Earnings Call Transcript - EE Q2 2025

Operator, Operator

Good morning everyone, and thank you for joining us for the Excelerate Energy Second Quarter 2025 Earnings Conference Call. My name is Drew, and I will be the operator for today's call. It is now my pleasure to turn the call over to Craig Hicks, Vice President of Investor Relations and Strategy. Your line is now open. Please proceed.

Craig Hicks, Vice President of Investor Relations and Strategy

Good morning, and thank you for joining Excelerate Energy's Second Quarter 2025 Earnings Call. Joining me today are Steven Kobos, CEO; Dana Armstrong, Chief Financial Officer; Oliver Simpson, Chief Commercial Officer; and David Liner, Chief Operating Officer. Our second quarter earnings press release and presentation were published this morning and are available on our website at ir.excelerateenergy.com. Before we begin, please note that today's discussion will include forward-looking statements, which involve risks and uncertainties that may cause actual results to differ materially. We undertake no obligation to update these statements. We'll also reference certain non-GAAP financial measures. Reconciliations to the most directly comparable GAAP measures can be found at the back of the presentation. With that, it is my pleasure to pass the call over to Steven Kobos.

Steven M. Kobos, CEO

Thanks, Craig. Good morning, everyone. We appreciate you joining us today to discuss our second quarter 2025 results. At Excelerate, we are committed to operational excellence, disciplined growth, and delivering long-term value for our shareholders. This quarter was no exception. We delivered strong financial and operational results. We advanced the strategic priorities that will define the next phase of our growth. On today's call, I'll speak to the Excelerate Energy value proposition and provide an update on our recent Jamaica acquisition. Then I will share recent highlights from Terminal Services before turning the call over to Dana, who will walk through our financial results. Let's turn to our value proposition. I want to spend a few minutes on the key elements that define how Excelerate delivers long-term value to shareholders and how we are positioning the company for continued success. First, we are a leading provider of critical energy infrastructure in the downstream part of the global LNG value chain. The recent Jamaica acquisition represents a pivotal step in our evolution. Our growth strategy has long included owning and operating downstream infrastructure assets. And today, our business model reflects that ambition. Second, our business is predominantly supported by long-term take-or-pay contracts. These allow us to generate predictable earnings and they are insulated from economic cycles. We told investors last quarter that our business model is essentially tariff-proof. We aren't exposed to tariffs. That hasn't changed. It's one of the reasons Excelerate continues to stand out as a resilient investment, especially in today's geoeconomic environment. We are a safe haven. Third, as a result of the groundwork we have laid, we have a long runway for growth through both strategic opportunities and scalable assets. Fourth, and importantly, this growth strategy is bolstered by strong macro tailwinds. These include the growing demand for LNG tied to enhancing energy security and advancing the energy transition. Energy security will remain a paramount need for all nations. We are also seeing supportive policy momentum, for example, the recent U.S.-EU trade agreement focused on expanding LNG exports. Look, any deal that's good for U.S. LNG is good for Excelerate, and this one reinforces the relevance of our business in connecting supply to demand. Fifth and finally, all of this results in an attractive financial profile that gives us the flexibility to pursue new growth opportunities while returning capital to shareholders. Our foundational strategy remains unchanged. It continues to guide our commercial efforts and underpins the bold moves we're making as a company. We are focused on protecting and enhancing long-term contracted revenue and margins, and we are doing this while pursuing growth catalysts for near-term value creation. So with that context in mind, let's turn to Jamaica. The Jamaica transaction, which closed in May, brought into our portfolio the Montego Bay and Old Harbour LNG terminals, the Clarendon combined heat and power plant, and numerous small-scale regasification facilities throughout the island. Since we closed the acquisition, we have been laser-focused on ensuring a smooth integration of people, systems, and processes. We are also working to optimize the existing business, enhance customer service, and strengthen our continuity plans. I'm pleased to report that integration is proceeding as planned and the Jamaica assets are exceeding our operational expectations. Thanks to the excellent condition of the assets and the deep expertise of our new Excelerate colleagues, we are well positioned to deliver sustained reliability and high operational performance. The Jamaica transaction is a compelling strategic win for Excelerate and for our shareholders. The assets we acquired are contracted, cash-generating, and already contributing meaningfully to earnings. Beyond immediate earnings contribution, the transaction also strengthens the foundation of our U.S. LNG supply portfolio. Jamaica's 21-year contract profile dovetails nicely with our 20-year offtake of U.S. LNG from Venture Global's Plaquemines Phase 2. With this alignment, we