AMG Critical Materials NV

XMUN:ADG

Earnings Call Transcript

[Operator]

Good day, everyone and welcome to today's AMG Q1 2025 Earnings Conference Call. [Operator Instruction]. Please note, this call is being recorded, and I will be standing by should you need any assistance.

It is now my pleasure to turn the conference over to Michele Fischer. Please go ahead.

[Unknown Attendee]

Welcome to AMG's First Quarter 2025 Earnings Call. Joining me on this call are Dr. Heinz Schimmelbusch, the Chairman of the Management Board and Chief Executive Officer; Mr. Jackson Dunckel, the Chief Financial Officer; Mr. Eric Jackson, the Chief Operating Officer and Mr. Michael Connor, the Chief Corporate Development Officer.

AMG's first quarter 2025 earnings press release issued yesterday is on AMG's website. Today's call will begin with a review of the first quarter 2025 business highlights by Dr. Schimmelbusch. Mr. Connor will comment on strategy. Mr. Dunckel will comment on AMG's financial results, and Mr. Jackson will discuss operations. At the completion of Mr. Jackson's remarks, Dr. Schimmelbusch will comment on outlook. We will then open the line to take your questions.

Before I pass the call to Dr. Schimmelbusch, I would like to expressly refer you to our statement on forward-looking statements and the meaning thereof as we have used at all previous occasions and we will use at this earnings call and which explanatory statement has been published as part of our financial presentation and on our website, all in connection with this earnings call.

I will now pass the floor to Dr. Schimmelbusch, AMG's Chairman of the Management Board and Chief Executive Officer.

[Heinz Schimmelbusch, executive]

Thank you, Michelle.

We are obviously pleased to have achieved such a strong EBITDA in the first quarter, almost doubled compared to the first quarter last year. We achieved an EBITDA of $58 million for the first three months in 2025 despite the absence of any correction in the lithium or vanadium prices upward. This indicates the power of AMG's critical materials portfolio and demonstrates the significant upside potential should commodity prices normalize.

AMG had positive cash from operating activities of $9 million during Q1 '25 compared to $15 million of cash used in operating activities during the first three months of last year. Our Technologies segment also had an extremely strong performance with its highest order backlog in AMG's history of $460 million at the end of the first quarter. Looking forward, while the indirect effects of increased tariffs and trade barriers are difficult to assess, there are no material direct effects of the tariffs on AMG businesses based on our present analysis.

In the current volatile environment, our businesses benefit from their production of materials, which are critical to our customers and to a large extent, we operate within domestic value chains. As we enter into a period of uncertainty, it should be noted that AMG is at the end of its heavy capital expansion phase. Going forward, we will be focused on small, highly accretive investments, which preserve our growth options. The recently announced investments in U.S. Chrome, in Lagoa, and graphite demonstrate how we will continue to invest and support growth while maintaining the strength of our balance sheet.

As an important example that demonstrates the end of our heavy investment phase. I'm very pleased to report that the Bitterfeld refinery has successfully produced lithium hydroxide at battery grade specifications and will be shipping the first commercial qualification batches to our customers promptly.

I will now hand over to Mike. Mike?

[Michael Connor, executive]

Thank you, Heinz. In today's rapidly evolving global economy, critical materials such as lithium, vanadium and antimony have become essential to the technologies that power modern life from renewable energy systems and electric vehicles to advanced defense applications and digital infrastructure. As nations accelerate their transitions to cleaner energy and heightened technological competitiveness, access to and control over these strategic resources are increasingly shaping economic policy, national security strategies and global supply chain dynamics.

As a result of our portfolio of critical materials and our globally diverse footprint, AMG is uniquely positioned to capitalize on these accelerating macro trends. We continue to focus on these dynamics in our strategic decision-making and our expansion activities.

Regarding our major current lithium growth projects, the ramp-up at Bitterfeld and [indiscernible] is proceeding as expected and has produced battery-grade lithium for qualification by our customers.

Additionally, the expansion of our lithium operation in Brazil is complete, solidifying our position as one of the lowest cost lithium concentrate producers globally. AMG is the largest shareholder of Savanna Resources, the sole owner of the Barroso lithium project in Portugal. Savanna has continued to build strong positive momentum, recently achieving a major milestone with the European Commission designating Barroso as a strategic project under the Critical Raw Materials Act, highlighting its integral role in Europe's battery and electric vehicle sectors.

