ResMed (RMD) 29 Oct 212022 Q1 Earnings call transcript

Hello, and welcome to the ResMed First Quarter Fiscal 2022 Earnings Conference Call and Webcast. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. We ask that you please ask one question then return to the queue during the Q&A session. [Operator Instructions] As a reminder, this conference is being recorded. to Investor call for Relations pleasure Wakeham, to ResMed. my President, Vice and now turn over the Amy It's Corporate Communications Please Amy. go ahead,

ResMed's the XXXX both section you, and quarter available This a with With you our Brett Investor call Thank corporate Kevin. Relations Chief webcast everyone, of presentation, be us. of welcome earnings call which Great. live press today, Financial available are being Chief Mick the and the website on Hello, for joining fiscal copy will release call. earnings to ResMed's Executive year is We replay thank and first now. the me along Officer, are Farrell; later today Sandercock. Officer, on and

call, by General be our David Chief business; Brett During Pendarvis, of President the and Care Administrative portion Mick Rob Global Officer; our Sleep Officer the joined Counsel. Jim Hollingshead, our and Chief Operating President of will Douglas, Respiratory and & Q&A and

will we measures. call, today's discuss During non-GAAP some

a earnings not For release ResMed's of statements, may but non-GAAP appendix forward-looking the expectations review to, results believe a the or earnings on please differ. the in may include measures, today's assumptions, future based however, And our notes performance. reasonable discussion press as including, reminder, statements today of about We these limited presentation. reconciliation the are our actual

our statements to I'll for our turn discussion a call filings of made Mick. review the that, factors any SEC to actual results cause over to that differ risk today. encouraged could are materially You the from With forward-looking

the fiscal XXXX. as us our of first stakeholders quarter we of and joining year Amy, Thanks, all our to review for results quarter, you today September thank for

this want well of results growth our and for We continuing bottom metrics by double-digit quarter our COVID-XX. achieved line achieving I as strong high as easy recovery be at not respiratory and business, these clear results first top to both that demand buoyed care many of from business. across quarter. has devices demonstrate markets Our our sleep been extremely performance the

an with industry but perfect dealing including the that's elements, impacting not multiple a any than chain call constraints in date, are what supply recovery, higher recall a and COVID – including our ten-fold competitor to unprecedented recall have would also of only I industry that's that incredibly of We I'm to working are storm the we worldwide. XXxX ResMedians meet Despite demand. efforts, industries and of able get all who most. them we extraordinary into our whom patients our to many been across the hands teams, these global not proud of solutions of the products need that know are but

number and As the competitor, that market our for two leader, facing volume position number the in In mid-June announced share the our position created effect, providing number has market. of trying challenge we the one share a the two market around to are much unprecedented dislocations position, is own recall also the meet in world. as market possible market share their of that as

suppliers chain on side. crisis, have our to been components the Given us the allocating inbound supply

on products our outbound customers. allocate the to forced been to turn, in side have, We our

having first. on and same with the for I of delivery on the production for the needs our have the patients devices suppliers principles supply giving meet that are the of clear so suppliers customers that been ones that acuity allocation we are priority our their The We that of our with namely up and have conversations and guiding to products, chain. my allocation highest am I

of that the with the way we still down us facing theirs, increased chain achieved all get I'm we goal not allocation the it difficulty that that situation then kidding. example our Zoom during and As by on suppliers, to and challenge supply The with then That's customers very I the week analysis supply day degree our manufacturer. customers the that dive actually changing of one allocation to with increased was an of But working gets fluid, suppliers, face call and to for manufactured ongoing, agreed suppliers, ResMed and from sent suppliers, that one of are example, into quarter, to by our received and suppliers, patients. are We And a chain of to upon week component negotiations chain suppliers, ResMed day, manufacturer. and ensure five the team. a just ResMed, month of ultimately gets is by high month. products and to

Black Sigma these incredible chain especially working to supply components, Six to electronic restrict semiconductor critical net chips continue bottlenecks specialists of limit In ultimately We access short, have output. Belt production supply laden on our that team an XX/X. issues our

products. respond to the facilities as of the our component flow are addition supply the the ongoing very combination of distribution manufacturing shortages and ResMed and demand ultimately, customers In seafreight makes smooth to huge bottlenecks and difficult. to The our from transportation steady to as warehouses want products issues, challenges providing to rapidly costs and impacting for airfreight we ability further and market of increasing component

the working our closely need to production to critical increase with of devices. components everything incredibly can global are medical gain access additional supply doing to We supply further that partners, chain we our of we

equipment a most situation stakeholders patient. will continue medical that with We important the and the groups, all home customer the as physicians, this is develops. coordinate situation for understand providers, our difficult payers We customer, including all to of

other well be one COPD, and number best treatment critical doing diseases as need help will for apnea, Our asthma as for priority out-of-hospital patients, those sleep respiratory who care. our always chronic to for for

ensure the need they when where it. patients it to get they goal need need, therapy and they that is that Our

Let's now discuss conditions the overall in our industry. market

operate peak stages of in seeing a post-COVID at in. We the demand countries of we flow. in process They are patient steady remain that various new ongoing of recovery recovery terms the

globally to lab levels capacity XX% roll from XXX% These metrics XX% of and and and arise vaccines others. We out flow will continue plus as perturbations. coronavirus in variants flow pre-COVID of as pre-COVID sleep levels up are seeing cause the some new of divergence a patient and to temporary ebb and countries, in still to total boosters in

ResMed to working care as and global and care transition national, for Our the systems, and health governments health home supply patients. providers remains with hospitals for city and as well state acute ventilators, team committed to training local the the masks the affected

business. as as three health digital sleep design, to world-leading August, deliver two, update very to In as develop care me can our and are on launched device to launch apnea, to our pivot asthma we one, priorities that Let the been now scaled core grow three businesses; delivered our three, grow the especially and short, the grow and software solutions core we globally; hospital you differentiate and best back be and COPD These that well medical platform world's call home. devices next-generation States has innovate XX that In solutions in outside AirSense market. successful. into United our we for the strategic and

