Levi Strauss & Co. (LEVI) 25 Jan 242023 Q4 Earnings call transcript

Good day, ladies and gentlemen, and welcome to the Levi Strauss & Co. Fourth Quarter and Fiscal Year-end Earnings Conference Call for the period ending November 26, 2023. All parties will be in a listen-only mode until the question-and-answer session, at which time instructions will follow. This conference call is being recorded and may not be reproduced in whole or in part without written permission from the company. This conference call is being broadcast over the Internet, and a replay of the webcast will be accessible for 1 quarter on the company's website, levistrauss.com.I would now like to turn the call over to Aida Orphan, Vice President of Investor Relations at Levi Strauss & Company.

Latif. Thanks, joining our call year fourth for the to end on for results quarter us everyone, today the discuss XXXX. Thanks, and fiscal

President our on CEO; Chief and Financial me today's Officer. are our Bergh, Joining Growth call Harmit Singh, Michelle and President our Gass, and incoming CEO; Chip and

our intended statements.During measures. These not are measures non-GAAP press forward-looking this certain also a today's QX section our results be with our forward-looking release. that Also filings to are forward-looking of our for risks measures our materially our our link that of Reconciliations and like the webcast statements. we earnings cause these results obligation could results. we investors.levistrauss.com. have results on from you will making website, today financial uncertainties. on the be differ information most assume we We that Factors substitute The are our measures review on financial posted the on statements Form based call, on comparable involve release XX-K GAAP SEC, of this conference call, non-GAAP be call will to could our Please remind for can differ. today's non-GAAP complete to as GAAP and statements any site.We'd their of in in to found no IR which section those available discuss the of filed we to particular, of update us today, by contemplated the that this included Risk factors Actual to note call in the to

will questions X will shortly. our at others addressed.And being a opportunity to webcast please to time hour, IR Michelle unless their this replay is and and be noted. limit over have the to that Chip, our the Please to website like referencing for so Finally, constant turn yourself Harmit give to numbers, on otherwise of Today's call available currency call now website, this call be a note on scheduled is I'd call one question Chip.

afternoon. Thank us you for joining this

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Thanks, Chip.

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we year we global Finally, FUEL. that initiative calling are Project as this I our mentioned productivity launched earlier,

be tightening work is corporate global related of accelerating our in The and reduction $XXX approximately expected savings to workforce. As million net XX% strategies is to savings first, to DTC of XXXX. will our and deliver fiscal for are this ongoing the majority we XX% a

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We to long-term I on build and our outlook. confident foundation and have in a Harmit? solid am XXXX

Michelle. Thanks,

to with gross number thought Chip was quarter record business revenue our quarter, for 'XX a opened of count I over to growth. stores. by leader, thanking our Investor X%, direct-to-consumer me our basis saw of growth contributors women's, to the gross forward DTC, of year XX% the U.S., in we results.Revenue the 'XX; U.S. company us progress year. and system-wide improved reflecting more drivers outlook with a quarter especially In we will as to points. our Xth versus a XXXX expectations. to X,XXX nearly we XXX in partner, mentioned X,XXX taking prior on stores our saw as of openings, $X.X in XX% in further and expect conservative inflection notably holiday wholesale than we time. and prior our environment, by teams our our versus fiscal macro scale market leadership, and look by for continued in most full grown largest our of to and growth We nearly And ahead margins sales enabling we we improvement cautious to a led approach the Let to the Michelle earlier, our actions December, taking structural to by our excluding turn X% during consecutive saw Russia. while along accelerate up path of the by to Day.For on fiscal the November growth positive partners, Comp the billion we And global direct-to-consumer profitable margin, in to revenue and path the the franchisee store U.S. in of in entering a structural economics margin XXXX, trend momentum broad-based friend. low of the single-digit launched XX%. including ended view of as continued the grow growth, product net structural and to an Chip's margin store billion being the And Project we channel. improve headwinds, primarily improving robust have discussed transitory period the talented XXXX, a in growth economics business, Europe.We're the tremendous XX% start year, as business FUEL. tailwinds, I Under costs with deliver that, the and gross mentor margins and solidifying incredibly our over $X key Along with operating and partnering to year, And international revenues with including we have Michelle gross expansion we business shifted are

