Bruker Corporation (BRKR) Earnings Call Transcript & Summary

Hi, everyone. Welcome to the 2021 JPMorgan Healthcare Conference. My name is Casey Woodring. I'm a member of the life science tools and diagnostics equity research team here at JPMorgan. Today, it's my pleasure to introduce the management team from Bruker. [Operator Instructions] And with that, let me turn it over to Frank.

Thank you, Casey. Pleasure to be here. Hello, everyone. Given the shortened format of the presentation this year, I do not intend to give you a complete overview of Bruker, but instead give you an update on how our strategy is evolving in 2021 and beyond. I will briefly touch on our Q4 -- give you a Q4 update and briefly touch on some preliminary view -- not yet guidance, preliminary view of 2021. But mostly, I'd like to talk to you about Project Accelerate 2.0, as we call it. It is Project Accelerate, our fast -- our high-growth, high-margin initiatives, but several of them, in fact, the 3 that you see on this slide, have been considerably expanded in terms of strategy and also in -- have given us access to very interesting, fast-growing additional TAMS. In particular, I'll be talking, this may not surprise you, about unbiased proteomics and unbiased multi-omics, which has been evolving very, very rapidly since even our Investor Day 1.5 years ago. I will be talking about Bruker's much enhanced role in spatial biology and single-cell targeted multi-omics. And I will give you an update on our diagnostics business, which is -- has grown from -- strategically and in terms of revenue, of course, beyond microbiology into viral, COVID and general molecular diagnostics. I would like to -- on Slide 2, I would like to draw your attention to our safe harbor statement. Please consider this as well as our risk factors as I will be making some forward-looking statements today. In fact, I will do that on Slide 3. Let me first give you our preliminary estimates on Q4 2020 revenue. We expect to finalize that after our audit by -- perhaps by the middle of -- early to middle of February, but we are currently expecting Q4 2020 revenue of approximately $620 million to $625 million. And that includes, by the way, a meaningful currency tailwind of about 4.5%. Nonetheless, this is about $30 million to $35 million -- excuse me, I misspoke. It's about $35 million to $40 million higher than the present FactSet consensus. And about 1/3 of that is currency, but about 2/3 is really solid core growth. So like many other companies, we've seen very good sequential quarter-over-quarter recovery with the bottom being Q2 of 2020. We have improved our organic growth or reduced organic revenue quite a bit to where it will probably come in at about minus 1% to flat for the fourth quarter year-over-year. Overall, as you will recognize, we had -- previously, we looked at scenarios for the fourth quarter for reported growth of minus 2% to minus 6% and with a little bit of currency help, but also mostly stronger core revenue. This now looks like we're going to come in as our preliminary view at about plus 3% to plus 4% year-over-year. We are not giving formal guidance today, but we anticipate, we currently expect to give and reinstate formal annual guidance for 2021 when we give our Q4 and fiscal year 2020 results in February. Today, so you're not hanging all together in what's Bruker expecting for next year, we're actually -- for this year, of course. For 2021, we're expecting pretty good, pretty strong year-over-year revenue growth, margin expansion and non-GAAP EPS growth. More specifically, we expect organic revenue growth year-over-year in the high single digits. Keep in mind that we're starting with the base, that's about $35 million to $40 million higher for 2020 than what we and perhaps you had previously expected. In addition, we expect just as a preliminary outlook for 2021, non-GAAP EPS of at least $1.60. And as you can quickly figure out, this would correspond to greater than 20% year-over-year EPS growth in this case compared to the current FactSet consensus for 2020. So this is not guidance yet, but we expect to reinstate guidance for 2021 in February. We will not be talking about midterm guidance or our midterm outlook today, but we're presently anticipating planning an Investor Day late in Q2. And at that point, we hope to come back to giving you multiyear targets as well. If I may now go to Slide 4 and introduce you and give you an overview to what we call Project Accelerate 2.0. We expanded in incremental TAMs that we are looking at. I'll start sort of with a high-level summary, and then I'll drill down a little bit. For unbiased proteomics and multi-omics, I'll talk a lot about that, we now expect an overall TAM of $5 billion to $6 billion. And I'll give you more details of what we have included and not included on that in a moment. We are going to be a significant -- we expect to be a significant player in spatial biology and in single-cell targeted multi-omics, in fact, even in unbiased proteomics, but that's for another slide. We believe that, that spatial biology and single-cell multi-omics market TAM is about $3 billion to $5 billion. And finally, as we're moving beyond just clinical and nonclinical microbiology with including viral and molecular diagnostics, we are looking at a much-expanded TAM of about $20 billion. Please notice that these really are the incremental TAMs that we're addressing with our strategy expansion under Project Accelerate 2.0. This is not Bruker's total TAM. As many of you realize, if you know as well, we have many other TAMs that are accessible to us for life science tools and scientific instruments. In the interest of time, I invite you to maybe read the bottom of this slide, the areas where we are expanding considerably. I'll be coming back to that, but I won't be reading this one at this moment. I will now continue with a slide that you may be familiar with, if you followed us over the years, namely Slide 5. And again, this is more as a reference of what's new and what's incremental. Project Accelerate 2.0, as I've said, is the same dual strategy of accelerating our growth and improving our margins with high-margin, high-growth initiatives, the 6 Project Accelerate initiatives, but now with considerably