Cematrix Corporation

Well, welcome, everybody, and thank you for joining us on a spectacular year-end result webinar for Sumatrix in 2023 with record Q4 and a record year. We've got CEO Jeff Kendrick on the call, COO Randy Boomhauer, and new CFO MJ Canton, who will be answering financial questions towards the end of the webinar. Please note that if you want to answer or ask any questions, just type them in. and we'll get to those at the end of the presentation so with that congratulations all of you on a spectacular 2023 it's it's been a climb and things are just getting better from here so very happy to share this with everybody and i'll sign off screen here thank you jeff um i'll just slide down into the

Next slide's here. Just wanted to say good morning and good afternoon to everyone here that is joining us today to talk about our 2023 year, our breakout year, the great year that we had, and of course, that we continue to expect the same sort of results for the future. So welcome this morning. I just want to go over what I'll talk about today. For those of you who are new to the story, we'll tell you a little bit about what we do. I want to talk about the fourth quarter and how we beat expectations, the 2023 results for the year to date and how we beat expectations, why this was a breakout year, why we expect this trend to continue, and part of it is having the capacity to grow and that we continue to strengthen our team and we have the backlog and sales pipeline in place in order to accomplish that. At the end, once I'm done, I will pass it over to MJ who will go over the financial results for the fourth quarter. So I won't talk about the details during the presentation. Once that's over, I'll pass it back to Jeff and he will manage and control the question and answer session. Again, welcome and thank you for joining us today. So let's talk about what Simatrix does first. And essentially we produce cellular concrete onsite for numerous infrastructure construction applications. Cellular concrete is like a ready mix, but you take all the sand and gravel out of it, replace it with a carefully constituted air bubble system. By doing that, you create a lightweight material that's insulating and has some structural properties. It also has tremendous benefits over the legacy products that we replace, not the least of which includes lowering costs. Usually when you have something that's better than the alternative, it always costs more. But in our case, the in-place cost is generally less than all of the alternatives. Not only is it less cost, but you also get significant time savings in construction, sometimes over 100 times. And it's also generally more environmentally friendly than most of the products that we replace. It's important to note that cellular concrete does not replace regular concrete. The cement companies actually love us because every time we pour a cubic meter of cellular concrete or cubic yard in the US, it's a new market for their cement. So what does cellular concrete replace? We replace weak and unstable soils like peat moss or glacial silts and things like that. We replace EPS blocks, which are large styrofoam blocks, usually a meter by a meter. We replace other rigid installations, 4x8 sheets of rigid installations, as they're used in infrastructure applications. We replace lightweight aggregates and heavy growths as well at times. What are our main applications? Essentially tunnel grouting, backfilling of MSC panels, overpasses and bridge abutments as an underlay under roads that cross weakened and stable soils or frost prone or seismic prone soils. We replace heavy grouts in filling of abandonments and annulars and in tunnel grouting. And we also do numerous other annular fills and backfill applications throughout North America. Fourth quarter. B, market expectations. I think that generally in the marketplace that we're going to do around nine and a half million in sales. And we had a great quarter, did double that, over double that. Fourth quarter is generally our second best quarter, but it's always the shortest because we have the winter season coming on and of course the Christmas season as well. Fortunately, this fall, the weather was great and a lot of the regions and great weather, combined with numerous projects were scheduled resulted in another record quarter for some matrix and even with that we also executed another $18 million in new contracts. 