WaterBridge Infrastructure LLC (WBI) Q3 2026 Earnings Call Transcript

To withdraw your question, press star 1 again. I will now hand the conference over to May Harrington, Director of Investor Relations. Please go ahead.

Good morning, and thank you for joining Waterbridge's third quarter 2026 earnings call. I'm joined today by our Chief Executive Officer, Jason Long, our Chief Operating Officer, Michael Chopp-Rights, and our Chief Financial Officer, Scott McNeely. Before we begin, I would like to remind you that in this call and the related presentation, we will make forward-looking statements regarding our current beliefs, plans, and expectations, which are not guarantees of future performance and are subject to a number of known and unknown risks and uncertainties that could cause actual results to differ materially from results and events contemplated by such forward-looking statements. We are cautioned not to place undue reliance on forward-looking statements. Please refer to the risk factors and other cautionary statements included in our filings with the SEC. I would also like to point out that our investor presentation and today's conference call will contain discussions of non-GAAP financial measures, which we believe are useful in evaluating our performance. These supplemental measures should not be considered in isolation or as a substitute for financial measures prepared in accordance with GAAP. Reconciliations to the most directly comparable GAAP measures are included in our earnings release and the appendix of today's accompanying presentation. I'll now turn the call over to our CEO, Jason Long.

Thanks, May, and good morning, everyone. I'm pleased to report another great quarter. We've delivered record-produced water volumes of 2.8 million barrels per day, along with record revenue and adjusted EBITDA, outperforming on both volumes and margins. I'd like to spend a few minutes on why we expect this performance to continue. First, the Delaware Basin has some of the best upstream economics in North America, and today's commodity price environment amplifies that advantage. Our customers are responding with higher activity, and nowhere is that more visible than along the state line and in New Mexico, where water volumes are growing quickly. Second, that growth is creating a larger water challenge. Produced water volumes in the basin far exceed what can be recycled and reused in completions, and the gap widens as activity accelerates. At the same time, disposal capacity in the most active parts of the basin is constrained by elevated pore pressure. As a result, the barrels that can't be recycled need a reliable, long-term solution. Third, that is exactly where WaterBridge is differentiated. Our large integrated network lets us move water out of pore pressure-constrained areas like the state line in New Mexico to areas of low pore pressure where disposal capacity is reliable. For our current and future customers, that means they can develop their assets with confidence, knowing their water will move every day for years to come. It's why we have seen meaningful outperformance in Speedway Phase 1, and as we continue commercial discussions on Speedway Phase 2, we are confident in the long-term value proposition of our out-of-basin infrastructure and force-based solutions. Fourth, water is a resource in West Texas, an opportunity that is becoming more valuable, not less. Communities across Texas are rightly asking how large industrial projects, particularly data centers, will affect their water supply. In West Texas, we believe the answer can be they don't have to. The region holds vast volumes of brackish and produced water that can be treated and put to productive use. So industrial growth doesn't compete with the water that families, farms, and municipalities rely on. Few companies can source, treat, and deliver that water at scale. Waterbridge can, through our integrated network, our operating expertise, and our access to surface and pore space in the right locations. Our relationship with LandBridge is central to that advantage. LandBridge has more than 350,000 surface acres in the Delaware Basin to provide the land to site treatment and delivery infrastructure, to force space to responsibly manage what remains, and the ability to locate industrial development right next to the water resources needed to support it. Together, we can offer industrial customers a complete water solution that doesn't draw on community supplies. That opportunity is moving quickly. We've made significant commercial progress on a water supply solution for a large-scale data center, and we look forward to sharing more when appropriate. In addition, PowerBridge recently broke ground on its Alpha Digital Campus on Landbridge, Acreage, and Reeds County, where it is committed to using no municipal or community water for industrial purposes. PowerBridge expects WaterBridge to source, treat, and deliver the non-potable water for the campus' cooling system and to manage produced and discharged water from the site. We believe this is the model for responsible industrial growth in West Texas. And we're well positioned to lead it. These drivers give us confidence in the growth trajectory of the business, and I'm pleased to share that we are raising our four-year volume and adjusted EBITDA guidance for the third quarter in a row. We are also lowering the midpoint of our capital expenditures guidance as the timing of certain project spend shift into 2027. Scott will provide further details in his remarks. Waterbridge's record quarter reflects the value of the organic and inorganic growth initiatives we have pursued in the year since our IPO. The results we're seeing today reinforce our view of the long-term growth potential of the platform and our ability to create compelling value for customers and shareholders. I'll now turn the call over to ChopRice.

