Ryan Specialty (RYAN) 12 Aug 222022 Q2 Earnings call transcript

Greetings, and welcome to the Ryan Specialty Second Quarter 2022 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions].

As a reminder this conference is being recorded. pleasure Relations your and my Head Noah now Investor of Treasurer. is to host, introduce Angeletti, It Please go ahead.

earnings Good afternoon, Specialty XXXX Ryan us today call. and thank you Holdings for second joining for conference quarter

reliance beliefs call, In expectations this forward-looking these as materially subject to update risks at from by risk any your and based the earlier has on the ryansg.com. company's we addition factors could today's which more place the Investors listeners to that filed press differ should management's today. and the in future management's discussed afternoon, except our release the to on posted are encourage These contain contained and We answers call, to statements. We in questions and actual statements. duty statements uncertainties with a assume no those not to been On may such filings to of to SEC SEC. statements with website undue forward-looking discussion results remarks this forward-looking required prepared are current review cause detailed law.

Specialty, on website. included Founder, Officer earnings company's the which Pat Ryan the release, as available with non-GAAP the substitute information non-GAAP over turn are be and financial measures or this is the like the measures on and to for Chief our financial not GAAP. most accordance Reconciliations Chairman GAAP in certain with with to Ryan. Executive be of in presented in measures that, isolation the call I'd discussed to of accordance in SEC and should With financial considered comparable prepared Additionally, call will now filed a these closely

our us thank you and quarter results. afternoon, joining to Good discuss for second

our continue I values to one ago. business we to quarter, the are since strong have sustainably went and ahead of remain the am believe we to our of long-term also are true delivering the their a the unrelenting products a our substantial profitably The continue winning public proud We efforts teams I'm amount with us. that shareholders. producers, value pursuit results, incredibly runway I and pleased year innovating and of will our to solutions by competing new grow long frontline. want into acknowledge with in team's diving we head-to-head Before out well-positioned for in and excellence and and field the underwriters new who and of our business. winning

we second by our XX%. the the revenue Our in quarter over the strength of continuing track past performance XX the grew business years, record established revenue demonstrated growth total XX% of success, we've of led organic again, outstanding

We adjusted also net in another a year-over-year growth and of EBITDAC quarter adjusted basis. on double-digit income achieved

very each platform, with immensely three it's continues prove generating remained differentiated Our marketplace quarter, that service Overall, trading with E&S specialties to well, performed our growth strong the partners quarter. our pleased I'm value Throughout second robust. the the the best-in-class, truly they deserve. providing for all and double-digit and which clients

lines our overall historically still at levels. of the fact, In high into E&S flow business is

firm upward in certain nearly bolstering the those rate moderated addition We remain we rates rates Through of in of of clear market. stages speaking, our we significantly lines, in continued lines. previously opportunities invested in hard we As where other prolonged movement Broadly lines to or position. QX, the we in we've where grow to historically remained leadership of a noted, see business, lines. have all business, lines saw

in rate observed carrier a aggregate. has or competition, In periphery addition yet the which flagged to of a impact or to bit we we the and calls the in prior on standard flow earnings meaningfully

for we in the strong and team the of proving already and in deep out best adding our invest that choice talent capital industry. quarter, again, We bench, a our throughout continue to intellectual to the destination are

few and our data teams. within and to renewable Here energy our line technology the examples. are and teammates a many analytics accomplished added We've of

are industry since making founding, over We valuable hard And also been new products lines has existing alternative talent our new support verticals. expanding clients. significant at additions developing assembled our new we've addition year exceptional in introducing including capital the work recent and MGAs and capital additions MGUs, of to programs the our of business in last our in arranging bringing new and many to

and our anniversary our brokers performance. also of earnings are and strong that We which our mark in Specialty, expectations the All to September looking of acquisition note Ryan improve two-year our accelerate and make is reflected facets. Risks powerful validates Risks, is we a provides All continues pleased among that has business QX in platform This exceeded thesis businesses M&A to productivity to even our our join will that all model those further better. proof strong for

That the environment. look insurance geopolitical we we and remain are elevated global persist. and favorable rest in expect As we ahead the XXXX, to the specialty in the to dynamics well-positioned uncertainty of mindful believe said, economy market of we

various advantage the to and and the We of expand most differentiated deep market our what further in resilient, we industry. increasing take market invest our strategies expansion E&S by share believe also the platform to be into the to in continue building flow

through platform a have highly our active a competition maintain flight and from the acquisitions additional enhance positioned pipeline Moreover, our differentiate benefited we and tuck-ins capabilities. to we both we quality ourselves large opportunities believe for to look and to cycle. and M&A outperform have We as

