Hello, ladies and gentlemen, and thank you for standing by for JinkoSolar Holding Co Limited Third Quarter 2021 Earnings Conference Call. At this time, all participants are in listen-only mode. After management’s prepared remarks, there will be a question-and-answer session. As a reminder, today’s conference call is being recorded. I would now like to turn the meeting over to your host for today’s call, Ms. Ripple Zhang, JinkoSolar’s Investor Relations Manager. Please proceed, Ripple.

Thank you, operator. Thank you everyone for joining us today for JinkoSolar’s third-quarter 2021 earnings conference call. The company’s results were released earlier today and are available on the company’s IR website, as well as our Newswire services. We have also provided a supplemental presentation for today’s earnings call, which can also be found on the IR website. On the call today from JinkoSolar are Mr. Li Xiande, Chairman of the Board of Directors and Chief Executive Officer; Mr. Gener Miao, Chief Marketing Officer; Mr. Pan Li, Chief Financial Officer; and Mr. Charlie Cao, Chief Financial Officer of JinkoSolar Company Limited. Mr. Li will discuss JinkoSolar’s business operations and company highlights followed by Mr. Miao, who will talk about the sales and marketing; and then Mr. Pan Li, who will go through the financials. They will all be available to answer your questions during the Q&A session that follows. Please note that today’s discussion will contain forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, our future results may be materially different from the views expressed today. Further information regarding this and other risks is included in JinkoSolar’s public filings with the Securities and Exchange Commission. JinkoSolar does not assume any obligation to update any forward-looking statements, except as required under applicable law. It’s now my pleasure to introduce Mr. Li Xiande, Chairman and CEO of JinkoSolar Holding. Mr. Li will speak in Mandarin, and I will translate his comments into English. Please go ahead, Mr. Li.

We are very pleased to have delivered total shipments of approximately 5 gigawatts, total revenues of US$1.33 billion, and a gross margin of 15.1%. Total shipments were impacted by delays in sales revenue recognition due to logistical issues and blockages. The new cell capacity has significantly lowered cell production costs, helping to mitigate the pressures from high polysilicon and other material prices. Logistics costs have risen since the second quarter, and module prices reached their highest in nearly a year. However, due to the shift towards renewable energy in many regions, rising electricity prices, financing support, and other favorable policies, clients are more open to accepting higher module prices. Despite these challenges, global installation this year aligns with earlier expectations, as solar demand is progressively showing resilience. We anticipate that, despite the current severe shortage, polysilicon supply will gradually return to adequate levels starting next year, leading to a significant increase in installation demand. Due to high material prices, we have accelerated our cost reduction efforts through upgraded technology. Currently, we have reduced the thickness of our mono wafers by nearly 15% since the beginning of the year, which decreases polysilicon usage for cells. The seven-gigawatt high-efficiency PERC capacity that began production in the second quarter has now reached full capacity in the third quarter, resulting in a more than 10% sequential decline in cell production costs. Our large-size module products represented nearly 50% of our output in the third quarter, a notable rise from less than 20% in the first half of the year. Global solar demand remains robust, but installation costs are increasing. We are dedicated to offering our customers the best solutions through technological innovation and product competitiveness.

Modules at power generation products with a life cycle of 20 to 25 years and product performance is crucial. Recently, our high-efficiency N-type monocrystalline silicon solar cell reached a maximum conversion efficiency of 25.4%, setting a world record yet again. Based on our continuous leading R&D capabilities and two years of mass production experience, we are quickly expanding N-type cell production capacity. We are preparing for approximately 16 gigawatts of N-type cell production capacity to be operational in the first quarter of 2022, contributing about 10 gigawatts output for the full year. This will help make up for the lagged cell production capacity and, hopefully, will lead the industry into the era of more premium and highly efficient N-type products. Recently, we launched a new series of N-type modules with a maximum power output of 620 watts. Next year, we are planning to increase our global market share by enhancing our sales and promotions of N-type products and achieve at least 50% growth in annual shipments.

In 2022, we contributed approximately 10 gigawatts of output for the entire year. This will help compensate for the delayed cell production capacity and should ideally guide the industry toward a new phase of more premium and highly efficient N-type products. Recently, we introduced a new line of N-type modules with a maximum power output of 620 watts. For next year, we aim to boost our global market share by ramping up our sales and promotions of N-type products and achieving at least 50% growth in annual shipments.