In April, AMG signed an exclusive agreement with Grupo Lagoa with the goal of becoming the first producer of lithium concentrate in Portugal. Both the initial capital requirement as well as the risk profile of this investment are low. With this agreement, AMG is establishing its foothold within one of the most attractive lithium resources in Europe.

In terms of our vanadium segment, we approved a capital investment of $15 million in April to establish an aluminothermic production facility to manufacture chrome metal in the United States. Chrome metal is classified as a critical material in the U.S. due to its importance in various industrial -- alloys, particularly those within the aerospace sector. The project's benefits are evident and substantial. The necessary capital investment is minimal. The payback period will be short. And the facility is anticipated to commence operations in the first quarter of 2026.

Phase 1 of our supercenter project in Saudi Arabia is currently in the detailed engineering phase. In April, we successfully obtained the required environmental permit to construct through the proper channels in Saudi Arabia. We are now in the process of selecting an EPC contractor.

In March, AMG successfully repurchased 40% ownership in Graphit Kropfmühl from Alterna Capital Partners. The acquisition was facilitated with very flexible payment options. This transaction simplifies our capital structure and gives us strategic flexibility as we now have complete control over the asset.

We continue to operate as a low-cost producer and the success of our diversified portfolio is allowing us to continue with highly accretive low-risk strategic investments despite market downturns in some of our major products.

I will now pass the floor to Jackson Dunckel, AMG's Chief Financial Officer. Jackson?

[Jackson Dunckel, executive]

Thank you, Mike. I will be referring to the first quarter 2025 investor presentation posted yesterday on the website.

Starting on Page 5 of the presentation, I'd like to underscore Heinz's comments about the strength of the EBITDA performance this quarter given the low lithium prices. Despite these low prices, AMG delivered the highest quarterly EBITDA since the fourth quarter of 2023. On Page 6, you can see the price and volume movements for our key products represented by arrows, which underscore our segmental results.

On Page 7, you'll see our return on capital and valuation metrics year-over-year. It's important to note that we've invested over $650 million over the last 4 years for our lithium and vanadium expansion projects, which has impacted the return on capital metrics.

AMG Lithium is shown on Page 8. On the top left, you can see that Q1 2025 revenues decreased 23% versus the prior year. This decrease was driven mainly by the 27% decline in lithium prices and the 22% decrease in lithium concentrate sales volumes. Those were partially offset by higher tantalum sales prices. Despite the decrease in lithium market prices, adjusted EBITDA for the segment in Q1 '25 was down only 6% from Q1 last year.

AMG Vanadium is shown on Page 9. Revenue for the quarter decreased 7% compared to Q1 '24 due mainly to lower volumes of ferrovanadium and titanium alloys, partially offset by increased sales prices in ferrovanadium and chrome metal.

Q1 '25 adjusted vanadium EBITDA of $13 million decreased 10% compared to Q1 '24. This was primarily due to the lower sales volumes, partially offset by higher profitability in chrome and the ongoing benefit of 45X.

AMG Technologies is shown on Page 10. The Q1 '25 revenue increased by $51 million or 34% versus Q1 '24. This improvement was driven mainly by steadily increasing sales prices of antimony in the current quarter. Adjusted EBITDA of $39 million during the first quarter was more than triple the same period in 2024. This increase was primarily due to higher profitability in AMG Antimony.

Page 11 of the presentation shows our main income statement items. The key change on this page is regarding our tax expense, which was $1 million in the current quarter compared to $3 million during Q1 '24. The Q1 '25 expense is largely due to $6 million of Brazilian deferred tax expense related to the appreciation of the Brazilian real, offset by $5 million of unabsorbed losses.

Page 12 of the presentation shows our cash flow metrics. The key item on the page is our Q1 2025 cash from operating activities, which is notably strong versus the same period last year and was driven by high advanced payments in our engineering business and strong cash flows from our antimony business. I'd also like to point out that our return on capital employed of 13.4% in the current period was higher than in any quarter of 2024.

AMG ended the quarter with $476 million of net debt. And as of March 31, '25, we had $286 million in unrestricted cash and $200 million available on our revolving credit facility. The resulting $486 million of total liquidity at the end of the quarter demonstrates our ability to fully fund all approved capital expansion projects.

