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spk01: Hello, and welcome to the WestBanco Inc. 3rd Quarter 2022 Earnings Conference Call. All participants will be in the send-only mode. Should you need assistance, please sit down with a conference specialist for pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then one on your trust-to-own phone. To withdraw your question, please press star, then two. Please note, today's event is being recorded. And now I'd like to turn the conference over to your host today, John Iannone. Mr. Haino, please go ahead.
spk03: Thank you. Good morning, and welcome to WestBanco, Inc.' 's third quarter 2022 earnings conference call. Leading the call today are Todd Claussen, President and Chief Executive Officer, Jeff Jackson, Senior Executive Vice President and Chief Operating Officer, and Dan Weiss, Executive Vice President and Chief Financial Officer. Today's call an archive of which will be available on our website for one year, contains forward-looking information. Cautionary statements about this information and reconciliations of non-GAAP measures are included in our earnings-related materials issued yesterday afternoon, as well as our other SEC filings and investor materials. These materials are available on the investor relations section of our website, westancra.com. All statements speak only as, October 26, 2022, and WestBanco undertakes no obligation to update them. I would now like to turn the call over to Todd. Todd?
spk07: Thank you, John, and good morning, everyone. On today's calls, we will review our results for the third quarter of 2022 and provide an update on our operations and current 2022 outlook. Key takeaways from the call today are solid financial performance demonstrated by loan growth net interest margin expansion, and discretionary cost control. A robust deposit base that continues to provide us with strong, low-cost deposit flows during a time of quickly rising interest rates, and WestBanco remains a well-capitalized financial institution with strong liquidity, balance sheet, and credit quality metrics. I'd also like to introduce Jeff Jackson, our Chief Operating Officer and my anticipated successor upon my retirement at the end of next year. Jeff's experience at both First Horizon and IBM is exceptional, and throughout his career, he has successfully built and led teams and delivered top-tier results. In the few short months that we have worked together, I am proud to say that I am impressed by his knowledge, his ideas, and his energy. He is a great addition to the West Banko family and someone who is well-equipped to lead our company well into the future. Welcome, Jeff.
spk00: Thanks, Todd. I'm excited to be here. I joined WestBanco because I was impressed with the long history, strong culture, and focus on the shareholders, customers, employees, and communities of WestBanco. After traveling with Todd the past couple of months to visit all of our markets and meet our wonderful employees, I can honestly say that my initial impression pales to my impression now. Our employees are truly the core strength of our company. I'm constantly impressed as they live our Better Banking pledge and regularly demonstrate their passion for and dedication to our customers and our communities. I look forward to working with this great team and maintaining WestBanco's success as an evolving regional financial services institution. Back to you, Todd.
spk07: Thanks, Jeff. We are pleased with our performance during the third quarter of 2022 as we continue to deliver loan growth, control discretionary expenses, and manage the cost of our funding sources. For the quarter ending September 30th, 2022, we reported net income available to common shareholders of $50.6 million and diluted earnings per share of 85 cents when excluding after-tax merger and restructuring charges. The strength of our financial performance this past quarter is further demonstrated by our return on average assets of 1.19% and return on tangible equity of 15.39%. In addition, Our capital position remains strong and continues to provide financial flexibility while enhancing shareholder value through effective capital management. The key story again this quarter was the strength of our balance sheet as we demonstrated growth in both loans and deposits. Total deposits increased slightly year-over-year despite the runoff of $360 million in certificates of deposit, or when excluding CDs, increased 3.2% year-over-year and essentially flat to the second quarter. This strength in deposits demonstrates the competitive advantage of our relatively low-cost, robust legacy deposit base. Reflecting the strength of our markets and lending teams, we again reported strong, broad-based loan growth during the quarter, despite elevated commercial real estate loan payoffs of $173 million. Total loan growth, excluding SBA, PPP loans, was 6.5% year-over-year, and 0.8% or 3.2% annualized when compared to June 30, 2022. The growth in our residential loan portfolio reflects the retention of mortgages on our balance sheet and continued relative strength in originations. While our residential lending program is not immune to the impact of rising interest rates on homeownership, as well as seasonality that is affecting the overall industry, we are confident of the group's ability to continue to outperform the industry. We have and continue to build strong teams across our footprint that have demonstrated the ability to organically grow market share. We have successfully built out the teams in our Cleveland, Indianapolis, and Nashville loan production offices, and I'm excited for the opportunities they will bring. As of September 30th, the residential mortgage pipeline was approximately $110 million. Total commercial loan year-over-year growth of 3.4% was impacted by elevated commercial real estate payoffs, which were approximately $83 million above a more normalized historical average. When adjusting for this spike, the