Airthings ASA

OSE:AIRX

Earnings Call Transcript 2022-Q3

[Oyvind Birkenes, executive]

Hello, and welcome to our Third Quarter Presentation. I'm Oyvind. I'm the CEO and we have with us today our CFO, Jeremy. And we'll also have a guest appearance by Billy McFadden. He is leading our Consumer Sales in North America and has been doing that over many years. Please send your questions in the chat. There is a bit of a delay, and then we'll take Q&A session at the end.

I want to just start by reminding everyone about the purpose of Airthings to empower the world to breathe better and we are super focused on our purpose. And we use this to steer our strategy and both in the consumer segment and also in Airthings for Business. Airthing should be good for people, good for planet and good for business. And the air we breath has much bigger impact on the energy consumption and on our health and well-being than we think.

So Airthings have been growing fast over many years, and 2022 has been a challenging year. But what we see is that the fundamentals of our business is very strong. We still have most of our business from North America. And if you look into our Consumer segment, we are now really focusing on making our existing retail and e-commerce partners even more successful.

And in the Airthings for Business segment, we are nurturing existing partners as well as adding new ones, both regional and global partners. We are building Airthings as a noticeable brand for our key markets, both for the consumer market and for the B2B segment. This is very important for a business moving forward.

So, we are back to growth in the third quarter after a challenging second quarter. We had sales revenues of $10.1 million, which is up 10% year-over-year. For the Consumer segment, we had high inventories at our retail and e-commerce partners going into the second quarter and we see that this inventory is now being replenished.

New orders is coming in on a regular basis. And now we also see that the growth in the Airthings for Business segment is more than offsetting the modest decline we had in the Consumer segment. Gross profit margins is at 60%, and we are guiding our fourth quarter to be between 9 and $13 million of revenue.

So, one of the highlights from the third quarter is that we had the 26% year-over-year growth in consumer device registrations, which says something about demand and the growth in demand in consumer. We had 135% year-over-year growth in Airthings for Business. We did win a significant contract with a global enterprise customer. The value of the contract is $4.6 million. And this includes $1.4 million in service revenues over 3 years. We have now returned to healthier inventory levels at our retail and channel partners.

We had a great event at Expo Real in Munich a few weeks ago, and we launched our new Space CO2 Mini. And Space by the way is now the new product naming for Airthings for Business. So, all Airthings for Business products, hardware products moving forward will have a prefix of Space. There is a growing focus on indoor air quality. We see this so many areas. The White House of the United States had a 4 hour summit on just this topic a few weeks ago. On the low light side, we see still that there's uncertainty in the market and we are running the business a bit cautious. We are optimizing our cost base and working capital to accelerate the path to profitability.

On the low light side, we see still that there's uncertainty in the market, and we are running the business a bit cautious. We are optimizing our cost base and working capital to accelerate the path to profitability, while still focused on growth. It's important for Airthings to build and become a recognized brand in both our Consumer and Business segments. We continue to get great coverage from leading publications around the world. Airthings is seen as a leader in the market by customers, by analysts and by journalists. One of the measures we have for brand awareness is the web traffic to airtings.com. We had strong growth this year. Q3 was a bit less of growth, but that is also due to holiday season and limited marketing spend following the restructuring process we had in the second quarter.

So at Airthings, we're really excited to see that the subject of indoor air quality is being raised even to the national stage in the US. And this session that was on October 11 at the White House had some really interesting key messages, like that the indoor air quality is crucial to public health, that poor indoor air quality is the main cause of transmission of respiratory pathogens like virus and bacteria; that buildings consume 40% of the world's energy and in some places up to 70%.

Indoor air quality can be used for demand-based heating, cooling and ventilation and to make buildings around the world much more sustainable. It all starts with indoor air quality is what I said at this summit at the White House. And it's especially important for schools and commercial buildings. And a great quote by Professor Allen at Harvard University that attended this and was one of the speakers was that the person who manages your building has a bigger impact on your health than your doctor. This is what Airthings is all about.

So, I'll dig into the business segments. And first of all, the Consumer segment and Airthings for Business and then a little bit on the Pro segment. We had revenues of $6.4 million in the third quarter, which is down 13% year-over-year. Consumer revenue year-to-date is about same as it was the same period last year. We had gross profit margins of 59%. You see that channel and retail partners are beginning to replenish inventories and more and more orders are coming in.