Thank you, Jason. Operations were strong across the platform in the third quarter. We handled the record 2.8 million barrels of produced water per day. That's up 6% from last quarter. The growth came from both new customers and existing ones, and our expanding network is meeting that demand. Just as important margins held up. Produced water handling revenue was 77 cents per barrel, excluding skim oil. That's up 7% from 72 cents a year ago, and it's growing faster than our operating costs. Two things are driving that improvement. First, contract rates continue to improve. Long-haul pipelines like Speedway carry higher long-term rates, and in pressure-stressed areas like the state line, demand is lifting our short-term, interruptible rates. Second, we're keeping a tight grip on operating costs as we scale. We're switching to more cost-effective fuel at our busiest facilities, and although our large-diameter Speedway pipeline generally carries higher OPEX, we're leveraging the Speedway pipeline's footprint to lower costs on our existing New Mexico infrastructure where possible. Now, Speedway Phase 1. We started moving volumes in July, and the ramp is continuing. Demand for capacity is strong. Utilization is beating our expectations. On the western portion of the system, throughput is performing well above what we expected. We've also signed several new agreements with EMP customers onto the Speedway pipeline. These volumes need very little additional capital, so they bring attractive returns. They'll lift returns on Phase 1, and they support our growth outlook into 2027 and beyond. On Phase 2, demand for long-haul, out-of-basin capacity keeps growing. We expect to commercialize the project in the near term. Phase 1's strong performance lets us set the timing for Phase 2 on our terms. We'll line it up with firm customer commitments and Phase 1 utilization so we're maximizing returns across the system as a whole. Meanwhile, engineering and planning continue so we can move quickly once those commercial milestones are met. With that, I'll hand it over to Scott to walk through the financial. Thank you, Chop, and good morning to everyone joining today.

We reported strong third quarter results with record produce water handling volumes, revenue, and adjusted EBITDA. Based on the volume and marginal performance that Jason and Chop described, we are raising the midpoints of our full year 2026 produce water handling volume and adjusted EBITDA guidance by 2% and 4% respectively. We now expect full-year volumes of 2.65 to 2.75 million barrels per day, compared to our prior range of 2.55 to 2.75 million barrels per day, and adjusted EBITDA in the range of 465 to 485 million, compared to our prior range of 435 to 475 million. We are also narrowing our capital expenditures guidance to a range of 530 to 560 million, from 530 to 590 million previously, which lowers the midpoint by 3%. This reflects the shift of capital outlay for certain projects from 2026 into 2027. Turning to the quarter, we delivered record revenue of $240.2 million, a 10% sequential increase. Revenue growth was primarily driven by higher produced water handling volumes, including the continued ramp of Speedway Phase I and higher rates on contracts that became operational during the quarter. Injusted EBITDA was $124.2 million, a 7% sequential increase. Adjusted EBITDA margin was approximately 52%, within the range of 50% to 53% that we've delivered over the last four quarters. Capital expenditures were $123.9 million during the quarter. Spending was primarily driven by the construction costs from the first phase of Speedway and continued investments across our Delaware Basin infrastructure footprint. We ended the quarter with total liquidity of $539.7 million, including $34.7 million of cash and approximately $505 million of available borrowing capacity under our revolving credit facility. Total debt was $1.8 billion, and our covenant net leverage ratio was 3.5 times. We remain committed to our long-term leverage target of sub-3 times. During the quarter, we also strengthened our liquidity and extended our financial flexibility. In August, we amended our revolving credit facility, increasing commitments from $500 million to $750 million and reducing applicable margins by 25 basis points across the pricing grid. Also in August, we issued an additional $150 million of our 6.5% senior unsecured notes due 2033 under the existing indenture, bringing the total outstanding principal amount of those notes to $750 million. We use the proceeds to repay borrowings under our revolving credit facility. With no significant maturities before 2030, we are well positioned to continue funding high-return capital projects. We remain disciplined in how we allocate capital, guided by three priorities. First, driving organic growth across our infrastructure network, alongside accretive acquisitions such as Ranger and NDB Landfill. Every project we pursue is held to the same criteria, which include long-term contracts, credit-worthy counterparties, fixed fees with CPI escalators, build multiples below five times, and the ability to fund them while maintaining the strength of our balance sheet. Second, maintaining a conservative balance sheet and prudent capital structure that maximizes financial flexibility and contributes to our long-term leverage target. And third, opportunistically returning capital to our shareholders. Today, we announce a dividend of 5 cents per share, payable on December 10th to shareholders of record as of November 25th. To close, our results this quarter reflect a growing business with strong operations, a disciplined approach to capital, and a balance sheet built to support growth. Record volumes, a third consecutive raise to our volume and adjusted EBITDA guidance, an upsized revolver, and our dividend all point to the same thing, durable, high return growth. We're carrying that momentum into 2027. Our outlook for the next year is meaningfully stronger than when we went public, driven primarily by organic growth on infrastructure that we already have in the ground today, as well as new infrastructure underpinned by recent commercial wins. We are in a position of strength, which lets us be judicious in deploying capital for M&A and large commercial projects, given the attractive growth that's already underway. We look forward to sharing our 2027 guidance with our fourth quarter results. We're confident in the path ahead in our ability to keep creating value for our shareholders. Thank you for joining us today. Operator, we are now ready to take questions.