2023. Again, record at the end of third quarter, add another record quarter, and you get a record all year long. This meant record sales, operating income, adjusted EBITDA, return of margins, profits, and cash flow. And on top of that, we announced another $57.1 million in new contracts. And that's important because a lot of those are actually going to be completed in the current year. So why was it a breakout year? We call it when preparation met opportunity, and that matrix was completely prepared for this inevitable growth. We knew it was coming. COVID and the supply chain issues of 2020 just basically delayed it. So we collectively spent years not only developing the market throughout US and Canada, but preparing ourselves for this inevitable growth. Even during COVID and the cement crisis, we continued to build the market and build our capability. We also retained our staff during COVID and built additional production capacity. And most other companies basically laid people off. We retained all the skill. Essentially, we don't talk about what we were going to do or might do like a lot of other microcap companies. We just get it done, basically. Why this growth trend is expected to continue? Essentially, the overall market is still early stage, particularly in Canada and a lot of states in the US where many of the applications are really in their very early stages of growth. Also, the product continues to perform as specified in all of the projects that have been placed. And this is building confidence in the product within the design teams and engineering teams that are out there. And of course, the ministries and departments of transportation across Canada and the U.S. that are specifying in this product for their projects or specifying this product for their projects. As a result, the overall market and overall just business itself continues to grow. We continue to win work as well based on our reputation as an experienced specialty contractor that delivers on time, on budget, and on quality. And we also are able to offer our customers something that our competitors cannot. And there's a lot of different things there, so I won't talk about that in detail. It's important to note that you can't grow without the capacity to grow. And I've mentioned in previous webcasts that we had over 175 million USD in seasonally adjusted production capacity. That was now up over 200 million USD with the addition of two new dry mix units over the past year and a half. And that is basically one shift, six days a week, part of the year. So we take into account all of the seasonality of our business. And it's important to note that we have 11 dry mix processors and eight wet mix processors, some of which can produce 250 to 300 cubic meters an hour. We also have a strong cross-train operating staff that enabled significant growth in 2023. We basically almost doubled our sales with hardly adding another operations. I think we added a couple of part-time laborers for the year. We also take advantage of trained contractor-supplied labor whenever we can. So our general contractors will provide us with skilled labor. And that, of course, helps us keep our fixed costs down because essentially our labor is fixed costs to the company. And finally, even though we don't need to grow a lot from a people perspective, we continue to strengthen our team. We have, particularly in the sales side, added new sales and sales support staff over the past year, and we'll continue that this year. That is to meet the continuing growing demand. I mentioned earlier in other webcasts that our sales teams can't even keep up right now with the number of projects that are coming up to bid on a regular basis. And we're continually trying to develop the market even further on the side as well. Because of this growth, we promoted our CFO, Mr. Boomauer with tremendous entrepreneurial spreads to COO effective January 1 of this year. And that's been a great change for the company. Of course, Randy will be managing the operational side of the business for the foreseeable future. And because of this and Randy's promotion, we've added a new CFO, Ms. Canton, MJ, and she brings a tremendous amount of senior accounting and finance experience where she gained from working for one of the largest infrastructure construction companies in Canada, and she joined us on February 5, 2024. So again, another great addition to this matrix team. And of course, we have and will continue to add additional seasonal operations staff as required to meet the sales demands. And finally, you can't grow sales without sales backlog and a sales pipeline and place to draw on that backlog. It's amazing that we put 53 million in the ground this year and we still have a backlog that's over a hundred million dollars. And this continues to grow and build or rebuild each day and each month as our sales team continues to sell more projects on a daily basis. Of note, our backlog grew by 86% last year before deducting sales. The prior year was 36%. And why this is important is that backlog is really future sales to Sumatrix for Sumatrix and its shareholders. And that backlog comes from a strong sales pipeline. And the sales pipeline are projects that engineers and designers and ministries of transportation are coming out to market with that we're either in the design or estimate and quoting stage, and they are real projects, many of which are now going cellular concrete versus the alternative products. So that's essentially the year in a nutshell. I'm going to pass it over to MJ to go over the financial results for the quarter, and then we'll pass it back to Jeff and he'll basically manage the question and answer session for us. So thank you and welcome MJ.