We of when us from position the find sheet working a given opportunities. right which enables act our strength capacity, strong we balance are and to ample

consider remain to meet strong fit, strategic we pursuit said of cultural deal our disciplined we our and I've our in must Any accretive a criteria; acquisitions. before, returns. As

growth Our to M&A supplemental strategy remain and is will our organic story.

require another Tim of contributed that, to a XXXX. Turner. In targets. was Ryan effort second to not do it our I'll fantastic and quarter now and half call President, first are We the to Tim? at our acquisitions Specialty With over achieve roll-up not summary we team growth that a turn

much very you Thank Pat.

it fire we Ryan years, Underwriting time hosted highlighted, our another for quarter Broker wind, of over annual and specialties, generated teammates in continued across Pat into all strongest our It May again. brokerage the of by stalwart XXX As the property in tremendous all talented Management and across outstanding casualty market producers lines energy to our wholesale into underwriters, specialty achieve In our and and three of has and of all our flood driver three leaders excellent was specialties. the Pat conferences an non-admitted the first exemplified place. absolute feel and attendance. by us. to the exciting particular, driven many and one our bring in Diving myself event together cat growth today and you The team was collaboration with Specialty property new including business culture for been incredibly business. the led In could of corporate

markets noted call, admitted pressure derisking portfolios, we last on reinsurers our market. As their more the pushes faced which from into E&S business

an to During innovative this quarter, renewal one number by challenging, we develop the driven end, most To continued and reinsurance of of trend to cycles saw we've that products the acceleration solutions a and of years. in MGA its continues risks will Cyber in our flow in due grow MGU the niches. importance in cyber in to channel. brokerage of the these into America majority E&S complexity. high-hazard We believe business

and our in our continue. significant We another class Construction MGAs continue and flow. we brokers with to see in to double-digit expect increases We are submissions increases from capacity cyber solid complement is MGUs. where seeing that

for and team projects in leading the construction. habitational industry submissions infrastructure, see slowing classes channel these breadth historic don't and Our double-digit solid at with for depth down this highs. both the increases its remains pipeline in is and seeing We

and Our result is risky. directed that grow nicely. the business into capitalize transportation on as the practice a E&S remain we to this at perfect well-positioned We in the Crouse continues very particular opportunities and and has is increasingly to line. challenging of class the And market. Trucking Associates in growth business added very remained being time,

growth Our small development In delegated healthcare products our Binding brokers practice in authority lines. to to of experience solid the wholesale we underwriting in addition continues our specialty, the with commercial and Authority specialties. continue our grow of

made growth. industry additional expect talent invest and the significantly continue in leading have We we specialty to organic drive progress hiring to to

opportunities first to into path on Specialty a the consolidate creating Ryan and continue close We on truly the XX-state market in the Authority Binding keeping are delegated toward authority we eye operation.

to Our continuing Underwriting specialty while trading deliver results Management underwriting for partners. strong our carrier solid quarter, another posted

and We MGU are excited renewable by of the recent additions the recent to products. new our energy launch

our MGU AXSAL, gaining Harleysville arrangement to fruit. In our novo and liability actively excess de Nationwide accounts. are both New general alternative bear addition, binding our and quoting traction risk is with and MGU beginning York Emerald,

we're and Pricing lines. other increases, as such in still overall And seeing years D&O. the of public as seeing resilient lines cyber in some market, rate mentioned, still decreases solid. the noted, in all rate. nearly company very is growing flow are E&S firming In significant we strong. of at remains thus firming E&S After remains the classes business terms are environment remains firm material rate multiple market of healthy niche and Pat a and as But Pat

second expect give the flow growth, significant to Ryan to non-admitted be now that, detail Chief the I results quarter. market you. will of over continue we've our driver financial As Bickham, said a to Officer, business the before, more on Thank more Financial will our of than Specialty's increasing so who we Jeremiah turn of With rate. the call into you