commercial loan growth would have been approximately 1.2% higher on both the year-over-year and non-annualized sequential basis. Further, total loan growth would have been 7.3% year-over-year and 6.5% annualized as compared to June 30th. We currently anticipate commercial real estate payoffs to return to a more historical average, if not lower, during the fourth quarter as a number of those anticipated payoffs occurred during the third quarter. Our commercial teams continue to find new business opportunities to replenish our loan pipeline, which was approximately $830 million as of September 30th, a slight increase from the June 30th pipeline. However, since quarter end, that pipeline has increased 9% to $900 million as of October 17th. The strength of our pipeline represents the talent of our lending teams, as well as our early successes from our loan production office strategy. For example, we opened our Indianapolis LPO during April, and our commercial team there has demonstrated their expertise and knowledge of the market to represent, in just six months, approximately 5% of our total commercial loan pipeline. Furthermore, we are achieving our organic loan growth through the careful balance of the risk-reward proposition between growth and credit quality as we ensure a strong financial institution for our customers and shareholders. Our adherence to our historic strengths of risk management and loan underwriting remain evident through our solid credit quality measures, which continue to remain relatively low from a historical perspective and consistent through at least the last 10 quarters. In particular, total loans past due, non-performing loans, and non-performing assets as a percentage of total loans have all primarily remained in the 0.3% to 0.4% range over that time span. In addition, I am pleased that through a lot of hard work by our teams, criticized and classified loans as a percent of total loans decreased 178 basis points year over year to 2.43% which is very near our pre-pandemic percentage. I'd like to provide a quick update on the strategic investments we have been making, which we have funded through discretionary expense control in managing our financial center footprint. Through the first nine months of the year, we have hired 30 commercial lenders and 18 mortgage loan originators, including 16 and seven, respectively, during the third quarter. In addition, We have successfully filled out the commercial and residential lending teams in Cleveland, Indianapolis, and Nashville. I look forward to the opportunities from all of our new LPOs and lenders during the coming quarters as they contribute meaningfully to the positive operating leverage of our company. Lastly, while we have accomplished our previously announced hiring, we will continue to be tactical with hiring additional top performers as opportunities arise. For more than 150 years, we have been a source of stability, strength, and trust for our customers, our communities, our employees, and our shareholders. The success of our operational strategies implemented the past few years continues to be evident, and combined with our core strengths, will allow us to succeed regardless of the operating environment. I would now like to turn the call over to Dan Weiss, our CFO, for an update on our third quarter financial results and current outlook for 2022. Dan?
spk02: Thanks, Todd, and good morning. During the quarter, we recognized strong improvement in our net interest margin, both year-over-year sequential quarter loan growth, a solid deposit base that grew year-over-year, and maintained discipline over expenses while executing upon our hiring plans. As noted in yesterday's earnings release, during the third quarter, we reported improved gap net income available to common shareholders of 50.6 million and earnings per diluted share of 85 cents. and a net income of $132.3 million and earnings per share of $2.19 for the nine-month period. Excluding restructuring and merger-related charges, results for the three nine-months ending September 30, 2022, were $0.85 and $2.21 per share, respectively, as compared to $0.70 and $2.79 last year. It is important to note, that the first nine months of 2021 were favorably impacted by a negative provision of $40.5 million net of tax, or $0.61 per share, as compared to a benefit of only $0.06 per share during 2022. Title assets of $16.6 billion as of September 30, 2022 included total portfolio loans of $10.3 billion and total securities of $3.9 billion. Loan balances for the third quarter of 2022, which grew both year-over-year and sequentially, reflected strong performance by our commercial and consumer lending teams and more one-to-four family residential mortgages retained on the balance sheet, partially offset by the continuation of SBA PPP loan forgiveness and elevated commercial real estate payoffs. SBA PPP loans in the prior year period totaled $272 million, as compared to only $13 million this period. Commercial real estate payoffs increased during the third quarter to approximately 173 million as compared to 98 million last quarter and 264 million last year. As Todd mentioned, we expect these payoffs to return to a more normalized historical average, if not better, during the fourth quarter. Strong deposit levels remain a key story. as total deposits of $13.4 billion increased slightly year-over-year, despite CD runoff of approximately $363 million. Excluding CDs, deposits were essentially flat to the quarter ending June 30, 2022, but increased 3.2% year-over-year, driven by total demand deposits and savings accounts. Further, non-interest-bearing deposits as of September 30, 2022, continue to represent a record 35% of total deposits. The net interest margin in the third quarter of 3.33% increased, as expected, 30 basis points sequentially and 25 basis points year-over-year. This increase reflects the 225 basis point increase in the federal funds rate from March through July, as well as our