Thank you. Thank you, Jeff, for the nice introduction. It's been a great two months already. I'm happy to be part of this matrix team. As a reminder, you can access our financial documents on CDAR and on our website if you'd like more information. This slide summarizes our key highlights. You'll notice that all our financial KPIs have improved for 2023. Our revenue for the quarter was $19.6 million, up $11.3 million or 136% from the $8.3 million in Q4 of 2022. Revenue for the year was $53.3 million, up $24.3 million or 84% from the $29 million last year, as we had more projects completed this year across all our businesses and markets. Gross margins for the quarter was $5.4 million, 27%. a 5 million improvement from 0.4 million in the last quarter of the last year. Gross margins for the year was 11.9 million, 22%, a 9.4 million improvement from 2.5 in 2022. Our gross margins have improved significantly. Operating income, which is gross margins less SG&E, was 2.4 million in Q4 versus a 1.3 million loss in the same period of last year. This is a 3.7 million improvement. Operating income for the year was 2.7 million versus a 4.7 million loss in 2022, which is a 7.4 million improvement. Going on the right end of the slide, adjusted EBITDA, which is also important to us, is up two for the quarter at 2.9 million versus 0.8. Million in 2022, a $3.7 million improvement. For the year, adjusted EBITDA was $4.9 million versus a loss of $2.7 million, a $7.6 million improvement. Cash flow from operations, which is cash flow before working capital changes, was also positive for both the quarter and the year. We're very proud of that. In Q4, $2.9 million generated versus a cash investment of $0.7. This represented $3.6 million improvement. In 2023, we generated 4.9 million from operations versus a 2.6 million investment in 2022. Again, a 7.5 million improvement. Lastly, we had 3.3 million cash on hand at the end of 2023, up 1.4 from the previous quarter in Q3 2023, as we are generating positive adjusted EBITDA and collecting for the work done in the last part of the year. Overall, a great quarter in a remarkable year. Moving on to the next slide. On the left corner, we like to show you our seasonality. As a specialty construction contractor, our business is subject to the seasonality of the overall construction industry, especially in Canada and Northern United States, as winter and cold weather can have a significant impact on the activities of our customers, and as a direct result, our revenue. You can see at a glance that the first half of the year we do approximately on average 35% of revenue. The back half is usually more significant with roughly 40% on average for Q3 and about 25% of our revenue is executed in Q4. The graph showed the trend in the previous four years and you can also notice our organic growth as well. On the right-hand side of the slide, you can appreciate how much we have reduced our debt over the last four years. It is currently at about 3.5 million, which has been consistent over the last four quarters. And lastly, our capital structure is shown at the bottom. It has come a long way and is much more simpler. We have 135 million of share outstanding, and we have stock options and RSUs outstanding associated with the equity program. To sum things up, in 2023, we had a solid year and great financial successes. We have a solid foundation and we are ready for growth. And that completes our financial highlights for the year, Jeff.

Thank you, MJ. That was excellent. And I'll now pass it over to Jeff. I'll just sum up by saying thank you again for attending. This has been a great year for Symmetrix and we're happy to share this with you and look forward to your questions.

I'd like to remind everybody, just at the bottom of the screen, you can hit the Q&A button and type in a question that you'd like to ask. We will start with a comment and then a question. Wonderful and spectacular year. Do you expect the backlog to continue and stay strong and perhaps grow with further economic strength and favorable government conditions, both in Canada and the U.S.? ?

And the answer to that is yes. We expect the backlog to continue to grow and to remain strong. It will go up and down, though. This is a young business that is just starting to take off, and projects are getting larger and larger as well. So again, the backlog will continue and we expect to see continued growth for the next foreseeable future. It's important to note as well that that does not include any replacement infrastructure. All of our growth has been based on just the normal construction environment within Canada and the U.S. That replacement infrastructure, which will be in the billions eventually, has yet to really hit the market.

Thank you. A question on fourth quarter earnings per share. If you'd like to answer that, please. Q4 earnings per share.

Is that what you're looking for? The Q4 earnings per share?

