-fiber nutritional beverage that is trying to address even some of the negative implications of GLP-1 drugs. For example, we see quite a few of our customers introducing new products targeted to that audience. We all know that's a pretty sizable consumer base. Whether it's high-protein bars, for example, with our ZCRISPs and our ability to add high-protein crisp to certain kind of bars in the marketplace, all of those trends are really helping support and strengthen our overall growth in food ingredients.

<unk> implications of <unk> one drugs for example, we see quite a few of our customers introducing new products targeted to that audience and we all know that's a pretty sizeable.

Consumer base or whether its high protein bars for example, with our fee crisps and our ability to.

At high protein crisps too.

Certain kind of.

Bars in the marketplace. So all of those trends are really helping support and strengthen.

Our overall growth in food ingredients, and it's really a combination of our nutrient expertise from the nutrient business.

Our unique products encapsulated products are.

Kind of emulsified powder systems, our flavor systems, and our ability to combine all of those and and solutions for our customers as they're introducing new products to serve those trends and we think those trends are likely to continue.

Ted Harris: It's really a combination of our nutrient expertise from the nutrient business, our unique products, encapsulated products, our kind of emulsified fat powder systems, our flavor systems, and our ability to combine all of those in solutions for our customers as they're introducing new products to serve those trends. We think those trends are likely to continue for the foreseeable future. I think the better-for-you trends have been going on for decades. Of late, we've seen some accelerance to those trends, whether it's the GLP-1 drugs that I touched on that have side effects and have sort of unique nutrient needs, if you will, for the consumers of those products. That's an opportunity for us. Certainly, the RFK Jr. focus on healthier for you products, less processed food products is creating an accelerant, if you will, to this long-term trend.

New for the foreseeable future I think the better for you trends have have been going on for decades.

Of late we have seen some accelerants to those trends whether it's <unk>.

The <unk> one drugs that tight.

Touched on that.

Have side effects that have.

Sort of unique nutrient needs. If you will for for the consumers of those products, that's an opportunity for us certainly the.

<unk>.

RFK junior focus on on healthier for you products less processed food products is creating an accelerant if you will to this.

A long term trend so.

We're really pleased that that our portfolio of products.

Caters to.

Those trends and is allowing for us to get new wins in the marketplace and grow our food business at a higher rate than we have here.

Ted Harris: We're really pleased that our portfolio of products caters to those trends and is allowing for us to get new wins in the marketplace and grow our food business at a higher rate than we have historically. We're quite excited about that.

Historically, so we're quite excited about that.

That's great. Thank you and then just on the nutrient minerals nutrient side the growth was phenomenal as well your major markets choline.

<unk> M S N magnesium et cetera.

Can you talk about it's been a penetration story for a while where are you in terms of product penetration and what is the opportunity you know how much longer you know overrun where is there for penetration and awareness of your product.

Bob Labick: That's great. Thank you. On the nutrient minerals and nutrient side, the growth was phenomenal as well. Your major markets of choline, K2, MSM, magnesium, et cetera, can you talk about it's been a penetration story for a while. Where are you in terms of product penetration? What is the opportunity, how much longer of a runway is there for penetration and awareness of your products?

Yes. The short answer is we're a long way from from that endpoint.

Can you talk about it's been a penetration story for a while where are you in terms of product penetration and what is the opportunity you know how much longer you know overrun where is there for penetration and awareness of your product.

Again as I've talked about in the past.

So.

To some extent our challenge is.

The majority of our portfolio, whether it's choline or vitamin K, two or even MSM are not very well known and I would even add the idea of chelating minerals higher bio available minerals are not so well.

Ted Harris: Yeah. The short answer is we're a long way from that endpoint. You know, again, as I've talked about in the past, to some extent, our challenge is the majority of our portfolio, whether it's choline or vitamin K2 or even MSM, are not very well known. I would even add the idea of chelated minerals, higher bioavailable minerals, are not so well known. Recent studies show that they're, yes, a little bit better known today than they were five years ago, but still not well known. We think that we have a significant way to go. We think that the market opportunities are still, you know, 3, 4x multiples the size of the market today. In the minerals, you mentioned magnesium in the minerals space, the overall mineral market is huge. The position that chelated minerals have within that market remains tiny.