We continued to improve our global supply chain infrastructure. So far, we have signed polysilicon supply agreements with a number of overseas polysilicon manufacturers and have strategically invested in Tongwei Sichuan Yongxiang and the Inner Mongolia Sichuan high-purity polysilicon production project. Our seven-gigawatt monocrystalline silicon wafer plant in Vietnam will commence production in the first quarter of next year. After that, we will have approximately seven gigawatts of integrated mono wafer-cell-module manufacturing capacity overseas. A sound and diversified global industrial chain infrastructure will enable us to be more flexible in terms of order production and customer delivery as we continue to provide integrated services for our global customers.

Our seven-gigawatt monocrystalline silicon wafer plant in Vietnam will start production in the first quarter of next year. After that, we will have around seven gigawatts of integrated mono wafer-cell-module manufacturing capacity abroad. A robust and diversified global industrial chain infrastructure will allow us to be more adaptable in order production and customer delivery while we keep offering integrated services to our global clients.

Before turning over to Gener, I would like to go over our guidance for the fourth quarter of 2021. We expect total shipments to be in the range of 7.3 to 8.8 gigawatts, including module shipments to be in the range of 7 to 8.5 gigawatts for the fourth quarter of 2021. Total revenue for the fourth quarter is expected to be in the range of US$1.8 billion to US$2.2 billion. Gross margin for the fourth quarter is expected to be in the range of 13% to 16%. The annual mono wafer, solar cell, and solar module production capacity is expected to reach 32.5 gigawatts, 24 gigawatts, and 45 gigawatts, respectively, by the end of 2021. With the impact from fewer shipments to the U.S. market and the global logistics situation, we are lowering the guidance for our full year 2021 shipments, including wafers, cells, and modules, to be in the range of 22.8 gigawatts to 24.3 gigawatts.

Thank you, Ripple. Total shipments in the third quarter were 5 gigawatts, with module shipments increasing 18% sequentially to 4.7 gigawatts. In terms of module shipment by region, Europe and Asia Pacific were the main contributors. Driven by China’s combined goal of 30-60 and the efficient energy transition, shipment to the Chinese market doubled sequentially. Shipments to emerging markets increased significantly both year over year and sequentially, a sign that markets are benefiting from policy support. The People’s Bank of China recently launched a carbon emission reduction support tool. As large-scale and distributed projects start construction, next year’s total pipeline in the Chinese market is expected to exceed 100 gigawatts. Looking forward to 2022, market demand in China, the U.S., India, Europe, and Australia will continue its upward trajectory. Module prices remain high, which has accelerated the penetration of products with lower LCOE and the penetration of the distributed generation business, which is less price sensitive. Our distributed business accounted for approximately 35% to 40% in the third quarter and over 50% in some markets such as Australia, Japan, and Brazil. Clients have been favorable toward our premium-quality products such as Tiger Pro and the two-millimeter product, which was specifically designed for residential C&I distributed generation facilities. Meanwhile, our global brand awareness and our global marketing team strengthened the market competitiveness of our BIPV products. We have recently won the bid for the new Dubai Electricity & Water Authority’s headquarter building projects, which will become the world’s largest and tallest single building equipped with a BIPV system. The BIPV system uses advanced N-type cell technology and modules with a transparency range between 3% and 16% and can provide a power output of 500 watts to 708 watts. As one of the directions of our core developments, the proportion of shipments in the distributed generation market will further increase next year. Shipments of the Tiger Pro products that can bring lower LCOE accounted for nearly 50% in the third quarter and are expected to exceed 70% in the fourth quarter. In 2022, we will optimize and match the capacity advantage of Tiger Pro and Tiger Neo products, solidifying our leading position in high-efficiency products. In terms of contract performance and pricing in the face of uncontrollable factors such as the severe volatility in upstream raw material prices, energy quota, and carbon emission control, we have established a market forecast and short-term dynamic review mechanism. For newly signed orders, we are securing materials in advance and introducing a floating price clause in contracts in order to avoid negative impacts of market volatility to some extent. In short, we are very optimistic about the market demand. Short-term problems such as raw material supply, logistics, etc., are gradually being sorted through and remitting effort. We’ll focus on winning the market with the best products and services. With that, I will turn it over to Pan.