Yes, please.

Oh, sorry. MJ, do you have that or Randy?

Jeff, I'm not sure I have the Q4 earnings per share handy, but the full year earnings per share is just under one cent. But that can be found in our financial statements right on the income statement. So I'll look that up and kind of post it in the Q&A.

Okay, thank you. Okay, then a question. Does the cap slide show the most recently granted RSU options and stock grants? It does not. Those were announced yesterday. Andrew Hood, past analyst on Sumatrix. Wanted to comment, he's been following the company for over five years. The best two quarters he can recall in a row. Tremendous job from everyone at Sumatrix and congratulations.

Thank you, Andrew.

And then he has a question as well. Could you please discuss any activities that may have been undertaken to reduce seasonality a bit? Also, could you talk about Galaval and how it is doing?

Yes, I mean, we continue to expand into the Southern U.S. That's part of the reason that we've expanded our sales force in the U.S. in particular. So we're selling basically projects right across North America, including the new regions of the Southern U.S. where seasonality is less of an issue. But it will never go away. A lot of our projects are in the Northern half of the U.S. and in Canada where seasonality is an issue. Glabel is continuing to run his business and grow at sales. And it's still a young business and growing business like we were way back many years ago and facing some of the challenges of growth. But because it's a private business, I won't talk a lot about it other than we continue to support what they're doing.

Thank you. There's been questions in the past and another one here today about your uplisting and what exchange you might be looking to uplist to.

Um, we've got, you know, we're always considering, um, um, uploading, uh, first to the main board. Um, don't know whether that will happen this year, but, uh, um, we certainly will consider it. One of the things we had to do was achieve a profitable year, which we did in 2023. So now we're in a position to be able to do that as to the timing. I will not talk about that at this particular point in time. And there is a potential again in the future that we can look at a U S offering or, um, um, like something like the NASDAQ in the future. It's always being considered, but there's no set timetable for that as well.

Thank you. Another congratulations on your success. I guess a question regarding your interest costs were $522,000 in 2023. Will the interest decrease in 2024? Yes. Sorry, go ahead, Randy. You want to take that?

Yeah, sure. So Jeff, definitely the interest will decrease in 2024 because we have less debt outstanding, right? So, and we actually expect interest rates to drop a little bit in the last half of the year. So we expect to have less interest costs.

Thank you. Are you seeing an increase in repeat business?

Yes, a lot of our projects are with repeat customers. They are, again, we're a one-off project type business, but that doesn't mean we don't do a lot of work with specific customers and large customers. So the answer is generally we get repeat business all the time.

Do you expect to issue guidance on 2024?

We do not. It is, again, a very volatile market in a young market, and it's going to continue to grow. Now, we will say that over the next five years, we will see strong growth, probably in excess of 30% on average. But some years may be lower, and some years may be much higher like this past year. And a lot of it is, even though the market is growing, we don't have control of when the projects are done. But what we are seeing is that the market is getting large enough that changes in project timing don't affect us as much. And we'll see that continue in the future as it continues to grow.

Thank you. And then a comment, you do not give specific guidance, but do you expect revenue growth and earnings per share growth in 2024 relative to 2023?

We expect it, yes.

Has the big $20 million plus project started yet? If so, how far along is it? Or if not, when will it be starting?

No, and that's a good question because I'm going to like to expand my answer to this question because it helps explain 2023 and the overall market and growth that we actually achieved. At the start of 2023, that North Carolina project actually represented $8 to $10 million of our forecast. In February of last year, we found out that that project was being delayed further to 2024. So not only did we replace that 8 million, 8 to 10 million in sales, but we also added another 10 and 11 million in sales over what we expected. So it was an extremely good year from a forecast perspective. So that North Carolina project is underway. We haven't poured a cubic yard there yet. It was now scheduled to start in August, and they expect to pour a little less than half of it before the end of the year. But they're also inquiring of whether we can speed up production by adding more than one unit there as well. So again, it is scheduled for August, and they are well underway in this construction project. So it's not that it hasn't started yet. So we do expect that it should start in August this year.