Device registration shows that the end demand remains strong and is growing, and we see that especially for our flagship product, View Plus, but also for Wave Mini. We still have global uncertainties affecting the market visibility, but we really see that the fundamentals of our Consumer business is growing as we can see now on the next slide. So, this is an overview of consumer device registrations, and it's a leading indicator and a proxy for true end demand of our smart consumer products.

As the inventories at our channel partners and retailers are going down, we start to see more and more revenue-generating orders and we've seen this happening in the third quarter. We see certainly there are seasonal variations in device registrations, but we had 26% growth year-over-year for the third quarter.

Now, I will give the word for our VP of Consumer Sales for North America, Billy McFadden. Billy has been leading our Consumer sales in North America over the last 5 years. And he was going to give you some more insight into our Home Depot business. That's been a very strong business for Airthings. Billy?

[Billy McFadden;VP Consumer Sales, executive]

Yes. Thank you, Oyvind. And it's great to be here. It's great to be back -- and also after 2 years. I haven't been here since the start of the pandemic, but certainly great to be back. And I wanted to say hello to my -- all of our partners in the U.S., one. And 2, our team there. I know they're sleeping, but I wanted to make sure I give them a hello. So, I want to give you guys perspective on the growth in Home Depot. As Oyvind alluded to, we have some ebbs and flows of our Consumer business. One, specifically, that's a significant highlight that's been going on for the last 4 years, our partnership with Home Depot.

Home Depot, for context, the largest DIY, classified as a home center in the US and globally. They have approximately 2,000 stores and Airthings today is present in approximately 70% of those locations. So as specified there on the slide, we're in 1,360 out of 1,900-plus stores across 48 states. So that means that our reach and the awareness for our products is growing. Our distribution footprint where products are available for consumers is there. It's in store, also online because we both -- we transact a lot both digitally and in store. And we have 2 products there that are actually doing exceptionally well. We have our digital radon detector device, which has been around for some time and continues to grow. And we have our first air quality device, which is our first non-radon device that's also in the store. So with our Wave Mini air quality product, we're addressing the entire population because as Oyvind points out about respiratory illness as an air quality as a general statement, that is very relevant across all 50 states of the U.S.

2, the radon detection device is proximately more relevant, as defined by the Environmental Protection Agency, is about 70% of the US locations, so roughly about 82 million households. So, we have still a tremendous amount of growth to happen. But as you see from the slides on the revenue side, from going back to 2019, we have 65% compound annual growth through Q3 of this year, and we expect that to be -- to continue -- the future to be bright there. So, I think the numbers and the performance speak for themselves, and we're certainly incredibly valued to our partnership with Home Depot and the opportunity they're giving us to reach a large consumer audience.

Secondly, I want to give some props to our marketing team, both here in Oslo, globally, and more specifically to our North American marketing team because there's 2 things that are driving the business. One is the sales performance of our product is doing well. And what does that mean? That means that our store penetration increases. So, we start up with Home Depot in 50 stores. We went to 500 stores. We went to 1,000 stores, and now we're in 1,400 stores. So that's a validation point that our business and consumer awareness is growing, which is great.

We also have a lot of different marketing activities as specified here for the first 3 quarters of the year. One is digitally, we're improving. We're converting better on a digital setting where our products are products that people research and want to understand more. Secondly, we're doing a lot of point of sale. We call it merchandising activities in store, as you saw in the previous slide, with points of purchase displays or displays. And what does that do? That gets our products in front of more eyeballs. And as people come in and that traffic comes in on the weekend or during the week for shopping, people are seeing our product front and center and eyeballs translate to awareness and it translates to sales.

The 2 graphs on the right that I think are important are the charts, if you will, that are helping us drive the movement in the US are 2. One is the Environmental Protection Agency, the EPA's radon map. So, you have 3 there. You have 3 risk zones. One is the red is obviously high-risk areas, Orange is moderate risk and yellow is low risk. So, we're focusing our efforts, and a lot of the geo data that we see is all of our demand is coming from those areas in the radon side. And then across the US, we're seeing great demand for overall air quality in general.