share. increased diluted margin for million Adjusted million quarter Thank second period-over-period seeing of reflects substantial 'XX coming organic declined noted, as unusual quarter, a revenue income EBITDAC or while million, EBITDAC XX.X% you, which was the income $X.XX grew period-over-period revenue to Tim. excellent In Net XXX XX% and tailwinds $XXX which or share. other by grew winning QX to XX% in for quarter per total diluted per E&S which for business. IPO-related fueled another $XX XX% period-over-period we're in net items, the at excludes and market, of points for million, $X.XX adjusted and was $XXX we QX, amount new the to continued basis XX.X%. quarter, Pat to Tim the the Adjusted $XXX growth

expense, should run Our T&E investments margin which to and public business, margin of continued QX as of levels. our of relative full was XXXX by that T&E XXX XXXX, It company quarter. we load to the cost, in up noted points basis be in a private QX was to rate had return this were normalized continuing impacted

to completed have achieved we rate of run $XX schedule and we restructuring addition, our goal initial our exceeding that of savings, million on are plan In pleased $XX report million.

growth. on exciting mindful $XX from offset in in $XX the million As our approximately pursue talent. interest and expect Furthermore, income QX interest continue QX. fortified Pat facilities. to and SOFR, to fully balance in balances, for onboard partially We which we brokers GAAP $XXX generate on in undrawn June revolving to investing by million intend rate is environment. very and A+ this margins, that to current net interest opportunity equivalents credit our natural is to rate and expense, cash of includes our sheet opportunity top-tier producing which current funds the noted, the is capitalize forward benefit expect organic million which and amortization remains hire our of platform us unique million fiduciary environment presents future It and be and record hedge cash a of to the allows curve on Based our in projections we this level industry-leading Tim important on $XXX increase sustainable and and while with underwriters rising quarters at to XX our cap operating

revenue Given full we EBITDAC our margin raised follows. and XXXX resilient half growth environment, first as outlook year the of adjusted E&S the and our execution strong organic have through for XXXX

of be are which now for XX.X%, revenue XX.X%. the year growth to up and XX.X% XXXX from rate guide organic previous range is between guiding XX.X% We to full the

now previous EBITDAC guiding the XX.X%, to margin our up to adjusted and XX.X% from that full be guide for range year are We XX.X% 'XX XX.X%. the between of

conditions Specialty. exceptional summary, are to than assumes, we performance, In open very the With And we our mind, capable keep given we for we'd Q&A. HX our macro growth excited for saw we like it's with Operator? prudently clearly remain in about favorable updated time, but this the year. the thank and important very to particularly guidance external of in pleased you less business that path Our of call rates, for Ryan is up challenging that, your environment. ahead

Thank you.

Instructions] [Operator Wells comes session. question-and-answer a conducting Fargo. with be now will go question We from Greenspan first Please ahead. Your Elyse

close of Can Hi, you changed well quarter? just And what's evening. thanks. first a in walked pipeline Good close deals. I it away multiples, and how this quarter's happened M&A to My mentioned the and starting the just something know call while guys seen is environment? active transactions we or outlook, announced. had us anything question the with an sense that's larger give with bolt-on something as taking you over last past maybe haven't as Has thinking you get pipeline? I on is a just in to

explanation the have opportunities tuck-ins and are acquisition ready larger of there do larger lot you specific that potentials to Well, of are when very sell. And some was when there's in terms of because they're larger. work to a

projections. planned but Sometimes longer a want. a to the we sometimes and They it's to to takes more identify they'd they get us value as have see bit that their little earlier it evidence than like join, place of to they

found either several. variables. it examination a exactly good wasn't through we cultural Tuck-ins what looked we reasons lots diligence at fit at either And financial many, are or reasons. after felt due there for was So, that we of

competition, there's we closed we will of be of very acquisitions in we importantly of will discrete. usually field that were So, as only fit -- then we will a people lot but most very most all that don't field about destination not lot the be but do people And majority us their any, you're importantly -- And be And We a the for right like we're importantly, compete strategic. of culture know join haven't that importantly, will want acquisitions. of choice. this accretive. our

would who so join we have people we'd them with join to and us working to like like are And us.

haven't reached conclusions yet. We

my slowdown market you're or that then does the second E&S is conservatism? like the coming E&S standard well imply the second are to new as your half And And first just organic to outlook seeing second from question just of Okay. just what seeing expecting year? you're in It this to slowdown on your the in business as relative sounds year no market, is any of slowdown guidance you yet the half a half emerge market.