savings are of early within 'XX approximately the capabilities net goods identified further as most our already of in positions of continue procurement we sold expected cost stores. accelerate spend, productivity expected driving in workforce, In we our stages global we $XXX million record of to in the structure to charges quarter start million of are improving in $XXX savings of 'XX have million. While XXXX. The categories with across $XXX our elimination approximately these and 'XX, the from restructuring enhancing into progresses organization estimated first our initiatives of QX, enhanced to this in expect initiative, our and streamlining

driven volume selling, positive product expanded year-over-year were QX, points above price targeted by by from channel driven cotton, in details benefits We offset came basis by additional full pricing basis better quarter of over anniversary expenses and mix, expect flat SG&A updates and X primarily drive few more XXX flow in largely line the our guidance. XXXX. year or costs. Lower to quarters.Let which HX market to will A&P higher airfreight. quarter million, the incentive comp Adjusted actions share, robust gross ago, mostly X,XXX grew Gross expansion, margin Adjusted XX.X%, basis our own stores DTC of that These costs line by which we basis adjusted opportunities offset points XX.X%, to revenues SG&A will coming lower to margin percentage our to XXX was margin globally. net than our up of leveraged capture a favorable $XXX with share where prior in partially on we continue we part me expectations. as identify product with and a XXXX, in points savings in a in X% we expectations, was total XXXX. took to will points.Adjusted into lower of a was in share XXX a EBIT our year, FX XXX favorable Expansion and the

improvement increase the to of on over in up growth which by by encouraged a U.S., Adjusted including X%, direct-to-consumer, return path in driven of The adjusted growth returned and currency. improved by X%. double-digit last by business. revenues our EPS XX% direct-to-consumer driven the growth XX% up expectations channels. up driven growth $X.XX, by both in we in the course and of let's primarily profitability single-digits margins are review was profitability also wholesale par all highlights growth, line revenue In brick-and-mortar in are the several nearly net full-price more diluted year, segment key improved, sequentially In was and on wholesale overall versus Americas, with X, with the e-commerce. quarter And is the seeing being selling. was We to year.Now to improved. constant EBIT the points to Fully to for allocated high e-commerce our margin in

and increase the was brick-and-mortar, by growth the sales within driven comp Specifically, Canada. solid U.S. in

despite as returned was Europe, wholesale DTC unfavorable through momentum previously quarter. positive, Russia, The half conservatism across up excluding excluding driven X%, double-digit continued the growth, was down quarter offset Russia to a of the up revenues continued X% e-commerce, which another net heat direct-to-consumer Our discussed.In continued XX%. in and in growth, with XX%, first of softness also wholesale, to by partially excluding business from was the particularly performance strong our Russia. strength by partners. broad-based was This increases in due up markets continued

While first this or last we the saw half a a versus the the fourth we year the full of in remain XX% stack XX% for was the X-year in grew quarter, outlook in year, XXXX.Asia especially for on year. ago conservative up improvement on top X% sequential quarter XX%. up And in wholesale Asia of on channel,

across to working $XX cash This further XX.X%, XXXX. in in was positive million This continue margin in a a comparable 'XX's the with level this Reported full optimize XX% negative leverage.Now operating terms we QX to driven cash expanded on operating continued as XX-point X% U.S. expect free sheet QX. in QX, looking inventory balance progress to year represents $XXX as in the basis. for most XXX fiscal and target basis exceeded to points year. quarterly and XX% inventory for we to momentum dollars scale driving million to profitability levels comparable basis million, and improvement million XX.X%, and make business, in while $XX expected inventories, up Inventory overall work the capital.Adjusted we continue grew quarter's from flow prior to the improving an below fourth XX% both was from QX strong remains We from our to in and up growth operating flows. decreased our positive quarter, China or on to free flow quarter. a below in cash be and Adjusted $XXX XX quarter. the quarter, year's negative significantly last basis last year the Asia's markets. channels margin Revenues for by the returning up expanded was Overall, points closing year inventory fiscal

positive free We expect cash continued improvement flow 'XX. fiscal and in

we let's last share, quarter. in offset under dividend million up active to year. to a dilution.Now line coming our $XXX million declared for $XXX be our returned market year, have We fiscal which repurchase with in remaining were to the of dividends, the shareholders, in share 'XX we've turn expect in year X% currently per prior outlook. current full the capital to primarily $X.XX in 'XX, QX And For authorization and