One note on net debt. We are carrying our vendor note to Alterna and other liabilities. The rationale for this treatment is there are no interest payments associated with the note, and we intend to utilize our shares to settle the liability. We continue to expect capital expenditures to be $75 million to $100 million for 2025.

That concludes my remarks. Eric?

[Eric Jackson, executive]

Thank you, Jackson.

AMG Technologies reported exceptional results, driven by our market-leading position in our engineering business and very strong results in our diversified mineral operations. AMG Engineering signed $107 million in new orders during the first quarter. The order intake was driven by strong orders for turbine blade coatings, and as mentioned, this resulted in a record-breaking order backlog of $416 million as of the end of the quarter. Our other operating units under the AMG Technologies umbrella, especially AMG Antimony also performed extremely well in the quarter and made a significant contribution to the $29 million quarter-over-quarter increase in AMG Technologies EBITDA.

After temporarily halting our silicon metal production in the first quarter, we have restarted and will operate 1 of our 4 furnaces in the second quarter. The profitability of AMG's silicon business is presently not material and is excluded from adjusted EBITDA during this period of abnormal operations.

Our Brazil lithium operation delivered 12,167 metric tons CIF China of lithium concentrate in the first quarter. Volumes were low due to shipment schedules and the decision to use this period of low prices to perform significant testing on our lithium concentrate production lines to increase both reliability and performance. We plan to ramp up to full capacity again during the second quarter.

The average realized sales price was $640 per metric ton and the average cost of production was $572 per metric ton against CIF China. This higher than run rate cost per tonne was driven by the lower vanadium concentrate and tantalum concentrate production in the current quarter. It's important to note that the fourth quarter 2024 cost per ton of $290 was, as we mentioned, after that quarter, especially low given the high tantalum sales volumes during that period.

In our vanadium segment, AMG Titanium experienced weakened market demand during the first quarter of 2025, particularly titanium aluminide. The segment's profitability was also negatively impacted by start-up costs of our new vanadium electrolyte plant in Germany, which is now fully operational.

AMG Vanadium's Zanesville and Cambridge spent catalyst processing facilities lead the industry in terms of cost structure and environmental performance. AMG Vanadium's results were, however, negatively impacted by lower volumes during the first quarter. The increase -- the small increase in sales prices in ferrovanadium helped to offset the impact of lower volumes. We believe that as the only producer of ferrovanadium in the United States, our vanadium operations are well positioned in this uncertain tariff environment. Our overriding operating objectives are to be the lowest cost, highest quality and most environmentally responsible producer of all of our products. This enables us to deliver strong financial performance even as many of our direct competitors report significant losses.

I'll now pass the floor to Dr. Schimmelbusch.

[Heinz Schimmelbusch, executive]

Thank you, Jackson.

Despite exceptionally low lithium and vanadium prices, we had a very strong start in '25. The AMG Technologies segment performed particularly well. Based on that and considering uncertain economic and market conditions globally, we increased our adjusted EBITDA outlook from $150 million or more in '25 to $170 million or more in '25.

Regarding AMG's 5-year guidance, the key pillars, which represent significant investments, are now complete. The Bitterfeld battery-grade lithium hydroxide facility, our lithium concentrate expansion, the establishment of AMG battery strategy lever for Energy acquisition, the doubling of spent catalyst processing capacity in AMG Vanadium and AMG Engineering's highest ever backlog. These projects deliver the volume growth, which underpin the long-term guidance of an EBITDA of $500 million or more in 5 years or earlier at normalized market prices.

Operator, we would now like to open the line for questions.

[Operator]

[Operator instructions]. And we'll take our first question from Frank Clausen with Degroof Pettercam.

[Frank Claassen, analyst]

Two questions, please. First of all, on the antimony business, given that it is a conversion business, how long can you still benefit from the current rally in the antimony prices? Could you elaborate on that? That is my first question. And then secondly, on the Bitterfeld refinery, you're now shipping the first commercial batches. Does that also mean that you expect a positive EBITDA contribution for '25? Or is that too early?

[Jackson Dunckel, executive]

On antimony, it is a conversion business. And as you know, we would normally expect constant margins despite high prices. However, in today's very short market, we're able to command significantly higher margins. That being said, we have no indication that prices are going to change in the near term. We have no indication that China is going to suddenly start to ship antimony metal overseas. But predicting what that looks like out to more than a quarter or 2 is very difficult.