successful deployment of excess cash into higher yielding loans. Our core margin continued to increase quarter-over-quarter from 2.93% to 3.27%, which excludes purchase accounting accretion of six and five basis points and SBA PPP loan accretion of four and one basis point, respectively. Similar to the rising rate environment that we experienced during 2018, we're realizing the price advantage of our robust legacy deposit base. Our total deposit beta was just 4% for the third quarter and 0% on a year-to-date basis as compared to the 225 basis point increase in Fed funds rate through July of this year. While we'll not be immune, we continue to believe we'll be able to mitigate deposit costs better than most peers. For the third quarter of 2022, non-interest income of $32.3 million was down just half a million dollars year over year primarily due to lower mortgage banking income, which decreased $3.3 million due to a reduction in residential mortgage originations consistent with the industry in general and the retention of more loans on the balance sheet. This reduction was mostly offset by higher commercial loan swap-related income, which was up $1.7 million year-over-year and a $1.7 million gain on the sale of an underlying equity security held by West Banco Community Development Corporation. Turning to expenses, our diligent efforts to manage discretionary costs and combined with our recent margin expansion resulted in an improved efficiency ratio of 58.1%. Excluding restructuring and merger-related expenses, non-interest expense for the three months ended September 30, 2022, totaled $91.9 million, a 5.6% increase from the second quarter and just a 1.8% increase year over year. As compared to the second quarter, the increase in expenses reflects the hiring of additional commercial and residential lenders, hourly minimum wage increases, mid-year merit increases, and the second quarter $1.2 million employee benefit credit. In addition to our quarterly dividend, we continue to return capital to our shareholders by repurchasing 409,000 shares during the third quarter. Given market volatility in both debt and equity markets and the related impact to tangible common equity levels, we've continued to slow down our share repurchase strategy from the 1.1 million shares repurchased in the second quarter and currently projecting fourth quarter repurchasing to be less than the 400,000 shares repurchased during the third quarter. Our capital position remains strong as demonstrated by regulatory ratios that are above the applicable well-capitalized standards And as of September 30th, 2022, we reported Tier 1 risk-based capital of 12.51%, Tier 1 leverage of 9.68%, CET1 of 11.35%, and total risk-based capital of 15.37%, as well as a tangible common equity to tangible asset ratio of 7.22%. Now I'll provide some thoughts on our current outlook for the remainder of 2022. We remain an asset-sensitive bank and we're currently modeling Fed funds to peak at 5% in the first quarter and hold steady through 2023. We are modeling continued margin expansion in the fourth quarter, but at a slower pace from the 30 basis point expansion experienced in the third quarter as deposit pricing begins to move. As a general rule of thumb, for each 25 basis point rate hike, In the third quarter, we're currently modeling the quarterly net interest margin to benefit between two to three basis points per hike. We expect purchase accounting accretion to be approximately five basis points for the fourth quarter and no meaningful SBA PPP accretion. As I mentioned, we expect the low deposit beta benefit from our core deposit funding base to provide a competitive advantage over the industry and anticipate our betas to be lower compared to peers and lag as they have historically. Fourth quarter residential mortgage originations should remain strong relative to industry trends due to our new loan production offices and hiring initiatives, but likely will be lower than the third quarter reflecting seasonality. While it is dependent on origination production, we continue to expect to move over time to selling approximately 50% into the secondary market subject to customer preferences and pricing. Trust fees, which are impacted by declines in the equity and fixed income markets, are likely to be lower due to lower assets under management. Securities brokerage revenue should continue to benefit from organic growth. And electronic banking fees and service charges on deposits will most likely remain in a similar range as the last few quarters. We will continue our diligent focus on discretionary expense management to help mitigate the nationwide inflationary pressures, as well as the need to attract and retain employees. The biggest impact from inflation will continue to be reflected across salaries and wages and employee benefits, as well as occupancy and equipment. Based on our efforts to strengthen our employee base for long-term growth, combined with higher seasonal health care and occupancy expenses, we currently anticipate fourth quarter operating expenses to be up modestly as compared to the third quarter. The provision for credit losses under CESA will depend upon changes to the macroeconomic forecast and qualitative factors, as well as various credit quality metrics, including potential charge-offs, criticized and classified loan balances, delinquencies, changes in prepayment speeds, and future loan growth. In general, reductions in the allowance as a percentage of total loans will depend on the possibility of continued improvements in industries impacted by COVID, unemployment rates, and other macroeconomic factors, including increases in interest rates and inflation expectations. Lastly, we currently anticipate our full-year effective tax rate to be between 18.5% and 19% subject to changes in tax legislation, deductions and credits, and taxable income levels. We are now ready to take your questions. Operator, would you please review the instructions?