have secured a long-term downstream destination for our volumes. As we optimize the Jamaica platform, we expect to unlock near-term EBITDA growth by improving asset performance and expanding commercial activity. At the same time, we see a clear path to scale this model across the Caribbean that will require targeted investment to support new infrastructure development to expand our customer reach and to deliver on broader commercial objectives. This approach is designed to enhance the value of the assets over time and strengthen the return profile of the broader transaction. By 2030, we expect to generate $80 million to $110 million in incremental EBITDA from optimizing the Jamaica platform and investing $200 million to $400 million in growth CapEx to expand our operational presence in Jamaica and across the Caribbean. Now let's talk about how this is going to happen. First, we are focused on optimizing and expanding the Jamaica platform to meet natural gas demand driven not only by fuel switching across the island, but also by the need for additional power generation as the Jamaican economy continues to grow. Our team is off to a great start, identifying ways to increase throughput across existing infrastructure and extract greater value from current commercial agreements. We have already begun to sell incremental volumes of LNG and natural gas to customers on the island, and we expect this early momentum to continue. In the medium to longer term, we will make investments in larger scale infrastructure projects that support our growth. These opportunities span a diverse range of initiatives, including new power generation, terminal expansions, LNG bunkering, and additional pipelines. The second part of our approach is to position Jamaica as a regional hub for LNG distribution across the Caribbean. Jamaica's geographic location gives us a structural cost advantage. Its proximity to the U.S. and to key regional markets allows us to respond quickly to regional demand, making it an ideal launch point for LNG distribution and power development. We are advancing a hub-and-spoke model that leverages our floating LNG terminal in Old Harbour as a central storage and distribution point. From there, we can efficiently deliver LNG throughout the Caribbean using smaller vessels to reduce transportation times and lower fuel costs. We see this as a natural expansion of our downstream operations and an important part of our long-term Caribbean growth strategy. And while we are still early in our ownership, we have hit the ground running, and we see clear opportunities to scale the platform efficiently. Now let's turn to Terminal Services. Before we get to the second quarter highlights, I want to underscore the progress we are making in expanding the asset portfolio that supports Terminal Services. We are strengthening our long-term infrastructure footprint and positioning ourselves to capitalize on new developing opportunities in the LNG import terminal space. These efforts will enable us to capture a greater share of our total addressable market, particularly in regions where demand for reliable energy infrastructure continues to rise. Now to the highlights. This quarter marked several important milestones. In April, the FSRU Excelsior arrived in Germany at the Port of Wilhelmshaven. In late May, the Excelsior officially commenced regasification operations and is regularly delivering at maximum capacity. I’m really pleased with our operations team. In July, we acquired an LNG carrier, which we renamed the Excelerate Shenandoah. While the vessel will support our previously announced midterm Atlantic Basin supply agreement, its utility extends well beyond that. Shenandoah enhances our ability to serve Jamaica and support regional LNG storage and logistics. The LNG carrier also represents Excelerate's first owned asset to be selected as an FSRU conversion candidate. We have already begun engineering for the conversion to accelerate the construction timeline. Next, we signed a deal with Petrobras to install a reliquefaction unit on the FSRU Experience, our floating LNG terminal located in Guanabara Bay, Brazil. The reliquefaction unit is expected to be installed in '27 during the next planned dry dock for the Experience. Once installed, this technology will eliminate all excess LNG losses due to boil-off and lower our Scope 1 emissions. At the same time, it will upgrade the performance and life expectancy of the asset. Finally, we continue to make strong progress on the construction of Hull 3407, our newbuild FSRU under construction at Hyundai Heavy Industries. The vessel remains on track for delivery in June '26. Hull 3407 will be a best-in-class asset, capable of delivering up to 1 billion cubic feet a day of natural gas and also having the lowest rates of boil-off in the industry. We remain confident in our ability to place Hull 3407. The vessel's scale, performance, and flexibility position it as a cornerstone asset in our global LNG infrastructure portfolio. We expect to provide further updates on its commercial deployment in the coming quarters. Let's sum it up. Excelerate is executing on a clear growth roadmap that aligns with our long-term strategic priorities. We remain committed to transparency and delivering on the promises we've made. We know this approach will support long-term value creation and position Excelerate as a compelling investment opportunity. I want to thank each of you for your continued support and confidence in Excelerate Energy. With that, I'll turn the call over to Dana.

