Oil States International Inc (OIS) 2023 Q2 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the Oil States International Second Quarter 2023 Earnings Call. I would like to now turn the call over to Ellen Pennington. Please go ahead.

女士們、先生們，感謝大家的支持，並歡迎參加 Oil States International 2023 年第二季度財報電話會議。我現在想把電話轉給艾倫·彭寧頓。請繼續。

Thank you, Mandeep. Good morning, and welcome to Oil States' Second Quarter 2023 Earnings Conference Call. Our call today will be led by our President and CEO, Cindy Taylor; Lloyd Hajdik, Oil States' Executive Vice President and Chief Financial Officer; and Scott Moses, Oil States' Executive Vice President and Chief Operating Officer.

謝謝你，曼迪普。早上好，歡迎參加石油國家 2023 年第二季度收益電話會議。我們今天的電話會議將由我們的總裁兼首席執行官辛迪·泰勒 (Cindy Taylor) 主持； Lloyd Hajdik，石油國家執行副總裁兼首席財務官；斯科特·摩西（Scott Moses），石油國家執行副總裁兼首席運營官。

Before we begin, we would like to caution listeners regarding forward-looking statements. To the extent that our remarks today contain information other than historical information, please note that we are relying on the safe harbor protections afforded by federal law. No one should assume that these forward-looking statements remain valid later in the quarter or beyond. Any such remarks should be weighed in the context of the many factors that affect our business, including those risks disclosed in our Form 10-K along with other SEC filings. This call is being webcast and can be accessed at Oil States' website. A replay of the conference call will be available 2 hours after the completion of this call and will continue to be available for 12 months.

在開始之前，我們想提醒聽眾注意前瞻性陳述。如果我們今天的言論包含歷史信息以外的信息，請注意，我們依賴聯邦法律提供的安全港保護。任何人都不應認為這些前瞻性陳述在本季度晚些時候或以後仍然有效。任何此類言論都應在影響我們業務的許多因素的背景下進行權衡，包括我們的 10-K 表格以及其他 SEC 文件中披露的風險。該電話會議正在網絡直播，可以在石油州的網站上觀看。電話會議的重播將在本次電話會議結束後 2 小時內提供，並將持續 12 個月。

I will now turn the call over to Cindy.

我現在將把電話轉給辛迪。

Thank you, Ellen. Good morning, and thank you for joining our conference call today, where we will discuss our second quarter 2023 results and provide our thoughts on market trends in addition to discussing our outlook comments. Our reported second quarter results reflect the diverging trends of activity declines in U.S. shale basins, with offsetting growth coming from offshore and international regions.

謝謝你，艾倫。早上好，感謝您今天參加我們的電話會議，我們將在會上討論 2023 年第二季度的業績，並除了討論我們的前景評論之外，還提供我們對市場趨勢的看法。我們報告的第二季度業績反映了美國頁岩盆地活動下降的不同趨勢，而海上和國際地區的增長抵消了這一趨勢。

Our reported revenues and adjusted EBITDA in the second quarter increased from the same period last year but declined sequentially by 6% and 11%, respectively, due to the timing of activities in certain U.S. shale basins and the slow conversion of projects from our backlog into revenue due to delays in receiving materials. Despite sequentially weaker second quarter revenues and EBITDA, we confirm our full year guidance of $92 million to $100 million of EBITDA based upon expected contributions from the ongoing recovery in offshore and international drilling and development.

我們第二季度的報告收入和調整後EBITDA 較去年同期有所增長，但環比分別下降6% 和11%，原因是美國某些頁岩盆地的活動時間安排以及項目從積壓項目轉化為待交付項目的速度緩慢。由於收到材料的延誤而造成的收入。儘管第二季度收入和 EBITDA 連續疲軟，但我們根據近海和國際鑽井和開發持續復甦的預期貢獻，確認了全年 EBITDA 為 9200 萬至 1 億美元的指引。

Our outlook is supported by the backlog growth that we have experienced at our offshore manufactured products segment, which has increased to its highest level since the end of 2015. We generated very strong cash flow from operations of $45 million in the second quarter, invested $11 million in capital equipment, repurchased $3 million of our common stock and repaid all amounts outstanding under our revolving credit facility with cash on hand of $42 million at June 30 and no significant debt maturities until 2026. Our financial position remains very strong. We remain encouraged by the continued expansion in offshore activity, coupled with future benefits to be gained from our new product introduction. This investment cycle is expected to extend well beyond the next couple of years.