Yes. The short answer is we're a long way from from that endpoint.

Again as I've talked about in the past.

<unk>.

To some extent our challenge is.

Known and and you know kind of recent studies show that there, yes, a little bit better known today than they were five years ago, but still not.

The majority of our portfolio, whether it's choline or vitamin K, two or even MSM are not very well known and I would even add the idea of chelating minerals higher bio available minerals are not so well.

Well now and so we think that we have a significant way to go we think that the market opportunities are still.

And and kind of recent studies show that there, yes, a little bit better known today than they were five years ago, but still not.

No.

Three four X multiples the size of the market today and in the minerals you mentioned magnesium in the mineral space. The overall mineral market is huge and the position that <unk> minerals have within that market remains.

Well no and so we think that we have a significant way to go we think that the market opportunities are still.

<unk>.

Three four X multiples the size of the market today and in the minerals you mentioned magnesium in the mineral space. The overall mineral market is huge and the position that <unk> minerals have within that market remains.

Tiny so the opportunity there is to both eat away at that bigger minerals market with these higher bio available.

More effective products, but also kind of drive market penetration to users that are.

Supplementing with those minerals as well so it's really sort of two vectors.

Ted Harris: The opportunity there is to both eat away at that bigger minerals market with these higher bioavailable, more effective products, but also drive market penetration to users that aren't supplementing with those minerals as well. It's really sort of two vectors of growth. We certainly see very strong double-digit growth in each of those portfolios, and we expect that to continue for some time.

Tiny so the opportunity there is to both eat away at that bigger minerals market with these higher bio available.

Growth, but.

We certainly see.

Very strong double digit growth in each of those portfolios and we expect that to continue for some time.

More effective products, but also kind of drive market penetration to users that are.

Okay Super I'll jump back in queue, and let others ask questions, but thank you.

Supplementing with those minerals as well so it's really sort of two vectors.

Thanks, Bob.

Growth, but.

We certainly see <unk>.

Your next question comes from the line of Rumsfeld Neurology with H C. Wainwright. Please go ahead.

Very strong double digit growth in each of those portfolios and we expect that to continue for some time.

Thanks, very much for taking my questions and congratulations on a very strong quarter.

Bob Labick: Okay. Super. I'll jump back in queue and let others ask questions. Thank you.

Okay Super I'll jump back in queue, and let others ask questions, but thank you.

I was just wondering if you could comment on international anti dumping practices being enacted at the state regional governmental level that could conceivably boost sales, particularly in the Anh segment ex U S and especially if you could give us maybe just an overview.

Ted Harris: Thanks, Bob.

Thanks, Bob.

Operator: Your next question comes from the line of Ram Selvaraju with HC Wainwright. Please go ahead.

Your next question comes from the line of Ron <unk> with H C. Wainwright. Please go ahead.

Ram Selvaraju: Thanks very much for taking my questions, and congratulations on a very strong quarter. I was just wondering if you could comment on the international anti-dumping practices being enacted at the state, regional, governmental level that could conceivably boost sales, particularly in the H&H segment, ex-U.S. Especially if you could give us maybe just an overview of the status of the European anti-dumping campaigns as these pertain to choline specifically, you know, where that is currently and what impact you expect it to have over the course of the coming months and indeed into next year. Thank you.

Thanks, very much for taking my questions and congratulations on a very strong quarter. I was just wondering if you could comment on international anti dumping practices being enacted at the state regional and governmental level that could conceivably boost sales, particularly in the eights in each segment.

The status of the European Antidumping campaigns.

These pertain to choline specifically.

Where that is currently and what impact do you expect it to have over the course of the coming months and indeed into next year. Thank you.

<unk> ex U S and especially if you could give us maybe just an overview of the status of the European Antidumping campaigns.

Yes, Thanks, Rob for your comments and your question.

