Greetings. Welcome to Waldencast's Second Quarter and First Half 2024 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. Please note this conference is being recorded. I will now turn the conference over to Allison Malkin of ICR. Allison, you may begin.

Thank you, and welcome to the Waldencast plc second quarter fiscal 2024 earnings call. With me today are Michel Brousset, Founder and Chief Executive Officer; and Manuel Manfredi, Chief Financial Officer. For today's call, Michel will begin with an update on our business and vision and discuss the company’s performance within the context of the beauty market. Manuel will follow with a review of the second quarter and first half performance and provide our fiscal 2024 outlook. Following this, Michel will share the strategic growth initiatives for our Milk Makeup and Obagi Medical brand. After the prepared remarks, the operator will open the call to take questions. Before we start, I would like to remind you that management will make certain statements today, which are forward-looking, including statements about the outlook of Waldencast business and other matters referenced in the company's earnings release issued today. Each forward-looking statement is subject to risks and uncertainties that could cause actual results to differ materially from those projected in or implied by such statements. Additional information regarding these statements appears under the heading, 'Cautionary Note' regarding Forward-Looking Statements, in the company's earnings release and in the company's filings that it makes with the Securities and Exchange Commission that are available at www.sec.gov and on the Investor Relations section of the company's website at ir.waldencast.com and should be read in conjunction with the section untitled risk factor in the company’s annual report on Form 20-F filed with the Securities and Exchange Commission on April 30, 2024. The forward-looking statements on this call speak only as of the original date of this call, and we undertake no obligation to update or revise any of these statements. Also, during this call, management will discuss certain non-GAAP financial measures, which management believes can be useful in evaluating the company's performance. The presentation of non-GAAP measures should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. You will find additional information regarding the definition of these non-GAAP financial measures and a reconciliation of these non-GAAP to the most directly comparable GAAP measures in the company's earnings release. A live broadcast of this call is also available on the Investor Relations section of the company's website at ir.waldencast.com, which will remain available until the company's next earnings call. I will now turn the call over to Michel Brousset.

Thank you, Allison, and good morning everyone. I am pleased to speak to you today and share our strong second quarter performance that saw accelerated comparable growth of 25.7% versus our first quarter increase of 21% and capped a very successful first half of the year. Our performance demonstrates the power of our multi-run platform and the progress we are making to achieve our vision for Waldencast. This vision is to build a global best-in-class beauty and wellness platform that creates, acquires, accelerates and scales the next generation of high-growth, highly profitable, purpose-driven brands. As you have heard me say before, we are a beauty pure player because beauty is the most beautiful of industries, one that has shown impressively consistent growth, strong profitability and resilience. The U.S. market for Prestige Beauty remains strong, up 8% for the first half. This follows significant growth over the past two years as the category continues to normalize following unprecedented growth. For the first half, Prestige Skincare grew 7% and Prestige Makeup grew 5%. Circana notes that this growth reflects an accelerated bifurcation emerging in the beauty industry, highlighted by the continued growth in Prestige relative to mass and is indicative of the continued premiumization of the beauty category with consumers looking for higher levels of efficacy and performance. Our growth has far exceeded the category as our brands, Milk Makeup and Obagi Medical, are only at the beginning of their ambition to be market-leading brands in their respective categories and are very well-positioned to deliver consistent growth over time. We have two of the most exciting brands in the two biggest beauty categories, Makeup No. 1 and Skincare No. 2 in the U.S. Prestige Beauty market. Our brands play in the fastest-growing sub-segments of these two categories, Prestige Clean makeup and professional science-led skincare. Obagi Medical outperformed the U.S. Prestige skincare market by a factor of 5X in the first half and continues its clear advantage of the No. 1 physician-recommended medical-grade skincare brand for top-ranked patients' needs, leading in the most attractive fast-growing sub-segment of premium skincare. With its breakthrough patented technology and transformative clinically proven results, it unlocks high loyalty from both consumers and physicians and it is perfectly positioned to answer the growing consumer needs for high-performance effective skincare while also paving the way for expansion to other categories. Milk Makeup grew three times faster than the U.S. Prestige makeup market in the first half. The brand, a cult-favorite Gen Z brand benefits organically from an engaged and diverse community due to its cultural relevance and iconic products. It is a leading clean makeup brand, the No. 2 clean brand at Sephora U.S. and is quickly building a global following with leadership positions in several international markets. Milk Makeup has accomplished this through its relevant promise of cool, clean makeup that works. But we're just at the beginning of our journey to building a best-in-class global multi-brand portfolio. Today, we possess two powerful brands that have garnered critical mass while still having substantial runway for growth. With Milk Makeup and Obagi Medical, we have a solid foundation in Prestige skin and color with a core business in the U.S. and a growing presence in Europe and the Asia-Pac region. We are achieving a strong growth in attractive channels and expect this momentum to continue as we drive awareness of both brands beyond its core communities, continue to introduce more blockbuster innovations, and expand into other regions and categories. Our increasing success with both brands and the power of our unique pure play beauty ecosystem gives us a distinct competitive strength in attracting other brands and founders to our platform. Our platform built for scale and speed will only get better as we create and acquire more brands and scale them profitably and efficiently. And now I will turn the call over to Manuel to review our financials and outlook.