Dana A. Armstrong, CFO

Good morning, and thank you for joining us. Before we dive into the numbers, I want to highlight a few important updates to our financial statements that better reflect the structure of our business following the Jamaica acquisition. On our income statement, we've renamed the FSRU and Terminal Services revenue line the Terminal Services and the gas sales revenue line is now presented as LNG, Gas, and Power. The associated cost line items have been updated accordingly. Now let's turn to the results for the quarter. Q2 was a great quarter for Excelerate with adjusted EBITDA of $107 million. Adjusted EBITDA increased roughly $7 million quarter-over-quarter, driven primarily by the addition of Jamaica EBITDA for a partial quarter starting on May 14 when we closed the acquisition. This increase from Jamaica was partially offset by the seasonal impact of the Atlantic Basin winter cargo margin, which occurred in the first quarter of this year, but not in the second quarter, and the timing of various vessel operating expenses, which were higher in the second quarter as compared to the first quarter. Year-over-year, adjusted EBITDA grew by $18 million, driven both by the addition of the Jamaica EBITDA and the strength of our legacy business. Now let's turn to our balance sheet. Our balance sheet remains strong and continues to provide the stability and flexibility needed to execute on our long-term strategy and navigate dynamic market conditions. As of June 30, our total debt, including finance leases, was $1.3 billion, and we had $426 million of cash and cash equivalents on hand. Additionally, all of the $500 million of undrawn capacity under our revolver was available for additional borrowings. Net debt was $867 million, and our trailing 12-month net leverage as of June 30 stood at 2.2x. Our financial strength is rooted in the durability and predictability of our business model with over 90% of our adjusted EBITDA supported by take-or-pay contracts. This structure gives us a high degree of visibility into future cash flows, supports disciplined capital allocation, and enables us to invest confidently in growth while returning capital to our shareholders. Now let's turn to capital allocation. Our capital allocation strategy remains unchanged. Investing in accretive growth opportunities remains our top priority. We're actively deploying capital into growth projects like our newbuild FSRU Hull 3407, which remains on track and on budget. We're also targeting additional infrastructure investments across our asset footprint that support long-term value creation. At the same time, we recognize the importance of returning capital to shareholders. That's why on July 31, we announced an increase to our quarterly dividend. Raising the dividend is a direct reflection of our enhanced cash flow profile from the Jamaica acquisition. It's a signal of confidence in the cash flows of both the newly acquired Jamaica assets as well as our legacy business. Looking ahead with even greater confidence in our forward cash flow outlook, we are now targeting an annual dividend growth rate in the low double digits, commencing in 2026 and continuing through 2028. Of course, all dividend decisions remain subject to Board discretion and the pace of future growth investments. We believe this balanced approach of investing in growth while returning capital will create long-term value for our shareholders. As previously communicated on July 29, following the closing of the Jamaica acquisition and based on our second quarter results, we have raised our adjusted EBITDA guidance range for 2025. For the full year, adjusted EBITDA is expected to range between $420 million and $440 million. As a reminder, our adjusted EBITDA guidance continues to include the financial impacts of the 2 dry docks planned for the third and fourth quarters of this year. Maintenance CapEx has increased slightly and is now expected to range between $65 million and $75 million. Committed growth capital, which is defined as capital that has been contractually committed or internally approved for specific growth projects, is now expected to range between $95 million and $105 million. This represents an increase of $30 million from our prior guidance, the majority of which is related to the purchase of our new LNG carrier. In closing, Excelerate is exceptionally well positioned to create long-term value for our shareholders. We've integrated the Jamaica platform and it's already contributing meaningfully to our financial performance. We're executing with discipline, and we will continue investing in growth opportunities that will enhance our long-term earnings power while returning capital to shareholders. We believe this combination of operational strength, financial discipline, and a clear focus on shareholder returns positions Excelerate to thrive and lead in the evolving global energy landscape. Thank you. And with that, we will now open up the call for Q&A.

Operator, Operator

Our first question today comes from Wade Suki from Capital One.

Wade Anthony Suki, Analyst

Just wondering if you might be able to better sense your priorities for Jamaica projects timing-wise, the nature of the projects. If you could help us sort of segregating them for near to intermediate-term projects versus some of the longer-term projects. I think you mentioned $80 million to $110 million in EBITDA by 2030. Can you expand on that question and see what you think might be the contribution next year? And if you're willing to go out further to '27, I'm sure everyone would love to hear it.