Thank you, Gener. Let me go into more detail about this quarter now. Total revenue was $1.33 billion, an increase of 8.1% sequentially, mainly benefiting from substantial growth in module shipments. Gross margin was 15.1%, compared with 17.1% in the second quarter this year. Total operating expenses in the third quarter were $184 million, an increase of 18.2% sequentially. The sequential increase was mainly attributed to an increase in selling and marketing expenses due to rising shipping costs under a tight global logistics market. We remain flexible and adjusted both domestic and overseas shipments, mitigating the negative impact on profitability from volatile shipping costs by establishing long-term shipping agreements with logistics companies. Total operating expenses accounted for 13.8% of total revenues in the third quarter this year. Excluding impacts from shipping costs, the ratio of operating expenses was stable compared to the second quarter this year. EBITDA was $89 million, compared with $143 million in the second quarter of 2021. Taking into consideration the significant increase in benefits from changes in fair value due to a decrease in the company’s stock price in the third quarter this year. Net income was $30.1 million, a significant increase both sequentially and year over year. Non-GAAP net income was $2.5 million, and diluted earnings per ADS was $0.05. Net foreign exchange loss, including changes in fair value of foreign exchange derivatives, was approximately $1 million, a significant decrease from a net exchange loss of $9.4 million in the third quarter of last year and flat sequentially. We will continue to optimize our hedging against foreign exchange risk to reduce the impact of foreign exchange volatility on our operating results. Moving to the balance sheet. At the end of the third quarter, our balance of cash and cash equivalents was $1.1 billion, which improved from the second quarter. Accounts receivable due from third parties were flat sequentially, and AR turnover days were 65 days, compared with 62 days in the second quarter this year. As shipments to the U.S. and global transportation routes were hampered by disruptions, inventory turnover days were 171 days, compared with 138 days in the second quarter of 2021. Total debt was $3.69 billion at the end of the third quarter, compared to $3.12 billion at the end of the second quarter this year. Out of the total debt, $68 million was related to international solar projects, net debt was $2.5 billion, compared with $2.1 billion at the end of the second quarter this year. This concludes our prepared remarks. We are now happy to take your questions. Operator, please proceed.

Thank you. First, we have Philip from ROTH Capital Partners. Your question, please.

Hi everybody, thank you for taking my questions. The first one is on your Vietnamese wafer capacity that you’re bringing online. So 7 gigawatts by Q1, and with that, you’ll use German poly, I believe. When would you expect shipment volumes or shipments to hit the U.S. that are using either German poly or perhaps even U.S. poly? And then the Vietnamese wafers and then Southeast Asia cell and module, could we see the volumes to the U.S. start to restart in Q2? And then how much – how many gigawatts do you expect to ship into the U.S. in 2022 as a result of this new supply chain? Thanks.

Thank you, Philip. Great question. I think we have made a very strategic move to establish our Venice wafer factory together to secure long-term contracts with multiple non-China polysilicon suppliers. According to our current schedules, we’ll start to ramp up our Vietnam wafer factories by early Q1, let’s say, January, February. We are expecting a fully established value chain outside China to be operational by the end of Q1. Ideally, the products should start to arrive in the U.S. market by late first half, let’s say, May or June. The massive volume will definitely arrive in the second half. So total volume-wise, we’re looking at around production numbers of around 5 gigawatts. Considering the uncertainty of logistics, we are not 100% sure how many of them will arrive in the U.S.

Great. Thank you, Gener, for the detail. And then when you think about the anti-circumvention risk, we saw the current case go away, but I think the petitioners through their law firm and Tim Brightbill were talking about potential other cases. Do you have a view on what those cases could be and how they could impact this capacity? Or what’s your view, in general, about that? Thanks.

Thank you. I think these, let’s call it, trade wars will stop. That’s our long-term view. That’s why we have made the decision to establish a fully integrated value chain or capacities in both Vietnam and Malaysia, including the U.S. So that should be our ultimate solution to solve all those potential trade issues. At least that’s the best solution we have right now. In the long-term, really, we don’t have a crystal ball to see it, but we are expecting the solution Jinko can bring to the market should be one of the most reliable ones.