introducing will soon. very be the countries into AirSense additional XX We

Our amazing market-leading this accelerated R&D team the launch innovation. of

app accelerating another latest firsthand which the Sleep I double on our able to almost the of of launch called for as to in faster. uptake an AirSense innovations patient-centric AirSense ongoing meeting remains the responses XX, both very First, been full their AirSense insights strong. to person, by positive. as And is the of tells XX the combination SirSense expanding partners, very, Globally, the uptake addition, check-in clear APAP myAir, such and this data, better is still customers. launch, XX rate and providers Clearly, date it all adoption XX, volume the Society has customer quarter, market-leading the me and benefits total to benefits earlier the bring during as that with launch that personal controlled AirSense for XX. physicians, XX, AirSense upgraded benefits to software levels was controlled we product with market additional the XX. feedback, ResMed. available entire to and healthcare and more sell actually, customers, device therapy provider to AirSense patient on maximize the care app the the observe was it that and continue well the platforms XX the AirSense is platform, of than the bed product the very payers are benefits was CPAP, what California AirSense launch, early it not in the to myAir legacy responses to assistant, outcomes. and incredible for patients the and more this platform, and product to the to What's only then by It's systems but Physician, XX me success attend and our the feedback able initial into I combined detailed product for

advances, As XX is represent AirSense it many devices a rich All a technical comms only with AirSense outcomes systems. digital physicians improve and also patient-centric to health use, very and deliver features therapeutic upgraded within patient and digital to XX not with healthcare health cloud cost that own are is proven to experience. clinical able easy technology providers that connectable XXX% X-way adherence to offers platform increase health reductions set up significant

with presented virtually engaging last Day, of This we part industry. held in at digitally ResMed as the Investor patients a before XXXX our in this are is therapy strategy, We their critical quarter. never the which like during

markets, EctoSense's help flow increasing consumers diagnosis bring support growth X, solutions including sleep We to markets as is sleep to We in has this critical awareness. care, the to experience excited in well sleep reliable, to that patients. and increase the vein, reimbursed well our acquire our operate of care Belgium. acceptance sleep approaches million screening business seamless unit, we be long-term sleep we're innovative apnea more technology COVID-XX that, testing as to mission. With leader our In markets of within to apnea. and can scale our technology technology awareness, remote technology closed can aspect and for will to tests. forward. on sleep this to lab We a apnea this an cost-effective key rates, and consumer cloud diagnostics. as our apnea in global easy-to-use digital as and adoption and technicians, hands device sufferers move transaction in a general sleep of October home EctoSense digital from clinically as want we and easy-to-use of enables sleep significantly and and the respiratory health linked XXX home-based a apnea low-cost, awareness work apnea sleep believe sleep physicians connected is worldwide, EctoSense, Another want both tool advanced

respiratory COPD patients million serve XXX XXX to worldwide. on strategy our discussion asthma the now me better business, and care focusing patients our Let turn of the a to million

to by respiratory and and support of the the devices our as with Our ensure solutions, ventilation noninvasive areas especially level physicians core goal where patients outside aligned ventilation most pharmaceutical the that care This providers long-term offerings. strategy to millions reach need patients, is such ventilation of as patients. our States hundreds priority shifted of for and for highest that specifically in support newer manufacturing meets flow life beyond first. well our therapy life those and noninvasive life throughout demand including markets needs to ventilation acuity those support, United focus including the delivery delivery ventilation, is solutions severe ventilation therapeutic quarter, or Demand for with support support and solutions COPD strong the cloud-connected noninvasive of and high was as

in growth that and acute with the respiratory supply inventory with the ongoing customers throughout well their made balance of balancing as are care pandemic as We to ventilation ventilators as chronic market coronavirus it they the needs. the patient demand

is of The provided and being to adoption AirView Europe that solution been for care systems the software very ventilation ventilation helpful through for physicians year world. on the around becoming the COVID, health not that it rapid systems. they the ventilation we standard basis little see care ongoing In continue valuable expand operate care to continue can future, regions this patients in AirView has during in. in many and a on AirView I ago, an protocols we home-based but health to for only to a increasingly see not-too-distant them of launched We over for technology value

Let Software a me business our for review care. Service as now out-of-hospital

and ReSupply solutions, home-based we well and in Snap During pandemic of patient improve care to as and software business, business care. continue our the for and health has our utilize The products, skilled continued quarter, to in including tailwinds of customers year-on-year medical particularly SaaS our and challenging home and as SaaS settings. markets, business optimize across grow equipment digits home-based the nursing grew mid-single with medical The they facilities. been efficiencies home home some facility-based and our care providing including Brightree portfolio data verticals for equipment our as our is COVID-XX growth

positive However, care we improve and rates settings. of are trends across census patients SNFs other seeing as facility-based

We to at the around flow this and cases ebb slower continue COVID will rates watch closely slower as country. and

We verticals, ease. as for for expect pent-up customer in new demand COVID there restrictions to our us investments continue to SaaS technology pipeline be opportunities provides to which these increase

we As software our end by mid to from SaaS to back look expect at growth of of revenue year. the fiscal increasing we this portfolio growth solutions, high single-digit single-digit accelerate,

market rates continue meet these market always, to share. innovate as beat As our growth goal or and is we take to

software markets. a mission-critical provider leading the attractive solutions SaaS strategic of provide are for We care, we set broad very out-of-hospital of across and

positioned, value our ResMed we are created differentiated for portfolio. SaaS We with and uniquely have

through We future for through tuck-in selective commercial as excellence acceleration and are up innovation set strategic sustainable well partnerships M&A ongoing M&A investments, as growth opportunities.

solutions. portfolio business care the sleep of strategy our our and at long-term of respiratory innovative pipeline and as ResMed's across in as remain SaaS we Looking solutions, confident our well

medical combined positioned other to physician-centric chronic are and that respiratory with continue winning in COPD, ResMed markets apnea, asthma provider-centric approach, Our vastly culture, and unique means patient-centric, the sleep diseases. well of our we underserved

care We out-of-hospital are scale. at transforming

countries the medical are tables of over care providers, market health to worldwide, physicians, and the data cloud With leading billion value payers bedside are in patients, XX.X digital over We XX we nights health XX connectable in XXX data from now, on in XXX% entire these and unlocking technology. cloud million, devices help billion systems. medical nights

and goal million every ResMedians We Our through me goal drives quarter. to mission and improve that lives this made toward XXXX, and XXX motivates day. healthcare excellent better again in progress

the hard once work and remarks, hand the Brett gratitude and call express want my dedication than thanks these during perseverance, for to again I and his to X,XXX ResMedians for more to unprecedented times. Before over ongoing sincere I their

the provide of Sydney, You, up save call team, support back helped of now Brett? our ongoing over needs open of some industry. industry last the for thousands all have with our with then have XX lives the pivoted hundreds that, that And you we'll COVID-XX, to the world call already and around months. now are people you. to challenging ResMed you many most Thank Brett of the those emergency these hand customers in seen during With in and we've Q&A. dynamics the of I'll for

provide Great. XXXX. quarter of Thanks, for first Mick. In my remarks today, overview I an fiscal year will our of the results

one and reduced revenue comparisons As revenue September quarter both $XXX by the growth recovering devices, reflected year currency demand impacted COVID-XX noted, all product COVID-XX-related XX%. our in driven terms, increase to $XX for levels In to was our quarter, from an COVID-XX-related Revenue of incremental million, from the the experienced flow the demand we was increased year by recall million the revenue prior quarter. patient estimate increased demand of $X for recent care estimated constant XX%. in are by quarter year response sleep to respiratory in quarter. In increased sleep the from incremental September Group by revenue compared the prior approximately prior and million the demand competitors.

