GEE (JOB) 14 Feb 242024 Q1 Earnings call transcript

Hello and welcome to the GEE Group Fiscal 2024 First Quarter Ended December 31, 2023 Earnings and Update Webcast Conference Call. I'm Derek Dewan, Chairman and Chief Executive Officer of GEE Group. I will be hosting today's call.

Joining me as a co-presenter is Kim Thorpe, our Senior Vice President and Chief Financial Officer. Thank you for joining us today.

outlook to 'XX you XX, in first provide with pleasure for Group's XXXX, the our of you fiscal remainder the quarter our foreseeable is future. share fiscal GEE with results and the It XXXX the year for ended December

to Some and of and These performance. represent make current judgment I and may including holds considered forward-looking risks future comments estimates, about expectations actual forward-looking subject differ our the that Kim what are future from predictions, materially and statements. will results be other uncertainties statements our may our

These under risks Tuesday's obligation forward-looking earnings described on captions, forward-looking regarding the and recent forward-looking under in statements and made today's release call. the XX-K our most cautionary safe no statement and caption, assume uncertainties and harbor. are We press Form to statements, and filings safe statements statements SEC harbor update XX-Q, below other

of Reconciliations financial amounts. in margins based measures press metrics we related are trend some included A explanations the about presentation, will growth including rounded items, are will and today around and we of presentation and upon talk this release. During it also address financial the amounts earnings non-GAAP rates, measures. non-GAAP

amounts The are the approximations of and accordingly. call purposes and related this all and percentages items presented

website, For for prepared in today's our remarks Center your of www.geegroup.com. our the convenience, call are Investor available

XXXX, mainly half significant comparable ended XXXX in even COVID-XX it the us to results and from leading economic began difficulties XXXX. to quarter the Economic bounce and the in and following quarter from decline worsened in December calendar fiscal XXXX, more stemming Xst significant XX, earlier industry second in faced XX, labor the Xst worsen calendar XXXX our We for and market XXXX and of conditions market December uncertainty. the instability ended fiscal XXXX, in

the fiscal loss a for EBITDA per $XXX,XXX, and $X.X non-GAAP Consolidated and XXXX profit million for adjusted $XX.X gross we the $X.X the or Xst Xst XXXX was for were net quarter. XXXX million reported revenues XX.X%, of margin were fiscal $X.XX million quarter. Xst respectively, Consolidated share fiscal minus quarter. Gross diluted and

pullback The fiscal in demand direct services driven the placement in that recovery high bounce placement in by in quarter results the record fiscal results fiscal by shortfall services, for relative of XXXX XXXX were prior Xst direct of Xst time. those for contributed particular, The above hire the hire to led first significant XXXX, demand normal post-COVID quarter XXXX. quarter at the to

consistently a at through facing are by as still staffing including our performance The least half compares U.S. industry calendar challenges first the are peers XXXX. whole, tracks with we industry of all expected to us, faced and Our similar as challenges. the being continue

company Directors assist would our allocation engaged mergers, at review some the Kim, our investment December million acquisitions under XX, it X.X X% over over stock strategies, firm, others, of alternatives of to Before touch share achievements. the XXXX, Advisory, of beginning just of repurchase In JOB concluded our share base recent Board I XXXX, of shares capital to common and the which Committee purchased includes with future or on outstanding program. I strategic turn banking M&A which the We to December including DC the of repurchases. the like program shares on we

to Advisory's this be findings initial M&A to as presented as the to expect receive soon or DC next. We week committee

businesses the is eventual this into want an sole focus now and impact assure everyone recovery. through objective of future manage for its immediate downturn I negative to the our our to with and minimizing that preparing on

our in with borrowing well capacity conditions. to and and are successfully sheet balance the navigate our hardened prepared form very poor cash have substantial We liquidity of economic present

that stock believe grow. to has continue undervalued We room is and also substantial to our

finally, They best of the to the every want and in our extremely success. thank I most achievements wonderful our a are day our Kim, important hard and dedicated turn service. associates. They factor employees I get to our company's work very clients And key before to over it future ensure that driver