expanded strategic scope and TAMs. And in particular, I think we're looking at 2 breakout opportunities in unbiased as well as targeted proteomics, we're pursuing both venues as -- along with spatial and single-cell biology. So if you've seen this slide before, you are correct, sort of the green part is what's new and how this has evolved further for Bruker. Similarly, this hexagon that we've been using for some time now has been updated with the green materials, if you can read them on Slide 6, about project accelerate 2.0 with its still 6, but considerably expanded high-growth, high-margin initiatives. I won't be talking much about aftermarket, but in terms of assays, from the MALDI Biotyper, Sepsityper assays for sepsis detection to, of course, COVID and flu assays. We've done a lot on the assay development. And we also have a growing and fledgling scientific software initiative in many areas of the company. I will not touch on that today. Perhaps at the Investor Day, we can take a deeper dive in that later this -- in the second quarter. We -- you will learn a lot from me today that you probably were not aware of about what Bruker has been doing, both organically and inorganically in spatial biology and single-cell targeted multi-omics. And you will be hearing about next-generation, super-resolution microscopy and cytometry for immunology, oncology, single-cell as well as subcellular spatial biology and targeted multi-omics. Moreover in the upper right-hand corner, if you like, in terms of unbiased 4D proteomics and 4D multi-omics, including lipidomics, metabolomics as well as in functional structural biology, we're expanding beyond traditional proteomics into post-translational modifications, protein-protein interactions, of course, lipidomics, metabolomics, but also functional structural biology and even beyond structural biology using high-field NMR for the so-called membraneless organelles or biomolecular condensates, one of the hottest areas in cell biology and disease biology is something where we're putting an even stronger focus and see even bigger opportunities. And then as you've realized all year, we've really expanded pretty rapidly, although essentially from a 0 base into viral diagnostics, including COVID diagnostics. We're not a COVID play like some other companies that have enormous COVID revenues. But nonetheless, in the last quarter, we've achieved about $12 million or so of COVID-testing revenue, all in PCR and nucleic acid extractions and about $30 million for the year. We actually expect to not have an overhang from that in 2021 from that admittedly low base, although we came from 0, so it's not too bad. We expect continued double-digit growth also in our viral and COVID testing in 2021. Let me continue with perhaps a pretty key slide of this presentation on Slide 7. And I will promise you, I will not read all of the fine print at the bottom, but it really -- we're trying to do a high-integrity job in really looking very carefully what are the overall TAMs, what should and should not be included in our opinion. And what is the -- not the served addressable market that may be a little bit slower, but the total addressable market, the Bruker TAM for right now. And where we arrive -- and I would invite you to read the footnotes at a later time, we arrive at a $5 billion to $6 billion overall TAM for unbiased proteomics and multi-omics. Notably, that does not include all protein analysis, consumables and reagents, and that does not include all of genomics. I -- we understand the argument that many genomics customers will be moving towards multi-omics, including proteomics. We think that's a very important trend, but we think this is an appropriate and still realistic TAM for the various mass spec, NMR and other proteomics solutions that we offer. Very important and probably pretty new for many of you, at least from Bruker, is that we expect to be a very significant player in spatial biology, single-cell targeted multi-omics. We estimate that overall TAM at $3 billion to $5 billion and presently, but that's going to expand further, perhaps about $1 billion being accessible to Bruker. And then as I've already said in my introductory remarks, our microbiology and viral diagnostics TAMs have expanded dramatically. Of course, it's a very large market with many players. So yes, it is a $20 billion TAM, including COVID testing and molecular diagnostics. Nonetheless, for us, from about $1 billion, $1.5 billion microbiology TAM, we feel that we have realistic access, at least in principle, to a TAM of about $4 billion. So these are, again, as I said earlier, our incremental TAMs. Keep this color coding of green, dark yellow and purple a little bit in mind as I go to the next slides because the color coding is reflected in some of our funds. So let's talk about unbiased proteomics and multi-omics. A lot of that, of course, is by TIMS/PASEF, by our timsTOF technology, which is really unlocking in many ways the transformative power of CCS, which stands for collisional cross section-enabled deep 4-dimensional proteomics. And the 4D here is really the IMS, that's the Ion Mobility dimension, which we -- in which we differ compared to other LC-MS-MS methods. We estimate that served addressable market -- have I confused you enough, SAM, TAM, TAM? But the SAM, again, realistically, we now estimate that's already grown to about $750 million. 