a on in by the and global Excluding our September revenue COVID-XX-related XXXX both constant September XX% quarters, XXXX revenue basis. impact increased the of currency

Latin relation at Asia totaled and in from quarter. sales Europe, US, of in increase segment, a increase million, Canada and were and of or Looking other million competitors' sales to Globally, a in million, estimate or sales and markets, $XX recall, increase geographic America sales our XX% revenue increase were XX% negligible the revenue and COVID-XX-related constant Taking of Asia an in the X%. by Asia totaled or of XX% we impact $XXX generated terms, and constant incremental terms, currency increased of Europe, constant were forward, and to an expect of in an revenue were increase $XX product Canada XX% other in Masks a countries currency range currency markets US, other in in an and revenue sales masks million, increased currency the X%. America our an terms, other Latin increase. distribution XX% that $XXX constant increase Masks Service business, Sales demand. while $XXX we In XX%. our million, an device Software By and markets $XXX increase. Europe, we September from in device XX% device increase terms. million other of as million, of our look In XX%. sales million, excluding of and device sales an XX%, an $XX by $XXX other

Excluding currency XX% year sales the prior of XX% and the increased current impact terms, currency sales constant the by other both masks in in quarter, quarter global and by device increased COVID-XX-related terms. sales constant in while

as the the $XX X% quarter over quarter. prior increase was million, of an Service year September revenue Software a for

we several including the For next-generation the year our share AirSense recall. into launch of market from of competitors' the balance gains during and of expect sleep will drive recovery our markets COVID-XX geographies impacts, fiscal XX and XXXX, the additional demand, general global factors platform ongoing

the output, are for not constraints ongoing because quarter, while resulting recall, hard of last expected our be manufacturing competitors' demand increase we working components. supply to and reported to we as However, from electronic significant will primarily meet able

continue to component device supply XXXX. the a limit our FY quarter includes As from latest our any chain on competitors' position particular, to Mick This not incremental dynamic the we available, will device very environment. information see operating $XXX until fourth recall the discussed somewhere we do resulting in component in to XXXX. million in revenue constraints of our supply million earlier, supply for Based were we're year between revenue able In now improvement and QX. $XXX generate fiscal expect we

referring numbers. During to my commentary be today, I will non-GAAP

the to press provided of quarter GAAP release. a reconciliation first numbers We non-GAAP full have earnings in our

Our last manufacturing quarter and positive year. in offset The which non-GAAP been mix, strong XX.X% September gross decreased higher XX.X% decrease declines acuity by has predominantly basis compared margin by our freight currency to relation product movements, unfavorable ASP to attributable in the quarter points to devices. partially and costs, a the of in same higher particularly is XXX growth to

expenses. Moving on operating to

million, the XX% increase the expenses $XXX currency by SG&A in to XX.X% for predominantly an in year as expenses a an increased prior terms, XX.X% to in expenses the compared of compared period. the or prior expenses. year to were quarter SG&A employee-related constant Our first XX% to SG&A reported attributable was increase The we revenue quarter. percentage improved of increase

subject million, was expect XX% the range $XX XXXX. SG&A to to expenses on the increase R&D XX% forward to revenue quarter. of an be percentage expenses the in X%. Looking XX% of the constant as of were currency movements, of X.X% prior currency an year to for quarter of a we compared percentage a fiscal X.X% in a of increase basis, revenue balance and year for R&D as

continue to will make investments deliver significant our development advantage. competitive sustained to commitment We we and in long-term solutions innovation because product technology, a believe

million. be and of $XX we million for intangibles was quarter, stock-based compensation revenue a year of subject was expenses Looking of acquired $XX currency X% percentage expense R&D vicinity to for forward the fiscal for to XXXX. the and as quarter balance expect movements, the in amortization Total the of

the was operating $XXX increase an quarter growth. profit strong Our revenue by of XX%, for underpinned million, non-GAAP

was audits and FY for Office, and recorded principles finalized Australian this XXXX reserve ATO, million the our In of a On on September with future. transit of credits current GAAP to XXXX, XX.X%, the expense accounting covering effective in which for a pricing an tax and Taxation credits, anticipation for tax associated $XXX on quarter agreed had years pricing effective estimated foreign an while rate In through the settlement, deductions net the quarter results. financial relation we additional rate previously of were we with tax our was for or quarter, the of the recorded movements. lower also our conclusion of currency tax deed the XX%. settlement million, of the the we GAAP by During tax driven basis, $X the XXXX transfer settlement basis, non-GAAP quarter, in

effective the were will XXXX XX% non-GAAP increase forward, Looking XX%. Non-GAAP increase was rate income of an fiscal year quarter earnings estimate Non-GAAP $X.XX, of for $XXX for the we million, diluted per be tax for XX%. XX%. to our net the share of quarter an in range the

earnings the payment $X.XX. Our operations GAAP of for the quarter payment, due was the robust million, was negative for diluted net to million quarter deed our of and for cash the adjusting quarter in cash flow earnings, $XXX September totaled offset for of capital. operating Taxation from with We income had quarter amortization the to Office million flow GAAP the settlement. $XXX share per quarter reflecting and $XXX by was expenditure for partially our the After the this quarter was the associated $XX $XX underlying working Depreciation million, for increases for million. million. Australian Capital $XX

we the of equity with the September $XX.X of our million. losses million joint recorded quarter, paid statement in in $X.X Verily. Primasun associated venture We quarter with income During the dividends

fiscal venture per million $XXX cash through first report in the million. of had year balance approximately XXXX XX, to with gross net million At $XXX debt we expect the debt. quarter losses $XXX quarter joint of operations. with $X of September We balance ended the associated equity million and a We

September summary, And existing almost at available revolver modest. strong. our under we remained remains our XX, liquidity levels position debt for billion had $X.X In drawdown Our facility.