Oliver L. Simpson, Chief Commercial Officer

Thanks, Wade. This is Oliver. I'll address this question. We have provided guidance through 2030 regarding our expectations for the Jamaica and Caribbean platform, which includes a variety of opportunities we see. To give you an overview, the assets we acquired in Jamaica provide a foundational platform for growth. Some of these assets can be utilized directly, optimized, and contribute to near-term EBITDA and growth without needing substantial additional capital expenditure. This includes attracting new LNG or gas customers on the island and leveraging those assets to serve other customers in the region. These opportunities are likely to materialize sooner. There are also opportunities that will require more capital expenditure, particularly in new power generation and other infrastructure projects we are exploring in the broader region. So, there's a distinction to be made here. While we don't want to delve into specific details about each opportunity just yet, we have had these assets for a few months and are very confident in the platform's potential to capture new demand and drive growth. As Steven mentioned, we've already seen some additional sales since acquiring the platform, and the response has been very positive both in Jamaica and in the wider region. We're truly excited about the prospects these assets offer.

Wade Anthony Suki, Analyst

Great. Thanks, Oliver. Appreciate that. Maybe I'll push it a little bit more here. Can you expand on some of these opportunities in the Caribbean, maybe speak to specific markets that are of interest or where you're seeing the best opportunities to the extent you feel comfortable doing that?

Oliver L. Simpson, Chief Commercial Officer

Sure. You've seen some developments from the Jamaica assets, and in many respects, the fundamentals are similar across other Caribbean islands. Where Jamaica stands today could be a model for some of these markets in the coming years. Many islands in the Caribbean are still reliant on burning liquid fuels like diesel or HFO for power generation, presenting an opportunity for fuel switching. We believe that our assets position Jamaica as a hub for the broader region. Much of the potential growth is coming from power generation, but we are also exploring opportunities in bunkering. There are optimistic forecasts for global LNG demand in bunkering over the next five years. Jamaica is well-placed to receive LNG supplies from the U.S. and is conveniently located near key shipping routes to provide these services. I hope this gives you some insight into the various opportunities we see.

Theresa Chen, Analyst

Oliver, I wanted to follow up on your comments about the opportunity for fuel switching in the Caribbean. Have you been able to quantify the addressable untapped market for gas here? What can you realistically target?

Oliver L. Simpson, Chief Commercial Officer

I believe there is considerable demand in the Caribbean and the region. While I can't provide a specific number today, most islands are currently using liquid fuels for power generation. We see this as a market with healthy margins. There are only a few players in the LNG space who can truly offer these services. With our assets in Jamaica, we can provide a service at a cost that gives us a competitive advantage. Therefore, we view it as a significant market from which we can grow.

Steven M. Kobos, CEO

Yes, it's Steven. I mentioned earlier that this asset is best-in-class Bcf and importantly has the lowest boil-off in the industry. The asset class is very tight right now and will continue to be, which is a major reason for our confidence. I won’t go into the discussions Oliver's team is having globally, but they are very active and there is demand. As we know, what benefits U.S. LNG also benefits Excelerate, partly because it means more final investment decisions and an expanding global supply of this commodity, which is already cost-effective for fuel switching and profitable for exploring markets. When you combine all these factors, we see a substantial total addressable market, a tight infrastructure market, and a price point driving increased demand for greater access. We believe we are well-positioned when considering all three of these elements.

Christopher Warren Robertson, Analyst

Just on the FSRU conversion project, Steven, can you remind us, I guess, the timeline around that, when you expect to initiate the conversion? And then if you were to compare, on an apples-to-apples basis, a similarly sized new building project, what are the cost savings associated with the conversion asset versus a new build asset?

Steven M. Kobos, CEO

Chris, I'm going to hand it over to David because his team is in the weeds on the engineering for it. And then I'll let him compare apples and oranges for you.