[Frank Claassen, analyst]

So basically, the high margins can -- this high margin can be sustainable at least in the foreseeable future. Is that the line of thinking?

[Jackson Dunckel, executive]

Correct.

[Heinz Schimmelbusch, executive]

So now let me go to your second question. The lithium battery-grade hydroxide qualification process is going through a standard pattern. The first step is achieved. The first step is the production of battery-grade lithium hydroxide in specification. That happened last week.

So now the second step is that we ship batches, so-called qualification batches to the customer -- customers. They do analytical reconfirmation -- analytical reconfirmation. Then we are shipping the batches for the performance test to the customer. Then they send us a letter that we are free to ship consecutive production.

So we are extremely pleased when we actually celebrated this first achievement, the first step of this process, the most important step, namely that we have demonstrated the production of -- in-spec material, battery-grade hydroxide in our plant. So now second step batches, et cetera, as I have said. Given the logical uncertainties with that process, we have no reason to change whatever we said about the start-up of the -- the timing of the start-up steps in that refinery.

[Frank Claassen, analyst]

But does that mean that this year, there will already be a positive EBITDA contribution? Or will that be more for next year?

[Heinz Schimmelbusch, executive]

Well, it will be next week, but when you ask me, I might be more optimistic… at my colleagues here. I have to be under total discipline here in this [indiscernible] .

[Operator]

And our next question will come from Stijn Demeester with ING.

[Stijn Demeester, analyst]

Three, if I may. The first one is on the long-term guidance. Since you mentioned the end of the phase of large CapEx items, are you actually moving away from building further modules in Bitterfeld? And doesn't the long-term guidance assume at least one more module to be built? So can you comment maybe on that question?

[Heinz Schimmelbusch, executive]

Well, we are not moving away, and we expect a second model to be built. But that only affects the last year of that 5-year guidance. Answer your question?

[Stijn Demeester, analyst]

Yes. That's clear. Second one is also on the guidance in for because you mentioned normalized prices. Now I don't -- I know you don't provide guidance on prices. But could you maybe elaborate a bit where you situate normalized prices versus current prices, notably for lithium because obviously, over the last couple of years, we've seen a lot of extremes both on the up and downside. So yes, any color here would help.

[Heinz Schimmelbusch, executive]

Lithium project -- resource project and upgrading project is dependent on financeability. Most of these projects are project financed. Project financing is not available unless you have a stable forecast north of $20,000 of lithium carbonate equivalent. So at present, this is far from it. There are no projects or very rare projects under development with project financing. So there will be a correction. It's very difficult to comment intelligently on the size of correction. But let me make 3 remarks on this.

The first is corrections never come -- rarely come gradually. Corrections -- and then suddenly corrections come suddenly and mostly when nobody expects as typically demonstrated by antimony prices. There are external shocks possible in this anyhow very tight structure. And that I think will happen because it always starts.

The second is that when you look at benchmark, they have a long-term, very steady increase, and we have built that into our assumptions of the lithium price first, a little correction and then it stays very steady. That's absolutely not going to happen. The volatility in lithium will stay with us. Every commodity industry, which was in the same position, and I have a real experience on that goes through the same initial volatility until the industry reaches a certain degree of maturity. And that's far from it. So there will be a correction and then there will be a massive correction, and then that will be, again, a fall of et cetera, et cetera. It will be the high volatility.

And the third one is there is a big uncertainty when the feed in China of low-quality raw materials such as lepidolite, when that use -- intensive use of lepidolite in China ends. That's a toplicated question, which we, of course, analyze and that is -- there are different theories about that because it is a difficult material and it's expensive material, and it might be used more or less also for national strategic reasons in China.

[Stijn Demeester, analyst]

This is very helpful. If I may elaborate on this because in Bitterfeld, you will not produce lithium carbonate, obviously, you will produce lithium hydroxide, which is an entirely different chemical. Are you still confident that, that material could command a premium versus what is currently shipped in the market? And then could you also comment maybe on how many customers are currently qualifying your material?

[Heinz Schimmelbusch, executive]

Well, it's quite a number, and we are not naming the number. But we are totally confident on the premium.