for just that a outlook now on importantly we've forecast. couple remainder this year The the the year. typical the strong always double-digit our the we're view trying Elyse. to And would HX very -- to. prudent of of by really to I and terms healthiness of great circumstances been incorporates nine that's the Hi and in implied a of we've most of able about of -- is the said seven prudent there and the territory variability his that our lead fact last guide what the calls you good good guide. goal. think felt is hard -- of Tim he But color represent when of now is more sight had to performance how even stay growth like prepared remarks and that still been organic predict market really are it's opportunities, right XX% a to finish we quarter the put you to just had in pretty seen can in quite think quarters the whether it not We're to we've And frankly. But a have if talk what I the line if overachieve questionable in significantly prudent necessary. in

Okay, great. color. Thanks for the

Weston Bloomer question ahead. UBS. go Next Please with

thanks a first taking question. just My one Hey is follow-up Elyse's to for question. my

or that year of there may be difficult thinking with change main back nominal just more between is last about into I'm potentially the that Am from the the first kind interpreting there guidance half is channel, flow really if paper the the the or lower correctly could GDP? overall, second year? and E&S the half the right, variability of So, half is of comps some amount I

what everything Weston we're it know think should sense enough said market trying fortunate the frequently implied the not been strong the to of factored set. to we the really It's just -- you about sum finish, the expectation in. that that to baseline is talking and the of we're that really seize XX% There's make remember we've and environment macro macroenvironment we is recently including what the we've have but to expecting like year about do of mean like the about uncertainty doesn't that where a opportunities we're range that is the the double-digit. and started so because guiding that's if you that we're baseline But

-- I would ahead. add go ahead. ahead. Go Go

I to going was to question. switch another

if you there? So, want to follow-up

achieve to aligned was align. grown field scale that that scale I never the the increased XX%, everything Well, particularly we've until have add insurance that in have going it's just is prudent or order everything growth to properly. to going really wise rate assume a is very -- into brokerage you to of significant in And at to

of saying saying forecast We're just happening nine Now predict or what's it And that not we're that's seven been imprudent out to it's won't. of quarters. that.

as a follow-up, when the just more to of moving going riders curious, stages to start it I'm for once potential to you're it. I pricing or over more at the admitted admitted loss do they seeing Understood. And early I'm And -- adjust that's to know just higher you've another Is due thinking E&S. Ryan in then, due how think in about competition go talked to you to more start see below about? material just would would either cost happen? competition materially the that potentially that not factor is E&S? market just

conditions XX%-plus And that offices. see volume current right and that growth channel. stamping a the the indicate the comes Weston, we from into

And we large some aligned and standard you're to line. referring the do market. continues is led on habitational, grow the and and in of then no for the But some this in to casualty to. channel it a by and flow And perfectly some to flow all construction, are in an other excess groups like I of that what business And think that. E&S example. overshadowed market. decreases in some lines see into flow we cyber, few towers migration see What our see into migration the public real signs That looking we're do some shared into of premium D&O up by healthcare, we property, back standard back in let layered transportation that's So increased as practice channel. the capture cat

letup So in no flow into see that channel. ability we convert to new our the

questions. my Thanks taking Great. for

ahead. Tracy question go with Next Please Barclays. Benguigui

I'm type Thank exposures? you. if receipts increases unit wondering Can of inflationary exposure talking more sales, premium more you values, growth true-up piece comment in right episodic, inflationary you And higher to think not of higher going type about growth gross it I'm economics momentum? now, just some through this on seeing is of respect you're with or can what like is type et maintain of insured cetera.

clearly that we exposure Well, inflation will believe up drive growth.

And premium. in a increase so that's proportional

view So the country. in that's It a depends inflation up. there's of factor driving that's pretty future you certainly how well-established. premiums this on But

In inflationary our expenses terms of our operating majority as ability you variable. to are of know front, adjust the significant

have we so the that variability. benefit And of

think know that compulsory percentage are high our of a principally have products. I also business you we

So they have to they the buy. up, still buy. And go to if rates have

the there's but so pressure, demand that inflationary And consistent.