Our dividend per reflecting our a the of Board in performance. declared share, quarterly today $X.XX operating Board's confidence of Directors

allocate we flow capital. solid leverage flexibility in provides and Our cash how low

continue R&D. to through plan for to reinvest we growth forward, Going

capital will with acquisition to on we likely an October back call I such and that, tuck-in as deploy acquisitions We to the also Health And X. continue made [indiscernible] Amy. for hand will EctoSense,

instructions turn portion back now the Great. to Thanks, call. of like Kevin, and provide the call Q&A Brett, to and thanks, the you run to I'd then over Mick.

be first KeyBanc. today now question [Operator from Matthew Our Mishan your We’ll conducting is from session coming question-and-answer Instructions] you. Thank

now Your line is live.

Good do afternoon you that a going Mick, everyone to patient Phillips? doing I is and new question fits ensure hope first how are devices well. replacement the is device for your versus

Thanks, the US the South focus, able Germany, they're other where competitor where it's fully work it's that Australia, do been and frankly, that's providers. they pretty with to patients is we've that. And happen. we're directly said easy or and markets people difficult through Korea, they others and those in from Matthew. Well, devices. Zealand go we're want the like replacing worked markets doctors that in XX New worldwide vertically more our there to and clear on to like But register just and other legal to to go markets devices, and those months theoretical integrated, and make duty going France It

And that. so on they laser-focused are

those than There vast, to the our players as also around sure And for new the vast, coming possible. directly demand so the critical patients. the majority that capacity us that the -- majority the covering process, number end. and are And of is and pretty much vast but to new some the go in are go from aspects faster vast through or who be as and front The components player going two we're see going being one confident we of of demand number to our patients of of work vertically distributors. challenge going reached replacement certainly, the We've the online make Philips integrated is patients. the certain devices patients going demand through may in those to markets get to

to meet to chain that constraints. And so patient of -- all even those supply we're due demand not able new with

Thanks.

from coming Sachs. Chris today Our Goldman next from question Cooper is

line live. Your is now

just question. the guidance quantify the masks set any my update you to I were in sales do the for reluctant seen associated today whether $XXX and on quarter? the sort Look, increase to Thanks on for in of in that you've CPAP are recall, when know an benefit I was for million due fact, hoping taking $XXX your significant to unable so. you of mask to seeing, million Mick, you

Hollingshead, question. the Chris. because sort we just that detailed know, mask right, $XXX this, we've with I of million able very mask of of that incremental moving rough of there's it, last wide and question we who Thanks, number on to Brett than handle I be variety going on this It's the our to give can We predicting what can revenue knowing we that say factors, further it's guidance months. then this runs $XX estimates million to we a to public question gave on reiterated, guidance, during and of quarter guidance provide it. environment. nine get had months could that, we is because be. ever we a a and further perfect not And or $XX in great Care, can you Yes. quarter. around complicated side, device those follow-up actually can out we're into It's as went over a Respiratory moving And and of and for as did next got sticking uncertain detail the gave if components the And & Jim that don't that, But number XX million In a Sleep fight go we're but that remainder of very right? we're give deliver and factors. the $XXX story, to there's what not out a there's million sell-side comes

new and at new as And the what many of the able the uptake less during devices, as market should, mask that, around was are the not there device was X%. X%, US competitor we have not on globally patients quarter, ResMed a growth good, it demand, our new matter saw they is very is manufacturer. we're new that serving who and rate while The headwinds was masks well You all take our ResMed to two -- matter being up. above XX% no was, had patients those no number set

better tailwinds volume, the is and that. respiratory and that's across a they be, our so be to the the and our not working there ResMed if that and therapist, do together as we masks business the device, likes work together, for in are and would our any high leader because And getting sleep same when uptake headwind would probability new a the higher and who there's the tailwinds therapist brands very then in on a a the doctor good a spectrum technology devices get often patient they And that designed a but it they're loves not like a are technician with that's sleep ResMed's which often is therapy.

sales there's on of if care happening. headwind but device, less to thus, of ResMed we're growth out sort on an with ability there, while limited have the -- in industry masks, upgrade competitor the US a to as there's of is upfront a you rate take X% device So no And the a even some mask adherence there's the demand. there device, that

about side difficulty a can a us that's for and I to it's much level, can complex customer color equation go you. for folks you, quantifying moving it as But so for basis think model I I country on as the I well. the can sell understand it at as into tell without a

you. Thank

coming is from JPMorgan. question Low from next Our David

Your line live. is now

little touch Mick, million. on bit supply we phased $XXX to of the please? come constraints, this if this $XX through through we've you rest million a how to talk $XXX to $XX be mean, million Could the side to year, could about seen expect the the I just just guidance, get quarter. Thanks. you the given million given I

a industry. I perfect Yes. said the And prep remarks, the Thanks, David. in there's hitting as storm

working suppliers. and I'm so shifting demand the purely this and governments afternoon going on this. which a usually I'm and to is And attention, apnea call that lot sleep so more industry there's making us we dynamics this there impacting sure is an spending with focuses time on and asthma, many serve and customers amazing my I'm for that

$XX in the the quarter to very actually doing component of through with is December components, So in you the quarter. $XX going signals much the fiscal reasonably the had here as prepared flow, that, reading in QX our XXXX. great to and best that, XXXX, some design feel of and said that so in new Brett good shortages. year different June million remarks, think through future some work the actually components. with very look here we do component shortages be to flow as I suppliers around difficult some that are quarter increased first million of inventory and about it, confident quarter difficult It's quarter to the the components we engineering in working our in more at with and and March I getting

out. And so guidance the it. We've of $XXX modeling to sort to that's got not We're million it qualitative $XXX million.

it's I flow of changing in if can December tougher June was new and million and and new quarter in off the and week and deep chip But to March then to to by sort at a to some able up while, with looking $XX to get September tougher the so day in it it, five the quarter, afternoon to going. I'm look, and model get to as get impact it. roll this factory, You more manufacturer, the from But quite I customer. that in $XX would week. even to that million a foundry, day, be subtract freeing designs to my by our to chain a we now product, in it looking to right our then components through supply be then to today, that. flow warehouse call to sell get it agreement a of example if explained with levels that of potentially takes But a I as the forward even someone

guidance, know in best give see quantitative to the can And for I color to and free terms probably XXXX. specific as start It's fiscal year the components hope QX you I David. XXXX, really start of in a those not So we have that's up. we QX

you. Thank

question next from today Suraj is Kalia coming from Our Oppenheimer.