Thank you, Michel, and good morning everyone. I'm pleased to share our strong second quarter and first half results for 2024 with you today. These results highlight the continued success of our strategic initiatives and our commitment to delivering shareholder value. Today I'll focus on our adjusted financial measures. You can find a reconciliation to GAAP financial measures in our press release from yesterday and in the appendix of this morning's presentation. Let's dive into the highlights of our second quarter performance. We saw a robust 25.7% year-over-year comparable growth, which exceeded the 21% growth we achieved in Q1, aligning with our prior guidance. We continue to see significant year-over-year expansion in our adjusted gross profit margin, and we maintained a double-digit adjusted EBITDA margin, positioning us well to meet our annual profitability goals. A key point to note is that, as we have indicated in the past, while we monitor our business daily, we plan on it on an annual basis. This annual planning approach allows us to navigate quarterly fluctuations without compromising our strategic objectives. We are pleased to achieve this result despite the fact that in both brands we experienced out-of-stocks in some of our key products, particularly some of our key launches, as strong consumer demand outstripped our expectations. Specifically for the second quarter, net revenue was $63.3 million, reflecting 25.7% comparable growth for Q2 2023. Obagi Medical and Milk Makeup achieved 30.9% and 20% growth respectively. Adjusted gross profit came in at $47.5 million, with an adjusted gross margin of 75.0%, a notable 650 basis point increase from Q2 2023. Adjusted EBITDA was $6.3 million, up $2.4 million from Q2 2023. As strong revenue growth and gross margin expansion more than offset important investments to support our team, marketing and sales business drivers. Building on our strong second quarter, our first half of 2024 has been excellent. For the first half of 2024, net revenue was $131.6 million, marking a 23.1% increase from the first half of 2023. Adjusted gross profit increased by 36.4% to $99.5 million, with the adjusted gross margin expanding significantly by 890 basis points to 75.6%. Adjusted EBITDA rose by 27.2% to $17.7 million, reflecting strong sales growth and improved gross margins, which more than offset our investment spending. This led to an adjusted EBITDA margin of 13.4% for the first half, up from 12.7% in the same period last year. Now, looking ahead, our strong first half performance, the ongoing success of our growth strategy and the operational efficiencies that we have implemented positioned us well to maintain our positive momentum throughout the year and beyond. For the full year 2024, we expect comparable revenue growth will continue to accelerate, beyond the 25.7% increase we saw in Q2, raising our guidance communicated in Q1. Adjusted EBITDA margin is expected to land in the mid-teens, aligned with our prior guidance, and substantially higher than the 11.2% achieved in 2023. This improvement comes even as we continue to invest in our sales and marketing growth drivers. We expect second-half adjusted EBITDA to exceed first-half results, both in absolute terms and as a percentage of revenue. Turning now to our balance sheet and cash flow, we ended the first half of 2024 with a solid financial position, with no near-term maturities and ample liquidity to fund our asset-light business model. As of June 30, 2024, cash and cash equivalents were $19.7 million. We also have $30 million available on our revolving credit facility, and net debt total $155 million. We achieved positive operating cash flow, excluding non-recurring costs associated with legal and advisory fees. As of August 15, 2024, shares outstanding were $122.7 million, compared to $122.2 million as of April 15, 2024. And now I will turn the call over to Michel.