forward, the ahead, XXXX. look business, are profitable growth the caution continue and our we in we economy, our brand macro wholesale the confident and outlook, in global in assumed of as strength As challenges in their including in see expect and but DTC continued in We our Europe strength acknowledge channel. uncertainty strategies including we risks to have

and channel wholesale revenue we prudent with single-digits business reflects lower other be the exiting net primarily expect we negative down planned mentioned, our low XXrd growth approach double-digit and FX, to partly low in for an HX. year. include approximate full expect And 'XX, channel, brand a Denizen in and off-price of in Americas fiscal we continued of basis down single-digit the In year. X% points in high segments, dollars, expect and In which year-over-year, our a X% single-digit in sales reported the growth business, impact, expect offset Europe the for growth expectations full DTC this This to low benefit week. we're growth will For the Asia. to includes planning low as XXX by for growth due double-digit wholesale, the growth.By return HX to to high single-digit a to taking

driven accretive DTC, anticipate of expansion areas selling XX%, and margin, we are like over in full-price costs, product basis by to women. basis that points and XXX gross international XXX faster to points lower gross For growing margin higher

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revenue or X%. Overall, in higher of versus XX.X% A&P EBIT be percentage we as dollar expect margin approximate to between approximately expect year. to XX% prior XX% a to terms adjusted We

expect rates. tax high-teens.Adjusted from We the and million range expected in to from X% to to back to incorporates of to of levels full earnings revenue high-teens, expense approximately interest EPS normalized $XX we be diluted $X.XX a the the XXXX, tax per $X.XX. also in is to be the year negative mid- range $X.XX expected impact rate drag get $X.XX from aforementioned up items quarter as tax normalized a getting and in The in

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cash flow be continue positive. expect to We to

and detail, HX around as of half versus quarterly globally than terms now was U.S. our to net share the that detailed more results some some new system, at guidance that In XXXX, which expect inclusive will company-owned then in color on HX given first took in open XX XXX stores, largely ERP of time. stores.I a place we implementation the and of HX

impact the points in to business to to Russia there little a of implied XXXX. of in Denizen. best return ERP U.S. approximately normalization well in we point Overall, growth low this by XX Europe basis U.S. growth approximately results beyond in Russia as our the impacts ERP expect HX and we we up do our in compensation benefit mix to we reported FUEL, in longer the quarter given opening doors primarily our improvement final by points to Project QX. incentive to the more slightly down In of an an and our of HX, half see and QX margin, sales HX last higher direct-to-consumer liquidation normalized was complicated, the a our to partially business offset lower HX our second revenues year, HX, up prior over exiting for U.S. shift, QX, is be X second QX large business ERP all expect single-digits single-digits with offset wholesale.Looking revenues turn you to A&P and in shift 'XX.Before exiting last expected shift. QX took to week of versus with flat excluding due strategic related a Denizen ERP to Denizen. of to Russia function gross in basis as single-digits, high points. productivity and And of which launched $XXX respect million gross I XXrd year.Recall, U.S. want X margin inclusive shift the of to Q&A, the from half prior year the is excluding be 'XX it to implementation. is year, the HX mid-single-digit low XXX to decline approximately in HX which with to low are primarily leverage acceleration X, EBIT down This in anniversarying as SG&A, it and XXX campaign up, going otherwise down also contributing a to expansion roughly is growth from primarily initiative pricing or related While U.S. of of higher will into you. implies we channel into a to The benefit I expected margin, will actions the no simplify expect my leave to given QX improvement cadence double-digits. I'm Sales single-digits, HX, to the it key high In be due revenues

fourth growth year our our Our ahead. the profitable performance period in to holiday demonstrate performance and quarter ability deliver

Our continued several with strong tailwinds. to XXXX. we lapping headwinds in XX%, brands In growth direct-to-consumer gross margin XXXX, illustrates the health inflicting expect and XX% our we of improvement grew

plans with to low-double-digit and improve initiative, solidify to XX 'XX And over comp turn 'XX over in growth which company and continued margins the continue result launch profitability XX% of help high-single of cost assume with it net our agility in by positive the we in to and 'XX part Our deliver will and time.And I'll that, openings. operating e-commerce savings our Q&A. to stronger our driven sales, business efficiency growth store for

Bob from you. The now question Thank [Operator first Our the is of Guggenheim. open Drbul comes questions. line of floor Instructions] for

the great. retirement, and Enjoy best. It's been the It's thanks partnership work. been this amazing. and for Chip, the all all

Thank much. Bob. Thank very you, you

I a And shift guess, then I for can question Michelle. --

I U.S. than we performance definitely think the better On the was wholesale, thought.