Last but not least, the radon legislation policy does move the needle. It's a credibility boost for us in a category that we're pioneering candidly. And so there's 37 states in the US that have radon legislation that are highlighted there. And we think over time that, that's going to continue to develop as awareness grows and the concern for radon, second leading cause of lung cancer in the US and globally is something that needs to be heard. And so we're extremely grateful for the partnership at Home Depot, continue to be extremely optimistic about what's ahead. I really think we're in a very early stage of our growth cycle.

So thank you.

[Oyvind Birkenes, executive]

Thank you, Billy. And Billy will also be available here to join the Q&A session. So going into the Airthings for Business segment. We had sales revenue of $3.2 million with 135% year-over-year growth. $1.7 million of this revenue comes from a large contract with a global enterprise customer. We have 60% gross profit margin, and we certainly see that Airthings for Business is taking an increasing share of the overall Airthings business.

I'll dig a bit more into what happened with Airthings for Business. We see that the number of devices in the field, active devices in the field is growing fast. We have seen 179% growth year-over-year of active devices in the field, and this is also a driver for underlying growth in our annual recurring revenues. We launched the Space CO2 Mini a few weeks ago in Munich at Expo Real. And it's a really innovative device. It's very accurate. It's a scalable CO2 monitoring -- monitor, covering really the most essential indoor air quality aspects.

It has more than 10 years battery lifetime, which is groundbreaking with this type of technology. And this one really helps to achieve a balance between health and energy efficiency in all the rooms in a building. So for Space CO2 Mini, we are at the price point and a scalability that makes it -- we can really have this in every room of commercial and public buildings, really to close the loop and to control the buildings in a much better way to get a much better overview of the building.

We're only selling Space CO2 Mini in bulk. It comes in 4 packs. It really enable us to increase the density of sensor per building. Also helps us to win large projects and large tenders that's going on around the world. And Space CO2 Mini monitors everything from CO2, temperature, humidity, noise levels. It has a very accurate lux sensor for light and you can monitor occupancy, virus risk and air pressure. You will see a lot more and we have already seen a lot of attention of this new technology from Airthings.

Another interesting happening that just happened just after the third quarter is our partnership announced at the Norwegian largest HVAC conference, the VVS-dagene. And this is our partnership with Lindab. And this is really boosting our ability to energy-optimized buildings. And the solution is targeting the retrofit market, which is basically most of the buildings in the market. And it enables us in a fast, easy way to upgrade buildings to a demand-controlled ventilation system. We can now integrate directly into Lindab's dampers and this saves energy, it saves costs, and it brings fresh air to where people are. And it really enables us to close the loop in buildings. We already have seen several orders coming in from this partnership, and we see that Airthings is now really part of the property technology market by being -- working with Lindab in cases like this.

So this is exciting, and you're all going to hear more about it. And the way the whole thing works is that the Airthings' sensors is mounted in a room. It talks over Bluetooth to the dampers that controls the air rate in the room. So, you have local control of your air exchange rate in the room based on the data from the Airthings sensor. And in addition, Airthings sensor talks to the cloud, which gives you a full overview of the air quality of the building.

On the Pro segment, we had sales revenue of about $0.5 million, which represents a growth of 4% year-over-year. We still see a challenging home inspector market leading to slower sales in this market. We had close to 80% gross profit margin, and we are really putting much more emphasis on other areas of the business while still maintaining our Pro segment.

If you look at the annual recurring revenues, we ended at $3.4 million for the third quarter, which is end of Q3, which is up 66% year-over-year. You see most of the growth is coming from Airthings for Business, while we had a modest decline in the Pro segment. We still see a very strong gross profit margins from our service revenues. And with the growth we see in the Airthings for Business, we're going to see growth in ARR over the coming months and quarters.

Then I'll hand it over to our CFO, Jeremy.

[Jeremy Gerst, executive]

Yes. Thank you, Oyvind. Starting with the income statement. As Oyvind mentioned earlier, revenues came in at $10.1 million, up around 10%. Gross margin for the third quarter was 60%, which is largely in line with prior quarters for this year. In terms of EBITDA, it came in at minus $200,000. Looking versus the third quarter in 2021, payroll expenses are lower, and a significant portion of that, around $350,000 is attributable to R&D activities, which have been activated to the balance sheet. If we compare the payroll expenses to the second quarter of 2022, we also have to take into consideration the holiday pay dynamics in Norway. And so payroll expenses versus the second quarter were down, and also the restructuring process we went through.