1.5 years ago, I would have estimated it at $500 million. And we still -- once again, I will say that I would expect that to go up more than a factor of 2 in the next few years. We'll see how quickly that evolves, but it's clearly accelerating right now. A year ago, we had more than 100 timsTOF systems out there as an installed base. I'm pleased to say that those placements, meaning commercial sales and leases, have all -- have grown even in a COVID year 2020 by more than 30%, and we now have an installed base of greater than 250 units. We've always been in tissue and cell culture proteomics post-translational modifications. We have been pretty successful in getting into biopharma proteomics applications. And there are at least 1 CRO and 1 major biopharma company that have 4 or 5 of these systems already. So that's, perhaps, not news. The green points are news. We're really making a much bigger push into plasma proteomics and the corresponding PTMs. You'll see other announcements at this conference and why that is important. I think you've heard a fantastic presentation if you're focused on proteomics by Omead of Seer, who explained the need for this type of unbiased proteomics and what its potential is. So we fully agree with that. In addition to various applications in research plasma proteomics, this along with tissue proteomics, will lead us to cancer proteomics, both for liquid biopsy proteomics as well for analyzed -- as for analyzing cancerous tissues from fine needle biopsies in a research and validation mode. And we are also one of the post-translational modifications, that's particularly important. And where we're also focusing is cell surface -- cancer cell-surface glycomics. So we think that's a terrific growth area, and we're pushing into that with new methods and new capabilities and collaborations. Finally, and you'll hear about that in a moment, there has been really a scientific breakthrough in true, quantitative single-cell proteomics. I'll come back to that on the next slide. So I think -- actually, on the -- I'll come back to that on this slide, and let me focus on that in the interest of time, just before the holidays, in very late December, a breakthrough paper by the Matthias Mann group was -- went online in Bioarchive that for the first time, as far as we are aware, has truly demonstrated true, single-cell proteomics and with quantitation. I think the number of just the times of just getting identification numbers, that's good, but that's not sufficient. You really want to do quantitative biology. And I'll keep coming back to that also later in the single-cell context. This has clearly shown once again that especially at the single-cell level, the protein content and the transcriptome or the RNA content are very different. They're not regulated in sync. And in fact, it turns out that the transcriptome is fairly sparse, whereas the proteome is still stable even in the individual cells with a sufficiently high copy numbers that for 1,000, 1,500, perhaps more proteins in the future, we can do very meaningful quantitative single-cell biology with proteomics. That -- ladies and gentlemen, that is a breakthrough. Yes, it is a scientific result. We hope to have an instrument that's dedicated for that, that has been used in these breakthrough results as a prototype in the second half of this year for early access customers and then a full commercial launch next year. This is going to be a very major new inroad into single-cell analysis in general and quantitative biology at the single-cell level that's perhaps more meaningful than single-cell genomics or transcriptomics, but it certainly is complementary. Let me continue on Slide 9. There have been a number of further new methods and further software and other improvements that we brought out at the various ASMS 2020, HUPO conference and so on and even more recently. I will not go through them all right now, but the TIMS/PASEF platform continues to see very good acceptance in many key laboratories. The number of publications, it always starts slow, but it has now -- really, it is exploding, and we've had a lot of exciting new publications, not only on TIMS but on COVID research, as you might expect, but in many, many other areas. And we continue to be very excited about this platform. We are pleased, and you heard that earlier today from a Seer press release that we have also concluded a proteogenomics/multi-omics collaboration with Seer. We're very much complementary with their Proteograph solution. And on a nonexclusive basis, we're very, very pleased to work with them. And we think their vision for proteomics and proteogenomics is spot on, and we are looking forward to collaborating with them. Let me go from mass spec to NMR. A little bit of an update here. We have -- this is really all about the new science that's being enabled by functional structural biology, the dynamics and function of globular-structured proteins, intrinsically disordered proteins. A very nice example of why they're so important, for instance, in viral replication and these biomolecular condensates or membraneless organelles, without which there would be no COVID-19 because there would be no viral RNA replication as we now find out. It also turns out, there would be no life at all because so many crucial healthy cell biology functions depend on these things for NMR is really uniquely and exquisitely positioned to study them. We've had 3 systems in revenue last year. We are -- we received an additional order in the fourth quarter of 2020, again from Europe. We think that the U.S. and Asia Pacific eventually will also have funding and catch up with Europe here. And by the way, for this year, 2021, we expect further growth with about 45 gigahertz class systems, presumably going into revenue this year. We've also applied our NMR and mass spec for COVID disease research. We're looking at drug targets, looking at the binding to the viral RNA and proteins with the COVID-19 NMR consortium and you may have heard about that -- you will have heard about that already. Looking at the long-COVID or post-COVID-19 syndrome phenol conversion at the immunometabolic and lipoprotein level studying the plasma of patients. And we hope to -- there's some very exciting publications that came out of the Jeremy Nicholson group in the Journal of Proteome Research just before the end of the year, feel free to look them up or ask Miroslava for the references. But what we're expecting to take that is towards a risk assessment assay and a recovery monitoring assay for long COVID or for the many, many individualized aspects and syndromes that many patients do feel even after the acute viral infection is over. We think this will only become more important. And the combination of NMR and MS here, in this case, makes for some very unique capabilities. So much for proteomics and structural biology, let me talk to you about something that is mostly, we believe, new for you. On the next couple of slides, I will outline what we are doing in spatial biology and in single-cell targeted multi-omics. We've done this both with the Canopy acquisition in September, which