Hugh, got a comment from Kia Besherat from Centurion One, one of your largest shareholders. Vision and execution, congrats on the record year to the whole Sumatrix team.

Thank you, Kia and Centurion One.

Can you speak to the labour situation? As your backlog grows, you are able to field the necessary crews to meet the demand. What is the learning curve and timeline to train new workers?

No, it's good. And as mentioned earlier in the presentation, we spent a lot of time preparing for what was going to inevitably happen, which started, of course, this previous year. It actually started in 2029 when we had record sales as well. And part of that was retaining all of our key staff during COVID that are really cross-trained. So a typical crew can be four to five people, which we can then split down into two crews to basically enable us to grow even faster. And then as we bring new people on, when we find really good people, we will keep them on full time. And so this enables us to continue to manage our growth cost effectively and to grow the team on a methodical basis. And so the labor market, of course, as we know, is very tight out there. But we commend ourselves for having a great group. And basically we've had very little turnover since the inception of our company back in 2000. So the only people that really have left this company are the company people that really didn't belong anymore or belong somewhere else. So anyways, although the market remains tight and meaning the labor market, we don't expect to have any issues filling the positions that we will need for the foreseeable future.

Thank you. I'm going to combine a couple of questions here about your debt. Are you expecting to clean off all the debt or will there be asset to debt mixture? Will you maintain that kind of debt flexibility?

We will maintain that asset to debt. Right now, okay, on our strategic plan, our focus is on basically execution of our backlog and the business that we continue to grow. So when you're doing that, you really don't need to borrow any money. So over the next little while, our debt that I think it is about 1.9 million US of actual term debt related to previous acquisitions will be paid off over the next couple of years. And since we don't plan to get into the acquisition game until sometime next year, we don't plan to add any significant debt on before then. But we will look at a very good but conservative debt to equity mix in the future as we grow the company.

Thank you. The question of the momentum in 24, is it continuing? Are you able to provide any general comments or perspective on how 2024 is going so far?

It looks very good and we're not giving any guidance, but we don't expect any major changes from the previous year, and we expect to grow somewhat, the extent of which we don't know yet. Keep in mind that 2023 was an unusual year. Not only did we have a catch-up of sales from the COVID days, but we also had even some 2024 projects move into the fall of 2023, which is highly unusual. So it's hard to gauge where we're going to be for the balance of the year, but based on what we have in place to date, it looks like a very good year.

Thank you. You've stated you're getting larger and larger projects. Is that because you're getting a bigger piece of the pie on these projects, replacing more legacy type work, or are you just working on larger and larger projects?

It's what we've mentioned before that the product is being accepted more and more. It's been successful. It's been in the ground for 10 to 20 years now. So it's proven itself out. So now more and more ministries of transportation are starting to specify the project into all kinds of projects, which means very large projects as well. And because our product is good for those larger applications like bridge abutment backfills or big tunnel projects, you will continue to see the number of those projects continue to grow for the foreseeable future. And that growth is replacing the legacy products that we replace.

Can you talk about the number of larger deals, the ones over a million dollars, and maybe update on larger projects?

Well, last year, if I can remember, we had about, by the end of the year, that we'd done 16 projects over a million dollars. I think the largest last year was about 9 million Canadian. This year, we have about the same number of projects or larger projects already in place to do that are over a million dollars. But it's important to talk about all the small to mid-sized projects as well, because that makes up a significant portion of our business. And those small to mid-sized projects enable us to generate higher margins than on the bigger projects, especially in the US where we have more competition. So yes, there's a significant number of large projects that we have to do this year, but there's also a growing significant number of those small to medium-sized higher margin projects as well.