We will now begin the question and answer session. Please limit yourself to one question and one follow-up. If you would like to ask a question, please press star 1 to raise your hand. To withdraw your question, press star 1 again. We ask that you pick up your handset when asking a question to allow for optimum sound quality. If you are muted locally, please remember to unmute your device. Please stand by while we compile the Q&A roster. Your first question comes from the line of John McKay with Goldman Sachs. John, your line is open. Please go ahead.

Hey, team. Thank you for the time. Maybe we'll start on the commercial side. You mentioned success and winning new agreements for Speedway Phase 1. Looks like you're being a little more capital efficient around the timing for Speedway Phase 2. Maybe just catch us up on what commercial momentum has looked like, what you're hearing from your producer customers in terms of their specific willingness to sign incremental blocks of water. Thanks.

Yeah, hey, good morning, John. No, I think a very topical question. I mean, I think I kind of boil it down into three main considerations here. I mean, first. Because we have so much existing infrastructure in place, we can really kind of capture the growth, capture these commercial wins in just a very capital-efficient way. You know, Speedway Phase 1 is a great example of that. It's meaningfully outperforming our expectations today, and it still has open capacity that we can utilize over the next several years. And you kind of alluded to the fact that we've signed several new agreements that really require, you know, very little incremental capital because we can capitalize on that existing infrastructure. You know, and those barrels carry just very high kind of attractive returns. And so, you know, being thoughtful about when to put new capital on the ground, I think, just is always top of mind because we want to be capital efficient as we work through these projects. You know, the second consideration I'd point to is really just on timing on the customer I mean, we've seen, you know, a really fantastic year as it relates to E&P consolidation, just given the macro backdrop. And so, as the dust has settled from that E&P consolidation and folks are working through the new budgeting cycles. Many of the operators we're talking to have just wanted to see those efforts get across the finish line before stepping into any long-term commitments at the scale we're talking about with Speedway Phase 2. We do think that comes here in the coming months, and those could very well support an FID on Phase 2. But in this interim period, again, we've been able to capitalize that infrastructure on the ground. I mean, the third point, and I think this is a really important one to communicate, is there have been a number of just other smaller commercial projects and wins and opportunities just across our system, you know, that oftentimes come at fantastic returns. And they may be, you know, smaller and not quite as easy to talk to as a large project like Speedway Phase 2, but in aggregate, they can easily add up to the same type of cash flow contribution, oftentimes at much better returns, but just without the, you know, the fancy name like Speedway Phase 2. And so, you know, we're in a great spot where we can be patient. You know, and ultimately, I think we're going to get phase two FID tier in the near term, you know, as some of those things come to fruition, but really focused on, you know, aligning that with when firm commitments are in place, when we think phase one has been kind of properly utilized. And in the interim here, we'll just continue to push, you know, the engineering and planning efforts forward so we can pull the trigger and move quickly when the time is right.

That's great. Thanks for that. And just second one for me, you guys talked a lot about the off-digital opportunity on the LandBridge call as well, but maybe more high level, when you're thinking about some of these water opportunities with data center customers, I guess, are you still having kind of technical or, let's say, operational conversations with them? Or is that pretty buttoned up now in terms of their comfort in using this kind of water source? And now, really, it's mostly just around, let's call it the commercial side. Thanks.