And then in terms of other operating expenses, they were slightly higher than a year ago, but well below the second quarter. This reflects reduced marketing activities and other operational improvements, although we did see a strengthening of the US dollar in the quarter. And this is in around -- you could attribute around 5% to 10% of the reduction from the second quarter due to these currency changes. In terms of EBITDA, our EBIT, it came in at minus $500,000. And here, we're seeing the depreciation and amortization is primarily the right-of-use assets for leases recognized under the IFRS 16.

Looking at the balance sheet. We've, obviously, due to the losses Airthings have had over the prior year, I've seen an increase in the deferred tax asset. Versus last year, the inventory has increased due to the strategic decision to secure supply. If we go back a year ago, there was a lot of talk about the global component shortage. So manufacturers were trying to secure supply. But we do see a modest decline from the second quarter going down from around $16.5 million to $15.5 million in this quarter.

Trade receivables is down slightly from a year ago, and cash is obviously down, both due to profitability. Also working capital, as I mentioned, the buildup in inventories and also a significant portion of this due to exchange rates. We've seen a significant strengthening of the US dollar to the Norwegian kroner over the last year.

In terms of liabilities, again, here we see the effects of the exchange rate. As our functional currency is a Norwegian crowns, but our reporting currency is US dollar. We have -- a significant portion of the equity decline is due to these exchange rates. We've also seen a decline in long-term liabilities and a slight decline in trade and other payables. We also see lower provisions. This is due to the segment mix. A year ago, we had a higher portion of our sales in the Consumer. We needed to take provisions to account for revenue reductions in terms of promotional activities through retail partners, whereas in this quarter, we had much more revenues that came through Airthings for Business.

Looking at the cash flow statement. Cash flow from operating activities was down minus $2.5 million. In terms of operating profit, it was modest around minus $0.5 million, if you combine both profit before tax and net financial items. But we did see the sort of change in the working capital led to a decrease of around 2.4%. This is despite a decline in inventories from the prior quarter and attributable to an increase in trade receivables and a modest decline in trade payables.

Cash flow from investment activities was minus $0.5 million, and this is primarily driven by internally generated intangible assets in the form of R&D activities that are activated to the balance sheet. Cash flow from financing activities was a modest, minus $0.2 million. And then sort of the key thing to highlight here is, again, getting back to that Norwegian crowns are functional currency in our accounting, but our reporting currency is US dollars. There's also, because of the significant strengthening of the US dollar, we saw over the course of the third quarter an unrealized foreign exchange difference of US dollar of approximately minus $3 million.

I mentioned this earlier, but I want to touch on it a bit again, as this is a key focus area for the company now and going forward is we've seen a modest improvement in inventories, both in terms of the nominal level, a decline of around $1 million in inventories on the balance sheet, but also in terms of days of inventory, a key metric that we're following. Now there was a buildup, as I alluded to over the course of 2021 and sort of early into 2022 due to the global component shortage, and this led to a pretty large increase in the average days of inventory.

And now in the third quarter, we've seen a modest improvement in terms of bringing that down from 402 days down to 370 days, with a more longer-term goal of bringing that down to a level of around 180 days and reducing both days of inventory, but of course, also days of trade receivable remains a key focus area as both of these are significant components of working capital, obviously, impact our cash position. And I just want to add that we have cross-functional teams that are working continuously. So both finance operations and the business segments to identify and implement improvements along these dimensions.

And with that, I will give it back to Oyvind.

[Oyvind Birkenes, executive]

Thank you. [indiscernible] summary and outlook. So yes, we had a revenue of $10.1 million, up 10% year-over-year. And we have strong gains in the Airthings for Business segment, which is up 135% year-over-year and taking a bigger and bigger part of our overall business. We're seeing promising signals in the Consumer segment with retailers and channel partners being replenished in their inventories. And we also see that device registrations is growing. We have stable gross profit margins around 60%, and we are growing revenues while optimizing our cost base and focus on working capital to accelerate the path to profitability.

So the outlook for the fourth quarter is revenues between $9 million to $13 million, and the service revenues is expected to grow to somewhere between $3.5 million to $4.0 million. We still have a very exciting long-term outlook. And we have a $100 million revenue goal for 2024, and we had this goal for several years. With a lower top line growth that we've seen in 2022, this goal is challenging. However, we keep this as a stretch goal, as we still see it can be possible to reach this $100 million revenue goal in 2024.