You question on consolidation. Is there any plan to do any kind of consolidation, perhaps a one to 10 to reduce the number of shares? Not at this time. Question on, can you make the company more profitable?

Yes, we can. Well, and the game is to do that, right? So important to know that our breaking even level in sales on a consolidated basis is somewhere between $25 and $30 million, depending on the makeup of the sales. And so with 30% plus growth expected on average for the next five years, we will at 100 million plus sales without doing any acquisitions. So as we grow in sales and when we get beyond that breakeven point, all of that margin goes to the bottom line. So it improves our margin percentages, as you saw in the prior years, success and growth in margin, and also in the bottom line. So we expect that once we get up, you know, in the 70 million, 60, 70 million plus sales, the percentage of EBITDA versus sales will become much higher. And of course, our profits on the bottom line will become much larger as well.

A technical question. Um, given the high amount of void space, meaning the air in the mix, do you see any issues with long-term durability in the product in freeze or thaw seismic, anything like that crackling or settling?

Good question. And it's a big one. I mean, we have all kinds of different applications, but it's important to note that cellular concrete is not the final surface. If it was final surface, then the wearing on the air bubbles and that would break the material down. But there's always something on top. And so it provides a strong underlay for whatever infrastructure situation that we're dealing with, whether it's a road or a bridge run up or a tunnel project. The product itself, because it's insulating, has tremendous freeze-thaw capabilities. So it doesn't expand and grow or fill with water because it's basically impermeable as well. It's not going to expand and break up like a regular concrete will. It doesn't have rebar in it like regular concrete, so there's nothing really to break down within the material. Essentially, the material could last forever. And also it was mentioned, I think, in the question in seismic situation. So certainly during a seismic event, it's gonna affect whatever material is there, but the material is designed to carry the infrastructures on top of it. So it's designed to stay in place and not break down. And so that's important to note. And unlike the legacy products that we replace, like a, for example, EPS block or rigid insulations or other lightweight aggregate, it's a monolithic material. That's one solid base that doesn't move, right? So it's not going to creep like soil or like EPS block or rigid insulation. So it's a really important material for North American infrastructure for the future.

Thank you. Question on booking revenues. Do you book them when they're complete or is a percentage of it done upon completion?

Randy, would you like to take that one?

Yep. Good question, Jeff. So we record revenue as they occur. So if we have 10 days of work or 100 cubes that are poured in a month, then we record that revenue. And we rarely have projects that span multiple months or multiple years. So the revenue at recognition is actually very straightforward and very simple.

Thank you. A good add-on to that, just so everyone knows, is that, you know, as Randy mentioned, the jobs are typically not that long. And so our backlog is not, you know, a 10-year backlog. It's really mostly a two to two and a half year backlog.

Thank you.

Although some projects can be longer, so.

What is your capital investment for incremental dollar in revenue for new equipment once the present equipment is fully deployed?

Are you planning on building new?

Well, they're asking about, are you putting money aside basically for new equipment, planning for the existing equipment to be fully employed?

Yeah, so right now we have a lot of capacity. So we're not planning any major capital additions in the next few years probably. But again, it will depend on the market growth. And when it does grow, we will add equipment as needed. A new piece of dry mixing unit can cost anywhere between a million to a million and a half dollars. but is not required again in the short term. Our maintenance capital though, again, normally is somewhere between half a million and three quarters of a million a year. And this is to really to replace things like vehicles and other pieces of equipment that are support equipment for the equipment that we have as our main production equipment.

Someone's asking what the challenges might be that should be anticipated. Are you expecting any threats to the business like new competitors?