Right. Okay. Thank you. And then another one here, on the Section 201. We recently saw a surprise exemption reinstated for bifacial modules in the U.S., which means, I think, the modules can come in tariff-free. There also might be substantial refunds for modules that have been already shipped in. I was wondering if you might be able to quantify what the Section 201 refunds could be, the timing of it. Have you received any thus far, for example? And then if this decision gets reversed yet again, what would the process be to perhaps return that money to the U.S. government? Have you thought through the longer-term picture for the Section 201 bifacial situation? Thanks.

Thank you, Phil. I think from the cash flow-wise, we are not expecting to receive any refund in the short term. We have read your report about the uncertainty of the potential appeal from the government side, and we believe that’s highly possible, which is why we still put a question mark there. We do not expect such kind of lawsuit will reach an end pretty soon. But if we can get some potential refunds, definitely, that will be very positive for the company. However, we have to wait for quite a while to see the final results, so we will wait and see. We haven’t planned it in our cash flow yet.

Okay. Thank you. One last one, and I’ll pass it on. As it relates to margin, you gave us, I think, some capacity numbers for 2022. Maybe you can talk about how you see margins trending in 2022? Especially if the assumptions that you make now persist, do you think margin expansion is potentially available, especially with flexible pricing based on input costs as we get through 2022? Thanks.

This is Charlie. Looking into next year, 2022, I think we are more confident that the margin will be improved year over year. This year has been very special and challenged, particularly due to the supply chain shortage and high input costs, including logistical issues. Looking into next year, we think the supply chain will become more favorable compared to this year. On top of that, we will increase our production integration level, and we are expanding the N-type cell capacities. Next year, we estimate the capacities will reach wafer 40 gigawatts, cell 40 gigawatts, and module 50 gigawatts at roughly 80% integration level. We are expecting to see more net income contributions from the N-type products because we are confident and we have the advantage of this next-generation technology in terms of production levels and cost advantage, which is likely to be very popular in the market and can provide a price premium.

Great. Okay. Thank you, Charlie, Gener, and Mr. Li. I’ll pass it on.

Thank you, Philip. Next, we have Gary from Credit Suisse. Your question, please.

Yes. Thank you, management, for taking my questions. My first question is, can management elaborate a little bit more on our upcoming N-type cell capacity? So I think we are relatively early in terms of the relatively large-scale kind of N-type capacity. Can management maybe share with us more on your expected cost competitiveness of this new capacity? And how do we think of the two technology trends, TOPCon and JT? Thank you.

Gary, this is Charlie. We are investing in 16 gigawatts of N-Type TOPCon capacities. We have two years of experience in running roughly 900 megawatts capacities in our factories. Now the production metrics and the cost advantage versus PERC are showing that we are poised to lead the industry. For next year, when we ramp up, we expect to fully operational capacity in the first quarter, likely reaching full operations in the second quarter. Regarding the integrated production cost for the N-type, which is comparable to PERC in the medium term, we expect the costs will have little difference. More importantly, looking at conversion efficiencies, the N-type together with the additional power generation capabilities for our customers, we believe that with a leading market product, we can command a price premium and enhance profit contributions from this product.

Yes. Okay. Thank you. My second question is on the module shipment. I think some of our peers are relatively cautious about the Q4 demand, but our guidance still suggests a meaningful Q-on-Q shipment increase. Can management touch more on how we can achieve this strong Q-on-Q increase?

Thank you for your question, Gary. This is Gener. I think we have pretty strong Q4 shipment expectations, driven mainly by the combined demand from the Chinese and the non-Chinese markets. After relatively weak quarterly shipments in the first three quarters of 2021, most of our customers outside China are gradually accepting the new price balance in the market. They are taking their time to close their project pipelines. In terms of demand from China, there has been quite strong interest in the last two months, and we have secured significant volumes to supply strategic projects across the Chinese market. Combining these factors, I think we can achieve a strong shipment in Q4.

Okay. Yes. Thank you very much. So my last question, and I’ll pass on, is about the latest update of our subsidiary's Asia listing.

For the IPO process of our subsidiaries, we are on track to complete the public data nearly done. By the end of September, we received approval from the Shanghai Stock Exchange. We are now in the registration process with Chinese securities regulators. We expect that, within the next one or two months, we can have everything ready and complete the IPO.

Okay. That’s all my questions. Thank you.

Thank you, Gary. Next, we have Rajiv from Sunsara Capital. Please go ahead with your question.