Yeah, no, thanks. I think there's an enormous amount of comfort at this point with using non-potable brackish water. You know, the treatment efforts there aren't by any means new. So the confidence around the operational and the commercial viability, I don't think is really a question at this point. I think it's really just buttoning up some of the finer points and getting these to a point where we can announce them here in the near term. Now, when you think through treated produced water, there's obviously a little longer runway there, more involved in terms of the treatment that's required and a bit more complexity on the side of the regulators. But again, I would say there's a very high conviction, you know, ultimately on the operational and commercial viability of that. And I think there's a lot of excitement to transition to using treated produced water for cooling here, you know, in the medium term.

That's great. Thank you for the time. Thanks, John.

Your next question comes from the line of Eli Yosen with JPMorgan Securities, LLC. Eli, your line is open. Please go ahead. Hey, guys. Thanks for the time.

I just wanted to start on the broader permitting landscape. Obviously, some changes across the RRC and… I want to just think about how you guys are strategically advantaged on permitting and, you know, whether you can expect any changes at the state level. And yeah, broader color there would be great. Thanks.

Hey, good morning, Eli. I appreciate the question. Yeah, I mean, ultimately, we don't expect the election to drive any abrupt change on how produced water is regulated. You know, I think it's more important to recognize, as kind of you alluded to, that our conservative approach actually positions us very well should any change arise. I mean, just a few kind of key points to hit. I mean, first, if you're not familiar, the structure of Texas regulatory bodies is actually built for continuity and stability. And so when you look at the RRC, you look at the TCEQ, there is a staggering and sequencing of kind of key personnel there, really designed to ensure, you know, on one single day, there isn't a hard pivot in terms of policy. And when you add in the time it takes to actually legislate and work through rulemaking, you know, the framework just can't change overnight. But I think the second, third point, you know, more important, I mean, the second point, you know, we have worked over time to develop incredibly strong, lasting relationships with the RRC. the T. C. Q. As well as the other state agencies, we remain incredibly transparent and kind of constructive, constant dialogue with them. And we don't see that changing as a result of the election in any way whatsoever. And third, and kind of most importantly here is really kind of how we operate. You know, we've always been incredibly conservative on how we permit and how we site and how we build our infrastructure. I mean, by design, you know, we spread our facilities out over a broad geographic footprint and maintain minimum spacing, really designed to avoid any kind of concentrated pressure or other risks. You know, further, we have in-house expertise as it relates to seismology, and we certainly be outside experts, you know, before we develop anything. You know, we've chosen not to operate any kind of deep disposal wells in Texas just as a further mitigate the risks. And so when you think through, you know, any potential for the RRC tightening, you know, whatsoever, I would say we're in an incredibly strong spot. You know, to the point where if you look at even last year when they did step out, they think the RRC and tightened its permitting guidelines, you know, we at Waterbridge spoke out publicly endorsing the change because it already largely reflects how we're operating. So, I mean, there may be some, you know, other operators who may be toe the line a bit as you think through staying close to the regulatory limits, and, you know, they're going to be more exposed to even small changes in policies. But given we have so much kind of cushion there and given our engagement with the regulatory bodies, I think we're well positioned to ultimately navigate what's around the corner. And if anything, any tightening of standards should drive more volumes towards a more responsible, well-capitalized system of our own.

That's great. Thanks for the caller. And then, you know, maybe just shifting back to the digital infrastructure landscape. You know, I know it's early and you're still commercializing, but if we just think about returns compared to the super creative returns on organic stuff that you do, you know, how do they kind of seem to compare initially? And then would it make sense to kind of do something in the bolt-on world to advance your footprint in the digital infrastructure landscape? Thanks.

Yeah, no, good follow-up. On the wider side as it relates to digital infrastructure, I would say the return profile we're seeing in these projects are absolutely competitive with how we look at returns across the rest of our investment opportunities. Ultimately, we're ensuring here that what we do on a risk-adjusted return basis remains competitive as we work through capital allocation. I think we've been able to hold to that. Now, in terms of like, do we see expanding to further bolster the opportunity set here? We're constantly looking at what makes sense. You know, we do think this kind of utility style, you know, water model is going to be a growing part of our business going forward. You know, Alpha Digital is a great first step in validation of that. Like you mentioned in our prepared remarks, there is more exciting things around the corner. But as we've said from the get-go, we've always viewed, you know, water in West Texas, whether it's non-plotable brackish water, And I think we're in a great position to really show that now. And so, yeah, whether it's M&A, whether it's Greenfield Development, I think we'll continue to grow that piece of our business, just given the financial upside we see there, as well as just the runway we have in that particular industry.