David A. Liner, Chief Operating Officer

Yes, we currently have several conversion projects in the engineering phase. Earlier this year, I mentioned a specific vessel we are collaborating on with a potential partner. The initial engineering for that project has been completed, and we are continuing to work with the partner to advance it. Now that we own Excelerate Shenandoah, we have begun the conversion engineering for that asset. We previously estimated that it would take around two years to bring such an asset to market, which is still accurate, but we believe we can shorten that timeline. We have a substantial amount of equipment in storage that we plan to use for the conversion, which should help us expedite the process. Both projects are progressing well. Regarding the cost savings compared to a new build, they are quite different. A new build generally has higher capacity and flexibility, while a conversion typically offers lower capacity since less equipment and engineering are involved. There are some savings with conversions as they are often more tailored to specific projects and lack the flexibility of a new build. I hope this clarifies the potential savings involved.

Christopher Warren Robertson, Analyst

Sure. I appreciate that. Just going back to the Jamaica assets for a minute. I wanted to ask around your expectations on incremental CapEx related to building the smaller receiving terminals in the hub-and-spoke model that you've talked about, especially comparing it to the Montego Bay receiving terminal, for example. What would the cost expectations be around smaller receiving terminals for the shuttle tankers?

Oliver L. Simpson, Chief Commercial Officer

Chris, Oliver here. I'll take that one. We provided a range that included various assets, including some power generation and smaller terminals. However, we won't be specifying an exact range for those terminals yet since it’s still early in the process and we are evaluating some of these projects. There are different markets and sizes to consider, which means various solutions could be applicable. For instance, Montego Bay is adaptable; it can be scaled up or down depending on how we envision it working in other locations. Additionally, it offers a platform for expanding our presence in the Caribbean. We aim to find commonalities across assets while remaining flexible to meet our customers' needs.

Dana A. Armstrong, CFO

Yes. And Chris, that's detailed in our Q, which I think has been filed as of this morning, but it's customer contracts, and that's really the bulk of what's in that intangibles.

Elias Max Jossen, Analyst

I appreciate there's been a lot of color shared today on the Jamaica platform and the work that's ongoing there. But maybe if we just think about specific milestones that we should keep an eye out for, both operationally and financially, can you share color on, again, the kind of the first key milestones you guys expect to hit and what that would do for Excelerate both operationally and financially?

Steven M. Kobos, CEO

Eli, this is Steven. Overall, I want to assure you that we will remain as transparent as we have been today. We will continue to provide as much information as possible. As we mentioned earlier, we are already making incremental sales of LNG and natural gas through the platform. We will keep you updated on those developments. In terms of optimization, we have already ordered ISOs, purchased trucks, and acquired other vaporizers. We've started making smaller investments that will allow for immediate improvements, and that will keep going. When we reach a significant contractual milestone where we need to invest more capital, you will be the first to know, as will everyone else.

Oliver L. Simpson, Chief Commercial Officer

Eli, this is Oliver. I'll take this one. We've highlighted that the VG volume operates effectively. The 20-year VG offtake aligns well with our needs in Jamaica. The VG volume is slightly more than our current demand, indicating potential for growth. As our platform expands in Jamaica and the Caribbean, we will seek additional supply to meet that growth. We believe that with Jamaica's location and the upcoming U.S. LNG supply starting this year, we have a favorable situation that prepares us to access this additional LNG as customer demand increases. I think we can work closely together as this develops.

Michael Scialla, Analyst

Given the incremental growth you're expecting from Jamaica, the EBITDA growth, has there been any change in thinking on how you might finance Hull 3407? I think in the past, you've been leaning towards some external financing. Has there been any change in thinking there?

Dana A. Armstrong, CFO

Mike, it's Dana. We're still assessing that. As you know, we raised $800 million of debt from the bond market a couple of months ago, and we are continuing to evaluate our options. However, our balance sheet remains very strong, with over $400 million in cash and restricted cash, along with $500 million of available borrowing capacity on our revolver. We are well positioned to finance the roughly $200 million that will be due in a little under a year in 2026. This could come from revolver borrowing, our cash, or a combination of both. We are also exploring potential ECA financing or considering some bond opportunities, but we haven't made a decision yet. I want to emphasize that there are no concerns in this area, and we are capable of utilizing both cash and revolver capacity if needed.

Michael Scialla, Analyst

Okay. And regarding the purchase of the LNG carrier, the Shenandoah, it appears you acquired it at or possibly slightly below the lower end of the price range you previously mentioned. Can you discuss whether you had to compromise on the quality or size of the vessel you were seeking?