Yes. Good morning to you. My first question is about the potential shipments that were lost because of logistics issues in the third quarter and might be lost in the fourth quarter as well. Could you help us give us a sense of how much in terms of megawatts you might have lost in terms of shipments not happening because of logistics in Q3 and what that impact might be in Q4? Also, help us understand if these lost shipments, is that a temporary timing thing where the shipments get pushed out into 2022, or this market opportunity is lost forever?

Thank you. Let me take your first question. In terms of delays, we are looking at around a 100-megawatt level of delays. The delay between Q3 and Q4 is not because we haven’t shipped or produced the modules, or that our customer doesn’t want the modules. It’s due to logistical delays, causing traffic jams across ports in Europe and the U.S. So country-wise, we cannot recognize those modules as actually delivered into our customers’ sites or in their warehouse. That’s why we have to delay revenue recognition, partially from Q3 to Q4, by approximately 100 megawatts to 200 megawatts, a few hundred megawatts. The modules themselves have been produced, contracts are signed, and prices have been secured. We just need to wait until this logistic bottleneck is gradually resolved to recognize revenues in Q4.

And just to follow up on that: In terms of Q4, are you experiencing similar logistics issues or maybe even worse due to fourth-quarter competition from the rest of retail? So is the problem for the fourth-quarter segment even worse?

I don’t think so. At least Q4 will be slightly better than Q3. The reason is the demand in the domestic Chinese market is pretty strong. We can diversify the risk and not solely rely on shipping line companies. We can recognize more revenue in the domestic market. That’s one positive aspect. Also, the government has taken many actions to expedite the loading and unloading speeds at ports to ensure everything goes faster. We have observed improvements from the logistics side as well. Combining these two factors, we believe the situation will be much, much improved compared to Q3.

My next question is about average selling prices. You mentioned a small increase in the selling price, but it did not offset the increases in material costs. Could you discuss how many shipments in the third quarter remained subject to long-term contracts where you had to honor pricing that was negotiated some time ago?

Thank you. I think from a contract execution perspective, we have to find a mutual solution with our customers. Since we signed a contract, we can’t expect our customers to absorb all these potential increases due to raw materials. We have to find mutual solutions together. There are quite a few different solutions we can reach an agreement with customers. Overall, I think over 75% of our contracts delivered or executed in Q3 were subject to long-term agreements. We have found various solutions that combine short-term and long-term agreements with our customers to ensure a more sustainable partnership. We cannot compromise the customer relationship for immediate issues.

So you’re saying that the framework agreements will give you more flexibility on pricing if material costs or shipment costs move unfavorably. Is that also part of why you’re confident that gross margins next year should improve, as you’re embedding a higher gross margin than was achieved in 2021?

Well, the gross margin will be a separate topic. The improvement in gross margin will mainly come from much improved vertical integrated capacity expansion by the end of this year, which will significantly contribute to margin enhancement. Another vital factor will be our new product, Tiger Neo, which will contribute a great deal of premium due to its attractive parameters and higher power generation capability. Additionally, the share of 182-millimeter product sizes increased from about 20% to 25% in the first half of the year to around 60% to 70% by the end of the year. This trend may continue next year, giving us a competitive edge.

Yes, thank you. And one last question for Charlie. The general and administrative expenses have been much higher this year than last year, with significant increases in the first three quarters, particularly in the third quarter. Can you explain why this increase is happening? Also, how much of this increase in cost is related directly to the IPO in China?

Thanks for your questions. I think the operating expense is relatively high due to several factors. Firstly, shipping costs are very high, as we have significant exposures to shipments from China. Secondly, the IPO cost. I don’t believe the IPO cost is significant, roughly about US$2 million for the third quarter. Additionally, during the third quarter, our shipment volumes were comparatively low. However, in the fourth quarter, we are expecting a substantial increase in shipments, which will dilute operating costs. Excluding variable costs, particularly shipping costs and warranty costs, fixed operating expenses remain stable.

Actually, Charlie, I’m sorry. I missed something you said about the IPO costs. The question I’m grappling with is the G&A expenses, which normally should not increase that much. Last year, it was around $50 million a quarter, but this year, it started at approximately $55 million to $60 million and was nearly $70 million in the third quarter. That’s a substantial increase. Can you tell us what's driving this increase and what we should expect for Q4?

The G&A cost, being administrative costs, should be stable. Looking into the future, it should remain stable. There may have been some IPO costs and adjustments related to accounts receivable. Excluding those, I think the costs remain relatively stable.

