Intertek Group Plc Ord

Good day, ladies and gentlemen, and welcome to Intertech November 2025 Trading Update. At this time, all participants are in listen-only mode. Later, we will conduct a question and answer session. If you wish to ask a question, we ask that you please use the raise hand function at the bottom of your Zoom screen. If you have dialed in, please select star 9 to raise your hand and star 6 to unmute. Instructions will also follow at the time of Q&A. I would like to remind all participants that this call is being recorded. Questions will follow after the presentation. I will now hand over to André Lacroix, Chief Executive Officer, to start the presentation. Thank you.

Good morning to you all and thanks for joining us on our call. I have with me Con Dizzi, our CFO, and Denis Moreau, our VP of Investor Relations. There are essentially five key takeaways from our call today regarding our July-October trading statement. First, we have benefited from a robust growth in our two highest margin divisions, consumer product and corporate assurance, in the July-October period, where we've delivered a 5.8% like-for-like revenue growth on a combined basis, despite a very demanding base last year. Second, we saw trading momentum improve in industry and infrastructure, with a strong acceleration in minerals and a good pickup in building and construction. Third important message on transportation technology, the restructuring in the automotive sector in Q3 results in double-digit negative like-for-like revenue growth in transportation technology. The group like-for-like performance in July-October ex-transportation technology was in line with the run rate we had in the first half. Of course, we continue to invest in growth with the three acquisitions that we've made in 2025 in high growth and high margin sectors. And we've launched several industry-leading innovations like Supply Tech and AI Square. Final message for today, given our strong margin and excellent cash performance, we are on track to meet the earnings expectations for 2025. These are the key takeaways for our calls today. So let me just start our call today by answering the three most frequently asked questions in our investing meetings. And the first question we get is, what are your growth expectations in consumer products? We are extremely pleased with the performance of our consumer product division, which has delivered a 6.9% like-for-like revenue growth in the first 10 months of the year, after an excellent year in 2024, where we saw 8% revenue growth. The global consumer continues to expect more choices of higher quality. triggering more innovation with existing brands and, of course, the emergence of new brands. We are very confident about the growth outlook of our consumer product division and we do not expect that megatrend to change. What I'd like to do now is give you a few examples of what our passionate and innovative colleagues do every day in our consumer product division. Within our softline teams, our global sales organization has won several new contracts with existing and new clients. Our hotline colleagues continue to expand the portfolio and recently created a breakthrough by opening a pet toy center of excellence in Hong Kong. Our electrical colleagues are continuing to invest in fast-growing space like energy storage, EMC, HVAC. They are the cutting edge of total quality assurance for AI-based products and services. And our GTS colleagues have won numerous new contracts in the Middle East and Africa. The second question we get is, what are the building blocks that you have in place to deliver your 18.5 plus margin target? As you know, margin accuracy revenue growth is central to the way we manage performance at Intertech. We have a strong track record of consistent margin progression and expect to reach 18.5% margin in the next few years with plenty of further opportunities beyond. We drive margin-accuracy revenue growth based on five distinct priorities. First, the portfolio effect at the site level linked to volume price and mix management. Second, fixed cost leverage linked to revenue growth. The faster revenue grows, the better leverage you have. Third, variable cost productivity improvement. We never stop reinventing ourselves to find new productivity opportunities. Fourth, targeted fixed cost reduction. We continuously remove unnecessary costs in the business. And fifth, of