我們的前景得到了離岸製造產品部門積壓訂單增長的支持，該訂單已增加至 2015 年底以來的最高水平。第二季度我們從運營中產生了 4500 萬美元的強勁現金流，投資了 11 美元截至6 月30 日，我們購買了300 萬美元的資本設備，回購了300 萬美元的普通股，並以4200 萬美元的手頭現金償還了循環信貸額度下的所有未償還金額，並且在2026 年之前沒有重大債務到期。我們的財務狀況仍然非常強勁。我們仍然對離岸活動的持續擴張以及我們的新產品推出所帶來的未來收益感到鼓舞。這一投資週期預計將持續到未來幾年之後。

Lloyd will now review our results of operations and financial position in more detail.

勞埃德現在將更詳細地審查我們的運營業績和財務狀況。

Thanks, Cindy. Good morning, everyone. During the second quarter, we generated revenues of $184 million, adjusted consolidated EBITDA of $19 million and net income of $1 million or $0.01 per share. We reported our fourth consecutive quarter of positive net income.

謝謝，辛迪。大家，早安。第二季度，我們實現收入 1.84 億美元，調整後綜合 EBITDA 為 1900 萬美元，淨利潤為 100 萬美元或每股 0.01 美元。我們報告了連續第四個季度實現正淨利潤。

Our Offshore/Manufactured Products segment generated revenues of $94 million, segment EBITDA of $16 million and operating income of $11 million in the second quarter. Revenues in the second quarter decreased 4% sequentially. While our backlog in the segment has steadily increased, the cadence of conversion of backlog into revenue was influenced by, among other things, the timing of material receipts and contractual delivery terms. However, despite these delays, segment EBITDA margin in the second quarter was 17% compared to 16.2% in the first quarter.

第二季度，我們的離岸/製造產品部門收入為 9400 萬美元，部門 EBITDA 為 1600 萬美元，營業收入為 1100 萬美元。第二季度收入環比下降4%。雖然我們在該領域的積壓訂單穩步增加，但積壓訂單轉化為收入的節奏受到材料接收時間和合同交付條款等因素的影響。然而，儘管存在這些延遲，第二季度的部門 EBITDA 利潤率為 17%，而第一季度為 16.2%。

Backlog totaled $338 million at June 30, an increase of 40% from June 30, 2022. The current quarter end backlog is at its highest level since the fourth quarter of 2015. Second quarter bookings totaled $106 million, yielding a quarterly book-to-bill ratio of 1.1x and a year-to-date book-to-bill ratio of 1.2x. Our second quarter bookings were broad-based across many product lines and regions.

截至6 月30 日，積壓訂單總額為3.38 億美元，較2022 年6 月30 日增加了40%。當前季末積壓訂單達到2015 年第四季度以來的最高水平。第二季度預訂總額為1.06 億美元，季度預訂比出貨比率為 1.1 倍，年初至今的訂單出貨比率為 1.2 倍。我們第二季度的預訂量廣泛，涉及許多產品線和地區。

In our Well Site Services segment, we generated revenues of $65 million, segment EBITDA of $11 million and operating income of $5 million in the second quarter. Segment EBITDA margin was 18% in the second quarter compared to 20% in the first quarter. Segment revenue and EBITDA declines were primarily driven by slippage of larger customer projects in the Northeast and the Gulf of Mexico.

在我們的井場服務部門，第二季度的收入為 6500 萬美元，部門 EBITDA 為 1100 萬美元，營業收入為 500 萬美元。第二季度的部門 EBITDA 利潤率為 18%，而第一季度為 20%。部門收入和 EBITDA 下降主要是由於東北部和墨西哥灣大型客戶項目的下滑造成的。

In the Northeast, we completed a large multi-well pad project in the first quarter with activity on the next large pad not beginning until late in the second quarter. Activity in the Gulf of Mexico this quarter was tempered by several third-party intervention vessels temporarily out of service due to dry docking with one returning to service in the second quarter and one is scheduled to return to service in the third quarter. On a positive note, results for the segment's international operations improved sequentially driven by higher customer activity levels.