These pertain to choline specifically.

There are really two aspects too.

You know where that is currently and what impact do you expect it to have over the course of the coming months and indeed into next year. Thank you.

Antidumping, and maybe I'll start with the current.

Initiative.

Where the European Union has preliminarily.

Ted Harris: Yeah. Thanks, Ram, for your comments and your question. You know, there are really sort of two aspects to anti-dumping. Maybe I'll start with the current initiative where the European Union has preliminarily put anti-dumping duties on China-origin choline chloride. Maybe to your specific question, that's both for human choline chloride as well as animal choline chloride. It's just a clear recognition by the European Union of unfair trade practices by China and trying to create a level playing field. Those duties are still preliminary. There's quite a process that is underway. We initially announced that the duties were, I think it was 95% to 120%. After further calculations, they've reduced those by about 5 percentage points, so not significantly, which we were pleased to hear. Later this year, certainly by the end of the year, they should have a final vote for the enactment of those duties.

Yes, Thanks, Ron for your comments and your question.

The anti dumping duties on China origin, choline chloride and maybe to your specific question, that's both for human choline chloride as well as.

There are really two aspects too.

Antidumping, and maybe I'll start with that.

Current.

Initiative.

Where the European Union has preliminarily.

Animal.

Choline chloride and it's just a clear recognition by the European Union.

The anti dumping duties on China origin, choline chloride and maybe to your specific question, that's both for human choline chloride as well as.

Fair trade Pact Ices bye.

By trying to and trying to create a level playing field those duties are still preliminary theres quite a process that that.

Animal.

<unk> chloride and it's just a clear recognition by the European Union of unfair trade practices by.

That is underway.

Initially announced.

The duties were I think it was 195% to 120% and.

Trying and trying to create a level playing field those duties are still preliminary theres quite a process that that.

After further calculations that were reduced by about five percentage points, so not significantly which we were pleased to hear and later this year certainly by the end of the year. They should have a final vote for the enactment of those duties and then they will become.

It is underway.

Initially announced.

That the duties were I think it was 195% to 120% and.

After further calculations that were reduced by about five percentage points, so not significantly.

You know approved in their final form and would be in place for five years.

Which we were pleased to hear and later this year certainly by the end of the year. They should have a final vote for the enactment of those duties and then they will become.

Which also would be.

A very good thing and there is an opportunity for us to work with the European Union to try to.

Ted Harris: They will become approved in their final form and would be in place for five years, which also would be a very good thing. There is an opportunity for us to work with the European Union to try to address some of the typical reaction from China of moving the product through other countries. We're working to try to do that. That would only strengthen the impact of the duties. Certainly, broadly speaking, across the nutrient sector, whether it's in animal or in human, these types of pricing practices are quite prevalent from China as well as others. I do think that there is an improved environment within which to bring these kinds of cases to the government entities and to get an appropriate response. We are kind of actively reviewing where that makes sense, where we believe these practices are happening, and kind of using that tool.

If approved in their final form and would be in place for five years.

Dress some of the typical reaction from China of moving the product through other countries and we're working to try to do that and that would only strength in the <unk>.

Which also would be a very good thing and there is an opportunity for us to work with the European Union to try to.

Impact.

The duties, but certainly broadly speaking across the.

Address some of the typical reaction from China of moving the product through other countries and we're working to try to do that and that would only strengths and the impact.

The nutrient.

Our sector, whether it's an animal or human.

These types of pricing practices are quite prevalent from China, as well as others and I do think that there is a an improved.

Impact.

The duties, but certainly broadly speaking across the.

The nutrient.

Environment within which to bring these kinds of cases to the government entities and too.

Our sector, whether it's an animal or human.

These types of pricing practices are quite prevalent from China as.

Get it.

Procreate response, so we are kind of actively reviewing where that makes sense, where I believe where we believe these practices are happening and and kind of using that tool. Unfortunately, it is expensive and it is lengthy and so.

As well as others and I do think that there is.

Proved.

Environment within which to bring these kinds of cases to the government entities and too.