Thank you, Manuel. Now, let's review the brand performance, starting with Milk Makeup. In the second quarter, Milk Makeup achieved net revenue of $28.7 million, reflecting a 20% increase compared to last year. This growth was fueled by heightened brand awareness, successful product innovations, and ongoing strength in international markets. However, unprecedented demand, particularly for our Cooling Water Jelly Tint, resulted in some stock shortages, limiting growth potential in the early part of the quarter. Nevertheless, revenue improved towards the end of the quarter as we increased inventory levels to meet the higher demand. The adjusted gross profit margin was 69.7%, showing a substantial improvement of 360 basis points from last year’s second quarter, thanks to our operational efficiency strategies and enhanced supply chain management. Adjusted EBITDA grew by 48% to $5.7 million, with an adjusted EBITDA margin of 19.8%, expanding 370 basis points from the second quarter of 2023, although this was somewhat offset by increased investments in sales and marketing to support key launches aimed at boosting growth in the second half. For the first half, Milk Makeup generated net revenue of $63.2 million, a 20.8% increase from the first half of 2023. Adjusted gross profit rose by 29.2% to $44.6 million, with gross profit margin expanding by 460 basis points to 70.6%. Adjusted EBITDA increased by 23.4% to $15.7 million, with the adjusted EBITDA margin rising to 24.9% of net revenue. Milk Makeup is swiftly establishing itself as a global leader, with a growing consumer base worldwide that resonates with our mission of creating a beauty space for all through fearless innovation, agility, and self-expression. The brand recorded notable growth worldwide, with revenue increasing by 15.5% in North America and 33.3% internationally during the first half of the year. Our vision is to become the top choice for the next generation by aligning with their needs, values, and aspirations. We aim to create a brand that is relevant today and in the future, nurture a vibrant community of engaged consumers and partners, offer uniquely delightful products, expand our distribution effectively, ensure strong profitable growth, and promote a culture of creativity. Our guiding principle is our community of creatives, always listening to and understanding them as we provide tools for their artistic expression. Our connection with the community has recently resulted in Milk Makeup doubling its earned media value year-over-year and climbing seven positions since January 2023, which indicates growing desirability and awareness—a crucial indicator of future growth potential. Social media awareness surged due to outstanding results in key metrics, with new followers increasing by 538,000 in the first half of 2024, a remarkable 254% increase year-over-year. Video views nearly doubled, reaching 95% growth from 89 million views, while engagement surged by 286%. This community engagement is further enhanced by significant media coverage, achieving 5.4 billion press impressions in the first half of 2024, with 1.4 billion related to new product launches, marking a 60% increase year-over-year, particularly highlighting our Cooling Water Jelly Tint and other major releases. Our product innovation focuses on delivering our clear consumer promise of effective, clean, and cool beauty. All our offerings remain vegan, clean, and cruelty-free, standing out in a market often characterized by uniformity. Over the years, we have developed iconic and award-winning products, maintaining strong market positions in key categories. Recently, our brand received significant attention when the Olympic champion Simone Biles featured our Hydro Grip Primer in her pre-performance routine for the Paris Olympics, underscoring our product's appeal. We're also thrilled to expand into high-demand segments, including the launch of our Kush Eye Roller Mascara and Brow Tints, as well as new shades in our Odyssey Lip Gloss range alongside our bestselling Cooling Water Jelly Tint, which has captivated consumers. The product has received numerous editorial awards, contributing to 22 accolades we have amassed this year. Additionally, I am proud to announce that Milk Makeup has been recognized by WWD as one of the most influential beauty brands driving industry growth. Our recent expansions into the U.K., Scandinavia, and Latin America are further demonstrating the global appeal and desirability of Milk Makeup. Now, shifting focus to our high-performance skincare line, Obagi Medical reported impressive growth with revenue of $34.6 million, a 30.9% increase from last year, driven by advancements in digital sales, international expansion, and innovative product development. Similar to Milk Makeup, we faced some growth challenges due to stock shortages that affected our U.S. physician dispensary channel; however, inventory levels for key items have significantly improved, and we anticipate acceleration in the upcoming quarter. Our adjusted gross profit reached $27.4 million, with a gross margin increase of 850 basis points to 79.3%, benefiting from strong sales performance and margin enhancement despite higher investment in growth initiatives, leading to an adjusted EBITDA of $6.5 million, a 55.4% increase. For the first half, Obagi Medical realized $68.4 million in revenue, a 25.4% increase compared to last year, and adjusted gross profit rose to $54.9 million, or 80.3% of net revenue. Adjusted EBITDA for the first half was $13.2 million, a 37.1% increase, with an adjusted EBITDA margin expansion to 19.3%. Across regions, Obagi Medical experienced balanced growth, with a 37.6% increase in North America and a 35.2% boost internationally. Strong performance from digital channels and innovative products contributed to our growth. Our vision for Obagi Medical is to be the leading physician-dispensed dermatological brand globally, providing effective solutions for skin concerns like hyperpigmentation and fine lines. Our growth strategy involves strengthening our brand's identity, accelerating innovation, and expanding brand awareness both domestically and globally. We're excited to modernize the brand, enhancing its appeal to both physicians and consumers with four core pillars focused on science and clinical efficacy. We aim to elevate our brand image through our iconic logo and modernized marketing presence in all consumer touchpoints, fostering an impactful brand experience. Our new launches, including the ELASTIderm Lift Up and Sculpt Facial Moisturizer and the ELASTIderm Advanced Filler Concentrate, exemplify our commitment to delivering clinically proven results in the anti-aging segment. As we advance, we will continue to raise brand awareness for Obagi Medical, currently the third fastest-growing beauty brand in earned media value, and we are optimistic about further growth through investments in innovation and branding. We believe we are poised for remarkable growth with two powerful brands in high-demand segments, and we are committed to investing in our brands and communities. This approach, along with strong engagement and high-performance products, is driving global demand for our brands, positioning us well for long-term profitable growth. I appreciate the ongoing support from our consumers, investors, partners, and employees as we strive to create a formidable global beauty and wellness platform. We continue to expect that our efforts will lead to long-term value creation for all Waldencast stakeholders. Now, I will hand the call over to the operator to start the Q&A session.