The fundamentals of the Airthings business is very strong, and the potential for growth over the coming years is exceptional. That's our focus. And Airthings is really supported by lasting factors and megatrends. Fresh, healthy air and energy optimization will still be very important for people over many years to come.

With that, I'll open up for questions.

[Unknown Executive]

We have a couple of questions from the online audience. Starting with Christoffer Bjornsen from DNB. We have potentially not seen the big macro headwinds in the results of companies reporting thus far. Can you help us understand a bit better your visibility for 2023 in both Consumer and Airthings for Business?

[Oyvind Birkenes, executive]

So within the Consumer segment, of course, the overall sentiment and macroeconomic uncertainty, it's difficult for us to know exactly what is going to happen over the coming quarters. But what's important for us is that we see that end demand is growing for our products. We are still a small fish in a very big pond. So even though macroeconomic challenges, we still have a lot of opportunity to grow. We're going to come with new products, new solutions, new software features, and we're going to get a lot of attention over the coming years as we have done in the past. So, we are very positive that we are still able to grow this business.

In 2022, there has been inventory corrections because of the post-COVID, where everybody needed to kind of build up inventories and we're afraid of not getting enough. That has been a switch in 2022, but we still see that our end demand is growing through our data. So, we are optimistic about the next year, but still cautious. For Airthings for Business, this is a growing business and is going to continue to grow the way we see it. And again, here, the opportunities are so big, both to save energy, which is getting more and more a hot topic everywhere, also to digitize the way people manage their buildings and, of course, fresh, healthy air to ensure people are coming back to their offices and are happy to work from their office.

[Unknown Executive]

Thank you, Oyvind. We have a couple of more questions from Mr. Bjornsen in DNB. Were there any headwinds from supply chain in the quarter, forcing you to prioritize business over Consumer? Or are all revenues development just reflecting of demand?

[Oyvind Birkenes, executive]

Yes. So winning such a large contract, as we've done in the US makes more like the teams focused on that. So, you get more attention on ensuring that goes successful than some -- winning some other cases in the quarter. Also, third quarter is a quarter where we -- in Europe, has summer holidays, so it's a bit limited quarter for Airthings for Business in that way. But we don't have inventory challenges there. We have enough products in inventory. So, we are not limited by the number of products we have.

[Jeremy Gerst, executive]

This wasn't a situation prioritizing Airthings for Business over Consumer.

[Oyvind Birkenes, executive]

No. Correct.

[Unknown Executive]

Thank you. Can you talk a bit more about the big enterprise agreement recognized in the third quarter? And maybe more important, how many such opportunities are likely to be signed in next couple of quarters?

[Oyvind Birkenes, executive]

Yes. It's -- we cannot say anything about how many cases we're going to close over the coming quarters. I mean, we are working with more and more projects, but there's few projects of that size. I mean, most projects -- it's more that there is many more projects of medium size than this very big size projects. But there's always a balance. They're going to be big projects and medium projects and smaller projects. And we see that the tail of number of projects is growing all the time, and those projects get bigger and bigger in average. So, that's kind of the, fundamentally, the great thing here. And we cannot yet share so much details about this global enterprise customer, but we're really looking forward to share more about this later.

[Unknown Executive]

Thank you. Two financial questions from Mr. Bjornsen to Jeremy. Revenues may be difficult to forecast, but how should we think about cash OpEx, including capitalized R&D run rate development from now to end of 2023? And finally, how -- is it fair to assume you will be cash breakeven from here on?

[Jeremy Gerst, executive]

Yes. In terms of our OpEx run rate, I think in terms of payroll expenses, you can expect those to be somewhere between $4.5 billion, $5 million on a quarterly basis. And then the other OpEx will obviously fluctuate somewhat as -- in regards to demand that is there we're seeing or shipping costs and marketing activities. And then in terms of how much R&D we're going to be activating, you can sort of look at historically what we've been doing, but somewhere in the order of $250,000 to $400,000 on a quarterly basis will be activated to the balance sheet as we continuously have projects. This depends a little bit on where R&D projects are in phase. Obviously, Space CO2 Mini that Oyvind mentioned, that was being capitalized and activated to the balance sheet. And now that we've launched it, it will start to get depreciated and no more activation on that. But then, of course, we're a tech company. We're continuing to develop new products and new services on a continual basis.