course, margin-accurative investments when we do innovation, technology, and M&A. We do this based on the best-in-class capability that we've built step-by-step over the years. We are indeed managing performance on daily, weekly, monthly basis with digital operating systems that gives us real-time visibility. We have a strong pricing discipline and take price increase regularly, leveraging our superior customer service. Our tight benchmarking tool gives our operation a precise, constructive analysis of where the opportunities are. We pursue a disciplined growth and margin-accretive capital allocation policy. And importantly, 70% of our annual incentive scheme is based on margin-accretive revenue growth. The third question we get is what are your growth investment priorities? We operate in a very exciting industry and we are laser-focused on the investments that we can make to seize the attractive growth opportunities ahead. And our number one priority is, of course, to invest in our local operations. We've invested more than a billion pounds in CapEx in the last decade, close to circa 30% of community budget-free cash flow, and we operate a state-of-the-art lab network around the world. Last month, we opened a footwear center of excellence lab in Betonville, Arkansas, the home of Walmart, and have witnessed firsthand how these investments already created immediate growth opportunities. Our second priority is to reinvent ourselves by offering our clients new solutions to address the needs that are not met in the industry today. We believe in the importance of technology to augment the strengths of ethics solutions, and let me give you a few examples of what we do in tech. Our people assurance business provides a comprehensive suite of audit and training solutions with SaaS delivery platforms reaching close to 5 million frontline workers today. Within our soft-line and out-line businesses, we have strengthened our customer value proposition with the digitization of our testing solutions with high-care and inspection services with R2Q. Recently, we've partnered with Trace for Good to offer a digital platform for our clients that need to manage their data to get their digital passports ready. A few months ago, we've launched AI Square to help our clients identify and manage the risks intrinsic to what they do with AI when they try to augment the value of their products or services. Our third priority is to invest in M&A to expand our IT portfolio. Our acquisition strategy targets companies that have a strong track record in high growth and high margin sectors. We made six acquisitions between 2020 and 2024, and these six investments have been able to aggregate a margin of 25.1% in 2024. This year, we've acquired three excellent companies, Testis in Brazil, and Barolab in Australia, and SupplyLab in Costa Rica. We're seeing a good pipeline of M&A opportunities, and we remain selective to identify the right M&A opportunities. Before I turn to our trading performance, I just want to let you know that in our investor website, you can now access three new types of information. An interactive financial modeling tool, the answers to the frequently asked questions, and a dedicated ULBMA's webpage where you can discover what we do every day for our clients. So let's now turn to trading in the last four months. The group has delivered a robust trading performance with a 4.1% back-for-luck moving growth at constant currency. We have seen a robust LFLA revenue growth in consumer product and corporate assurance against the demanding prior year comparator. LFLA revenue growth in health and safety was in line with expectations. We saw a trading momentum improvement in industry and infrastructure, while in the world of energy we saw a stable performance. Our consumer product division delivered LFLA revenue growth of 5.4% at constant currency, Driven by double-digit lack-for-lack revenue growth in GTS, a high single-digit lack-for-lack revenue growth in Softline, and a mid-single-digit lack-for-lack revenue growth in Airlines and Electrical. The 2024 base was very demanding for consumer products. Over two years, we've delivered a 15.1% lack-for-lack revenue growth at Constant Currency. Our Corporate Assurance Division delivered a L4L revenue growth of 6.6% at Constant Currency, driven by a high single-jit L4L revenue growth in Business Assurance and a stable L4L revenue in Assurance. The 2024 base was also