[Stijn Demeester, analyst]

This is very helpful. Maybe final one for me on vanadium, despite the IRA tax credit in Q1, which was not recorded in Q1 '24 and somewhat lower prices, I think the result is somewhat weaker than what maybe the market was expecting in vanadium. So can you comment maybe if there is some volume shortfall in Q1 that explains this?

[Jackson Dunckel, executive]

Yes, there was no real effect from 45X in Q1. We did have shipping issues moving spent catalyst into our facilities, which caused the volume shortfall.

[Stijn Demeester, analyst]

Will be resolved in Q2?

[Jackson Dunckel, executive]

Yes, it should be.

[Operator]

Our next question will come from Martjin den drijver with ABN AMRO.

[Martijn den Drijver, analyst]

My first one is going back to the battery-grade lithium hydroxide. The qualification test batches and the subsequent performance test. Can you perhaps elaborate on how long that process will take? Are we talking 2 quarters, 3 quarters? Any color would help. That's question one.

[Heinz Schimmelbusch, executive]

It will take a few months.

[Martijn den Drijver, analyst]

Few months. Okay. Clear. And then my second question goes back to antimony. Normally, I assume that you have 2, 3 quarters of inventory to run a processing business. So I was assuming that eventually you would have to start buying at market price. Therefore, the positive impact on profitability would eventually fade. Now you're saying that that may continue going forward. Does that also imply that you found alternative sources of antimony perhaps at advantageous prices? Or what else sustains that profitability?

[Heinz Schimmelbusch, executive]

That's a complicated question, Martijn. Can you handle it?

[Jackson Dunckel, executive]

Yes. Well, I think at higher prices, obviously, we -- our margins increase. We did have some inventory as a producer, but we don't see the prices changing dramatically. And we expect our margins to be -- to continue to be substantially above our historical margins.

[Martijn den Drijver, analyst]

I understand that. But you have to buy it somewhere, you have to source it somewhere, right?

[Heinz Schimmelbusch, executive]

That's true because if you don't source somewhere, you can't produce.

[Jackson Dunckel, executive]

Exactly. So if you have to source at market prices, logically that profitability will not be as high as you have during the ramp-up phase.

[Martijn den Drijver, analyst]

No. I mean what I'm saying is, of course, we source in many, many places.

[Heinz Schimmelbusch, executive]

What just was said is that the margins at higher price levels are higher.

[Jackson Dunckel, executive]

So we buy a higher prices...

[Heinz Schimmelbusch, executive]

Of course, when you – I mean of course, when you buy at higher prices, you need much higher prices in order to a higher margin. But that's a [ topology ]. I mean I don't understand your question.

[Jackson Dunckel, executive]

We have no advantageous sourcing of cheap antimony. We're buying at market prices.

[Martijn den Drijver, analyst]

All right. That's clear. And then my final question is on the lithium operations in Brazil, the optimization. Why is it necessary to do optimization so shortly after the full ramp-up and the commissioning? And more importantly, when will the facility go back to what we perhaps see as normal nameplate capacity?

[Heinz Schimmelbusch, executive]

We have a particular problem in a particular equipment, more or less in a particular section of the flow sheet, and we are fixing it, and that's it.

[Martijn den Drijver, analyst]

Okay. So back to normal operations in Q2 or may it take a little bit longer?

[Heinz Schimmelbusch, executive]

Expansion of a complex facility of that type of complexity within the existing plant, without -- it's not an expansion next door, it's within the existing plant a reconfiguration of the whole flow sheet has, of course, its complexities and its demands. And we decided to do it that way because it's the most economic way to do it. However, there is a particular equipment is still not functioning, and we are fixing it. That's it. I mean...

[Jackson Dunckel, executive]

Yes. I think I stated in our script, we are moving back towards full capacity in the second quarter. It's a recovery issue that we're confident we will solve.

[Operator]

[Operator Instructions] And we'll move next to Krishan Agarwal with Citibank.

[Krishan Agarwal, analyst]

I have three, if I may. The first is on the vanadium plant. Can you comment on how the ramp-up is progressing? Or what are the capacity utilization rates are there in the Q1 for the expansion of the vanadium? And do we expect some kind of a positive benefit from higher output going forward in Q2 and exiting?

[Heinz Schimmelbusch, executive]

Which vanadium plant?

[Jackson Dunckel, executive]

Are you -- lithium or vanadium?