在東北部，我們在第一季度完成了一個大型多孔平台項目，下一個大型平台的活動直到第二季度末才開始。本季度墨西哥灣的活動受到多艘第三方乾預船因幹塢暫時停用的影響，其中一艘將於第二季度恢復運營，另一艘計劃於第三季度恢復運營。從積極的方面來看，由於客戶活動水平提高，該部門國際業務的業績連續改善。

In our Downhole Technologies segment, we reported revenues of $25 million, an operating loss of $3 million and segment EBITDA of $2 million in the second quarter. Lower revenues and margins in the quarter were driven by reduced customer demand for perforating product sales reflective of the reduction in frac spreads during the quarter. Further segment EBITDA included a $1 million noncash provision for excess and obsolete inventory. During the quarter, we generated cash flows from operations of $45 million and invested $11 million in CapEx to support future growth. We repurchased 439,000 shares of our common stock for $3 million and repaid the remaining $5 million in borrowings outstanding under our revolving credit facility. At June 30, our net debt totaled $93 million, yielding a net debt to total capitalization ratio of 12%. On a leverage ratio basis, net debt to adjusted consolidated EBITDA was at 1.2x at June 30. In 2023, we expect to invest approximately $28 million in capital expenditures depending on market conditions prevailing at the time the capital investments are made.

在我們的井下技術部門，第二季度的收入為 2500 萬美元，營業虧損為 300 萬美元，部門 EBITDA 為 200 萬美元。本季度收入和利潤率下降的原因是客戶對射孔產品銷售的需求減少，反映出本季度壓裂價差的減少。其他部門的 EBITDA 包括針對過剩和過時庫存的 100 萬美元非現金撥備。本季度，我們從運營中產生了 4500 萬美元的現金流，並投資了 1100 萬美元的資本支出以支持未來的增長。我們以 300 萬美元回購了 439,000 股普通股，並償還了循環信貸安排下剩餘的 500 萬美元未償還借款。截至 6 月 30 日，我們的淨債務總額為 9300 萬美元，淨債務佔總資本的比率為 12%。按槓桿率計算，截至 6 月 30 日，淨債務與調整後合併 EBITDA 的比率為 1.2 倍。 2023 年，我們預計將投資約 2800 萬美元的資本支出，具體取決於資本投資時的市場狀況。

Now Cindy will offer some market outlook and concluding comments.

現在Cindy將提供一些市場展望和總結性評論。

Thank you. The tight commodity mark 2022 took a turn in early 2023. Softening demand and the resultant elevated inventories caused oil prices to drop during the first quarter of 2023. This was followed by a strong reaction by the OPEC+ countries with announced production cuts. Global oil and gas inventories are normalizing and are now within their 5-year seasonal average for crude oil but remain above the 5-year averages for natural gas, leading to lower prices year-over-year, thereby tempering expectations for growth in drilling and completion spending on U.S. land activities. However, we have begun to see an inflection upward in international and offshore markets, which will further support our product and service offerings in regions outside of the United States.

謝謝。 2022年大宗商品吃緊的局面在2023年初發生了轉變。需求疲軟以及由此導致的庫存增加導致2023年第一季度油價下跌。隨後OPEC+國家做出強烈反應，宣布減產。全球石油和天然氣庫存正在正常化，目前原油庫存處於 5 年季節性平均水平之內，但天然氣仍高於 5 年平均水平，導致價格同比下降，從而削弱了對鑽探和天然氣增長的預期。美國土地活動的竣工支出。然而，我們已經開始看到國際和離岸市場的上升趨勢，這將進一步支持我們在美國以外地區提供的產品和服務。

Revenues in our Offshore/Manufactured Products segment are expected to continue to grow in the second half of 2023, given strong order flow and increased levels of backlog along with ongoing short-cycle product demand. Given the material delays experienced in the second quarter, we will see some top line improvement in the third quarter, but substantial revenue and EBITDA improvement for this segment has pushed to the fourth quarter of this year. We expect our Well Site Services and Downhole Technologies segments to continue to perform in line with market activity indicators, which have softened a bit for U.S. land activities, but do appear to be bottoming. We remain focused on optimizing our operations and pursuing profitable activity in support of our global customer base as market opportunities unfold, both in the United States and in international markets. we will continue to focus on core areas of expertise with the deployment of our recently enhanced equipment to further differentiate our product and service offerings.