spk01: Yes. Thank you. At this time, we will now begin the question and answer session. To ask a question, you may press star, then 1 on your touch-tone phone. If you are using a speakerphone, please pick up your handset before pressing the keys. To withdraw your question, please press star then two. In consideration for the others, please limit yourself to a single question and a follow-up. If you have additional questions, please re-enter the question queue. At this time, we will pause momentarily to assemble the roster. And the first question comes from David Bishop with HubD Group.
spk06: Good morning, David. Yeah, good morning, gentlemen. Thanks for taking my question. Good morning. I'm just curious in terms of maybe walking through the pipeline and the outlook for loan growth into the fourth quarter of 2023, maybe what regions you're expecting to drive growth and where you're seeing maybe the best resilience in terms of overall borrower demand on both the residential and commercial side?
spk07: Yeah, we're seeing it where we kind of expected to see it, quite frankly. The borrower I guess I would say newly acquired markets in the last 10 years, markets, you know, Maryland markets, for example, Kentucky, primarily Louisville area. You know, we're seeing kind of outsized pipeline growth there. Our legacy markets are showing nice growth as well, too, but, you know, probably additional related to the Maryland and some of the Kentucky markets. Also, our LPOs, I think we mentioned in our comments, about 5 percent of our pipeline is coming from Indianapolis now. and that LPO has only been open about six months, and we're seeing nice pipeline growth from our Nashville LPO, you know, some significant size credits coming through our credit committee. So really pretty much across the board, but more robust in those areas you'd expect to be growing faster. Our legacy markets are showing growth, but those would be kind of more normalized growth. We benefit from deposits there, obviously, significantly, but the areas we'd expect to grow are the ones that are growing. I'm really not seeing any pockets where there are any, what I would say, real problems with growth. I think everything seems to be doing okay.
spk06: Thanks. And then in terms of maybe the deposit pricing front, as your footprint obviously diversifies and grows, are there regions and pockets, maybe your legacy markets, where you've got sort of the legacy markets Footprint and brand awareness where you can sort of lag deposit costs. I guess I'm asking, are there significant differences in deposit pricing across your footprint at this point?
spk07: Yeah, there are. There are significant differences. I mean, the last time we saw a rate increase cycle was about this time in 2018, right? So this cycle, rates went up a lot faster. So everything's obviously accelerated faster. But we're seeing some of the same trends we saw back then. We weren't in the Maryland market in 2018. We didn't get there until late in 2019. But, you know, we're seeing differences. I mean, I've been watching the deposit betas and others that have been reporting that are based in other geographic areas versus ours. And that deposit beta for our legacy market is really showing up. Now, you know, we want to make sure we're responsive to our customers. So in our legacy markets, you know, we do look at and we do address customers. deposit pricing as we feel it's needed, but it's different, you know, in different parts of the region. And that was, quite frankly, one of the reasons we acquired into those markets was that we thought, let's just take Maryland, for example, to have a bank, you know, with a $3 billion presence in Maryland and have our deposit funding associated with that. You know, they're able to use our deposits that we have in the legacy markets and Lend those out. So, you know, we make more money on every loan because we're not funding our loans from the mid-atlantic market We're funding our loans Primarily from our legacy markets the same with Lexington Louisville even Columbus Cincinnati Pittsburgh to some extent clearly Nashville Indianapolis If you look at some of the deposit pricing and some of those markets, it's it's pretty robust so, you know, we're not trying to fund the loan growth in those markets and from deposits in those markets. We're funding the loan growth in those markets from deposits in our legacy markets, which is the big competitive advantage I think we have. Having said that, you know, we still want to be responsive to deposit pricing in our legacy markets, and we still are trying to generate deposits on a relationship basis in our higher growth areas, loan growth areas. But as a general rule, That was the idea behind going into those markets, was to get a more growthier balance sheet to go from low single-digit growth to upper single-digit growth for West Bank goal long-term, and then to fund that with the very low deposit betas that we have.