President At I'll XXXX Kim? our time, to further our Senior turn call over this the quarter Kim will elaborate Chief on results. Thorpe, Financial Officer, Vice fiscal and who Xst

you, Thank morning. and Derek, good

the Derek conditions. fiscal fiscal of to those million. due the Xst quarter mainly XXXX the XXXX were fiscal quarter down revenue of as compared XXXX mentioned, the Xst $XX.X revenues $XX.X significant Results XXXX in quarter for fiscal As for million, XX% quarter to comparison Xst Xst economic declined to worsening

achieved also employment labor XXXX, XX, This first was XXXX as mentioned calendar our the what -- throughout portion later the December Xst businesses quarter in XXXX, minute record industry, markets about including of gave of performance XXXX. to XXXX worsened driven our and ago, to in surrounding quarter recovery way ended returning the and fiscal and Derek year, -- have in in bounce a We leading some further a uncertainties some decreases XXXX is post-COVID-XX by the the impacted through that orders economy negatively for in calendar placements concerns trends.

of all $XX.X services million, industrial Professional services as quarter. Xst million revenue decreased XX% to revenue XXXX XX% XXXX contract and represents revenue, revenue which the XX% Professional revenue or and of X% services XX% services of quarter-over-quarter. and $X.X represents which or quarter revenue, quarter-over-quarter. Industrial revenues contract all staffing million contract $X.X of all down for decreased contract fiscal total contract Xst XX% fiscal compared X% services were

Direct labor from discussed those as orders orders, labor the market XXXX well Xst with as in direct revenues. temporary and for fiscal contributed to revenues to hire to revenues. XXXX quarter down Again, leading quarter XX% in compared hire decrease the fiscal million, contract as clients were fill our a decline and $X.X previously the factors economic Xst

placements direct part placements. of XX, XXXX direct to Furthermore, bounce versus usually at in and first end calendar temporary the record downturn was hire that economic and earlier, impacted of quarter resurgence XXXX, negatively year As I the of ended mentioned in uncertainties post-COVID-XX to Derek economic be an fiscal a is Xst XXXX. are XXXX experience and the the hire labor for such as December placements high since

quarter down Gross $XX.X XXXX profit compared the Xst quarter XX% as million. of $X.X for fiscal the million, to profit was fiscal XXXX Xst gross

and and business are gross I'm gross mainly direct decline has which business to were XXXX for direct in profit for attributable XX.X% attributable margins margin overall in Our decreases mainly XXX% fiscal to the and margin. XXXX the fiscal the XX% hire sorry, -- respectively. gross Xst are hire These or the quarters, in gross quarter Xst decline XXXX

only margin to services basis the Our XX.X% gross for the Xst a Xst professional fiscal XXXX contract XX% fiscal decline was of quarter quarter, for points. XX compared XXXX

Our gross the basis Xst of an quarter, which for margin XXXX Services was Xst was Light XXXX quarter compared XX points. fiscal fiscal Industrial the with increase for XX% XX.X%

costs, XXXX to lower Despite of fiscal margins, competitors. lower the with with and increase attributable revenues Xst fiscal compared and in $XX.X and nonrecurring and costs, relative to expenses software administrative general quarter extent, profit for is others, quarter fiscal relative lesser expenses, business quarter-over-quarter, primarily which revenue SG&A, quarter. of tracking a expenses, sourcing compared for with expenses SG&A overall, million, and Xst compared Xst Xst our gross those XXXX remain for of subscriptions fiscal fixed including margins The current proportionately and XX.X% our XX.X% XX% increased gross certain XXXX as relatively were SG&A to this occupancy as quarter. Selling, associated with high down applicant the other operations. revenues, XXXX personnel-related core were to

a or share, $X of million Xst loss, negative per a fiscal quarter the XXXX share non-GAAP $XXX,XXX share for measure down XXXX or $X.XX $X.XX diluted or XXXX share, net or diluted which for quarter. net $X.X $X.XX per for reported a to is million for We a income fiscal million Xst $X.X fiscal fiscal was of quarter per XXXX quarter. loss the negative Xst negative compared diluted down as per Xst the $X.XX Adjusted financial $XXX,XXX net diluted compared with million $X.X

for lower losses hire business mainly result profit previously XXXX reported gross Our again, discussed. fiscal quarter, the of Xst revenue direct net and and placements the on margin decreases in the are gross

financial is XXXX $XXX,XXX, measure, a as $X for with quarter. down compared million EBITDA, non-GAAP fiscal negative Xst $X.X for a Xst XXXX quarter was million Adjusted which fiscal the

as the quarter flow fiscal capital or ratio XX was working as X.X:X, December activities X.X:X XX, $XXX,XXX XXXX. reported ended September of XX, up of negative basis Our XXXX. XX, Xst of current for from operating XXXX XXXX, points from December We cash

we outstanding position no liquidity had very remains strong, Our and debt.