You have to go through that but but.

Get it.

Procreate response, so we are kind of actively reviewing where that makes sense, where I believe where we believe these practices are happening and kind of using that tool. Unfortunately, it is expensive and it is lengthy and so.

Clearly in the U S and we think in the U S. There's.

An improved environment for us companies like ours to bring those kind of.

Ted Harris: Unfortunately, it is expensive and it is lengthy. You have to go through that. Clearly, in the U.S., and we think in the U.S., there's an improved environment for us, companies like ours, to bring those kinds of cases to the governments. We'll do that as appropriate going forward.

Cases to the governments and and.

We will do that as appropriate going forward.

You have to go through that but but.

Clearly in the U S and we think in the U S. There is Uh huh.

Okay, Great and then also just wanted to ask about the Orange County, Microencapsulation manufacturing facility and you just summarize again for US when you expect construction to be completed on that facility now that you have the state approvals in place and also if you can.

An improved environment for us companies like ours to bring those kind of.

Our cases to the governments and and.

We'll do that as appropriate going forward.

Ram Selvaraju: Okay. Great. I just wanted to ask about the Orange County microencapsulation manufacturing facility. Can you summarize again for us when you expect construction to be completed on that facility now that you have the state approvals in place? Also, if you can give us a sense of what the magnitude of impact is likely to be on revenues and earnings quality once that facility comes fully online. Thank you.

Okay, Great and then also just wanted to ask about the Orange County, Microencapsulation manufacturing facility can you just summarize again for us when you expect construction to be completed on that facility now that you have the state approvals in place and also if you can give us.

Give us a sense of what the magnitude of impact is likely to be on revenue.

And earnings quality once that facility comes fully online. Thank you.

Yes, sure. We're really excited about that we announced that in our second quarter earnings release, and we felt like we should update our shareholders on on the progress that has made have been made and.

A sense of what the magnitude of impact is likely to be on revenues and.

And earnings quality once that facility comes fully online. Thank you.

Essentially what we tried to say in the highlight on the press releases that.

Ted Harris: Yeah. Sure. We're really excited about that. We announced that in our second quarter earnings release. We felt like, you know, we should update our shareholders on the progress that has been made. Essentially, what we tried to say in the highlight on the press release is that we're moving forward. We have gotten the most recent approvals to do just that, move forward with the plant. You know, we essentially, what we're doing is building a new plant that has twice the capacity of the old plant and will effectively shut down the old plant, which was, you know, one of the first sites that we ever had as a company. In fact, the first site, we bought it back in the 1960s. At that point in time, it was an old creamery that we used to make food ingredients.

Yes, sure. We're really excited about that we announced that in our second quarter earnings release, and we felt like we should.

We're moving forward and we have we have gotten the most recent approvals to do just that and move forward.

Good update our shareholders on all the progress that has made have been made in.

With the.

With the plant.

<unk>.

Essentially what we tried to say in the highlight on the press releases that.

Yes.

Essentially what we're doing is building a new plant that has twice the capacity of.

We're moving forward and we've gotten the most recent approvals to do just that and move forward.

The old plant and we will effectively shut down the old plant, which was.

With the.

With the plant.

Uh huh.

<unk>.

One of the first site that we ever had as a company in fact, the first site.

Yes.

Essentially what we're doing is building a new plant that has twice the capacity of.

We bought it back in the Sixty's and and at that point in time, it was an old creamery.

The old plant and it will effectively shut down the old plant, which was.

That we used to make food ingredients and.

Has kind of sort of far outlived its.

One of the first sites that we ever had as a company in fact, the first site.

Effectiveness and so it was time for us to upgrade and modernize and we've done that just down the road. So that we can continue to use the employee base from the old site and.

We bought it back in the Sixty's and and at that point in time, it was an old creamery.

And that we use to make food ingredients and.