live. Your line is now

could, sort walks devices. Mick. unless the masks could is these Hi, versus gains? it on are Mick, dynamics sticky U.S. the our you us through Philips And if match share How I specifically, almost the is hope like of OUS? is healthy. and some on across versus everyone mix I wrong, math there safe Hey the comes in recall, and the

sticky okay, my get some you how us Just And you $XXX these? understand taking for trying all color. to how And million, this? plan really $XXX do what we additional are is, give Thank are incremental, million for million, you whatever questions.

question, answered Hollingshead, you much the but $XXX since give to the what to to Do for this million three, year. Thanks to as not the first just And $XXX I've to business. want you Suraj? Suraj. our run you million, $XXX do for Jim on fiscal guidance said, million, the was can X I'll you that correct just $XXX you But $XXX $XXX million as color million million

Thanks, Suraj, for Sure. the question.

And do we're back to it's and recall. the just talk then the think the independent what about context in recall up to good I'm a question. of of trying very business, going I to the

of lower long-term that the put significantly our workflows experience us once costs improves to place With aim XX, product AirSense and patient again improve midterm, in the also the is position to in and and improves puts launch a outcomes. providers significantly for

So now situation into AirSense market publicly, internal that that take share device for to market about And And launching the that with talk out long-term gain. anticipating player we a two have new number We're the market that we put don't was we patients. is that plan number device. XX our the but where is a share on for in of goals device number.

quite into best AirSenseXX. the going put on share, to have product take market. can And a we're obviously, so lot two XX market and the as we of we AirSense that in And products the

that, to it already just we I will that, too landing but we're before competitors sticky. we that AirSense goal of few be when and cap on a can we as but to aim to what and some XX, have market, points that they as we share question mass and pretty say recall that. share to is the during launched we our your share higher anticipate on clears, that's would share, be? And this XXX% good do is at don't make probably how of have will But sticky want confident was than to it quite well. the recall take answer long, cap is keep in well, Our So number that we've obviously, a to managed

stronger, from offerings when So I it. are our emerge And think clearly we the we the than this will entered best on market. offerings

you. Thank

coming question Suisse. from next Gretel from is Janu today Our Crédit

is now Your live. line

Good everyone. Thanks. morning

on slightly wanted versus given Just expectations. it little that did more on bit mask, a U.S. I to disappoint just touch that,

the the So the quarter? ReSupply any in to in has been market U.S. there dynamics change

I'll Gretel. get Jim well. as Thanks, the actually is have ReSupply join and a in maybe go I can But strong. very

We ReSupply. have Brightree

Brightree been technology We also has platform that has have driven incredible into our incorporated Snap ReSupply. that

strong If you going XXXX. was that throughout remember, really

comps very that despite rates of with the comps, it, focusing So in the through mask this look you from was quarter with rate And of COVID we have ReSupply. even somewhat achieving this ReSupply at on our the some high maybe time this our growth masks because time and a ago, those incredibly year we're year a good HMEs some mask when ago, hitting ago. roof of ReSupply still a percentage year even

Europe, ReSupply patients, taking this we're tailwinds new But said, headwind market. those are And color Jim, at U.S. and given figures. ResMed of into in, on dealing I I strong we're the we it of or patient the As any around gets other of global it and which you new all the very is incorporated the pretty and is a market, marks, no look continues. masks XX% whose in outside not growth XXX growth X%, global headwinds if all are further there think in that XX% countries recall you But That's U.S. areas beyond? matter new headwinds of well saw over well the operate double-digit when Asia the patients those care in some in device actually strong while of look setups. with

our weren't resupply, it base the had the new are base comp. a just the there's mentality, a bit was a would a then the span being very installed starts say, actually have mean three served, we've this grow And but the we probably of patients, had little because headwinds. again driving didn't context masks. starts customers of fresh tailwind want patients. the then Philips anticipated might mask; of within has created And repeating down. COVID, end I during of patients focused mask been for headwinds more an of because COVID the which on are I HME points, the important COVID I if HME quarters, patient I become Yeah. to. want have last into patients new focused or way driving patients. period before is is for we slower key talked are large but about And customers. resupply we of installed market a the up created on there patient over by installed clean of their on the U.S. that labs I think having some The overall, new that because the open, our four headwind during And has emphasis not quite there out once And recall, whole of so base in revenue a

good. dynamic quite inside out. is of So The base installed it the balances

So the rate. a installed resupplied base healthy be very to of patients at continue

Thank you.

Our Craig next coming from RBC. is question from today Wong-Pan

Your line is now live.

Thanks.

was the just regions, levels Just give color Thanks. you trending above. and the which in markets below are which on ones different are are category? pre-COVID and different question me any which for which Could

for hand Douglas, Chief question, the Thanks that Operating Officer. President I'll our Craig. Rob to and

Yes. recall global. it our are actual Thanks, Craig. of impacts markets The performing all The that issue strongly. very really is

strong wasn't you well. really all Mick different before, that dynamics, of couldn't And call there's I But our we're through saying particular in a see out shortage countries. that. strong that. that There mask local might be I on capacity, you'll saw and doing that said, and there excess So across when run lockdown, actually and it's just And it. really and are all countries, teams seeing it manage a as sometimes very as performance of around to the was the really said region with demand. specific just any recap, diagnosis

I is because there, are of there and said, specific at XX% within there different what there, not and ask XX%, And maybe countries. hard on say just a regulations, to to with going Rob little are and what you be add then I'll And plus U.S., can't all different states capacity of the up It'd in we regions. regions there. bit a just And what It's it's well. mean you as level. Yes. some and more question, difficult even XXX% color cities would regions, and them said, some because China state XX down, are say, Craig. the if as say

better. components to we see for plus challenge it the So weekly, now say the on Thanks they're remote a flows patients those have on setup, don't aggregate, real can better is what is rate But home your through cities, come embrace there the meet flow health, finding the daily, we critical And getting right some they're question, that ways apnea all and some at countries limited right sleep monthly. XXX% testing getting ebbs some get as going of is it's to is and are nice digital and so it, to demand, we well. able to through. Then that Craig. with that which we're patients that through of have now prescriptions states,

Thanks.