鑑於訂單流強勁、積壓量增加以及持續的短週期產品需求，我們的離岸/製造產品部門的收入預計將在 2023 年下半年繼續增長。鑑於第二季度經歷的重大延誤，我們將看到第三季度的收入有所改善，但該部門的收入和 EBITDA 的大幅改善已推遲到今年第四季度。我們預計我們的井場服務和井下技術部門的表現將繼續符合市場活動指標，美國陸地活動的市場活動指標有所減弱，但似乎正在觸底。隨著美國和國際市場的市場機遇的出現，我們仍然專注於優化我們的運營並追求盈利活動，以支持我們的全球客戶群。我們將繼續專注於核心專業領域，部署我們最近增強的設備，以進一步差異化我們的產品和服務。

Now I would like to offer some concluding comments. Initially, the industry responded to higher commodity prices with accelerated shorter-cycle investments in the United States, which the industry clearly benefited from in 2022. We are now experiencing an increase in investments in long lead time projects in international markets and deepwater basins around the world based upon the longer-range outlook for commodity prices. Strong macro fundamentals are pointing to a multiyear up cycle which will drive growth in revenues, earnings and free cash flow generation.

現在我想提出一些結論性意見。最初，該行業通過加速在美國進行較短週期的投資來應對大宗商品價格上漲，該行業在 2022 年明顯受益。現在，國際市場和周邊深水盆地的長交付週期項目的投資正在增加。世界基於大宗商品價格的長期前景。強勁的宏觀基本面預示著多年的上升週期，這將推動收入、盈利和自由現金流產生的增長。

Our core competencies are well entrenched in the markets we serve and we continue to bid on potential opportunities supporting our traditional subsea, floating and fixed production systems, drilling and military customers while also bidding to support multiple new customers and projects involved in development such as subsea minerals gathering fixed and floating offshore wind developments and other renewable and clean tech energy systems globally. These opportunities create strong potential for us to expand our product offerings and revenue base.

我們的核心競爭力在我們所服務的市場中根深蒂固，我們繼續競標支持我們傳統海底、浮式和固定生產系統、鑽井和軍事客戶的潛在機會，同時也競標支持多個新客戶和參與開發的項目，例如海底礦物在全球範圍內聚集固定和浮動海上風電開發以及其他可再生和清潔技術能源系統。這些機會為我們擴大產品供應和收入基礎創造了強大的潛力。

Oil States will continue to conduct safe operations and will remain focused on providing technology leadership in our various product and service offerings with value-added products and services available to meet customer demands globally. Market-leading technologies will extend the runway for sustainable competitive advantage.

石油國家將繼續進行安全運營，並將繼續專注於在我們的各種產品和服務中提供技術領先地位，提供增值產品和服務，以滿足全球客戶的需求。市場領先的技術將擴大可持續競爭優勢的範圍。

That completes our prepared comments, Mandeep, would you open up the call for questions and answers at this time, please?

我們準備好的評論就到此結束了，Mandeep，您現在可以打開電話進行提問和回答嗎？

(Operator Instructions) We have a question from the line of Stephen Gengaro from Stifel.

（操作員說明）我們收到來自 Stifel 的 Stephen Gengaro 的問題。

So I think -- maybe to start, Cindy, when we think about your full year guidance and I sort of bridge myself from the first half to get to the full year guidance. I might have missed a little bit of this in the prepared comments, but I imagine based on the macro and your commentary that it's mostly driven by offshore and manufactured products as far as the second half bridge to get into those numbers. Is that -- am I thinking about that right?

所以我想，辛迪，當我們考慮你的全年指導時，也許可以開始，我從上半年到全年指導之間建立了橋樑。我可能在準備好的評論中錯過了一些內容，但我想根據宏觀和您的評論，它主要是由離岸和製造產品驅動的，直到下半年橋才能進入這些數字。我這樣想對嗎？

You're absolutely correct. It's easier to see that runway with the backlog development that we have, and we've scheduled all of those backlogs into turns by quarter. And so that one, we feel pretty confident about. Obviously, we've had softer rig count down about 13% on land with completion comp down about 8% or so. And so we're really not projecting a recovery off of that throughout the second half of the year at this point in time. Although based on customer conversations, we do sense that there's really not a leg down from here, in our view. And to some degree, our softer Q2 for Well Site I could say it's somewhat timing in the sense that we had a large customer in the Northeast. We went from a 12-well large multi-well pad and then you have transition times between a new pad. So it depends on how you look at it. And now the next pad did shift from a 12 well to a 6 well you always say is that just timing only? Or is it indicative of a little bit of a slowdown of customer activity. And then in the Gulf, we had some third-party intervention vessels that were down for dry docking and those things happen. So it's kind of a combination of things there. But nonetheless, I have to look at the activity indicators which have softened on land, and the way we forecast from here is essentially kind of flat, meaning there could be a little market softening, but the 2 things I mentioned do recover i.e., the intervention vessels go back to work, and we'll go back to work on other pads in the Northeast. And so -- and then we've got some new product introductions. But on balance, we're just generally saying kind of flat from here, which affect both our Downhole Technologies segment as well as our Well Site segment.