Thank you. Our first questions come from the line of Ashley Helgans with Jefferies. Please proceed with your questions.

Hi. This is Sydney on for Ashley. I was just wondering if you can talk a little bit about the promotional environment and kind of what you've seen and are expecting going forward and then also just any color you can share on the innovation pipeline in 2H. Thanks.

Hi Sydney, thank you. Thank you for the call. I’ll break the question into two parts. Our brands are relatively unexposed to promotional fluctuations in the case of physician expense, Obagi Medical, if we run, and the market runs relatively standardized promotions, is relatively price inflexible. And in the case of Milk, the segment of the market has been relatively flat in terms of promotion. We don't see any significant or substantial increase in promotion or net price erosion as a consequence of that. From an innovation sample, which is what is driving our brands. We are, as you saw, we have an incredible first half of innovation on both brands, and frankly, we are super excited about what is coming in the second half. So we continue to accelerate innovation on both brands. It's a key part of our strategy, and I think innovation so far has been delivering verywell.

Thank you. Our next questions come from the line of Olivia Tong with Raymond James. Please proceed with your questions.

It would be helpful to understand what you view as sort of a revenue growth and also how you think about the EBITDA margin expansion opportunity, recognizing, of course, the expectations for an improved second half on both those lineups.

Olivia, sorry, you're breaking up. Could you please repeat your question?

Sorry. Sure. I'll be a little louder, too. I was hoping you could talk a little bit about what you think of as a steady state revenue growth and how you think about the EBITDA margin expansion opportunity from here. Recognizing, of course, that you talked about second half doing better than Q2 or second half doing better than first half. When it comes to EBITDA, particularly given the volatility in the past, it would be helpful to do that. So that's the first question. Second question is around, just a competition in your categories. We've obviously seen some deceleration in the category after a very strong period of growth. So if you could just talk about competitive environment, both for Milk and also for Obagi in the derm skincare area. And then lastly, just what your, the out-of-stocks that you've been dealing with. Thank you.