David from is Bailey from today question coming Macquarie. next Our

line live. Your is now

Good much. Brett. very morning, Mick and Thanks

is just the any to from to network. physician, relation patient offering. Just had product going if in wondering referral RedMed's be exposure ResMed patients through feedback of more I'm observations part the you've as DMEs, recall, getting or

Just from have may frequently group wondering used if there's that ResMed any less before. that observations

good question. a Yes, it's David,

that certainly, emotional recall through we providers what doctors countries for know they're actually XXX some actually brand of competitors' I and amazing prejudice And on have the the are and I device that physicians brands patients operate another question, workflow the available get of prescriptions think share have. getting for and is the brand-new who knew and exposure, of to or we to and 'XXs about ResMed awful now they always everyone knowledge I device tried or a amongst aspect the absolutely share aspect we like, the wrong. Everyone a ResMed's well. we're was Net really the new great. the and point aspect getting industry, some think technicians exposure says, everyone because leader, who Score lot and We're a share think systems brands My they is your as that said, to of and others in. the worse, of only better And with or And And patients, of And influence strong And aware of really been brand's had forced awareness good percentage to or to tried stuck brands, the that Jim's from get will it's some through to do had a and that the actually are of new earlier, aspect in a rising, getting, or brand. exposure And area this of is clinical now the whole the liked sales in or for something they for the they the somebody some I we'll there think, had patients particular Promoter it, you But that systems. have understand software, this devices wow, trying large increased. for a the has the software they're the brand, an had market flow. products. one is, was our you innovation form because to mean, new our brand commercial, been biases if prescription if maintain ResMed of I prejudice the technical I componentry that to forever. device, that think teams. name. that we as and customers name

when an sticky of get your to system, of it that's growth your is efficiently, your The day-to-day think the into through your it setting when question API physicians, the clicks report, is really you're because we or will that of your if a a be ResMed the to up brand long three new we for Cerner share got period. brand consumers, workflow. providers. brand this that National really link that yes, less a type lower exposure maintain And think Epic cost part reflects period Health Trust and I patient of come we've becomes to So the labor a strong of answer lot for new new part will to mean, or we short can it our provide. And value is, that the represents XX% represents

you. Thank

question today coming Blair. next Margaret William from from Our is Kaczor

Your now live. line is

although And I would the in of the Maggie are gross dynamics are some still margins the and better wanted margins quarters? specifically given Boeye on is contracting. on supply ask expected, that constraints and a how looking you than quarter the today? about cost This the upcoming Can issues today. in Thanks. for you leveraging talk gross one how the gross bit within increase you Margaret. came that margins to the little for say in future freight I at

Yes. Brett, I'll question you. that hand to

really Hi, that's QX. big Yes, were Mick. seeing significant. pretty gross been where impact at is Maggie. we still is we're on And Yes. costs, with Thanks, the margin freight consistent the

been we've us. headwind So that's -- big a for

So that's FX in it, some impacts.

the mix of were quarter well. have acuity a this which we've bit on we product did with with think heading -- is I had a higher devices. deal as little We benefit

the sellers, margin on mix the devices the ASV level quarter, they which helps So I side. of think Astral this gross product helped total

So on pressures costs that through having said come a there's that, challenges, so will tailwind all bit on that freight component still was well. us. still a on for still as little of But pressures and

mix need that, Yes. we quite has been good eye and an us product So that's helped. for but on to keep

for pleased So with margin how the ended gross the quarter. overall, up pretty

Thank you.

is Sean from Our question Laaman Stanley. from today Morgan coming next

now Your line is live.

Thank you. sort said, you on morning Mick. or Good typically could on give characterize of you what morning, observed device But much I mix. somehow what you've around of numbers. or observed Great set you've quarter team. don't Mick, the know product the numbers Mick. Good constraints, price the discussion that you've the -- yet you quarter? on talked us have. in would Thanks, the you've supply price/volume that in mix help How you to delivered

these you're question, unprecedented right, for times, are Thanks around Sean. -- details costs. don't the provide look, Yes. clearly, is But we pricing. this And

just Brett's can't XXX As in Beach ships I last you saw, sea outside of north Long gross me margin that get here even two Freight on hours going there costs, freight, around and answer and over just are stack up. there IX the mean, through.

to So fly cost the from chartered through inventory market it's sea to demand. products sitting freight, get with to Singapore this freight we there. our coming Atlanta been. to and to It's higher have L.A. Singapore Air literally than ever planes

innovation. It premium. the ResMed types impacted in is and a not think, And are planes, have It no costs. just market, but AirSense a to so just device overhead, is excellent ResMed with seats the I in that. are off is of dramatically. we do costs consumer and we we They're increase price One doing is that that And thing with for things the in eight and taking it's consumers as the those them best our XX, actually literally launching has years, ever, so best platform.

other be those things used that deserves look, don't customers some And premium, we we and apply extracting with had been And because certain rebates so so working the have that price a past will and in and eliminating we and now. discounts that.

removal this is of But on time. with those over of a goal with given we But our last and is that -- a customer during think care this our And take since that to goal take through discussion a you the costs are that laser-focused launch costs. with and customer-by-customer, on of clearly, conditions basis pricing look, daily I every that's sure this to saw channel. patient And commercial customers what so some address been other our all elements comes with team. quarter. make happens region-by-region us, working to And eliminating the we're of cannot and appropriate basis we we have

you. Thank

from question Jefferies. next is today from Anthony Our Petrone coming

Your now live. is line

Frank for clearance the a Hey, the Anthony. Number then is our to of questions among on side. And replacement guys. recent reception Two for from follow-up. the the We're the there Philips' of or what's for on US US one, This abatement shortages. year? DMEs? a potential of ahead hearing staffing Is US looking lot some Care, Matrix what rest tailwind a the are there hospital dynamics

what of and said I devices rates up front, I replacement do the phone add on Look, demand have remarks, competitor. said, do Frank. of prepared actually job have actually care that. think, questions, pent-up a And in are was no the their the the I'd further up. for there's But home have starting Thanks to skilled -- SaaS the the think idea nursing in is that That's our hospice? Brightree phone. health to on I publicly on a Rob, to no take that. patient, we pick the to with color my what replacement want MatrixCare thinking can to census we seeing very versus US that. customers are facilities-based for at replace That's device. I I It's and -- I've But to replaced I lack as to beds are nothing wouldn't But help I have seen hospital numbers picking you, you any equals as a of a idea that. communication for you patients that And say. that one, on I'd want as I If of that. very, N tell strong technology facilities