In terms of the cash breakeven -- or sort of -- I think I'll just sort of reiterate what I mentioned earlier in the presentation that we have a large focus on working capital. There's a lot of cash that's tied up in working capital and achieving improvements there will improve all else even, improve our cash position as we free up that cash. And then that can sort of ameliorate the effects of negative profits until we achieve profitability.

[Unknown Executive]

Thank you. Three questions from [ Øystein Lodgaard ] in ABG. Costs were materially lower than second quarter. How much is driven by actual costs and how much is due to FX?

[Jeremy Gerst, executive]

I think I touched on that when I went through the presentation that if you were to compare the second quarter to the third quarter. All else equal, then the FX would be attributable around to 5%, 10%. For more details on that, you can, of course, look at the data book and the exchange rate that applies for each of the quarters. But if you compare the second quarter to the third quarter, as I also mentioned, there's, of course, holiday pay dynamics in Norway. We take a provision and then we pay that out. But you sort of, in a sense, get almost like a month of reduced personnel costs. And the majority of our employees are here in Norway. And then in terms of the other OpEx, there we're seeing some good savings in terms of concrete things, as I mentioned, like marketing activities that were reduced as we prioritized and focused on revenue-generating activities.

[Unknown Executive]

In Airthings for Business, has the more uncertain macroenvironment began to impact projects? Or do you still see projects move forward at the same pace?

[Oyvind Birkenes, executive]

Yes. It's hard to see because there are so many projects going on. On one side, we see maybe more in Europe that there is a bit of slowness because of the macroeconomic effects. But then on the other hand, we see demand for saving energy and buildings is growing a lot. So, there we see a lot of attention. A lot of customers are very interested in that and starting new projects with us on that side. So, I think on the energy side, especially, it's going to be very much stronger in Europe. In the U.S., there is certainly much more now attention even when we talked about here, the White House at a 4-hour summit just with a topic about indoor air quality. It's certainly getting higher up on the agenda in the US, and we are very optimistic about that market.

[Unknown Executive]

And the final question from Mr. Lodgaard. The Lindab collaboration is exciting. From your press release, it seemed like a Norwegian partnership. Will this also be extended to other countries over time?

[Oyvind Birkenes, executive]

That's the intention. We start in Norway. We show success, and then we work with other areas of Lindab for -- to roll it out in other countries. Yes.

[Unknown Executive]

One question from [ Udda Lun ] in SEB. How do you work to keep the net working capital at a sustainable level?

[Jeremy Gerst, executive]

I can touch on that without going too much into detail. But of course, there's the operational side of things where a big component of that is improving our, you can call it S&OP or sales and operations planning process, the monthly cycle where the inputs are taken in from the business segments based on projections for the units that are expected to be sold over the next 12, 18 months, and that's brought in and discussed then with both operations and finance. So, we have all key stakeholders in the room, looking and matching demand with supply going forward.

And then in terms of the other areas for working capital improvement is obviously negotiations with customers and both, and suppliers, because if we can push out net days payable to suppliers, that also will improve our working capital situation. On top of that, a key area going forward will be growing airthings.com, our direct-to-consumer segment and its portion of revenues over 2023, 2024, as the cash conversion cycles there are much shorter than they are through distributors or retailers.

[Unknown Executive]

Thank you, Jeremy. And then one final question from a private investor.

Airthings is pushing the sustainability topic, but yet going many trade shows like CES that is very CO2 impactful. Are you thinking about no longer participating to those events in 2023, like many other global companies?

[Oyvind Birkenes, executive]

So the biggest impact we can have on the world is actually to run buildings much more sustainable. We have built up from being a small company. We are scaling it up. We still -- we're still not on everybody's minds around the world. We need to be out there. We need to be out in the market to get be recognized, which means also to be -- to go to trade shows.

Of course, we also have people locally in the US, so not everybody have to fly very far to get to, for example, CES in Las Vegas. But for us, the biggest impact we can have on the planet is what we can do with our smart solutions to run buildings around the world much more sustainable than today. That's our focus, and that's why we have to be out there meeting customers.

[Unknown Executive]

Thank you. No more questions from the online audience.

[Oyvind Birkenes, executive]

Thank you. Thank you very much. Looking forward to the next update.