Great. Thanks, guys. Thanks a lot.

Your next question comes from the line of Derek Whitfield with Texas Capital. Derek, your line is open. Please go ahead.

Thanks. Good morning, all, and thanks for your time. I'll start bigger picture and spare you guys a 2027 specific question. There's been a lot of focus from the industry on several deeper intervals across the Delaware, and we're seeing that manifest in 15 BCF per day of new gas long-haul pipes over the balance of the decade. While no one's drilling for gas at the moment, the longer-term implication is that as the industry gets more comfortable with underwriting gas and the wells get gasier, the water oil ratio tends to creep higher as well. Are you seeing evidence from the industry that they're marrying this gas growth outlook with a water decilital outlook?

Yeah, I certainly think the gas takeaway dynamic has been very material in terms of just growth in the Delaware already, even before we start looking at the deeper, more exploratory benches that E&Ps have been looking at. So, I mean, if you just look earlier this year, you know, the lack of gas takeaway from the Delaware was actually impediment to E&P operators and just the regular oil operations because the lack of takeaway just forced them to shut in volumes even when oil was over $100. And so having that come online, I think one is going to be great in terms of de-bottlenecking the Delaware in general. But as you point out, I think that there is going to be a growing demand for gas for very obvious reasons, and those deeper zones come with a lot of water. I don't think the industry outlook as a whole is really caught up with that. Certainly nothing that we've seen from third parties is really leaning in on the fact that water growth is going to be a byproduct of this demand for gas. We certainly see that as upside, but that's not Something we're called predicating the success of our business on here in the near term.

Great. And then for my follow-up, I wanted to shift over to your recent acquisition and investment waste management. Could you speak broadly to the supply and demand fundamentals you see for solid waste management and the Delaware, and if you're seeing additional opportunities for growth given the attractive build multiples?

Yeah, thanks for that question. We really love the space, and we see the demand for it continuing to grow alongside water. We think the fundamentals for that business really marry well with our water business, and so we'll continue to look for opportunities to grow that business and continue to improve margins there.

Great update, guys. Thanks, Derek.

Your next question comes from the line of Teresa Chen with Barclays. Teresa, your line is open. Please go ahead.

Hi, could you Can you provide an update on the Ranger assets now that you've had them in hand for a few months? Are there any details to share on how this could be or has been further integrated into your existing infrastructure, including Speedway, and how are these assets augmenting your growth outlook from here?

Hey, Teresa, good to hear from you, and good question. We have integrated that system into our Speedway system, so that just adds more reliability to not only the Speedway system, but also that Ranger platform that had a lot of good opportunities for growth. We've had, you know, a lot of great conversations with the producers on that system, and we do expect that to continue to grow. And so we've got the ability to really scale that system without having to deploy capital for deep wells in New Mexico, and we can take advantage of that Speedway pipeline and adding incremental capacity at extremely attractive pricing.

Thank you.

Your next question comes from the line of Alexander Goldfarb with Piper Sandler. Alexander, your line is open. Please go ahead.

Hey, good morning. Good morning down there. So two questions. First, just think about the CapEx and the push of some of it into 27. How much of this is, you know, either because projects are maybe taking a little longer, and therefore, you don't need to spend the money this year, but, you know, the money gets spent next year, versus trying to manage the CapEx load relative to EBITDA and free cash flow?

Hey, good morning, Alex. It's really more just a byproduct of just working capital timing. I mean, we have some large construction efforts going on through year-end. As you know, we report cash CapEx, and so to the extent that cash left the door in Q4 versus Q1 is almost, we call it not material in terms of when projects are coming online. You know, when we were looking at expectations through the back half of the year last quarter, there was the real possibility that some of that cash left the system in December. And so we wanted to just kind of risk wait, increasing guidance to the street in case that were to come to fruition. You know, as we're a little closer to year ends now, you know, we're just seeing some of that cash leave in January versus December. And so there's really not a meaningful shift in timing whatsoever. It's just a byproduct of some of these larger projects we have just driving lumpier CapEx payments and some of those hitting in the first part of Q1 versus the latter part of Q4.