David A. Liner, Chief Operating Officer

Michael, this is David. I can answer that. We were very pleased with the Excelerate Shenandoah. We acquired her right after her dry docking. For those who may not know, a dry docking occurs approximately every five years and involves renewing or rebuilding all significant equipment. When we took ownership, she was in excellent condition, and we secured a great price for her. We are quite happy about it, and she is already en route to the Atlantic. We did not have to make any compromises; we are satisfied. She is an excellent candidate for conversion and will effectively manage those Atlantic Basin volumes until we decide to bring her in for any required conversion.

Zach Van Everen, Analyst

Maybe going back to the new LNG carrier. I know you mentioned this is going to help with the midterm Atlantic Basin supply deal. I believe that deal was already in motion. So will there be any cost savings using your own vessel or any upside to that contract that we can look for?

Dana A. Armstrong, CFO

Yes, buying this vessel provides an opportunity for improved returns. It's less expensive to own a vessel than to charter one for this contract, so you can expect increased returns. While we do not disclose specific return figures, we are set to deliver our summer cargo in the third quarter of this year, and we anticipate that this project will yield better returns than in the past due to the ownership of this vessel.

Oliver L. Simpson, Chief Commercial Officer

Yes, Zach, this is Oliver. I believe the platform that Jamaica provides allows us to access many new opportunities. This is part of the reason we felt confident in offering some guidance today. There are prospects on other islands that we didn't think we could compete for without Jamaica. Some, as I've mentioned earlier, involve optimizing our existing assets and growing with minimal capital expenditure. Others will likely utilize our assets in Jamaica but will require additional capital for those projects. There is a distinction there. I wouldn't want to commit to specific numbers on that, but that's how we are approaching it.

Robert Brooks, Analyst

The Caribbean growth plan is very intriguing. Just wanted to confirm, would you be buying a vessel that would then move the LNG from the Jamaican hub to other islands? Or would it be countries that you make agreements with that make their own arrangements to move the LNG, or maybe a combination of both?

Oliver L. Simpson, Chief Commercial Officer

Bobby, it's Oliver again. Yes. So I think – I mean it's today we have a small scale vessel that we used to shuttle from within Jamaica from our Old Harbour terminal up to the Montego Bay terminal. As we look at other opportunities on other islands in the Caribbean, it's early stages, it's discussions with the customers. So it's understanding what they want, what we can give to them. But I'd say, as a general statement, they want the delivered LNG, the delivered gas solution. So we are looking to expand the asset base that we have to bring those solutions to the customers. That would mean new vessels, new onshore assets on other islands to deliver those solutions. It could be quite a wide range, but yes, we're pretty excited about that growth there.

Steven M. Kobos, CEO

Bobby, it's Steven. I'll address that question since you've probably seen my photos worldwide, which reflects our status as a global company. Today, I want to focus on the Caribbean and its proximity to the United States, given it was a significant investment. We're enthusiastic about this opportunity, as it positions us to supply predictable wood in the region and meet the strong demand for U.S. LNG nearby. Our confidence stems from being a global energy company that values these markets and the entire addressable market. I want to highlight a few key points. I'm optimistic about the EU and U.S. deals that will facilitate increased U.S. LNG exports to Europe, and I am pleased to note that Excelsior is now consistently delivering at maximum capacity to Germany. Europe remains a crucial market for us, and we've previously discussed Germany's need for gas-fired power and the resilience required there. We plan to maintain a long-term presence in Europe. Now, shifting to Vietnam, which is an incredibly promising market anticipated to require 20 gigawatts of gas for power generation. My enthusiasm for Vietnam is strong. I recently met with the Prime Minister of Vietnam, and we are actively engaging with them. As I mentioned in May, we have two MOUs with PetroVietnam and its subsidiaries, and we are open to making substantial investments in Vietnam. Our goal is to contribute to the country's prosperity by building strong relationships with significant players like PetroVietnam. I want to share with everyone on this call the details about our intentions in the Caribbean. We are a global company, leveraging our expertise across various platforms. We play an essential role in the LNG value chain, and I expect people to recognize that we are a critical part downstream in making these plans come to fruition.

Operator, Operator

With that, we have no further questions in the queue at this time. So that concludes the Q&A portion of today's call. I'll hand back over to Steven Kobos, CEO, for some closing comments.

Steven M. Kobos, CEO

Thank you all for joining us today. Look, we appreciate your continued support and engagement as we execute on our strategy and deliver long-term value. We're looking forward to updating all of you on our progress and seeing many of you on the road in the months ahead. Thank you.

Operator, Operator

That concludes today's call. You may now disconnect your lines.