very demanding for Corporate Assurance. In the past two years, we've delivered a 16.9% L4L revenue growth at Constant Currency. Our Health and Safety Division reported a L4L revenue growth of 0.8% at Constant Currency, Double-digit LFW growth in food and a low single-digit LFW in the agri-world was partially offset by negative mid-single-digit LFW performance in chemical and pharma due to a strong comparator and some temporary project delays. On a two-year basis, we delivered a 9.1% LFW growth at constant currency in health and safety. Industry and infrastructure reported a 6% LFW growth at constant currency, which was a 300-bit acceleration compared to what we saw in H1, driven by an improvement in minerals, where we delivered double-digit L4L revenue growth and improved building and construction performance with a low single-digit L4L revenue performance, while industry services continue to deliver mid-single-digit L4L revenue performance. The world of energy delivered a stable L4L revenue growth and constant currency, driven by double-digit L4L revenue growth in CEA and a low single-digit L4L. revenue growth within Caledbret, while transportation technologies saw a double-digit negative life-for-life revenue performance due to a baseline effect and a temporary reduction of investments for some of our clients as they focus on reducing their cost base in what is a more challenging market for them. Turning now to the performance at the group level on a year-to-date basis, our revenue for the 10 months to the end of October was £2,850,000, a growth of 4.6% at constant currency and 1.2% at actual rate, A like-for-like revenue growth of 4.3% at constant currency benefited both from volume and pricing. Our recent acquisitions are performing well and contributed £9 million revenue on a year-to-date basis. Margin progression was strong as we benefited from our divisional mix, pricing initiatives, good operating leverage, disciplined cost control and productivity improvements. We delivered an excellent free cash flow performance and ROIC was also excellent. We have completed 328 million of our 350 million share buy back program that we announced in March and we are basically now going to discuss our guidance for 2025. We continue to expect that the group will deliver mid single-digit life for life revenue growth at constant currency, high single-digit life for life performance in consumer product and corporate assurance, mid single-digit life for life performance in industry and infrastructure, low single-git light-for-light performance in health and safety, and a stable light-for-light performance in the world of energy. Given our strong margin performance in H1 and a strong quality of earnings in the July-October period, we are targeting strong margin progression. Our cash discipline will remain in place to deliver an excellent free cash flow. We'll invest in growth with circa 135-145 million of capex. We now expect a fashion-led debt to be in the range of $9.25 to $9.75, reflecting the two additional acquisitions made in the second half. Our interim currency guidance remains unchanged. Net-net, we are on track to meet the earning expectations for the full year. We are seeing high demand for ATX solutions and the value growth opportunity ahead is significant. We are laser-focused in converting revenue growth into stronger profit growth, targeting our 18.5% plus operating margin. Targets of strong cash generation will enable us to invest in growth while providing our shoulders, of course, with strong returns. We are confident in the sustainability of the strong performance that we have seen in the last few years, and we look forward to another strong performance in 2026. Our confidence is based on the continuing increased demand for IT solutions and our expectations for a more supportive macroeconomic backdrop. So let me summarize the highlights of our trading statements today before taking your questions. In the last four months, we've delivered quality growth with our two highest margin divisions, consumer product and corporate assurance, delivering a robust like-for-like performance. We're converting revenue growth into strong profit and excellent free cash flow. And we're on track to deliver a strong performance in 2025. And we are well positioned to deliver another strong performance in 2026. So thank you for joining us on our call today. We'll answer any questions you might have.