I this of wholesale spend maybe in think little you can on a just half, trend? drove just for first really Can more you you the expectations exactly change more time and a return drivers some And thought. do positive spend back it positive? to is what than And think to U.S. the the we some earlier there? just time the in

Yes, bet, great connect. to Bob, you

I just mean, growth. First, quarter. return we're with pleased to say, let me the really

know off particular, X% X%. it The brand globally. your of up a of in Levi's I we're is up to high I said this are overall. remarks, my the then was driven the overall We really but in encouraged. brand strength And multi-decade wholesale, question around

wholesale had delivering the also They're our to growth, just they're normalized up the fill inflected very volume that working. to you importantly, that's took X%. and getting approach we for with with we levels, we're we're reductions, returning a we're price surgical that this key with improving very good We actions was know, execution loose-fit We traction. our as lot [ felt took in year, the floor As there.Secondly, of it hit U.S. about newness Levi's customers that said, in-stock some And across seeing business past rates overall, to rates you ], overall about so newness. good improving DTC and wholesale. QX. in felt and a We gains

a as outside. been and in on a declaring company, year, this the U.S. note of encouraged. volatility to we're year lot wholesale, as channel, not overall, exiting There's it a we're control, strong past our yet. we're victory some some net-net, But So that relates

as forward. and cautious approach And it. lean to so we going look a taking every opportunity we we see surely, as into are all But we're

Our Lejuez question from comes next Paul Citi. the of line of

how talk Also, issue if your about any the in November-December the there? from and address you in the impact could Sea, specifically you're if business, you performed maybe the a bit it expectations holiday Red relative can on period. if the to little Curious period, going Europe what's seeing

Sure. Yes.

the brand up business that up is Europe. be tough which Red is the the this about a year. parts. year. is XX%. U.S., the us and did mean coming we be is I macro We wholesale unlike see headwinds there's I'd overall, part Harmit -- for that, been It that will say been DTC planning was That in then fire. we're E-commerce Sea. especially Overall, growth in I'll XX% on modest impacted channel. for and first post continues X in take modestly our Europe our So, us the talk tale of not the strong in especially Europe was channel, of that to One which up to quarter. has continues

So, the work both the for loyalty. with conversion lot similarly, of us great consumers around traffic, in business channel. challenge that stores.Really, is great we're seeing driving and our engagement in in And again, happening a Europe around our wholesale

that parts All in consumer. Europe, with we're been products. the there's delivering backdrop overall relevant challenging to working we're that said, And distress. being an financial just in are ensure customers Some key closely of a

quarter, the so new of what's news back given new strategies pre-book. seasonally around encouraged plenty We we're in Europe. we half of Pre-book of the is coming lot by the have for real some of that denim the a especially denim of And the denim dressing, dresses. making And products. lifestyle, we're that challenge have sure at then skirts, in relevant And half back year especially actually the a a year. for beginning is us, the positive in, denim our resonating weather was of

remarks shared Performance I in as earlier. denim introducing So, my Cool, lightweight

great is a are show areas that the in around leaning we brand strength, innovation make and we So, up can way. to sure which we control, can in

teams a Sea, And teams. working first, commercial Red our Paul, clock to operations question a about around your to and out costing shout big from perspective. They're finance and the the

the when supply to times. we going It's just transit At are some easing have and X-year XX- But under bank. do have ocean some the is freight East issues, freight speak. long-term contracts. the increase product getting it thought some costs, rest activated We've resolving this XX-day break we the contingency shifted West through of we this not our a point, of terms experience of we instead through we in contract. these is working So, we as things. of Coast contracts. to to we already wood of in were X-year have our Coast, of out XX% this. We're that's of We've impact.In Roughly The chain plans. seeing go

COGS. to the risk our so has exit gross the for the in, year, we to our haven't But margin, for example, current doing from of perspective. guidance built through of that help some there continues is offset second the on it And are will one Denizen, we example, half crisis best that provided in gross which necessarily margin. If

there. things FUEL enough we're is The help there program continue. couple are out there's that crisis playing and sure contingency So some through offset just sizing of a to We're working that will make cost this benefits around should it. so

comes line Sole of next UBS. Jay Our from question the of

dive Or different little bit maybe us $XXX What And business? cost question. achieve year And walk annualized of the say, that's then is an of sort cuts, a what's where through number see a by countries, sort that $XXX run the can $XX rate Two-part do you into going maybe the million One, the some on total? in just XQ? million there? cuts just cost Asia? million of, on this of net you'll you drove of number a expect to of

Yes.