$X.XX, value share net and book book net tangible and per December $X.XX, per XX, Our value were respectively, as of share XXXX.

with quarter disappointed obviously results. Xst fiscal conclude, To XXXX we're our

outlook our current in we and XXXX, -- economic and remainder market labor cautious remain we of However, the uncertainties. fiscal considering remain for

for under optimistic have the remain term demonstrated consistently we conditions. better do economic we long can and however, produce Importantly, earnings

it Before today note back our in measures their non-GAAP release. to financial with GEE can discussed please Group's I turn schedules be included the counterparts that in reconciliation GAAP earnings Derek, over supplemental found of

Now over I'll turn the Derek. back call to

and At the our facility. managing its economic for an services, million demand million recovery. bank we in businesses challenges staffing preparing under $XX.X XXXX, XX, cash ABL availability aggressively inevitable Kim. headwinds in you, December Thank had Despite and and for $X.X our company another industry-specific are impacting

returns. uses consistently of Group's We for of the will to our capital shareholder evaluating continue benefit strategic to work hard including maximize GEE shareholders,

to have dedication. all their wonderful Before I for have we with we a all your things thank accomplished employees special shared hard our take you questions, work say Without professionalism, we them, pause today. to again, to, not could want good of the you and

back will just Now I question answer to there's come ask Kim a rejoin we'll questions. queue and time, follow-up If you Thank to you. needed. and as for the with one Please be questions. your additional happy

a and So thought December first plan question regarding plan that is XXXX. process? buyback expired stock reinstating consider XXst buyback Would the the we of the

we bank, latter to the waiting maximum findings the of utilization or this of from forth all they including the for expect will Advisory, are our set soon week use either our will which investment our have evaluate DC respect part capital. that with alternatives, week. which next capital, options we of strategic And We

regarding We also findings with you there. will the communicate back

So we are credit-wise. well and cash-wise positioned

We have no debt.

debt, Kim, would you to like very, shape. good long-term by debt. mean add And to we're that? So I in anything very

the well I quarter No. we're disappointing, than done after actually. I out, pandemic know is the for but I point very like the came we're pandemic prepared this. out think We it -- before. mean before We've stronger I to would

I wouldn't don't anything I -- to So add. have

we questions DC the report strategic to the of And review. One do with strategic Advisory -- company alternatives much again. going how are wait discuss has the to those on to in further for to next our question spend

based that, us. held I on is with believe agreement that Advisory's confidential DC

cost very forward us very, can't really were their low there, process, and though, about conscious I I about So discuss are rate. working would very that. good to at good findings. felt look I we with very and say, a they we the very, And

what things So one would the question produce? strategic is review

And use as the we'll so report, we'll talk best M&A forth. I there. about And of our when and we doing talk get we're more mentioned, strategy capital, what the about

the On $X.XX? buy a you if at basis, like buyback, like you to it stock long-term would

buyback a trend I'd stock XXXX. was to dip line comment business, the our to recessionary at trends. it I like also you'll want And thus buy see XXXX, The on successful $X, far. frankly. But in quite program for

rapid XXXX in a The rise good dip volume. doesn't that is You'll again, is the recovery And facing what now. see business in it thing we're show same to XXXX.

for preparing to meet preparing sales rise. rapid the recruiting personnel and we're are the hiring We demand. the And is way

demand we SG&A Also, our It's dropped job few expectation be it revenue because of arrows for in SG&A future. almost see a months. recovery back significantly, keep future work will bit, the you but in up if as could In your log it near there some point to quiver can is revenue mean a the $X But to of quarter. in order near X a But the be this have months, cut to check. the bone X drop. don't percentage orders. can want SG&A at we SG&A we on a in the million

on keep can I've you the and I posted it through recovery enjoy that. you, So been period. before, I we really will tell

[Technical Difficulty]

had Hello, some mic. Derek, think you has Derek his with there? difficulty I

take I'll to in step questions. try a couple these So and of over

more the levels, at December expired to What's does program plan repurchase buy it new sense The these make stock? 'XX.

DC that along portions the Advisory the review. other with at is looking definitely of

the complete week to a As Derek have or this they to said, week report intend either review next our to M&A and us committee.

leading directors. is committee compressed M&A that Our of it's project, entirely independent

of realm we in the And so take it's very something governance. seriously that

selling at the a Does the review serious company? strategic include alternatives look

pathways All be alternatives will reviewed in review. strategic the

here, the Although under there's you conditions? selling these would another question consider company

and for opinion, to I rather and sell think prefer opposite. I than as well high I speak personal the low own Derek as My sell

been I demand Well, some on has the a up on a Kim, also second. question. macroeconomic thing that there's on but listened technical add based need in It's to environment. I've a So I've [indiscernible] no, little And industry, and can the cyclicality sector. -- people glitch remember in downs the one it But for

I've So through cycles very exited -- multiple lived and well as and successfully.