Ted Harris: It has kind of sort of far outlived its effectiveness. It was time for us to upgrade and modernize. We've done that just down the road so that we can continue to use the employee base from the old site and so forth. We're really kind of putting in place in this new plant some new technology around our microencapsulation and more efficient technology. The encapsulate business, for example, just in Q3, grew about 26%. It's a fast-growing part of our portfolio and has been growing significantly, really, over the last few years. We need the capacity. Our current capacity is getting us by, but we're soon going to start to run out of capacity in the coming couple of years. The plant will be, from a construction perspective, completed early in 2027. We expect to be producing a new product by the middle of 2027.

And so forth and so we're really kind of putting in place in this new plant some new technology around our micro encapsulation and more efficient technology.

As kind of sort of far outlived its.

Effectiveness and so it was time for us.

Upgrade and modernize and we've done that just down the road. So that we can continue to use the employee base from the old site and.

<unk>.

Encapsulates business for example, just in Q3 grew about 26%. So it's a fast growing part of our portfolio.

And so forth and so we're really kind of putting in place in this new plants.

New technology around our micro encapsulation and more efficient technology.

And has been growing significantly really over the last few years and we need the capacity our.

And Capsulate business. For example, just in Q3 grew about 26%. So it's a fast growing part of our portfolio.

Our current capacity is getting us by but.

But were soon going to start to.

Run out of capacity in the coming couple of years and so the plant will be.

And has been growing significantly really over the last few years and we need the capacity our.

Uh huh.

From a construction perspective completed early in 2027, and we expect to be producing new product by the middle of 2027, and so the way. We're looking at it is it's going to allow this important.

Our current capacity is getting us buy but that.

We're soon going to start to.

Run out of capacity in the coming couple of years and so the plant will be.

Important product line to continue to grow at double digit rates and and our encapsulate business is certainly on the higher end of our gross margin profile of the businesses within our company. So.

From a construction perspective completed early in 2027, and we expect to be producing new product by the middle of 2027, and so the way we're looking at it is it's going to allow this.

Ted Harris: The way we're looking at it is it's going to allow this important product line to continue to grow at double-digit rates. Our encapsulate business is certainly on the higher end of our gross margin profile of the businesses within our company. We're excited to invest in that product line. We're excited to be able to allow it to continue to grow kind of beyond our current capacity levels.

We're excited to invest in that that product line.

Important product line to continue to grow at double digit rates and our encapsulate business is certainly on the higher end of our gross margin profile of the businesses within our company. So.

And we're excited to be able to allow us to continue to grow.

Kind of beyond our current capacity levels.

Okay and then just two quick questions for Martin if I may Firstly wanted to ask if you expect the pace of debt repayment to be the same in the next couple of quarters as what you. Just recent most recently reported particularly in light of the significantly lower debt burden and the very.

We're excited to invest in that that product line and we're excited to be able to allow us to continue to grow.

Kind of beyond air.

Current capacity levels.

Ram Selvaraju: Okay. Just two quick questions for Martin, if I may. Firstly, I wanted to ask if you expect the pace of debt repayment to be the same in the next couple of quarters as what you just most recently reported, particularly in light of the significantly lower debt burden and the very low net leverage ratio that Balchem Corporation currently has. I just wanted to see if you're planning to take your foot off the gas on debt repayment schedule or if you're intending to keep going at the most recently reported pace on a quarterly basis. Also, if you could just give us a sense of whether you expect the most recently reported quarterly effective tax rate to be an appropriate assumption to carry forward for the remainder of 2025. Thank you.

Okay and then just two quick questions for Martin if I may Firstly wanted to ask if you expect the pace of debt repayment to be the same in the next couple of quarters as what you. Just recent most recently reported particularly in light of the significantly lower debt burden and the very low net.

Low net leverage ratio that <unk>. Currently has just wanted to see if you are planning to take your foot off the gas on debt repayment schedule or if you're intending to keep going at the most recently reported pace on a quarterly basis and also if you could just give us a sense of whether you expect the most recently reported.

Leverage ratio that <unk>. Currently has just wanted to see if youre planning to take your foot off the gas on debt repayment schedule or if you're intending to keep going at the most recently reported pace on a quarterly basis and also if you could just give us a sense of whether you expect the most recently reported quarterly.