Yes. Thank you, Olivia. So on the first part of your question, kind of steady state revenue growth as you can. We provided guidance for the year. We've not provided guidance beyond that. But I think what we are seeing is an acceleration, as we communicated an acceleration on the back half from the Q2 number. I think we expect an algorithm of a company that is high growth and certainly well ahead of market growth and EBITDA, as you saw, we continue to build EBITDA to what our destination and structural economics. So we expect, and I communicated this in the past, we expect on a long-term basis, on a steady state basis. We already have structural economics in the company that are comparable and in many cases superior to best-in-class beauty from a gross margin perspective, which is only going to help us build our EBITDA. As we continue to grow our brands. Ours, very simply, is a growth story. We continue to grow the brands, as you can see, at a very accelerated pace, which what is already the engine of the company, which is the gross margin level that is very, very attractive. So as we grow the company, we will continue to execute what is our virtuous cycle, which is revenue growth, translated to very strong gross margin growth, reinvested into business drivers of marketing and sales that further drive growth and dilute G&A to deliver increases in EBITDA. In terms of competition on the category, I mean, beauty has always been a very competitive market. It is a market of competition. But frankly, as I said before, we do not think too much about competition. We're such a small company in the whole scheme of things in the beauty market that our limitation to grow is only our own ability to create great consumer propositions that are interesting and compelling to consumers, combined with our own ability to execute. So the beauty market has always been competitive. It is a competitive market, but it's not a winner-takes-all market. It's an expandable consumption category, and while competition is a point of information, frankly, we don't think too much of competition. We think more of how do we create great breakthrough propositions, like, for example, what we've done with Milk Makeup jellies, which is we invented a completely new product that is incredibly seductive and interesting for consumers that really has no competition. And as a consequence, we benefited from a tremendous impact on our top-line growth, our sales, and our social and community metrics. And lastly, in out-of-stocks, out-of-stocks was a bit of a headwind in Q2. Frankly, in some ways, we were victims of our own success. Things particularly like makeup or things like jellies are particularly difficult to forecast when you are creating a new-to-the-world proposition, and we could have grown substantially more on the basis of those out-of-stocks. Same thing at Obagi. Our innovation performed better than we expected, but in fairness, we also were managing our base inventory a bit tighter than perhaps we should have with hindsight 20/20. In terms of on a go-forward basis, I think most of the out-of-stock issues are behind. We stock on jellies, and if you were to go today to a Sephora or to one of our others, you don't have to fight for one of the jellies that you had to fight a little bit before. You would see inventory and consumers buying this inventory at a rapid pace. But we still have a little bit of an effect on out-of-stocks, particularly in the Obagi business in Q3, but substantially less than we saw in Q2. Thanks for the question, Olivia.

Thank you. Our next questions come from the line of Linda Bolton Weiser with DA Davidson. Please proceed with your question.

Yes, hi. Congratulations on the great growth. So I was curious, I didn't catch if you were kind of talking about the advertising and promo ratios in each of the brands. Maybe you don't want to disclose those, but maybe you can give us a sense for if you feel the spending levels as a ratio are kind of where you want it to be for each of the two brands, or do you envision even further increase in A&P kind of in the future years?

Thank you, Linda. Thank you for the question. So we think that since we started this journey two years ago, as you know, Linda, we've accelerated quite substantially the level of marketing investment as we build our brands. We certainly expect the second half to continue to invest even further than we invested in the first half, which was already a substantial increase versus last year. But what we follow is a very strong ROI mindset behind that marketing expense. In a long-term basis, are we at the level of marketing investment long-term? No, we believe that I think there is still substantial room to grow and support both in terms of a percent of sales and absolute value as we continue to build a business. But that is part of our kind of virtual circle. And what we do is we invest, we drive operational efficiency, which we invest in business drivers to drive the top line growth and dilute our G&A. So in both cases, in both brands, we expect to continue to increase our marketing support and sales support on both brands. That with resulting, as I said, in increases in our EBITDA contribution.

Okay. And just one follow-up. In terms of Obagi, maybe you could remind us just is Obagi using distributors pretty much in all of its international markets or just some of them? And can you just explain to us, like, do we need to worry about like too much inventory in the distributor channel? Or how should we think about just how you execute there internationally on Obagi? Thanks.