the high. at And people have those points. just some to keep too so But raising say in mind we we're that premium is point

will a that of take so the And things their to deductible premium. adjust larger that like cost

right come guided to the the in that end both makes broker of the client case the particular the for the client. the wholesale good broker, broker conclusion at choice. that day, from advice by reality retail this the insurers is But solid So the the and

this driver back -- net deductibles and revenue type inflationary that higher different of forth was given flows So your between and quarter? those of organic growth exposures, a that higher

to is driver. if It's will early it But continues be degree. significant more a as a modest it yes it that in but

there arms? it. that because to of larger I'm their you wondering personal Is in play in non-embedded guys somewhere Got the risk wanting push more is about some also talk insurers do within some line state you of that transact? space cat-exposed that the

the specifically, And high personal worth it's we're in. It net of that is active lines part Tracy.

practice a vertical. group have We

And capabilities expertise. authority that in and a have our space. is underwriting our brokerage proprietary capacity delegated combination really that We of

bringing demand significant space. there, impact. and due its capital we're more solutions So very Very, into global that high for to warming

space opportunity us. it's a So, great for

rank would you you And say, amongst on how where lines? personal peers

sure not about I'm that.

published in with talent. some see robust data. I say that worth intuitively practice no But Well, a would we exceptional we the net just very high what homeowners there's marketplace have

that we're space. a So, player in significant

Thank you.

Next Robert Please with question Cox go ahead. Goldman Sachs.

an Hi, organic update have future. is maybe, thanks revenue I regarding a taking question. what base for anticipated. little your growth higher than would foreseeable my It was thoughts your you looking feels for just on like the for double-digit

of And than Can you're the an update years? so, I is kind thinking was -- is what go it just pricing dependent of timeframe is for that looking type of it that? how how like, -- for it about And it on And next on guidance? couple further increases?

and had answer to what we the we market the been first the give to we've that going I'm than the resources and enjoy come. optimistic But that Jeremiah forecasted. the higher has talent all part ball. They're of

we've not well in The we're continued improve know. pick just market. of shocked market that to by that rest you you please. as the up how So, Jeremiah has done

Yes.

specifically foreseeable growth and word growth So, for about the when organic double-digit talk talk about we about talk built future. built we we engine, use our the being

because going those lot Now so it's that's did a of much rate, not and with all a actual the and out of secular And to digits the but is communicate last of far. that industry precision and couple supercharged the people, without engine to but the that past that not example couple just the foreseeable to much have a reason goes We've at so And unwise baseline, double better XX% we're had E&S rate. about we tried features growth benefit to aspects XX%. our future say means And the way us is here can't different predict the try growth to engine like of years. years down gotten on fundamentals, of take a for different dime. a market change forever. the like our tailwinds of recently, too of we've Those that confident secular things growth

when rate capable still growth that going to for years years, come, we organic double-digit comfortable but comfortable mean growth can against fact, double digits of was us do that our XX%. that, for growth can't overemphasize We're that we then. we're enough In foundation our several doesn't printed that engine

Okay. And Thanks. in to you've a talent something year hired to great. regard year that like the your how many even that? your historical or That's in compared to does quarter, sense compare just to hired that or the like percentage base maybe of this Just of history get trying levels. employee people maybe this a as you've how

the also, off to historical they're really But ready of some depth fertile we attracting filling to build a your people question us, and but people because of of of hired A in for a attracting periods numbers really them. and that compared holes players And retire levels small to there several this our specialties. days terms early when to has are performed in been Well large well high-quality people base. for normal directly year to replace talent, retirement additional

to forward. a as emphasizing And leadership analytics. in and we've there we add we've really put talent go to data Additionally, continued ourselves been position,

adding about satisfactorily for this through done that, using period talent the very we've And us, talent. talking we've first two A-level of So quarters. been

question. practice. employee one had for ask, hired a know more just you if benefits And I I leader Great. the could

invest no employee continued benefits at infrastructure this question in either revenues So to in you have talent despite point? is, my or

in quite in analyzing commit the emerging good space we're the choice side, change think, doing willing really those we've of the of capital sector, and for I We shown example, in have identifying the anticipate P&C, ,working who as and market a it. A+ the A getting in I destination job think talent, someone. infrastructure. just And terms And actuarial we're for benefit as a we've of leadership position we're with added talent level executive are joining to made We in that frankly, leadership. brought brought because a some of of we've we've that in that opinion, a And invested they're in targets ready particularly M&A fantastic our the the talent in in with to area, commitment people to targets.

Thank you for your answers.