Orderly effective tax rate to be an appropriate assumption to carry forward for the remainder of 2025. Thank you.

Rob, Yes, so I'll start with the second one.

Gasser for the tax rate I think sort of our best estimate for the year is around 22, and a half plus or minus a little bit. So so that's kind of where we're at year to date and where we think we'll finish the year at around 22, and a half plus or minus a little bit.

<unk> tax rate to be an appropriate assumption to carry forward for the remainder of 2025. Thank you.

Martin Bengtsson: Ram, yes. I'll start with the second one. If it's a quick answer for the tax rate, I think sort of our best estimate for the year is around 22.5%, plus or minus a little bit. That's kind of where we're at year to date and where we think we'll finish the year at, around 22.5%, plus or minus a little bit. On the debt repayment pace, obviously, we've generated strong free cash flows. As you know from the past, we deploy that capital and paying down our debt is part of that. I think it will depend a little bit, the pace, on timing of M&A. As you know, we talk a lot about pursuing various opportunities all the time. Unfortunately, we haven't gotten anything over the finish line more recently. That is not to say we're not actively participating, actively discussing, actively pursuing strategic M&A.

Rob, Yes, so I'll start with the second one.

On the debt repayment pace.

Quick gasser for the tax rate I think sort of our best estimate for the year is around 22, and a half plus or minus a little bit. So that's kind of where we're at year to date and where we think we'll finish the year at around 22, and a half plus or minus a little bit.

I mean, obviously, we've generated strong free cash flows and as you know from the past.

We deploy that capital and paying down our debt as part of all of that.

I think it will depend a little bit the pace on timing of M&A as you know we've talked a lot about pursuing various opportunities all the time.

On the debt repayment pace.

Honestly, we've generated strong free cash flows and as you know from the past, where we deploy that capital and paying down our debt as part of all of that.

Unfortunately, we havent gotten anything over the finish line more recently.

That is not to say, we're not actively participating actively discussing actively pursuing strategic M&A. So I think that will impact it a little bit on how we see sort of those opportunities develop here as we as we go forward.

I think it will depend a little bit the pace on timing of M&A as you know we've talked a lot about pursuing various opportunities all the time.

Unfortunately, we havent gotten anything over the finish line more recently.

That is not to say, we're not actively participating actively discussing actively pursuing strategic M&A. So I think that will impact it a little bit on how we see sort of those opportunities develop here as we as we go forward.

Also you know from the past that we do deploy some of our cash into keeping our sort of share count relatively flat. So we do some.

Martin Bengtsson: I think that will impact it a little bit on how we see those opportunities develop here as we go forward. Also, you know from the past that we do deploy some of our cash into keeping our share count relatively flat. We do some share repurchases for anti-dilutive purposes just to keep our shareholders' ownership relatively stable. That will impact it as well in terms of at what pace we repurchase share just to keep our share count flat. Meanwhile, we will continue to reduce debt as there is excess cash. I think the big trigger that will change that is when the next M&A transaction occurs because I think that is more a matter of timing than anything else.

Share repurchases for anti diluted purposes, just to keep sort of our shareholder's ownership.

Also you know from the past that we do deploy some of our cash and to keeping our sort of share count relatively flat. So we do some share.

Relatively stable.

So that will impact it as well in terms of at what pace, we repurchase share just to keep our share count flat.

Share repurchases for anti diluted purposes, just to keep sort of our shareholder's ownership.

But Meanwhile, we will continue to reduce that as there is excess cash.

Relatively stable.

And then I think the big trigger that will change that as sort of when the next M&A transaction occurs because I think that it's more a matter of timing.

So that will impact it as well in terms of at what pace, we repurchased share just to keep our share count flat.

Anything else.

But Meanwhile, we will continue to reduce that as there is excess cash.

Thank you.

Thanks Franz.

And then I think the big trigger that will change that as sort of when the next M&A transaction occurs because I think that it's more a matter of timing.

Your next question comes from the line of Daniel <unk> with Sidoti. Please go ahead.