spk06: Thanks. One final question, maybe sort of stay with that topic on the loan growth. Do you still feel good about maybe the targeted upper single-digit growth rate over the longer term, given the – the competitive environment and economic backdrop. Thanks.
spk07: Yeah, we do. We really do. You don't know what kind of recession or if we'll hit a recession or how deep it'll be in the next year or two. But kind of looking through that, yeah, we're very, very committed to that upper single digit. That was part of our strategy all along and doing some of the things we did from an acquisition standpoint. If you look at any quarter, obviously, can be bumpy for anybody, right? So I think if you look at our second quarter, XPPP on a year-over-year basis, we would have had about a 3.8% loan growth. If you look at the third quarter, the quarter we just released last night, XPPP on a year-over-year basis, it's 6.5%, right? So it's getting pretty close to what I would say upper single digit. And that's kind of our plan, is that on a kind of rolling quarter basis that you see that upper single digit loan growth and particularly related to some of the commercial real estate payoffs, which abated in the second quarter, came back in the third quarter, but we think are abating again because interest rates are going up. So, you know, that tends to whipsaw you a little bit from quarter to quarter. But kind of seeing through that on a normalized basis, you know, we're kind of at that upper single-digit growth rate right now.
spk06: I appreciate that, Collin. Sure.
spk01: Thank you. And once again, please press star, then 1 if you would like to ask a question. All right. And the next question comes from Daniel Cardenas with Jannie Montgomery Scott.
spk04: Morning, guys. I joined the call a little bit late, but could you maybe give us a little bit of color on the increase in your 90-day levels on a sequential quarter basis, what was the driver there?
spk07: On the past due?
spk04: Yes, sir.
spk07: Yeah, we went from nine basis points to 24, so it was about 15 basis point increase on the over 90 day. The 30 to 89 day, you know, was in line with where it was in the past. And NPAs to total assets remained really low at 0.21, same as in prior quarters. The reason for the over 90 day, we had three credits, quite frankly, that for administrative reasons expired and then went over 90 days. Not credit related issues, just quite frankly, administrative related items that just need to be managed a little more closely. And they've since been addressed after quarter end. So they should have been done a few weeks earlier. They weren't. So it's not an indication of any kind of credit issues or trends or anything like that. It's just administrative timing and and we should have been on top of it more than we were, and they were addressed in the first couple of weeks after quarter end. That made up the whole difference. The difference between a .09 and a .24 is $15 million on a $10 billion balance sheet, and that $15 million was entirely made up of those three credits. It just expired.
spk04: Okay, perfect. And then just kind of looking at deposit balances here on a go-forward basis, What's kind of the strategy for growing deposits, just kind of given that you're sitting at a loan-to-deposit ratio that I think is still relatively low? Is there going to be a renewed emphasis on growing the deposit base, or are you going to kind of continue to just try to maintain it where it is?