Bhullar JPMorgan. Please ahead. Jimmy with go question Next

of any market year or in exposure, Hi. Most the you're -- past if questions growth of talk organic quantify the growth to could growth drivers the you in But changes rank your pricing maybe, E&S of market it's then of the my various over and to whether in about terms have were share. just Can drivers or ones you biggest which able the order, been your extent, so? answered.

our should to on marketplace I that because our the our to A-level our biggest of the than faster and growth that's say. had is of commitment, published the and but initial driver winning think peers growing conflicts talent. the to It's I than everybody's And is competitively, factors it's exposure data and independence and this, no our competitors we're clients. also commitment factors, our in right because differentiated commitment us sustaining, there's some been

wholesale the our of an wholesalers. captive You'll as growth And between for those independent. see difference own who stark position, a

on going any not but I'm So data. that, other to into get it's public detail

winning. biggest ahead. doing now. And been market so is The more, years, – yes, winning right XX-plus we've in that strong But it's particularly all we're driver we're the

Typically, business one, strong you long invest see another the a maybe as should lot margins. I'm but to you see this as continue to in of assuming just with you on And intend growth. in type of expansion margins, is growth

would assume commensurately So stable should in assume, that should fairly margins, margins we revenues? or expand at with near least the the term, we in growth

for consistent continue striking XXXX guidance, won't that balance investment healthy beyond and out margins. go Well about I the to we been imperative right of but have

you've growth exceptional us example, studied lead said, does I an banking and the But time. as scale healthy to publicly that see, long Jimmy, I've that by times think most the is are committed and in investments. we're enough our a to margins represented intend of to to of for great to guidance. margin example show make reported it improvement there where expect we -- organic decision this but we right long-term year margin that, most both is growth the a on some basis, years,

going to plan. to stick we're that So

lastly of up with of or the business been any this also brokers. there's retail just flowing I the standard with envisioning E&S of in Are And you Okay. you down? and market, on the -- and share some brokers like consolidation sort commissions retail all of part then to from commission consolidation the structures fee changes think annual the or

No, I think stable. it's very

our It's value strong They relationship add, their over us they us, value add. whether we need commissioned they not over not have use don't we because don't If or with use in think it's bring clients. they mind. us. very We a can bring

believe drives And continue us We fortunately, deliver. about outcomes Execution talk they they they for it. execution. We our and everything do. need clients and so do to we

Thank you.

Thanks for your questions.

from more Shields ahead. coming KBW. Please go one have question with Meyer We

one about Tim, internally Thanks. I have you've talk what's organically than talked then get on repetition. just building real can question going to about one XX-state and Other operation. authority acquisitions, or frequently binding there? a you

locally so these Meyer, give very they authority companies tend regionally underwriting out a to Well, binding were not on authority historically, XX-state basis. and oriented, the and

we've a commercial years, us binding the of small give XX-state strong commercial several aggressively opportunity last partners binding basis. really on distribute the to to more small authority, trading business to allows our and to which all consolidate in get us a been over solutions have So able to authority

big trading there. been electronic a Our has platform investment

before. no platform XX-state have that ability has created a solution-based one we has that so had ever And this

grow small So market, the us. we're to RFPs commercial to for winning we're that bringing and flow increase and in in the continues

in So, great that runway long space. ahead

definition sort helpful. expense to third And That's I sure the a I'm fourth I to that Understood. and the repeat get gave interest not the details. of quarter. of with all then regard you And was Jeremiah, please? you Okay. to hoping got

Yes.

our cap, our that's on expense, year, pieces. interest rate cash. we this earlier is interest our -- income interest of amortization by very We then happy which on but on did. Meyer, interest the So it's to which offset operating we put we're interest three the it's loan it's pay that going term bond, be our It's on also is our the --

So expense see that's why net. our in it's you financials, interest

would quarters, assuming out home current the based major game of take two for and give SOFR next at we M&A. those the best just our as we And guess model much on that just curve, that the no for so of guesswork thought playing

in number XXX quarter corresponding the the second at [ph]. that's But Okay.

Yes.

Perfect. Thank much. very you Okay.

would over to closing turn for I floor the Ryan like to Pat remarks.

you Thank the And and company your of our a proud chance support company enjoy support. continued explain for for questions to and good to you results. thank be our all our your excellent you evening. and have to We your

teleconference. today's concludes This

this at you your lines thank your disconnect and for participation. time, may You