Thank you. Next, we have Alan from Jefferies. Your question, please.

Thanks a lot for the operator for having the questions, and thanks a lot for management. My first question is about the inventory, which has increased significantly. Is this tied to shipments in transit to overseas markets?

I think there are two aspects to this. One is the inventories in transit to overseas markets, coupled with challenges related to logistics and delays. The second aspect is that we anticipated the material costs would continue to rise. Therefore, we intentionally acquired more resources and materials to maintain a relative advantage for production in the fourth quarter.

Understood, thanks a lot. Regarding the fourth quarter, I noticed that the company was guiding for a gross margin of 12% to 15% over the last three quarters, but the guidance has increased to 13% to 16%, even amidst rising upstream polysilicon costs. Is it because of the increased percentage of large-size modules and cost-cutting efforts?

Yes, it’s a combination. One is the large-size product percentage, and we mentioned our capacity at 7 gigawatts in the press release. In the third quarter, the large size, around 182 millimeters, accounted for roughly 50%. That figure may reach 70% in the fourth quarter. Additionally, we expect our ASP to continue to rise, especially given more shipments to China since spot market prices there are pretty high. The ASP is expected to increase by about $0.01 to $0.02 per watt in Q4 compared to Q3.

Understood. Thank you for clarifying that. One last question on the N-type new-generation cells; I suspect the company is using TOPCon technology. Can you disclose the yield rate of the production line? There were concerns regarding yield rates due to additional production steps in TOPCon.

We are achieving almost 99% yield for N-type TOPCon technology, which I believe is a leading number in this industry. That’s how we are building our confidence to expand capacity to substantial volumes, thereby extending our competitive advantage.

Understood. That’s very impressive and a leading indicator in the market. Thanks a lot, management.

No problem.

Thank you, Alan. Next, we will be taking one last question from Brian Lee from Goldman Sachs. Your question, please.

Hey, guys. Good evening. Thanks for squeezing me in here. I might have missed this or maybe I’m misinterpreting something, but could you help reconcile? I think you mentioned a 100 to 200 megawatts revenue recognition issue Q3 to Q4, but the actual shipment guidance is changing by two-plus gigawatts versus what you had previously. Is that being pushed even further into the early part of 2022? Or what’s the disconnect between the 100 to 200 megawatts you’re calling out specifically for 3Q to 4Q and the bigger shipment guidance change that’s happening here for the full year?

Yes, sure. I think my previous answers regarding the revenue recognition delays from Q3 to Q4 indicate it should be around the 200-megawatt level. The delays will persist, but I believe the improvement will definitely be better than Q3, as we have noticed improvements in traffic flow across key ports week over week. That’s why I’m saying that the revenue recognition pressure in Q4 will be lighter than in Q3. Regarding the guidance change, I think it’s mainly due to delays in one of our cell workshops, which affected our capacity expansion.

Okay, that’s helpful. To be clear: You haven’t seen any cancellations of shipment schedules for this year or next year. Just shifting in the schedule, but you haven’t seen anything canceled outright.

We have encountered a few cases of canceled shipments by the shipping line companies, but we can generally find solutions because we have established multi-year shipping line contracts with all major shipping lines. Even if they cancel shipments, we can always seek solutions to accommodate them in upcoming schedules.

Okay, fair enough. Two last questions for me, and I’ll pass it on. Are you reiterating your CapEx guidance for 2021? You had mentioned $1.1 billion previously. Any thoughts on capacity increase in CapEx for 2022?

Yes, thank you. This is Pan. For the CapEx side, we expect a $400 million expectation in Q4, bringing the total CapEx for the year to $1.2 billion. We expect it to remain the same, at $1.2 billion for 2022.

Okay, so flat CapEx year-on-year. Any thoughts around the funding for $1.2 billion of CapEx in 2022?

Our subsidiary is in the IPO process in China, and we’re expecting to raise at least RMB 6 billion. That should cover most of the funding, and we will also engage in some debt financing.

Okay. Understood. Thanks, guys. I’ll pass it on. Appreciate the time.

Thank you, Brian. I will now hand the session back to you. Please go ahead, Ms. Ripple.

Hello. Yes, let’s end the call today. Thank you.

Ladies and gentlemen, this concludes today’s conference call. Thank you for your participation. You may now disconnect.