Hey, guys good morning, and congrats on another great quarter.

Anything else.

Just a couple quick ones for me today within specialty products with seven 5% year over year growth can you give us a breakdown of how much came from performance gases versus plant nutrition, and then with the plant nutrition growth could you just update us and provide a little bit more information about the.

Ram Selvaraju: Thank you.

Thank you.

Bob Labick: Thanks, Ram.

Thanks from.

Operator: Your next question comes from the line of Daniel Harriman with Sidoti. Please go ahead.

Your next question comes from the line of Daniel <unk> with Sidoti. Please go ahead.

Daniel Harriman: Hey, guys. Good morning and congrats on another great quarter. Just a couple of quick ones from me today. Within specialty products, with that 7.5% year-over-year growth, can you give us a breakdown of how much came from performance gases versus plant nutrition? With the plant nutrition growth, could you just update us and provide a little bit more information about the success you're seeing with your geographic expansion within that business?

Hey, guys good morning, and congrats on another great quarter.

Just a couple quick ones from me today within specialty products with the seven 5% year over year growth can you give us a breakdown of how much came from performance gases versus plant nutrition, and then with the plant nutrition growth could you just update us and provide a little bit more information about the success.

Youre seeing with your geographic expansion within that business.

Yes, sure just to give you some some kind of growth numbers within specialty products. So as you said overall, we grew about seven 5%.

Performance gases business grew about 7% and the plant nutrition business grew about 13% so.

Youre seeing with your geographic expansion within that business.

Okay.

Ted Harris: Yeah. Sure. Just to give you some kind of growth numbers within specialty products. As you said, overall, we grew about 7.5%. The performance gases business grew about 7%, and the plant nutrition business grew about 13%. That combined resulted in the 7.5% growth. We're seeing nice growth out of both performance gases. Traditionally, we viewed it as kind of a lower growth business. After a number of years of different impacts on growth, whether it was air emission systems upgrades, nursing shortages, or COVID impacting elective surgical procedures and so forth, that market seems to have stabilized and is doing well. We're also seeing nice growth in that business geographically, particularly in Europe. We're seeing some differential growth there as well. Plant nutrition, obviously, is a smaller business for us, but historically has been more focused on the United States, and I would say particularly California.

Yes, sure just to give you some kind of growth numbers within specialty products. So as you said overall, we grew about seven 5%.

That combined resulted in the seven 5%.

So we're seeing nice growth out of both performance gases traditionally with you is kind of a lower growth business, but after a number of years of.

Performance gases business grew about 7% in the plant nutrition business grew about 13% so.

Different impacts on growth whether it was.

That combined resulted in the seven 5% growth. So we're seeing nice growth out of both performance gases traditionally we viewed as kind of a lower growth business, but after a number of years of.

Air emission systems upgrades or nursing shortages of Covid impacting.

Elective surgical procedures, and so forth that market seems to have stabilized and.

Different impacts on growth, whether it was air emission systems upgrades or nursing shortages of Covid impacting <unk>.

<unk> is doing well, but we're also seeing nice growth in that business geographically.

<unk> in the in Europe, So we're seeing some differential growth there as well.

Elective surgical procedures, and so forth that market seems to have stabilized.

So plant nutrition, obviously is a smaller business.

<unk> is doing well, but we're also seeing nice growth in that business geographically, particularly.

For us, but historically has been.

More focused on the United States, and I would say, particularly California, we tend to sell into the higher end crops.

In Europe, So we're seeing some differential growth there as well.

So plant nutrition, obviously is a smaller business.

Like grapes and so forth.

For us, but historically has been.

So an important strategic initiative for us has been to <unk>.

More focused on the United States, and I would say, particularly California, we tend to sell into the higher end crops.

Expand internationally for multiple reasons for obvious growth reasons, but also too.