We will now start the Q&A. If you've dialled into the call and wish to ask a question, please use the raise hand function at the bottom of your Zoom screen. The first question is from Rory McKenzie at UBS. Please unmute yourself and begin with your question.

Morning all, it's Rory here. First question I wanted to ask about was on consumer products, where it's still delivering good organic growth, but obviously soft lines and electricals have slowed a bit since H1. Is that just the higher comparison base you've hit so far in H2, or are you seeing any hesitancy from brands at all, given the uncertainty in some of the consumer markets? I think you commented that you were very confident in the growth outlook for consumer products. I just wanted to understand if that means we're at a fair run rate, or whether you expect any changes in that one going forwards. And then secondly, in transport technologies, can you just give a bit more detail on your exposure here? Have you seen a slowdown across the auto space in US, Europe or China? Where is your biggest business there? And just maybe a bit more on where exactly you're involved in their projects. Thank you.

Thanks, Rory. I wouldn't call the like-for-like performance in July, October in soft lines and electrical and hard lines or consumer product slowdown. Just want to remind everyone that last year in July, October, we did 9.5% like-for-like revenue growth in consumer product. with an exceptionally strong performance in soft lines and electrical. So, look, it's compelling. The demand continues to increase. We are winning quite a lot of new businesses that are existing. And in your class, the team is doing a great job in terms of customer service, innovation, and, of course, assurance solutions. So, look, this is a very, very, very good place to be in. And we're consumer product in the next few years. Everything is basically in line with our expectations. As far as transportation technology, it's a relatively small business for Intertech. We are only present in three regions, the US, Europe, and China. We are seeing essentially a significant level of restructuring activities, and everything is public. You can in Europe and in the US have basically announced significant cost cutting in Q3 to deal with a few things. One is they're facing intense competition in one of their important market called China from the local OEMs. And of course, the cost of doing business in the US is increased with the new tariff situation. So they're trying to basically rebase their cost structure to make sure they continue to deliver the right cash flow that they need to invest in growth. We do not worry about the long-term prospect in transportation technology, because we all know this is an industry where innovation in technology is paramount, and they will obviously start investing again after this temporary reduction in new project funding. Where we are invested in? We're essentially invested in greener fuels, hybrid electrical technology in both Europe and So we are, you know, really, you know, front and center in the engine development, being combustion engine or greener fuels or hybrid or electrical, you know, powertrains. Thank you.

Great. Thank you, Andre.

The next question is from Suhasini Varanasi from Goldman Sachs. Please unmute yourself and begin with your question.

Hi. Morning. I hope you can hear me. you've talked about the next year's outlook with the 3Q results. Just wanted to understand the rationale behind this. I know you mentioned a supportive macro backdrop, but are you calling out a change in consumer or customer sentiment given that most of the tariff deals have been reached? Just wanted to understand that, please. And secondly, in industrial infrastructure, can you maybe provide some color on the recovery that you've seen in building and construction and minerals and your expectations for 2026? Thank you.

Yeah, thank you. This is something that we also did last year. We announced our training statement for July, October, and started talking about 2025. So this is not new. As you know, we basically presented our strategy a few years ago, which has a very clear outlook in terms of mid-single-digit black-for-black revenue growth through the cycle with a target of 18.5% plus margin and strong cash. and disciplined capital allocation. So our narrative, if I were to say so, in our trading statement is in line with what we did last year and in line with the capital market event. We see a much better environment in terms of growth across all divisions for the next few years and there is nothing more than that. Of course, the point that we are making on the statement about a slightly better supportive macro backdrop, there is no question. that there have been some uncertainties in certain industry driven by some of the tariff increases where companies have been obviously being a bit more careful with investment. We've not seen much of that in the consumer product division, but there is no question that with the tariff situations being what it is at the moment, i.e. clearer and certainly very, very, very precise now for each of the operators, I think that should remove some of this uncertainty away. That's basically what we are basically saying. As far as building constructions, look, we expected an acceleration of demand in building construction in the United States. This is where we operate, as you know. When there is an election year, there is always a bit of a pause before and after the election year. What we are seeing is with the lower interest rate environment, an increased confidence in future spendings. We are obviously benefiting from the activities in data centers to power the AI transformation in society, which is a business that we are well positioned to benefit from because we have essentially a building construction operation that can basically get involved in the design phase, the building phase, but also when we do the commissioning, and also from an operational standpoint, our electrical business is highly involved with the certification of the equipment that goes into the data center. So there is no question that that continues to be a driver for us. The other important drivers, of course, The investments that are happening in the United States in terms of draft projects and infrastructure, as you know, the previous administration passed two important bills, the infrastructure bill and also the inflation reduction act. There is close to a billion of, you know, dollars of investments that have been applied. obviously invested at the moment. And, you know, largely, you know, we're benefiting from that. And finally, you know, the move towards, you know, greener buildings continues to be very beneficiary for us. So, look, we expect, you know, building and construction to continue to do well.

Thank you. The next question is from Alan Wells at Jefferies. Please unmute yourself and begin with your question.