So to the this then build comment point, as next have to where that value. at shareholder And get to you is our first back and public company, business it a at to least we level. was about have the maximize

catch out will on a it. for the well sure fine. towards longer. of lower positioned That's what is XXXX We're the but hopeful we're and part flattened latter that upswing demand, pretty seeing. do We're because of that we of the to bit takes little All possible which very

We anything top the ordinary. business we rash to of don't the do keep bottom both have But and and about managing any line forward. to prudent out decisions in the be to do driving be the have

peer XX.X%, have -- another margins volume which and very also our holding. gross way, placement to contract the take XX% question. terms pricing driven the even our roughly in our down it. By a verticals, by margins. from that group the The holding We we're But or me with is also third firm either on our value well, decline, is industry proposition let second influences are margin, for of the great in gross

add I Derek, may something?

sure. Yes,

it So this perspective take more put this. let think don't seriously. folks to want to very perspective, attempt some me loss this put in put take But -- around don't this seriously. I that we the We quarter to

did $XXX generated our In we almost million offering, in million we've $XXX gross quarters in since the last XX revenue, profit. follow-on

the across margin gross end high was our XX.X%, quarters of Our XX all industry. is which in

that over higher, work I and that EBITDA X%. been adjusted will. about to need mean over Our period, has getting been has we obviously -- we cumulative, on

Our net X.X%. $XX been income over that has or million period

went of the not cumulative at since follow-on but Our share flow has earnings million $X.XX, And been $XX.X offering out $X.XX that we've the least, in $X.XX the price offering per on. in free XX% cash generated quarters. last XX

-- XXXX, had of since first fourth a the of the of small first was $XXX,XXX. the is quarter we've quarter loss XXXX about This loss which net

a that I to are anxious we this long we're want more managing just we for juice believe So the to the know get and company everybody recovery. term, lot that it's to and got

Thank you, Kim.

So one the do times slightly And you going business are in repeated and your going few to was questions different happen format what verticals? how forward? is of a other was a it think

technology changing. of layoffs And some demand, projects client sector. vertical were So in coupled by orders. is each that information the getting you business a of some teed internally done with halted the issues slowly our were labor That supply had to up companies. fill big there being in And decrease know, the as that

to starting warm up. is That

So upward turns it accounting example, know can't that predict when real which was well. swing, again, that we're and happens. of historically, impacted, time for will it's we will quarter The happened take happen, a and we time but do And but as also and for finance, that prepared it. vertical that

we cash, those it how price. and that up. that for catch need do pricing on use and will they you get we questions position come growth So and And tell have and to the value I the so have what's acquisitions, Strategic profitability the upswing. positioned can our alternatives, shareholders company on will continue our will

of the downturn. Acquisition somewhat are muted because prices now

in or it. so forward EBITDA synergies the comes all Xx alternatives But and option they an and forth, But have They X are down multiple the that you when Xx? deals, to the are. for with if will we report review the again, move bring with with these or judiciously us. to range becomes So X strategic

of We The XXXX. bust then. dot-com 'XX my the and the had XXXX, positioned [indiscernible] have in well same it. are to well [indiscernible] capture was with positioned. We kind And done prior

us there's horsepower we're plan, the thoughtful largest to So our the key to with and shareholder. doing can decisions, for tell active And participation Board we strategic make but be what you our to including in rash is I not have succeed.

to guidance the have succeed. We

couple expertise indicators. report and outlook, internally to a place can mean have management we up, and on in and I'm help the you but will of the We indicators very business oversight quarters have coming we bullish to in the the about long-term we Board that those should see us by drive forward. very,

nor the And in I I the our we what the our as company, an critical check least also gut and that satisfied the the performance can not today. coming. of have stock of that obligation anticipate success is every But business aspect with to position for our leader business We're our deliver price. aspect most of

prepared. are We

take we positioned and don't will waiting of it. advantage that. to you have will when business for growth, decisions well We do not make we're to, rash and Patiently

[Technical Difficulty]

We're going back get to second give to on. Derek a

I'm yes, question? Kim, glitch take technical we're back another you good. there. want a a I But had shot at on. do to