Ted Harris: We tend to sell into higher-end crops like grapes and so forth. An important strategic initiative for us has been to expand internationally for multiple reasons, for obvious growth reasons, but also to balance out some of the seasonality that we experience in that business. As you know, the first half of the year is much stronger than the second half of the year because of the growing season in the U.S. We've had a very deliberate effort to try to offset some of that down part of the season with growth in either the Southern Hemisphere or other geographies. We're having some success in that. It was worth noting, particularly in Latin America, we're seeing stronger growth as well as in Asia Pacific. Some countries that sort of stand out, Brazil, India, for example, are areas where we're having some good success.

Balance out some of the seasonality that we experienced in that business as you know the first half of the year is much stronger than the second half of the year because of the growing season in the U S. So we've had a very deliberate effort to try to.

Like grapes, and so forth and so an important strategic initiative for us has been to.

Expand internationally for multiple reasons for obvious growth reasons, but also too.

Offset some of that down part of the season with growth in either.

Balance out some of the seasonality that we experienced in that business as you know the first half of the year is much stronger than the second half of the year because of the growing season in the U S. So we've had a very deliberate effort to try to.

The southern hemisphere, or other geographies and and we're having some success in that and that was worth noting particularly in Latin America, we're seeing stronger growth as well as in <unk>.

Offset some of that down part of the season with growth in <unk>.

Asia Pacific.

Some countries that are sort of kind of stand out.

The southern hemisphere or other geographies.

Brazil, India for example are areas, where we're having some.

And we're having some success in that and that was worth noting particularly in Latin America, we're seeing stronger growth as well as in <unk>.

Good success, and it's been quite a deliberate effort on our part and we are pleased with.

Asia Pacific.

That growth, while the U S business has been relatively flat I would say.

Some countries that are sort of kind of stand out.

Brazil, India for example are areas, where we're having some.

The international business has been driving the predominance of the growth in plant nutrition.

Ted Harris: It's been quite a deliberate effort on our part, and we're pleased with that growth. While the U.S. business has been relatively flat, I would say the international business has been driving the predominance of the growth in plant nutrition.

Good success, and it's been quite a deliberate effort on our part and we are pleased with.

Great I really appreciate it guys and again congratulations.

That growth, while the U S business has been relatively flat I would say.

Thanks, Danielle appreciate it.

There are no further questions at this time I will now turn the call back over to Ted Harris for closing remarks.

The international business has been driving the predominance of the growth in plant nutrition.

Once again, thank you all very much for joining the call today, we really appreciate your support and your time and we look forward to reporting our Q4 2025 results in February of next year that sounds like a long way away but.

Daniel Harriman: Great. I really appreciate it, guys. Again, congratulations.

Great I really appreciate it guys and again congratulations.

Okay.

Ted Harris: Thanks, Daniel. Appreciate it.

Thanks, Danielle appreciate it.

Operator: There are no further questions at this time. I will now turn the call back over to Ted Harris for closing remarks.

There are no further questions at this time I will now turn the call back over to Ted Harris for closing remarks.

That's when it will be in.

Ted Harris: Once again, thank you all very much for joining the call today. We really appreciate your support and your time. We look forward to reporting our Q4 2025 results in February of next year. That sounds like a long way away, but that's when it will be. In the meantime, we will be participating in Baird's 2025 Global Industrial Conference in Chicago on November 12th, and we certainly hope to see some of you there. Thanks again for joining.

Once again, thank you all very much for joining the call today, we really appreciate your support and your time and we look forward to reporting our Q4 2025 results in February of next year that sounds like a long way away but.

In the meantime, we will.

We will be participating in Baird's 2025, Global Industrial conference in Chicago on November 12, and we certainly hope to see some of you. There. So thanks again for joining.

Okay.

That's when it will be in.

Ladies and gentlemen that concludes today's call. Thank you all for joining you may now disconnect.

In the meantime, we will.

We will be participating in Baird's 2025, Global Industrial conference in Chicago on November 12, and we certainly hope to see.

Some of you there so thanks again for joining.

Operator: Ladies and gentlemen, that concludes today's call. Thank you all for joining. You may now disconnect.

Ladies and gentlemen that concludes today's call. Thank you all for joining you may now disconnect.

Yeah.