Thanks. So our international structure today is relatively simple. As you know, we internalized the distribution of Obagi in Southeast Asia. So in Southeast Asia, what we use is our own subsidiary now, moving from an old distributor model that we have in Southeast Asia for all the challenges and trials and tribulations we had with that distributor in 2022 that is now fully behind us. And now we have our own subsidiary in Southeast Asia. In every other international market, we use distributors. And what we do is we have a very strict monitoring in those distributors from a sell-in, sell-through, and sell-out basis. For most distributors, we don't have sell-out for all distributors in terms of all the major distributors. We have a very strong monitoring sell-in, sell-through, and sell-out in places where we can have sell-out. So we do not have any concerns about too much inventory on distributors at an international level. The international footprint, just to finalize, is we're on a journey on that, on the older distributors, the outside of Southeast Asia distributors. And frankly, we have some excellent distributor partners, and there are some distributors where we need to execute a bit of a change on go-to-market structure, which we'll be doing over the next couple of years or so as we transition that into a more efficient distributor model. But overall, we have no concerns about the inventory bill whatsoever on international distribution.

Okay. Thanks a lot.

Thank you, Linda.

Thank you. Our next questions come from the line of Dana Telsey with Telsey Advisory Group. Please proceed with your questions. Dana, could you check if you're self-muted, please?

Yes. Hi. Good morning, everyone. As you think about the drivers of the strong gross margin expansion that you had in the international expansion that Milk and Obagi are seeing, what's driving that? How do you think about the growth going forward and what it could mean for the business? Thank you.

Thank you, Dana. On gross margin, the story remains the same, and it's a little bit different by brand, but the story remains the same. In the case of Obagi, it's fundamentally driven by two things. One is a very strong and favorable channel mix as we develop our digital channels on Obagi, and the second one is operational efficiency that we continue to build on those businesses. As you know, we are already at a very high gross margin level. I think we are about at the destination level of Obagi in terms of gross margin. I think any future efficiency, whether it's a still-to-half as part of that operational efficiency, we plan to reinvest it into product and formulation and acquire quality offering to our customers. So, we expect Obagi to be roughly at its destination. Milk, as you saw, is a business that was gross margin in the 40s when we bought it, and now it's approximating where we want it in terms of destination. It's driven primarily through operational efficiency. So, we continue to build that operational efficiency, a bit of mix, all the kind of detail of how you build a great operating margin. Thanks for highlighting the point of gross margin because that, at the end of the day, is the engine of the company. As we grow the business at that very attractive level of gross margin, it allows us substantial amounts of fuel to reinvest in building our brands and deliver profitability over time. In the case of international, a little bit different, again, by brand because the models are different. We have some substantial growth coming on Milk, as you saw from the results. Most of it is really productivity-driven. It's productivity out of our own businesses, but we have some modest distribution expansion. As you know, we entered the U.K. market not long ago, but it's still relatively modest in the number of stores where we are, and it's doing very well and exceeding our expectations of how it's performing in the U.K. We also expanded our distribution footprint in Scandinavia with Leco, and it's been a fantastic success. We talked about the last quarter of lines and lines and lines of consumers waiting to buy Milk as we expanded, and also a small but important expansion into Latin America, particularly in Chile, Colombia, and Mexico with Blush Bar. That has been a tremendous success in which, as we saw in the presentation we saw before, we are the number one or two brand in the store for those markets, which is validating just a universal appeal of the Milk brand across the world, and there's much more to come in the future. In the case of Obagi, as I said, we have a bit of a bifurcated model. One is our distributor business outside of the U.S., which is everywhere outside the U.S. with the exception of Southeast Asia, which continues to build from strength to strength. We invest in the brand, professionalize, and we're managing those distributors, realigning some of those distributors. There's still a bit of work to do that we need to do over the next two or three years at strengthening that distribution network, look for internalization where appropriate, etcetera. Then we have Southeast Asia where, as you know, we are rebuilding our business in Southeast Asia after the collapse, if you want, of our former distributor, and we're very pleased with that progress. We launched initially in Vietnam in November of last year, and now we've expanded into Thailand, Singapore, and most recently India, and the business is performing very well. We have now an internalized model that allows us to have a much better profitability on a going basis as we capture all the margin on that supply chain.

Thank you. We have reached the end of our question-and-answer session. I would now like to hand the call back over to Michel Brousset for any closing comments.

Thank you very much. Well, thank you, everybody, for joining us today. We're very excited about the Q2 results and the closing of the first half, and as we communicated on the earnings release, we're very, very confident about our outlook for the year. And thank you very much for being here and for your support. Have a good day.

Thank you. This does conclude today’s teleconference. We appreciate your participation. You may disconnect your lines at this time.