You know, competitors have actually been really good for the business. And that's why in the U.S., where you have competition, the market has grown dramatically. You know, I can remember the days when, you know, selling 100 cubic yards or 100 cubic meters of product was just, you know, that was the size of the market at that time. Well, now it's in the hundreds of thousands of cubic yards or cubic meters a year. And that's all because competitors the competition and Sumatrix and its subsidiaries have helped build that market. In Canada, where really there's only one supplier, that being Sumatrix, the market is much smaller, of course, but it's taken much longer to develop because there's really no competition here to help build that business. A lot of contractors, particularly big contractors, do not like to use one supplier. And since we are a sole supplier in Canada, it makes it more difficult and takes more time to develop this market in Canada.

You had stated you might consider further acquisitions once the debt is paid off. What type of company would be on your radar? Would it be a direct competitor or a company allowing you to enter a new market?

We look at various opportunities, but generally within our scope of business, you know, maybe one or two steps out at the most. Generally, there are opportunities within the cellular concrete market to allow for some consolidation. There are also companies that are similar businesses that could be complementary to what we're doing for our future. We'll also look at other potential opportunities complementary materials and products that will come along in the future. We also may look at some vertical integration, whether it's buying foam suppliers. I don't think we'll buy a cement company. They're a little bit above our capability at this time. But after a couple more years of strong results, maybe we can buy somebody like Lafarge. But right now, we'll focus on complementary companies to what we're doing, to help us grow, particularly in the regions where we have less of a presence. So southern US, southwestern US is an area we're looking at expanding into more in the foreseeable future.

More questions, you know, that kind of talk about guidance. You know, is Q1 this year better than Q1 last year? If you do care to comment. And on that, if you did $65 million in sales, do you think earnings per share would crack $0.05 per share?

First of all, the first quarter results will come out on May 8th. So you will find out if we did better than last year. But generally, if we expect to continue to grow, you would expect under normal conditions that sales should grow. Right. So in each of the quarters. But again, it's dependent on when those projects actually go forward. As to the number of cents per share, I can't comment on that right now. It'd be too difficult from an expectation perspective. And again, we're not giving guidance at this time.

So it's like a good one to wrap it up. Analysts have predicted some matrix price from 60 cents to in the past $1.25. Any comments on these target prices? And do you feel some matrix is undervalued?

Well, you know, everybody expects that their company is undervalued and we do too as well. What's important to know then, it's a good question because the analysts before that are no longer covering us. So a few years ago when COVID started, they were calling for, you know, $1 to $1.25 a share and they were calling for the kind of sales that we're generating right now. So they weren't wrong, they were just delayed by COVID. And it's important to note that. So I always compliment both Clarus and partners for the analytical work that they did on our company back then. They were very perceptive and wise in their forecasting. But Beacon, who is now our analyst, they're doing a great job as well. And they're a little bit more conservative. And that's largely due to the capital markets and the experience that we've seen in the past because of the delays caused by COVID. So, you know, I think that Beacon will be coming up with an update in the next couple of days. And I think that we are undervalued. And I think people are starting to realize that, as you can see in the share price the last couple of days, as it's starting to go up. And hopefully the capital markets continue to improve and people continue to follow us and join our team as we grow this company and grow the value. And then the value will hopefully get to the point where it should be in this marketplace.

Well, and it does have a lot to do with the current state of the market because we had a $1.25 target when $50 million was in the future. And here we're at $50 million today dealing in a totally different world, but it is what it is. So that was the last of the questions. If there's any further comments you want to make before we sign off, this recording will be available tomorrow for anybody that missed it. We'll have it posted and sent out for you as well.

I just want to thank everybody for participating and for you that are shareholders already. I want to thank you for helping us get to where we are today. It's been a long 23-year overnight success story, but we're only a success because of the great people that we have here and the great shareholders that have been supporting us all along. We expect this growth to continue for the foreseeable future. And if you're not a shareholder now, We'll welcome you in the future and keep an eye on us because you're going to see a company that's going to continue to grow, continue to grow its profits in EBITDA and be a company to reckon with in the future.

Wonderful. Once again, congratulations to all of you. We look forward to seeing what 2024 brings for some agents. Thank you, Jeff. Thank you.