-- in let mean, go see, grew weakness the by to? Yes. economic X.X% XQ I in and XQ, you're here, referring to let's is where me X.X% GDP

alone not how is. does economy dictate GDP There's the question. no

television rates. the interest panacea We the have of not all only you figures time. still not indicator. the keep getting out inflation It's downward. rising on job there. a There's inflation, high It's that threat adjusted The see

economic or broader [indiscernible] GDP. by is our look including all pinned go extent can uncertainty than X/X at down being still the to others. we're indication is The X at peers And you this some a look just to and verify

to that. answer the that's So

setting analysts in like and here expectations of Where with are Wall do Can better XQ? looking a Street? you job the trends

don't -- XXXX. because from to maintain we given you expensive guidance to do systems have to as then create not need the reliable. it's always and a as the and as guidance trying trends we term we to We're about We it's But policy talked to the XXXX can. directional provide very and much

at look associations. the will analysts you largest saying, staffing other releases If what were of that we're other staffing industry trade the firms out bear

and You read will bear it can we're out online go saying. publications, what their

buying was you nothing then in so back aggressive at stock were $X.XX Why lower? and

the as the from the We bought back back the bought time XX. December of steadily lot ended to of implemented We it a stock. in way we time XXXX all program

and XX% abandon that adviser to necessarily for we'll a together. downturn the and independent them. was but It are weeks. few kinds an prices what doesn't about that all our it that about say I'm strategic We all abandoned the to midst the prudent pause expert and to economy in we're has it has sorry, of it Board Given on that it, a or of lower. at our fact like the -- We'll from it we not feels felt We report $X.XX see get alternatives. mean how back bought

lot is are then And that that day the we speculators could of about trading you a share upset stock rest is the X share. has our lot X in selling you a -- revenue that people only are million, liquidate too. at it, I termers upset there The price. than -- at tangible the indicating business $X.XX. million. lot We're price our there of $X and I stock last net short $XXX can about -- business, are value there's book look, of people less means $XXX all being, theoretically realize our suggesting doing think, is tell a years all worth out company you a Yes, $X.XX a produced million All I our $X.XX of

taking confident much -- We like but more to and stock recovery this hits. are We've undervalued do up can the we is we're time when either, back the we that. it's proven going that don't come

few add a me Kim. Let things,

the job the a [indiscernible] happen. It's in are as some We orders. ball great upswing. bottom We will gradual we better process, have don't at flattened environment. macro So the a upswing crystal seeing and at we this believe to usually point some in position catch to are calamity quarter which a other the great we

so revenue had the questions macro first environment all, Well, of of is quarter to in group comparable has it ranging from one And like was, our reductions the not XX% bad. well, peer looks upon VMS they whether retail they location operate, the accounts, accounts they related Depending so vertical they're have whether XX%. which geographic on the accounts, volume forth. whether and and have and in MSP

revenue I just post-COVID, there care, government, and so give some then the some and XX% it's physicians during health down down XX% only are filled which the COVID lower-end Half, their industry to a great firm, an if Healthcare, the forth, nursing, got that and to and giant it's example, actually was group and However, jobs a Robert health in from And great cuts across the care Their today is back hospitality has has similar being economists you were And care ours. Board. layoffs. care down. I'll perm and predicted the bit and go because staffing demand in epidemic, line. health had CEO AMN to you business been is top health

by side business, was U.S. the staffing business. some U.S. The the down. from And came the buffers, way, European not for the from companies the larger of

business now French catching For is their but example, manpower it too.

also from we've to at meeting different while, So we point do an I economists, for that broken but point be is ones, went and standpoint the unusual be the anticipated X been they industry an this will one. macroeconomics saying. by down and bumpy They exactly believe recovery, the to not what may there to a

to And realize there it also have called post-COVID was we XXXX, bounce. that the hiring boom a we in

Projects XXXX latter the be start. we then not upswing. And will leveled off. started. It's finished, mark it's force toward part think labor but for And so adjusting the the there'll

and That on business Now corporate interest damper and for Inflationary forth. little wages. a America went up. put rates project so trends

held. Our margins have

XXX% influence is yes. related. holding? profit. on was your perm The are your profits spreads and was is questions your gross gross The at the Perm of answer pricing and One margin gross

margin if perm, impacts say gross in move forward. But it to the positioned have you So we're the I well can less safely aggregate.