spk07: Yeah, I mean, we really are focused on deposits and don't want to, you know, we don't want to give up that deposit advantage that we have, you know, loan-to-deposit ratio of 75%, and with an upper single-digit loan growth rate, you know, that'll eat up, you know, excess deposits, and the loan deposit ratio will slowly go up over time. So we are focused on deposits, and we are focused on gaining deposits and growing deposits, but balancing that against, you know, the pricing pressure and pricing risk that's out there. You know, the 4% deposit beta, you know, that'll go up over time. We think that competitive advantage on deposit pricing will really exist through the entire cycle relative to peers. But they are going to have to go up to address what the needs are. And I think just funding that loan growth that we would expect to have, we have to have a continued focus on deposits. We've let some of the CDs, things like that, run off. And we've been doing that for years because we've had robust core funding that we've been able to replace that with. But deposits are very much in focus. And while we do have such a strong legacy deposit base, I would tell you we're not, you know, we don't take that for granted. We're not cavalier about it. We work hard to maintain that and make sure that, you know, we're taking care of our customers with regard to that. But we're not going to have to go out and offer, you know, high-priced CDs in, you know, Nashville and Indy and, you know, D.C. and things like that in order to fund our growth. We don't think that's something, quite frankly, we should ever have to do. That's a competitive advantage that we've got. If anything, what we would do is work really hard to generate more core deposits in our legacy markets, which would be cheaper than some of those higher growth markets if we needed to start generating deposits at a quicker level to fund the loan growth. And we're also recycling securities into loans as well, too. Loan rates are begin to be pretty good again. And our securities portfolio, we typically carry debt around 20% of our balance sheet, and it's a little bit north of that right now. So we're recycling some of that stuff as it matures and take the cash flows off the securities portfolio and redeploying that back into loan growth, which we love being able to do that.
spk04: Good. And then just one quick follow-up question. On the M&A front, how are things looking in your marketplace and Did you guys get a chance to look at the limestone transaction?
spk07: Well, I do want to talk a lot about M&A, obviously, but I tell you, you know, we haven't, we did not look at that. And I would also say that, you know, our focus is in those, what I would say, higher growth areas, right, to continue the story that we've been telling for the last really 15 years or so, which is acquiring into markets that would grow faster than the national average. So I'm real interested in, you know, those urban markets, that are in our footprint. But, you know, some of the markets that might have a branch or two, you know, in an urban market, but the core franchise is really more rural or non-metro, not as high on our list. You know, we've got our new core operating system. It's been in place for a year now. We've got liquidity. We've got capital. We have a lot of things that would allow us to do a deal. But to me, it comes down to pricing and also, you know, credit environment, right? So At this point, you're buying somebody else's underwriting, and what's that going to look like over the next year? People really don't know. So it's just a question that's out there and something that we're cautious about headed into some type of a downturn. What's that going to look like on underwriting? And then can you price a deal the right way in a volatile environment and with things the way they are right now? So we're cautious about it. I can tell you that we're open to looking at things opportunistically, but we're currently not looking at anything.
spk04: Okay, great. Thank you. I'll step back.
spk07: Sure.
spk01: Thank you. And the next question comes from Manuel Navas with the A.A. Davidson.
spk05: Good morning. Good morning. A lot of my questions have been answered, but just kind of thinking about the NIM as you see increases, is there a particular – stage or NIM level where you might start to think about protecting it? I know it's sad to think about when fed funds might decline so soon, but like just kind of any thoughts on that idea possibly next year?
spk07: Why don't I throw that to Dan, our CFO. Dan, do you want to take that?
spk02: Yeah, so I think if we, what we're doing right now, we're modeling Certainly, 75 basis money increase here Wednesday from the Fed meeting, another 50 in December, and another 50 in the first quarter of next year. So, from a model standpoint, we're generally anticipating with a 5% Fed funds rate, 4% 10-year, for NIM to continue to kind of expand through the first half of the year and then stabilize from there on. A lot of assumptions that go into that. But I would say from protecting the NIM, as you know, see this on slide four, I believe. Slide five, you can see that we do have $3.1 billion of our commercial portfolio with floors, the average floor today is 393. So that would also offer certainly some protection on the NIM.
spk05: That helps. In your discussion of deposit flows a second ago, I don't think you said exactly what loan-to-deposit ratio you're kind of targeting or feel comfortable with. letting it rise to any color there would be helpful.
spk07: Yeah, I would say low to mid-90s is kind of our optimal rate. So obviously at 75, we've got quite a ways to go.
spk05: Perfect, perfect. I appreciate that. I'm good for now. Thank you.
spk07: All right, thank you.
spk01: Thank you. And this concludes the question and answer session. Now I'd like to turn the call to Todd Clawson for any closing comments.
spk07: Okay. Thank you. I appreciate that. And again, thank you all for joining us today. Looking forward to speaking with you in the near future at one of our upcoming investor meetings and introduce you guys to Jeff, who will be traveling with us to future meetings. And I hope everyone has a good and safe week. Thank you.
spk01: Thank you. The conference has now concluded. Thank you for attending today's presentation. Minato
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