gives us access to the quantitative, high-resolution special, spatial biology and targeted single-cell proteomics now. We're already at single-cell resolution. This is not something we're coming out with next year. We have these solutions ready now. And I, again, stress in our Bruker ChipCytometry, that's the trademark for our product line here, the quantitative aspect. We actually have like 8 lots of quantitation. We think the quantitation beyond pretty pictures in biology, the quantitation is absolutely -- is what's needed for biological research and for drug discovery and whatnot. This is research use only, but these are very, very large markets in spatial biology and single-cell analysis. You know what the applications are, you hear that from other companies. So let me then already go to Slide 13, where we're actually going to multiscale single-cell and super-resolution, subcellular resolution. We cannot only do spatial transcriptomics, we can do spatial genomics in the nucleus of eukaryotic cells, which is a lot smaller and therefore, a lot harder for many others. We can look at 3-dimensional chromosomal structures and look -- use the various OligoSTORM, ORCA, DNA PAINT and similar type of labeling technologies that give us 3-dimensional information and targeted spatial information, particularly for transcriptomics, but also -- and that's the harder part, for genomics. So this multiscale widefield, super-resolution Vutara VXL system was developed internally. That's on organic development. And yes, it is just a new Bruker box and instrument. But no, it really opens up a very significant market for single-cell and subcellular targeted spatial genomics, transcriptomics and proteomics. I invite you to read some quotes from our very excited and -- collaborators, who've really contributed enormously to these emerging solutions for cellular -- single-cell and subcellular spatial biology. So let me wrap things up in the next 2 or 3 minutes to talk briefly, also again, about our microbiology and molecular and viral diagnostics program. Our MALDI Biotyper business has continued to do pretty well, even though it's not used for viral analysis, but the clinical and nonclinical markets have continued to grow. The consumables have grown. We now have over 4,300 systems out there. And to give you a feel for how democratized that really is because it is cost-effective and gives -- it's almost universal identification for anything clinically relevant on the bacterial or fungal side, we estimate from our consumables that there were about 200 million pathogen IDs on our installed base. Yes, that really has gone mainstream. As you will see, with a new instrument and a number of new microbiology applications and a very important one in which we just got FDA clearance, at the very end of December, we've also expanded into COVID testing and molecular diagnostics with our PCR platforms. And I'll give you a little bit more detail on that on Slide 15, not only the Bruker-Hain acquisition, where we acquired actually 100% of the company. Initially, we had acquired 80%. Fortuitously, we acquired 100% in January of 2020. It has grown pretty significantly, automated sample prep, nucleic acid and, of course, our SARS-CoV-2 two-gene PCR assay available in Europe and Africa that also rules out endemic human coronaviruses. Very, very high quality. We believe it can detect all the new variants. That has ramped up very nicely. And we just, in December, launched the winter four-plex PCR panel that also includes, in addition to SARS-CoV-2, the flu influenza A, B and the RSV, so the 4 most important respiratory viral infections for the winter. So that's already shipping. And this is brand new, we are also entering the rapid point-of-care antigen testing market, again, in Europe, with both an automated antigen testing solution, where you can do 100 or 200 samples a day. We have done a manufacturing and distribution collaboration on that with a European company, and we're also getting into the handheld manual, if you like, lateral flow assays for rapid antigen testing and that is also just launching -- that is launching now, that is going ready and we're beginning to distribute that in Europe. The PCR business is the larger one for us. As I said, we've grown to about $30 million per year. And from that, by other standards, relatively modest base, we expect that to continue to grow significantly also next year as we are becoming a more meaningful player in COVID testing. I will end with the very happy news that after years of wait that had to do, of course, with COVID EUAs and so on and vaccines coming through, clearly more important than this, but sepsis is still very important. The 0.25 million Americans die of sepsis every year. This will save some of those lives, we think, or at least allow physicians to make cost saving, ICU-time saving and perhaps outcome-changing decisions much, much earlier based on detecting over 400 pathogens. So this goes well beyond the dozen or so that you can get with the PCR panel. This for all practical clinical purposes is like a universal fast detection from positive blood cultures for identification. And very often, depending on your local antibiogram and hospital epidemiology status, that may very well -- in many cases, will tell infectious disease physicians to change the treatment that is hopefully more effective and can save cost and life. And I will simply pause with 3 terrific customer statements. We had some for our clinical trials. We had early adopters, who have self-validated the system, have put it into use on their MALDI Biotyper system and have used our fast Sepsityper kit. We think now that we have CE-IVD Mark and U.S. FDA clearance that this will become a very important driver for the further MALDI Biotyper adoption in the U.S., but also for a very significant assay and consumables growth for this really high-value Sepsityper fast, Sepsityper ID from positive blood culture solution that now has reached has achieved FDA clearance on a Sunday. The FDA is working hard. I believe it was December 27. So very pleased, and these customers are very pleased. And I think that can give you perhaps some leisure reading. With that, I thank you for your interest, and we will open it up for Q&A.