OK, so what you're saying is literally it's just a matter of a few months. It's not like it's like a six months or longer. OK, OK. The second question is just going back to the election. And I know you talked about on Lambridge and others have asked about it here, but obviously the market's reacting pretty heavily. Are you guys, it sounds like you're saying that really there's no impact from any changes that could happen because either the way you run your assets from having like very vast poor space, not over concentrating, or that rig count hasn't gotten out of whack and the Delaware remains just hugely profitable regardless of where oil is, that you don't see really any change. Is that the case, or are there things that could happen from a political or regulatory standpoint where it's like, hey, if these things happen, yeah, our business could be impacted and it's something that we watch for? I'm just trying to understand what you guys are watching for as politics changes. I mean, Texas hasn't been blue since the early 90s, so it's a pretty big shift. So just trying to understand what things you guys are really watching that would give you cause for concern versus saying right now, the way the business is run, we feel pretty good.

Yeah, that's a good question. I mean, just through the course of this year, despite having an incredibly constructive macro backdrop as it relates to pricing, we haven't seen a massive ramp in activity levels from producers for a number of reasons. And so first, as we think through, you know, what does that mean stepping into next year and the year after is there's not, you know, this massive ramp in activity that would somehow need to be unwound in the near term. You know, I think ultimately what we see in the Delaware Basin is just the best economics in the lower 48. I think you're going to see ongoing development there, regardless of what you see from the political side. You know, we've seen New Mexico continue to grow volumes meaningfully, you know, over the last several years. And, you know, they have been a blue state for as long as I can remember. And so it serves as a really good analog of the fact that, you know, oil and gas activity is not necessarily, you know, opposed by Democrats in oil and gas states. I think, you know, as we've seen in New Mexico, they can certainly coexist. There are certainly benefits to the state. You know, and Texas is an oil and gas state through and through, and I don't think the incoming, you know, administration is going to really think differently there. Now, we're certainly, you know, keeping an eye on producer sentiment, on permitting, on commodity prices, on all of those kind of leading indicators that can ultimately drive changes in behavior. But at the end of the day, you know, we don't see a massive pivot status quo in terms of expectations next year or the near term whatsoever from any of our operators just based on the recent election.

Okay. And then just to confirm, so this year, there's been no ramp in EMP activity that would cause you concern. And then New Mexico, you know, has been a steady grower in water volumes, you know, over the past however many number of years, which, and the water volumes are consistent with oil drilling volumes, or it's as those wells get deeper, that maybe the oil volumes don't change, but the water volumes do as the wells get deeper. I'm just trying to understand that.

Sure. Yeah, there's been I mean, there's been very modest growth in oil activity. And I don't want to allude to the fact that the macro has not been supportive of that. But what you've not seen is this atypical ramp in volumes and activity that would somehow fall away because of administration change or because of

commodity prices slowly kind of falling off.

Now, on the New Mexico side, you have seen oil and subsequently produced water volumes grow meaningfully there, you know, over the last five plus years as activity has really picked up. That is water that is being generated alongside oil and gas production. So that is not necessarily the supply of water, to answer your question there. Now, I think what is fantastic is we're seeing the same dynamic that we spoke to at our IPO is, you know, the more these volumes grow, the higher water cuts get. And we've seen that play out. So it's not necessarily linear in the sense where, you know, oil is growing at the same rate as water. We're seeing water growth eclipse oil growth on a rate basis. And so the trend is fantastic. It certainly favors the need, you know, for a long haul takeaway solution like what we offer. The growth that we're seeing can no way be cannibalized by recycling. And so as long as we continue to see that growth and that production continue to rise, there is just going to be a growing delta of water volumes that need to have a solution that require bringing them out of New Mexico into Texas. And we're obviously ready to deliver that.

Okay, great. Thank you.

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

Yeah, thank you, operator, and thank you for everyone joining us today. Obviously, we're very excited with where we're at the business. There is just fantastic momentum heading into year-end and into 2027. As we mentioned in prepared remarks, really look forward to getting out at the end of the year and speaking to full-year 2027 expectations with the street. But until then, if there are any questions, please feel free to reach out, and we appreciate your time.

This concludes today's call. Thank you for attending. You may now disconnect.