你是完全正確的。通過我們現有的積壓開發，可以更容易地看到跑道，並且我們已將所有這些積壓按季度輪流安排。因此，我們對此非常有信心。顯然，陸地上的鑽機數量減少了約 13%，完井補償減少了約 8% 左右。因此，我們目前確實預計今年下半年不會出現復甦。儘管基於與客戶的對話，但我們確實感覺到，在我們看來，這確實沒有什麼問題。在某種程度上，我們的井場第二季度表現較為疲軟，我可以說，從我們在東北部擁有大客戶的意義上來說，這有點時機。我們從 12 孔大型多孔墊開始，然後在新墊之間有過渡時間。所以這取決於你如何看待它。現在，下一個墊確實從 12 孔轉變為 6 孔，您總是說這只是時間問題嗎？或者這是否表明客戶活動略有放緩？然後在海灣，我們有一些第三方乾預船正在幹塢，這些事情就發生了。所以這是多種因素的結合。但儘管如此，我必須看看陸地上已經疲軟的活動指標，我們從這裡預測的方式基本上是持平的，這意味著市場可能會有點疲軟，但我提到的兩件事確實有所恢復，即干預船返回工作，我們將返回東北部其他基地工作。所以——然後我們推出了一些新產品。但總的來說，我們只是一般說這裡比較平穩，這會影響我們的井下技術部門以及我們的井場部門。

And Cindy, just to follow up on that, is the -- in the second quarter, some of those headwinds that were mix or timing related. Did they weigh on margin? I guess, like should we think about the second half EBITDA margins in Well Site even in a flat revenue environment recovering a little bit?

辛迪（Cindy），只是為了跟進這一點，是在第二季度，一些與混合或時間相關的逆風。他們對利潤率有壓力嗎？我想，即使在收入持平的環境下，我們是否應該考慮下半年 EBITDA 利潤率略有恢復？

Yes. That's a very fair assessment because anytime you do a high-end, large multi-well pad, the margins are definitely better because the intensity of the equipment on site is obviously higher. And cost absorption is better. And then anything we do in the Gulf of Mexico tends to come forward at accretive margins. And so you're absolutely right, our EBITDA margins for Well Site decline from the first quarter just because of both mix and a little bit hit on the top line.

是的。這是一個非常公平的評估，因為任何時候你做一個高端、大型多孔墊，利潤肯定會更好，因為現場設備的強度明顯更高。而且成本吸收效果更好。然後我們在墨西哥灣所做的任何事情往往都會以增值的方式取得進展。所以你說得完全正確，我們 Well Site 的 EBITDA 利潤率從第一季度開始下降，只是因為混合因素和營收受到一點打擊。

And you mentioned kind of plateauing of activity potentially. It sounds like from some others and even one U.S. land competitor said something yesterday about the fourth quarter actually potentially being seasonally stronger because they have some visibility on improvement already. Are you seeing anything in the conversations that suggest -- I mean, I know we think we're bottoming, but anything concrete you can talk about, which supports that. I know oil is back up to $80, so that helps. But anything to give comfort that we're seeing a bottom?

您提到了活動可能會趨於平穩。聽起來其他一些人甚至一位美國土地競爭對手昨天也說過，第四季度實際上可能會季節性走強，因為他們已經看到了一些改善的跡象。您是否在對話中看到任何表明的內容 - 我的意思是，我知道我們認為我們正在觸底，但您可以談論任何支持這一點的具體內容。我知道油價回升至 80 美元，這會有所幫助。但有什麼可以讓我們看到觸底的安慰呢？

Well, ours are based on customer conversations, and I think anything in this world for us comes back to what regions are you in? We're broad-based, what customers are you working with and what are their individual plans. And as you know, a lot of the import softening in the first half of this year came from private releasing rigs more so than public, our customers held up fairly well, I would say, in completion services. and these other things were more transitory. I will say that in the case of GEO, some of our wireline customers do work probably more weighted to private and I would say they were hit disproportionately hard in the quarter because of that softening. And I'll tell you though, we're not a pressure pumper. And therefore, we don't really have committed work too far out. I mean, we'll have indications from our major customers, and that's where my feel, my gut instincts tell me we've hit the bottom, in terms of activity. But to say I can give you concrete evidence, that would be a stretch.