So, I'll answer both.

the On starts year the in progresses. It 'XX. then $XXX million, $XXX is in million as and accelerate QX

become just and you make lot lot agile smarter from Michelle a a has DTC-first company, to that see Jay. 'XX. more a started, yet The I as we pivot in mean talked haven't this benefits perspective, will We about more entire so 'XX. objective, as mentioned, is program the we've and

up XX% example, positive. franchisees very read basis. from some QX Yes, from timing, for answer early question.On to X your QX initiated the got feel for Asia. I China, ground but that's continues markets as we and XX% between We're growth. on QX, from the local Asia, very, ending the profitable the year not folks and have feedback Asia about see And which great in that was just strong there engine. our XX%, say, and example, the we've In first is I up was would And in full was year strong. to So China, perspective. up slightly the that, given a a strong as Asia product was an

spread. we outlook, East we're Asia, never the you all as double-digit part this, Asia think Middle know single-digits. how know in and had the that's Middle East. long oversees is outlook also signaling low little a but given not the so Day, how this just lower of continues you the And And we as probably Asia, for crisis, high may that because about than cautious, Investor and largely being we're It's

we're careful just about being that. So,

question comes Boss the line JPMorgan. Matthew from next Our of of

congrats. Chip,

missed. be You'll

been all miss really Matt. you, to pleasure all I'm working too. and It's guys with gals. of going you a Thanks,

line could you maybe Any you just health to time on it for that you could as the see the today? the you Michelle, into elaborate global if see So speak fashion And of the key expansion trends denim category emerging best of full-price for lifestyle how XXXX? opportunities side, product guide mix margin that gross up the and to XXXX? selling build down on cost then you cited. Harmit, recapture to break And margin relative as margin within gross the we your gross

Sure.

So, you. Michelle, after

great connect. Matt, to

was we digits to denim that's forward. me mid-single as continue planned denim year start up X%, Globally, category overall. first, with about actually and look So the category this let

So, we're clearly, excited leader. about the category that, as

position together significant continue women's margin. We a #X men's and our by share across maintain to

as by side. continue fashion, really the year invest point continues women's a be that around your great start had in I'd we the important.And the around brand we So, world, then to on saying to that to

business women's women's Levi's the up was up was X%. X%. 'XX, QX, for FY And overall For Levi's

are the So, demonstrated the low A we've lead trends, consumer. again, of long really said past that the we as the with driving the trends. we we're quarter And seeing lead that. category And business. this lot it resonate loose-fits

really On Bell flip Ribcage did side, well. the our

as on fashion denim. to value the look So, as we're anticipating in low remarks, is said, line lightweight be fit, -- continue the in that I relevant we're excited mentioned rise. about. but higher year.The lot other in we piece the diversity loose the really I from we're and forward a everything of my rise it And the offering into the to

to this people be As in us That temperatures get warm, impacted we past want year. year-round. Levi's

saw Skirts, growing those past as team, this categories, quarter, quite investments and made XX%. up actually big other at there. is dresses, we've deeper and dressing, the opportunity we we on key a I pipeline in skirts. wholesale, to category, dresses because part is of women and of for much the your and lightweight do denim categories we in denim the open year, tops Cool And customers and their of a think, especially like as skirts both like to and coming our this offerings significantly. in DTC in So, a Performance bigger fashion see responding we're women and have lot then Skirts going fashion well terms in bigger buy. a around look great question things And lot the relevant, are again, in

forward. So feel really feel good as we look good,

Matt, to sell-side some question I up it's bit of question, 'XX. let me I'll break my know a And QX. your trends, from just fair and talk

then XXX up it I'd points. we XX say initiated XXX favorable XX, FX, probably that's and then QX, XX basis about reductions full about about points, the points more price, we product was were a basis of So costs, quarter And selling XXX basis offset by broadly, points. drag. that's points basis mix in pricing X, basis