Good morning Andre, good morning Colm. Could you provide a little bit more kind of regional colour on the business? You've alluded to some of the benefits coming through in North America, maybe you can expand on that a little bit beyond the BNI side, what else you're seeing in North America and then maybe a comment on on China and exactly how the business in China is doing there and then maybe following on from Soshini's question on the industry and infra business and the growth pick up there what does the pipeline look like on the capex side of that business as we think about 2026 as well thank you thank you look we will you know give the data on a regional basis but also a full year basis

full year results, sorry, but essentially, you know, in North America, the key trends are, you know, BNC improving its, you know, run rate because essentially our BNC business is largely North America. So you got the data and then We are seeing a better, you know, second half within calibrate as expected. The question about, you know, the pipeline industry infrastructure is looking good for next year. So we are, you know, we are positive. And China continues to motor ahead. I mean, we had another, you know, mid-single-digit, you know, life-for-life revenue performance. So we are not seeing any slowdown whatsoever. The team is doing a great job there.

Thank you. The next question is from James Roland Clark at Barclays. Please unmute yourself and begin with your question.

Thank you. For the sake of my question, my first is just on minerals. It's obviously had a big up in performance and double-digit growth in the last four months. Can you talk about the drivers behind that and how sustainable you think that is going into next year? And then secondly, on M&A, a couple of deals announced in the second half that's raised your net debt target. Could you also just talk a little bit about the multiple on those deals, the rationale, and the sort of dilution or accretion to EPS? Thank you. Of course.

Thank you. Look, on mayorals, a few years ago, you might recall, we invested in a center of excellence in Perth. It has been, obviously, operational now for a few years. It's really ramped up, and we've increased, essentially, our capacity. And through technology, we have also increased our productivity. And we have an incredible operations in Australia. And I cannot talk about the other regions in a second, but starting with the biggest one. And essentially, you know, the team is getting market share. We've been winning lots of new clients because we've got, you know, the superior quality and the right turnaround time. And the center of excellence is working. So it's essentially investment in clients. capability to provide an even better customer service and getting market share. There is no question that with gold being at the level it is, the exploration in gold is also helping, but it's not the only driver of our growth in Australia. If you look at the other businesses where we are strong in minerals, we have very strong operations in Africa, very strong operations in the Philippines, very strong operations in China. And these three markets continue to benefit from the investments in iron ore. infrastructure, which is of course an important theme in these developing regions. So this is all positive for us and clearly, I know I said it's a double digit, but as you know, it's a strong double digit performance, very pleased with the performance of Neurals in H2. As far as, you know, M&A, as you know, we are very selective. We only invest in transactions that are going to be either gross and margin accretive to the group. This year, we have selected three individual businesses that are high-quality business. This is in Brazil, which is a premium product testing business with excellent, excellent very strong delivery platform, which has delivered consistent growth and really, really good margin. And I had the opportunity to spend quality time after the acquisition was announced with the team. And this is definitely an asset that will help us capitalize on our building construction expertise and expand in Brazil and potentially in that time. The other important news in LATAM is the acquisition of Supply Lab. This is more recent. This is a gold standard food and medical device laboratory in Costa Rica. This is a market that we wanted to be in because we got tremendous expertise in food in the region. And not only is it a market where we have opportunities in Costa Rica, And this is a region where we see tremendous growth. Again, top-notch operators, fantastic delivery platform, high margin, and really, really good growth opportunities. And then the third acquisition we made this year is called Navarro Lab in Australia. I had the opportunity to spend time with the team a few weeks ago. Excellent, excellent, you know, infrastructure, you know, scale lab in Sydney, scale lab in Perth, plus a few other, you know, regional labs. They are, you know, one of the top, you know, three The operators have got the reputation of being the best in terms of quality customer service and certainly turnaround time and I understand why. This is a very, very, very top-notch operation, tremendous margin and excellent cultural fit. I mean, when you acquire a business and the management team tells you, The owner had to make a decision on who to sell the business when they said to you, you know, we were pushing point to take because there is the best cultural fit with your circumstance, you know, best approach and hours, right? So, these are, you know, three really, you know, fantastic acquisition. And in terms of, you know, earnings potential, look, they are all above, you know, the group margin. So, they are going to be very, very pretty to our margin performance. So, very, very pleased. The pipeline of opportunities, you know, is looking better than it was a year ago and two years. Having said all of that, you know, we always can be very selective. We only want to bring, you know, top-notch, you know, assets. And I talked earlier in a call today about the performance of the acquisition that we made, you know, between 2024 and have all delivered a significant margin performance well ahead of the group. And that's what we like to do.