take will line restore We get and top on. the focused to actions again. what that's And humming profitability we're necessary

we you but at shareholders at direction satisfied parties have we that some as great the on get we you don't And in start with be. of need we to least level, appreciate here we for -- performance being but this this we And the not ask out are team. level at interested patience, that and we're optimistic the and moving will

I regions Now but will mitigated by longer-term upward. somewhat outlook. should tell And of They're in country that you, very still come in we have the those different optimistic signs are at that the verticals ticking different flat, we're around.

to have employees because usually let there's didn't back. retaining I made say want safely hit what sheet-wise. layoffs key a that a 'XX by it's contract or can in full-time more don't first get the that that would thing have holding off in type them say even company happens balance well they're think decline similar of economists. core employees a One client those cut I the difficult when saw predicted is it was aren't bubble, and point labor same business they warrant if The them I significant happening we're this in 'XX because thing placement We when XXXX, business to because this employment, on perm peak, happen. So And a to and a staffing. staff did hit to the the and there of before lay was what companies get permanent -- on in is a the doing the then is go. I was get reason been positioned

going has So that on. trend been

good our is later, business. or Sooner activity for

because layoffs, So again. a the perm we'll hire hire recovery then they'll if initially contract of bunch benefit from they'll there's and

it dissected that's employment So labor board. they out in the it's showing cycle and the the permanent aggregate, have historically economists not this. was total across in are down, it They're the staffing and why temp and but companies from bad why hires predicted borne was and then

off, say have XXXX? of It's where will will then was that an And as leveled start we optimism C-suite you be will in is I don't starting The we when to, be all resounding meeting have we I of answer that breakout it part executives are They should the off. first, index is, were the said, to occurring. that upswing? but the at went yes, believe leveled the XXXX. high. know I catching And it that latter

Nonetheless, positioned. well we're

take on aggressive and action line. will top We bottom both [indiscernible]

We have great talent we're great people and competitors. to talent, to internally, think they place great coming be talent a and are it's for because from coming adding jobs us great

hiring to revenue feel only good the and recruiters, deliver right about we will point we So that and income and net are they production get forward personnel, results need EBITDA because back at account this managers salespeople and we propel the on track.

trying to answers global questions. to Kim, do anything? give you want similar I'm some add to

directly... AI, on it's X or and question I a not been know there's Derek, Yes.

Yes, I let -- that. cover covered me

and at benefit us anticipate top and AI internally also at AI we was we business staffing that. placing and Would benefit The for AI So customers. sure, doing expertise critical a recent it for our of XX also element how will the meeting. discussed. trends AI our covered from were with

In or focused placements I our our have different also the tools for side, capability leadership recruiting. and and those individuals sector, now, of AI the on the at to are AI very through in also integrated AI leaders that the and studying the I we're sophisticated vertical various very, IT IT cybersecurity into the on client we right call IT growing what have bring in doing companies. will personnel recruiting, We're company

[Audio for the Gap] orders, job getting we're positions. which

and have is tech a the we that across it. That's on growth important driving technology a the spectrum, what's and business think I for us. adding side, is area we're And to significant huge period practice

placement both questions add And aggressively how professionals. that? for and with as of one dealing internal [indiscernible] my Cyber's of you So very Kim, AI want anything the of do into well are to for response to is you was, areas. it? both use those

No.

part some be anything be point, of again, yes, no, at strategic -- alternatives. think this are the going and There to lot don't But are think, of these here. questions I else areas I covered, have good a conversation around I Derek.

strategically we're as follow-up available can we thing we that take will Good. opportunity, that the And Okay. is need which that move forward we ask advantage to to on. be Look, there. that is will the I out of to believe profitability back track always do we get And one necessary. aggressively, for everything doing growth are and to

in will and spend money also been. have be our We judicious how we

very of company very, this prudent, we aspects be where will So longer-term will be. we on and the are optimistic

We will point strategic report after some a the those. on chance had alternatives at to look back we've at

plan that broad anticipate what have value, doing. which shareholder I key to we're And to is grow we'll a

We have a team. great also

Our employees on get growth. are paid optimistic. They

So driven we to that. all they connected are and are

we're very specific the about to economies done interest high very, the you that's key best prospects. rates, in is down prove have dissect happening you block employment and industry. tackle to Macro very the have we what what's choppy, these excited and buckle some now just future inflation, that's at, actually to -- look statistics out that to and have and So And deliver can. environment it

things. look We today. touch. call forward you So for be you joining to us appreciate good now, Thank And very in and some much. that our we concludes we'll

you, folks. Thank