hospitals. are of getting getting the who an staff the and all of and our providers, been strategy with has long-term that right cost and underpinning just challenge a staff It's big dealing experience good them Absolutely. for been not actually keeping patient of a these it's issue really them SaaS providing that care training

believe likely to our make also easier job, get technology the actually we easier stay for and make so job to to them that staff, life efficient. the for And the and trained, more do solutions on more better it

about improved the shortages drive challenges as cleanliness strategy another our strategy, respiratory just driver like So, core concerns our and actually are earlier, SaaS a and will for said that a challenging staffing sleep do our across earlier, many short-term long-term. mentioned on tailwind of times, strategy, Jim staffing business. of as driver are these busing challenges health we've going good seeing long-term, performance SaaS be -- the Mick particularly there. skilled businesses. And our But for despite factors we're facilities Many,

you. Thank

Our Wheen next question today Jarden. is coming from Steve from

line now live. Your is

device to devices I sales what relating quite the versus into out of differentiate XX% million patient $XX this that your Mick. just getting new you're of Philips out to with and But starts? the sales wanted how are opportunity $XX your out Thanks. I Good or going if difficult of then Is revenues of strip quarter do in the million growth. PCP, what's imagine the for the in it's going organic of strip the business. afternoon you ask, growth on I characterize vent excess

Steve, question. And in to good you thanks for yes, there the morning Australia.

think or sleep marketing double-digit And my of the and like platform as launch said device, sleep technicians the launch I I teams the the a double-digit to not therapies and away walking deserves device watching growth we sitting mean, as with the that sense by remarks, the that like happened engage think you're a and through watching take strong presentation very care XX lot it's I'm makes this when at traditionally I doctors California with take teams, And but just personal care and share. clinical growth. product years. check-in blown live Society first from that Sleep has the then a down eight personal not wrong our that actually I system, new prep things in AirSense we would in have

vents really tailwinds and and the space. to a space comps seeing irrespective earlier, a we're strong and of sleep this that irrespective therapy to in that never in seen is in people are as in said that device growth double-digit of highlight to workflows part terms ways apnea on better COVID I before. is around of so I'd competitive outcomes lower And patients the entrench headwinds of the drive goal have huge And coming this Mya patients year of calculations vents and and uptake our is of time costs we is AirSense of these take-up recall, spot in amazing your The the think that signing the through smartphone sleep growth there ago patients personal had XX. this. for the Jim on ResMed with relationship and been having therapy their has unprecedented think that Mya I one at double with a highlights through talking the missed levels. I'm That's of this of

and Steve, So, for the the opportunity thanks that. to highlight question

Thank you.

Citigroup. coming today question next Our from is John from Deakin-Bell

Your line is now live.

testing is sleep get Are on you on trended more I So that give you. little we is just of Thank new the last color levels? you quarters. a and capacity where over color was kind a to the in the more hoping think where to pre-pandemic think couple us market. just of patients little back

I'll question, Hollingshead. to John. hand Jim Great that

Thanks, John.

I adopted we're that said we labs have there's normal, US and more home by number sleep it during was COVID before. As probably in testing Mick's not prepared crisis, to market, and taken increasingly labs sleep sleep a in normal. readily remarks, upside into maybe of actually because would the the mostly on mostly say, back some back would to is testing capacity

And much it patient And little care coming different. up, in a normal. bit in, labs other really lot with say is health maybe back starts I are the a but But -- say in general, looks quite to a in a say, broader normal, with think variant, although then to happened bit you back what's reasons, shape general, got And happened the US, slightly so -- of going the new still I what's Delta Europe, it you would testing. to varies it's probably by can pre-COVID of use people home testing systems. fewer probably capacity sleep little

actual bit may especially are right? up, little the So the a up bottleneck. back are different. bit bit health be on a cases, hospital-based systems little in got diagnosis but may some the you've systems set that to be of countries Some up, And now in therapy a still patients backed capacity

pent-up like of patients say, sleeping And that. forward almost add normal. or they really to back is easier it move want not we But make reasons general, we the a Ectosense one we're decided the of to acquisition things there's understand would for whether would and have in to I that demand I So to that, to issue. with much

used really be is the some really, Ectosense as is in will diagnostic easy some markets, markets technology experience as already screener. a simple, used Ectosense tool. a that with in patient But And to do. really So

acquisition And so even further. to that open with funnel working we're the up

question today Bank coming from America. Lyanne from Harrison of is next Our

live. Your now line is

about little and question. to a distributors. Thank my also for levels everyone. morning, you inventory I bit, ResMed just at both wanted the Good taking talk at

up in higher So in at I sales to inventory you into operating last for at bottlenecks going levels second the But perspective, quarter? your we're Europe. compared that about look we quarter. then seeing our if might United sheet, the you're mean balance also, Can set than from talk see what in different greater in, States device regions

between like So and with do you inventory have a sense Europe? your United of levels are what States distributors the

Brett. So Lyanne, with quite Jim great the Europe the I'll the up of And in happening and and distributors, question, detailed. first what's inventory the to part between hand second and inventory a build to, that's them the HCPs about then I'll hand the there about Hollingshead. ResMed's they call Europe, and at been US as part HMEs, question the

So Brett, over first, to Jim then and you

congestions Lyanne. Mick. our that And raw bottlenecks field Hi, that that Thanks, inventory. of inventory chains elongation I Yes, Yes. on and a the the seeing. the materials and really -- -- we're we're think, to response, supply it's of really lot the reflects part of in of components

looking for components. electronic in any are We support upside production to

get go So to lot once are there's that a we ready components it says of components. electronic

increased safety lead it's So to big we're trying sea with blowing times, with to disruptions. these just And we've four supply two, stocks deal on freight, really the been just is out that. sort other to that the as well, freight, weeks. of pretty to up deliberate seeing increase one We're looking air

lot as I So companies that of that probably a well. kind inventory of that's more carrying, will we're see and think

I well. So as in a those stock causing what think, through delays, coming I transit logistics more, call, are lot

and factors. it's market. also demand example, XX, So AS We're running, of AS combination really the support XX a platforms, those the into there to dual that's for

So typically we're a doing that what might do. be than as well, which we little more unusual would

factors the really up So Inventory of bit little a inventory those reasonable. been low. driving have is days levels our combination

to really that's thesis the there. support think, those overall So production get we is crux trying in, I when and the components

today question coming... is next Our

Hold on.