Thank you for that. Maybe to start, I just had a question come in via the web page. "Given the recent FDA approval, can you discuss how you see the opportunity for the MBT Sepsityper product launch in the U.S.? Relatedly, wouldn't it make sense to acquire a rapid AST technology to pair with the Sepsityper so that you could come to market with a full rapid sepsis diagnostic system?"

That is all valid. And rapid AST is also incredibly valuable. That's -- we are working on that as work in progress for getting ready for some selected AST on the MALDI Biotyper platform, hopefully, later this year to begin clinical trials in Europe and then eventually, that will also reach the U.S., although we tend to do that in Europe first, so we hope to have an RUO panel for selected AST. This isn't going to be necessarily universal because in the MALDI Biotyper, you don't have that. But the MALDI Biotyper is essentially a nearly universal identification solution. And identification is already incredibly valuable, the faster time to resolve identification that's for -- just about anything that on the bacterial and fungal side, you might see in a hospital or in health care-associated infections. So major progress, more to be done.

Got you. Okay. And then maybe we can just talk a little bit about your 4Q preliminary results there. Can we talk maybe about how much of COVID testing is baked in there? I know that you were at around a $10 million per quarter run rate last quarter. So maybe how much is embedded here? And then in terms of your preliminary 2021 outlook, how should we be thinking about COVID contribution for that? And is there any upside there from the four-plex test? And any sort of antigen revenue that you would see?