嗯，我們的對話基於客戶對話，我認為對我們來說，這個世界上的任何事情都可以追溯到您所在的地區？我們的基礎廣泛，您正在與哪些客戶合作以及他們的個人計劃是什麼。如您所知，今年上半年的進口疲軟很大程度上來自私人釋放的鑽機，而不是公共鑽機，我想說，我們的客戶在完井服務方面表現得相當好。而這些其他事情則更為短暫。我想說，就 GEO 而言，我們的一些有線客戶的工作可能更偏重於私人工作，我想說，由於這種疲軟，他們在本季度受到了不成比例的沉重打擊。但我會告訴你，我們不是壓力泵。因此，我們並沒有真正投入太遠的工作。我的意思是，我們將從主要客戶那裡得到跡象，這就是我的感覺，我的直覺告訴我，就活動而言，我們已經觸底。但要說我可以給你具體的證據，那就有點牽強了。

Okay. And then -- and if you don't mind one more, you had a very strong second half '22 of orders, especially in the fourth quarter, I think, a very good start to this year, the first half. When we think about the pricing/margins embedded in those last 4 quarters of orders, is there anything we can read into margin progression in the offshore products business, Offshore/Manufactured Products business in the back half of the year?

好的。然後——如果你不介意再多說一次的話，你在 22 年下半年的訂單非常強勁，尤其是在第四季度，我認為，這是今年上半年的一個很好的開始。當我們考慮過去 4 個季度訂單中的定價/利潤時，我們是否可以解讀下半年離岸產品業務、離岸/製造產品業務的利潤進展？

Yes. The key for us, you've seen continual margin improvement as we built that backlog, both from a mix perspective and cost absorption. I believe we were -- if I'm doing this off the top of my head, I think our EBITDA margins in Q1 were 16.2%, and they accreted up to 17% on a little bit lower revenues in Q2. So as we progress, holding those margins are improving them is reasonable. Only with the caveat, it does depend on the mix and backlog and I would caution you a little bit on Q3 because a lot of our backlog build was around our standard connectors. And I'll just remind you, we have some third-party pass-through revenue there. And so that mix is not necessarily accretive overall, the margins, obviously, good at the end of the day. So there's always a little bit of a hedge there for us, but the trends of top line growth and the mix is good, and our backlog should lend itself to strong margins.

是的。對我們來說，關鍵是，當我們建立積壓訂單時，無論是從組合角度還是從成本吸收角度來看，您都看到了利潤率的持續改善。我相信我們——如果我憑空想像的話，我認為我們第一季度的 EBITDA 利潤率為 16.2%，而第二季度的收入略有下降，利潤率增加了 17%。因此，隨著我們的進步，保持這些利潤率並提高它們是合理的。只是需要注意的是，它確實取決於組合和積壓，我會在第三季度提醒您一點，因為我們的很多積壓構建都是圍繞我們的標準連接器進行的。我只想提醒您，我們在那裡有一些第三方轉手收入。因此，這種組合不一定會總體上有所增加，但最終的利潤率顯然會很好。因此，我們總是有一點對沖，但營收增長和組合的趨勢良好，我們的積壓訂單應該會帶來強勁的利潤。

(Operator Instructions) I would now like to turn the call over to Cindy Taylor for closing remarks.

（操作員指示）我現在想將電話轉給 Cindy Taylor 進行結束語。

All right. Thank you, Mandeep. I've realized we picked a very busy day to hold this call this morning. And so I appreciate those of you that have dialed in, we do look forward to further conversations as we progress through the quarter. I hope you have a great earnings season throughout the rest of the next couple of weeks, and we'll talk to all of you soon. Thank you.

好的。謝謝你，曼迪普。我意識到今天早上我們選擇了一個非常忙碌的日子來舉行這次電話會議。因此，我感謝那些撥通電話的人，我們確實期待在本季度取得進展時進行進一步的對話。我希望您在接下來的幾週內度過一個愉快的財報季，我們很快就會與大家交談。謝謝。

Thank you, ladies and gentlemen. This does conclude today's call. Thank you for your participation. You may now disconnect.

謝謝你們，女士們、先生們。今天的電話會議到此結束。感謝您的參與。您現在可以斷開連接。