Thank you.

The next question is from Virginia Montosi at Bank of America. Please unmute yourself and begin with your question.

Good morning. Thank you for taking my question. Could you just talk a little bit more about how you're thinking about buybacks into next year? I think you clearly have the visibility and the flexibility and the cash to do more. So could you just help us understand how to think about it for next year? Thank you.

Yeah, look, When we, you know, announce our Share Back Back program, know for 2025 we obviously you know recognize several important points that the earnings models of the group has got so much stronger over the years that you know we have the opportunity to you know invest in organic growth and inorganic growth and if you know we we do not need uh you know the cash that is uh you know on a balance sheet uh we basically return it to our shoulders so that's basically how we make a decision we have not made the decision for next year yet. It's going to be a decision that will be made by the board later. But essentially, we want to grow. We're investing in organic growth. And based on the opportunities that we have, if we don't need the cash, then we'll return it to our shareholders. That's as simple as that.

Thank you very much.

The next question is from Annelies Vermollen at Morgan Stanley. Please unmute yourself and begin with your question.

Hi, good morning. I wanted to ask about AI in particular and your AI squared product or solution. So could you talk a little bit about how fast that's growing? Where are you seeing demand from customers? What type of customers are asking for these solutions? And Perhaps how does that offering compare to your competitors? Given the amount of investment that's going into AI, what are you doing to ensure that that solution stays relevant? And as a follow-up to that, is this also a focus area for acquisitions in terms of increasing your capabilities around AI? Thank you.

Yeah, thanks for asking the question. Essentially, you know, Our clients today are looking at AI, as you can imagine, in, I would say, three types of areas. The first obvious area is how they use AI to augment the performance of their product and services and customer activities. The second, obviously, use of AI is how they use AI to develop their own algorithm and essentially improve their productivity and exactly you know what it's all about being in the banking sector and the third area which is obviously a bit more nascent is you know a lot of companies are letting their employees get access to you know third party large language you know you know algorithm and you know This is an additional risk for corporations because people will be uploading data on these large language models, right? So essentially, AI Square, as you know, is an end-to-end independent AI assurance program. I don't think there is anything like that in the market. I've seen, of course, some of the tactical moves of our peers, but there is nothing that basically is end-to-end like ours. It starts with governance. Essentially, it's helping companies put the right risk management framework. It's including an ISO 42,000 certification program. It's obviously including training as well as risk management. We focus on what we call transparent AI, so making sure that our clients have the right technical documentation that meets existing and future regulatory standards, so that they are compliant with what's required. We want to make sure that there is always a human oversight when they develop an algorithm. And of course, looking at any issue with data quality, which could influence the output of the algorithm, as we know so well, and of course, bias. The other area that we focus on is what we call secure AI. There is a lot of concerns within the AI industry when it comes to cybersecurity. So we basically make sure that we do everything or what we do for clients in terms of cybersecurity when they use AI algorithm, you know, red teaming exercise, for instance, looking at security threats, and that is very important. And the final, of course, important area we focus on, which is called safe AI, is essentially making sure that, you know, the functional safety of the algorithm is delivering what it's supposed to do. It's about, obviously, the, you know, the managing, you know, the performance of the machine learning, but also looking at data verification and validation. So essentially, we go to our clients when we have our C-suite meetings and present AI Square like I just did today to you. The reaction is obviously very, very positive because this is a new technology that people do not understand very well with the exception of the big tech companies. Let's be clear about it. And this is an area where with our assurance and testing activities, we can make a big difference. So look, I'm very, very optimistic. This is bang in line with what we've been doing in cybersecurity and connected device and integrated cyber networks over the years. And there are tremendous synergies. So the type of industry that are obviously high demand for medical devices, where AI is part of the customer solutions, robotics, you know, very, very, very important. And, of course, you know, all the retailers that are obviously starting to augment the performance of their product with AI. So very, very exciting. And, of course, you know, we'll keep you updated.