[Krishan Agarwal, analyst]

The vanadium.

[Heinz Schimmelbusch, executive]

In vanadium, we are in -- the big vanadium project has been completed and it's full production.

[Krishan Agarwal, analyst]

Yes. So this is the context where there was a comment that you haven't been able to solve the strong catalyst. So I assume that the operating rates are also lower in that context.

[Heinz Schimmelbusch, executive]

No, there were a few shipping issues.

[Jackson Dunckel, executive]

It's the raw material.

[Heinz Schimmelbusch, executive]

It's a raw material, it's a logistics issue. But that is -- so there is no -- it happens from time to time because of quarterly -- this is a quarterly problem. It's the volatility occurs sometimes in the quarter, will be corrected in the second quarter.

[Krishan Agarwal, analyst]

Understand. Okay. And the second question is on the Bitterfeld plant. Can you help understand the material flow in the sense that the feed is coming from your own spodumene operation? Or is it a third-party based for now?

[Heinz Schimmelbusch, executive]

The feed, are you talking about lithium?

[Jackson Dunckel, executive]

Feed for our lithium.

[Krishan Agarwal, analyst]

Yes.

[Heinz Schimmelbusch, executive]

Well, we take the opportunity to buy in the spot market off-trade material, which is very advantageous as regard to prices. And that is reducing the material which we take from our own sources by the way of conversion agreements.

[Krishan Agarwal, analyst]

Okay. But the longer-term plan is to have full integration with your own feed?

[Heinz Schimmelbusch, executive]

Yes. There are -- this appearance of spot opportunities is the result of start-up problems in other areas of the lithium market. And it's very -- those spot occurrences, we, of course, want to capitalize on. And how that is going in the future, we don't know. But we don't care. We have flexibility here.

[Krishan Agarwal, analyst]

Yes. Understood. And then finally, I mean, the guidance upgrades for 2025, obviously, would have factored the continuing better results from antimony. How much of the weakness do you think is already into the price for the lithium business? Do we see more pricing weakness coming through the Q2?

[Heinz Schimmelbusch, executive]

No, let me again say that the $500 million guidance is a result of a myriad of model runs with a variety of scenarios. And those scenarios then stabilize around a certain number, and then we make a conservative discount on that number and then that's the 5-year guidance. So it's a very consolidated result of many scenario runs.

[Krishan Agarwal, analyst]

The question was more regarding the guidance for 2025.

[Heinz Schimmelbusch, executive]

What?

[Jackson Dunckel, executive]

Could you repeat the question?

[Krishan Agarwal, analyst]

So for the 2025 guidance of $170 and more, how much of the pricing weakness you have factored for lithium business in the Q2?

[Jackson Dunckel, executive]

We assume, as always, that current lithium prices will remain for the entire year. So we have no projected lithium price increases in the $170.

[Operator]

Our next question comes from Martin Verbeek with The Idea.

[Maarten Verbeek, analyst]

It's Martin Verbeek from The Idea. Firstly, on the acquisition of the remaining 40% stake in Graphit Kropfmühl. The change in other liabilities, is that a reflection of the future price for these shares? Or otherwise, could you share how much that will be in future?

[Jackson Dunckel, executive]

The change in liabilities reflects, yes, that approximate purchase price, but we don't want to put a number on it right now. We're under NDA with Alterna Group.

[Maarten Verbeek, analyst]

But the price is fixed because you hand it over [indiscernible]

[Jackson Dunckel, executive]

Exactly. The price is fixed. The quantity of shares that we provide is obviously to be determined.

[Maarten Verbeek, analyst]

Exactly.

[Heinz Schimmelbusch, executive]

So we have the option to pay that for cash or for shares.

[Jackson Dunckel, executive]

Yes.

[Maarten Verbeek, analyst]

Okay. And then secondly, concerning the antimony business and the impact. If you look at the technologies business, and you can more or less work away what engineering has done. Is it then fair to assume that the change of the technologies business, excluding engineering and that comes down to roughly a change of $70 million and a change in gross and EBIT of $30 million. Is that fully contributable for this antimony business?

[Jackson Dunckel, executive]

Yes. It's mainly antimony, not to say that our engineering and graphite business in any way, shape or form underperformed. They performed very well.

[Maarten Verbeek, analyst]

Thank you very much.