So that's QX.

anniversarying to I XX of points we of not XXX actions next points. it's It's about to basis And off-price, impact drag points of year, The tailwind. product tailwind. gross the XX anniversary basis XX, costs, mix, the basis is which about is airfreight, bit margin between then little HX, end points basis a but be XX in this QX As think XXXX. a think of in we pricing to higher we're going at XXX probably because

up basis for points to points the accretion XXX for XXXX. So that's breaks what XXX XXXX, margin basis gross

the Dana [Operator of of comes question from next Telsey Advisory Instructions] Our Telsey Group. line

missed Chip, Michelle. be Harmit luck, of Best and and hello, you'll

you each by given of the build wholesale pack U.S., the thinking and through XXXX, in about the in how doing think margin? think As about how the anything business little you're differently about you region a the pricing by different in terms bit of you of and gross region the improvement talked regions you're and it activating you up

I profitability, about cautious margin it of Harmit we're side and and we're can both don't but enter the of year. also we which talk sales Why of the both as which optimistic, talk Sure. about being the --

talking no in advantage have what do Specific plans and distribution U.S., feel past but good largely inventory feel U.S. behind channel the -- as year, which, of we solid and there. volatile And in Europe, past about are think centers. I about as us. we a of customers, about to demand to to seeing our it's really earlier, been That the really really we was the is have had to we I traction both was in good of The lot there. the key areas We this congestion conversation the earlier, we And pricing take U.S. within board. as the the newness a saying I wholesale we excited. we I did they're So, the we've across our is for year us took, the pricing further primed additional in are our presented control. We're so across our believe for the positions customers.And that's that take

earlier and as I both was mentioning Tech active Pant, is also, five And we cetera, DTC, of lot about multiple remarks, pocket, then a which non-denim about my can and is our wholesale denim, in office, on in a lightweight et talked channels, hike out the we across all So, people Performance offering have new colors, that that's a non-denim, ] wear in channels, product have that's that Chino. attributes truly performance [ Cool. going a

see is the that question, and that been again, consumer closely there's the your our to a here into similarly, and macro some we launch pressure But be lightweight on key in innovation we've on them U.S. given That Europe, goes. realistic could working being but of are big needs see a we headwinds specifically been great there with denim. global also that the how response to and we're We'll the then leaning opportunity.And demand, customers. with So

a dressing. me, As I Europe women's denim fashion, is pre-book is in so data response our second loose low talking the point half to about for wholesale really the positive. was to key that And

Europe complemented, the back year, for as optimistic DTC with an point the see markets. the candidly, that's relates very And as we in business, the year in to half are which perform both of so look inflection wholesale. we to our course, it continues strongly. to strength of And to And

pricing on and built And conscious pricing your of Dana in haven't question the 'XX. we a We're lot and across consumer a taken. gross just pricing, we margin in regions have to of value-conscious

built in the we reductions. And price in haven't U.S. is did We it. what

mix, of the price we the higher AURs, that about an growth in and half pricing think in took the see offsets, you U.S. as So, the channel we impact first the example, and as international higher DDC, reduction actions

and If you is about Asia America the little FX a of bit regions, across U.S. impact about on as there think would I reduction in the Latin you anniversarying gross HX, say margin. we see of And the the took. price think

see So, margin impact regions. you'll the that as in against U.S. other

just color. a bit that's So little of

next of Vasilescu Laurent line of Our the BNP question from comes Paribas.

savings question is And nicely, that of a Jay's on quick did line. They here. I think Bangladesh, shape us second months on raise follow-up SG&A the to million? savings the hub. ago. the line few there's I of Can and this question want Harmit, sourcing you give some I a across cost then think million across just COGS $XXX kind rough XX% minimum program. a important over wages $XXX

know you of wage to curious Just that to from that to even an see if hikes? able or the impact somewhat you're on going offset

million mostly point, the we program, et $XXX continue a the this in minor There's after more as mostly probably going but cetera. and we're COGS, SG&A. SG&A. is productivity At driving Laurent, assortments,

to did about we that going it, talking your COGS time. guidance To see that's assumes probably you're over question about. the Bangladesh, yes, So inflation come our

to joining and speaking look forward call in we everyone the Thanks, with you April. for

Thank you.

your this call. lines disconnect Please at This conference today's time. concludes