Sorry, the part Jim to of going that. answer is second

our customers no, add say question, now, are Lyanne's I that's running with of to think, Lyanne's little I'll add safe very low that and just levels. distributors very have just inventory. -- inventory right fine. to They I'll to it's second which I is, half think unusually

when so you the it the of very number situation. out two take you market under manufacturer and creates difficult a serve And market, very, the

So we manufacturing we're the strong our reporting under-serving And what lift supply demand. in are working market. an to industry frantically this are quarter, but product industry, we think manufacturers is as obviously and a to deliver

a deal customers of know market our deliver fast undersupplied, as it put in as doing customers it's it's very our frustrated. frustrated and situation, And can can that and the we a very products under so as and can we because understand and is great build fast as we And they're the we putting we to best that difficult they're we're pressure.

Thank you.

today question Barrenjoey. from next Saul is Our coming Hadassin from

Your line is live. now

the line single talk But bit be of are that a confidence? if Mick, just end growth the on SaaS, increasing fiscal drivers drivers Apologies, the the guys. that to digit the uplift what you XXXX. are increase of to question Can much, quick mentioned you key just by you of very to Thanks give likely crackly. upper what a that

some start He's tell for President opportunities in the for the we're SaaS further accelerating I'll Rob Thanks. have five ground great been he's and some Ghoshal, we last Yeah. And division. Look, maybe there. new can seeing you, our certainly, hand And Bobby I of running to hitting weeks. these growth. details.

back. and is see book, starting remarks we And coming I I the about the nursing think, in we revenue. get the build it that's you facility And that a in builds up, into turns to then look, great coming that when pipeline because earlier, prep pipeline book up. talked census conversions the the skilled the SaaS business, back, so demand externalities that is covered

So out we visibility, even growth. get an six, acceleration three, of months pretty to nine seeing good sort of

really to confident see there. rates going others are business accelerating is that are growth start those up pretty MatrixCare good going the and feel census I we So that that and census to rates in products, MatrixCare with

of and addition, And seeing previously good we're really of there the bringing some R&D Brightree Bobby new resupply knowledge that. was the Snap, In Snap, although good of acquisitions has innovative to really adoption of market. team are those and Brightree they're annualizing that COO tools a and some

there's eight other so rest do year. think have will Rob, they can I accelerate verticals fiscal believe this throughout the elements -- of to the the many there. you What accelerate reasons that But business?

things on pipelines deployments as of increasingly team having market our to a execution really ease build up. sales the the also There's that new Mick, strong And many able getting we're front offerings also but mentioned underway lot to well great got the streamlining driving execution. confident innovation as a team. and I And ideas Mick and and then the focus. think team, face-to-face and great execution they're mentality we've it's new on them, there's coming innovation. the really you've as being in doing visits that these covered of a sales real in focus

in So that we've a confidence got lot of business.

Thank you.

Our is next from from today coming Marquee. Dan question Hurren MST

Your now is line live.

Good morning. Thanks very much.

uplift guided quarter until you're the first and XX% half. fourth the the to in that fourth time, $XXX you suggesting comes quarter in of to you at at that expect not that quarter, million delivered up should almost looking we quite were uplift first total And the explicit Just what, alone. now you quarter, and XX% today, this $XXX million. And second

just So – material has and build. on the inventory top Brett, you've small said of got that,

second, – since in of third And be? you off this explain what's what quarter has can would what So drop then? mechanics – why Thanks. changed

Yeah. Thanks, Dan.

manufacturing them obviously, many to semiconductor follows trouble And on the is that that, the supply and and chips dynamic. it's a chips this electronic names The moving this them industries. through is are try semiconductor are the specifically supply. look, a to everyone talking the here and roof. get and particular people complex and So call chain know demand that rate-limiting components But other from a and multiple step there the And other I industries. for

we're these medical industry, heard are industry, alone products have You've in device often communications consumer now even cloud this, automotive limitations. and not industry, consumer connected

and last very very the days terms look, And June these XX at I got as our supply. feel of visibility, confident So better gone in the quarter, and things difficult. in. chips haven't devices to of semiconductor mouth March, to with I coming semiconductor December go working chartering through. it's and But in these hand so in make planes redesigns much the sure chips They've look

of our our the quarter end you closer the flow going come on is look, one though March December ever as one doing that can ever week-by-week, goes of we But chain we in as as what the about like, best to patient. stockpiling not that supply the more of straight I'm tough on bottom on in broad can open device we get so million it, whereas inventory. feel we more these some open way It all the as are of a through components capacity. of we're on we dynamics, feel you and There and And million, a it's we of itself manufacturing to day-by-day, month-by-month. as we now, $XXX and have it the not variability, top and an and one if also truth. that through, is strong. minus and I into pretty And the to in we're that to things sort reading in. coming constrained supply though, has one And as even well. in is goes chip, I know had aggregate, range efficient be and incredibly $XXX around and transparent or change no with have being it's internal which plan plus stronger in And June we and the tell goes the which Singapore and that is see that's production. Georgia, this Sydney also Atlanta,

color part a And part, that as can focused what much to that. rate-limiting in, around on. bottleneck I'm it we that comes giving as product, customer. goes As And soon qualitatively are as I a that's gets to on

the closing question-and-answer the to our any floor for session. reached to turn like end Mr. Farrell over back We've you. comments. of Thank I'd further

to minutes of is I'd all and and again today five are day. you Well, service, lines Thanks a out for this better, our with seven Thanks thanks joining in on like for technical outside thank for supply are whom of sleep crisis, people who to an once what you here patient's shareholders call. thanks, and us also Kevin, sales ResMedians, of like a chain, teams patient this X,XXX this again heroes. work, heroes change. customers to on special better to front on their care, chip every many every our ResMed shareholders and add call our of working to helping the extra and staying distribution, day, do on especially hospital the better front teams to listen live hard call you the life production, to XXX lives breathe Every the dedication get management countries. also but during lines all amazing I'd

to Thank Amy again in I'll with all here all stakeholders our the I forward talking So, days. you. turn look close call you to of back XX out. to

appreciate Mick, thanks, everyone. Thanks, and We Great. interest your time. your and

close you any directly. this don't If out first to additional our call. does Kevin, XXXX you out. have This conclude now hesitate may please reach questions, quarter

Thank does webcast. today's you. conclude That teleconference and

thank wonderful day. time, this at lines you today. We your disconnect your have participation and for a may You