Perfect. Thank you. Just a reminder, if you wish to ask a question, please use the raise hand function at the bottom of your Zoom screen. The next question is from Will Kirkness at Bernstein. Please unmute yourself by pressing star six and begin with your question.

Hi there, morning. Two questions, please. I'm really happy with the margin progress. And you list a number of factors. I just wondered if you could perhaps identify which ones are most material, if they are with that sort of savings leverage M&A flowing into the mix. And then secondly, if you could give the rough split of price versus volume and how you see the business being able to continue to push for price into next year. Thank you.

Thank you. Look, I think on pricing, I mean, our revenue performance is about one-third price, two-third volume. As you know, we took a very partnership approach phase when we saw the inflation in 2022 and 2023. And there is a bit of catch up because we didn't obviously increase the price by the same amount that we saw in terms of wage increase in this period. And our policy is that we basically believe in pricing power based on the superior customer service innovation and taking regular prices that are fair to your customers. If we invest in quality, our customers will, of course, see the difference and then basically are okay with continuous pricing. So we are in a good place here. As far as the margin progression, look, there is no one silver bullet, right? It's about doing what I just talked about. In the past, it starts first and foremost at the site level. where every site has got the opportunity to drive margin equity revenue growth based on the portfolio approach they take which is you know management and of course making sure that they charge you know the right price for what they do there is no question that organic growth so if you've got a high organic growth you get better operating leverage We are very demanding ourselves. We have a culture of ever better continuous improvement of Kaizen in Japanese. And we never stop looking at ways to basically improve our productivity. I talk about the example of how automation is accelerating not for a long time in Perth, a mineral site in Australia. And this is, of course, having a big impact on margins. So each time we can use technology. to basically productivity that has a benefit on margin. I mean, you've seen it over the years. We never stop looking at how we can reduce non-essential layers, take out fixed costs that are basically not necessary. As you probably know, we run the company through global business line organizations and regional organizations. We don't have country management at Intertech anymore. We took it out over the years because there is a strong premium to industry expertise and our regional heads have got industry experts working with our global heads and we felt that. And that obviously has made a big difference over time in terms of overheads. Lastly, we are very disciplined when we invest our capital. We don't want to basically dilute our returns, so it's about disciplining capital allocation. Essentially, this is what it's all about. There is no question that the database that we've built side by side looking at financial and non-financial metrics for several years now, give us a huge data advantage. We've got an incredible visibility on where is the margin improving, but equally, where are the opportunities to get better? As I've said on these calls in the past, span of performance, which is how the various sites perform in a certain country within the same business lines, remains a significant opportunity, and it will always be an opportunity, because when you drive the best will get better and then, you know, the laggers will improve, but there will be still a gap. So, look, this is a, you know, a sample to the way we create value for our shareholders. You know, we believe in, you know, high quality, you know, life-for-life revenue growth, which is, you know, mid-single digit with margin accretion and strong cash and disciplined capital allocation. And the compelling effect of this is what you see in, obviously, the EPS performance of the group over the years.

Great. Thanks very much.

There are no further questions on the webinar. I will now hand back to management.

Many thanks for attending our training call today. Of course, you know, Benny is available if you have. I wish you a great day. Thank you.