Both excellent questions. As to Q4 and Q3, we had about $9 million plus in COVID testing revenue. In Q4, that was closer to $12 million to $13 million. We think we -- quarter-over-quarter growth from Q3 to Q4 was greater than 30% for us. And then we can give more details when we report in February. But -- so it continues to grow. And yes, we continue to expect further growth in our COVID testing franchise. Again, it won't dominate what we're doing, but it's a nice contributor. It's also a margin contributor. So from the baseline of about $30 million in COVID testing in 2020, which for us started from scratch, from 0 essentially for all viral diagnostics, we are -- we expect further double-digit growth, and we'll give you more details when we report.

Okay. Now lab closures were obviously a headwind in 2020. Can you give us a sense of what percentage of your customers are back up to sort of full utilization? And maybe shifting to Europe in that regard, it seems like things were heading in the right direction in 3Q, they were up low single digits there. But can you just give us sort of a state of the union in terms of where things are in terms of academic lab closures?

Yes, despite the popular negative headline news on the second wave and even a new U.K. variant and things like that, we have checked again not only before the end of the year, but also now and all of our sites in our -- all of our factories are up and running in that new normal with extreme precautions. And so far, we believe, as far as we know, a perfect safety track record for all Bruker colleagues and their families. And also, we are essential. What we're providing is essential, so we have a -- there could always be a single customer case somewhere where they close down for a week or 2, then we do something else. But the easy -- the short answer, and it's no easy answer but the short answer because it does require a lot of juggling and planning and rearranging priorities is that we can continue to -- even those countries in Europe that have a harder lockdown, U.K., of course, prominent, Austria, a few others. We are doing installations, and we are doing deliveries. And every once in a -- so the hospitals but also the academic research sites, all continue to be open, and our customers continue to be open. It's a lot harder work to get it all done. But at the present time, we do not expect that to have a significant or meaningful impact on our preliminary view of 2021. And we actually expect a pretty good first quarter of 2021.

Got you. Maybe in terms of the timsTOF Pro and fleX, how is the biopharma market-driven uptake here for these instruments? And sort of how long is the runway for growth in the biopharma market for these products?

Well, I mean there is -- this is infinite as long -- a long -- it is a very, very, very, very long runway. The runway picture just doesn't -- the metaphor runway doesn't apply here. We're just getting going in proteomics. Because it is so useful and it is used for fundamental proteomics research, but also for looking at things like antibody, antibody drug conjugate, host cell proteins and so on, they are emerging biopharma applications beyond just the research, drug discovery piece to where this instrument actually had surprisingly -- or has surprisingly good early adoption. So there is -- the majority are major academic medical centers. And of course, academic labs that pursue proteomics or increasingly also that are not pure proteomics labs, labs that traditionally have done quantitative biology and maybe genomics that are now beginning to say, "Look, if we don't want to be blind on one eye, we've also got to have proteomics and post-translational modifications." But on the biopharma side, I'm roughly guessing 20% to 25% of the systems go into biopharma or CROs. And as I've said, there are some cases of there's a very major oncology-focused biopharma company that I think has more -- has 5 systems or more by now, and there's also a very major CRO that has -- that already has that similar number of systems. So it's not only that everybody buys one to try it and now -- quite a few cases now have multiple systems. So it's -- it exceeded our expectations, including the biopharma early adoption.

Okay. Pre-COVID, you had been targeting around 75 to 100 bps of annual operating margin expansion, 2/3 of which would be driven by gross margin expansion. Post-COVID now with Project Accelerate 2.0 in the fold, sort of how should we think about the right way to model margin expansion moving forward?

That's a very good question. And obviously, after a little bit of dip last year, we expect this year -- in 2021, we haven't given a numerical outlook. We'll give you operating margin guidance when we report Q4. We expect strong expansion compared to the 2020 level. And for 2021, we expect more than a 75 to 100 bps pickup. But let me -- let us give you guidance when we give guidance in February. We have -- while we're looking forward to establishing -- reestablishing annual guidance in middle of February, we probably will not be giving the multiyear guidance and outlook until our Investor Day probably in the end of Q2. That's our present cadence and thinking. So we are committed to accelerating growth, and we're committed to further margin expansion. We've seen the end of the runway. We have committed to fast EPS growth. But numerical numbers, which is, of course, what you really would like, we will -- we expect to give that to you for the year in mid-February. And hopefully, for -- with a multiyear outlook at our planned Q2 Investor Day.

Okay. Well, it looks like we're running up here to the end of our presentation here. Thank you very much, guys. I appreciate all of you for joining us today.

Thank you, Casey.

Thank you. Pleasure.