Glanbia plc (GL9) Earnings Call Transcript & Summary

Hello, everyone, and welcome to the Glanbia 2023 Q3 Results Call. My name is Seb, and I'll be the operator for your call today. [Operator Instructions] I will now hand the floor over to Liam Hennigan, to begin. Please go ahead.

Thank you, operator. Good morning, and welcome to the Glanbia Q3 2023 Interim Management Statement Call. During today's call, the directors may in forward-looking statements. These statements have been made by the directors and [indiscernible] based on the information available for them up to the time of their approval of the Glanbia plc Q3 2023 income management statements. The inherent uncertainties, including both economic and business risk factors underlying such forward-looking information, actual results may differ materially from those expressed or implied by these forward-looking statements. The directors undertake no obligation to update any forward-looking statements made on today's call, whether as a result of information, future events or otherwise. I'm now handing the call over to Siobhan Talbot, Group Managing Director of Glanbia plc.

Good morning, everyone, and welcome to the Glanbia Q3 2023 Results Call and Presentation. On today's call, I'm going to provide a summary of our performance for the first 9 months of '23. I'm joined by my colleagues, Mark Garvey, who will cover the financial results and outlook for the remainder of the year, and Hugh McGuire, who will be succeeding me as CEO in January of '24. So at the end of the presentation, we'll turn the call over and be happy to take your questions. Overall, I'm pleased to report that the third quarter has progressed as expected with volume growth accelerating across the business as Glanbia's portfolio of better nutrition, brands and ingredients continues to resonate strongly with consumers who are seeking health and wellness. In GPN, strong Optimum Nutrition brand trends continue to deliver volume growth in the quarter and year-to-date despite significant price increases implemented through Q4 of '22. ON continued its growth momentum, both internationally and in the U.S. with U.S. consumption growth in the 12 weeks to mid-September of 9.5%, building on a strong comp of the prior year. In Nutritional Solutions, as expected, overall volume trends have stabilized with volume growth again in the third quarter, driven by protein solutions as trends in custom premix solutions have continued to stabilize. Overall, the group's financial position and ongoing cash conversion remains strong. In terms of capital allocation, we had during the period completed the EUR 100 million share buyback program announced earlier in the year and acquired the B2B bioactive ingredients business of PanTheryx for $46 million, further complementing the capabilities in Glanbia Nutritional Solutions. So as a result of the delivery year-to-date and our confidence at this point of the year in the outlook for the remainder of the year, particularly in GPN, we're upgrading our full year adjusted earnings per share guidance from the prior 12% to 15% growth, now to 17% to 20% growth on constant currency numbers. Turning then to the revenue for the first 9 months. From a group perspective, as I said, very much in line with expectations. In terms of volume within GPN, ON, our largest brand, continued its volume, positive momentum in the period. In fact, volume accelerated for ON in the third quarter, bringing the year-to-date volume growth to mid-single digits as well as sustaining double-digit pricing in the brands. Pricing overall continued to be the key driver of growth in GPN with the pricing sustained in the period as a result of the annualization of those strategic price increases we executed in '22. Across GN, we continue to see a significantly improving volume trajectory in Nutritional Solutions as I referenced volume growth delivered in the third quarter, which I'll speak more to later. We [ also ] volume growth in US Cheese and year-to-date, reflecting robust end market demand and very good customer relationships in that space. The pricing decline that you see in Glanbia Nutritionals in both Nutritional Solutions and Cheese was all a function of lower dairy market pricing. In terms of GPN, year-to-date, it delivered branded like-for-like revenue growth of 3%. This was driven by growth in international of 12.3% and a decline of 1.8% in Americas as a result of the expected decline in the SlimFast brands. That same SlimFast performance impacted branded volume decline to minus 5.9%, but we had good demand trends across ON and the healthy lifestyle portfolio. And that trend continued with volume growth, as I referenced, accelerating in both those 2 areas in the third quarter. We expect this trend to continue into Q4 with the protein category currently resonating very strongly with active lifestyle consumers. I'll speak more to the brand shortly. And again, as I referenced earlier, pricing was a key driver of growth. We have sustained the pricing benefit of those '22 actions and delivered overall pricing growth of almost 9% year-to-date. We've increased our brand investment in the period, and this has supported volume progression of the key brands in the face of that pricing action. So for full year '23, GPN expects revenue growth of approximately 5% and on a constant currency basis as the year-to-date revenue growth will be significantly augmented by strong year-on-year growth in the fourth quarter that we have good visibility on at this point in time. On margins, the positive trajectory referenced in the first half results in August continues to improve the structural margin in GPN. And that is underpinned by a continued focus on revenue growth management initiatives, operating efficiencies and margin optimization. We are achieving improved margins while also increasing our year-on-year brand investment across all our key markets. As a result of our continuing confidence in sustaining margin progression, we are today upgrading our GPN margin guidance for full year '23 to between 14% and 14.5%. That will represent an increase of between 280 and 330 bps on full year '22. Looking then at the brands, as I referenced ON as our flagship global brand and the #1 brand in sports nutrition. As you would expect, given its scale and most importantly, its potential, Optimum Nutrition is our clear priority brands. It is the brand that has and will receive the greatest proportion of resources and investments and is now over 60% of our portfolio. As a global brand, it has continued to experience good volume momentum across both Americas and International and had a strong third quarter. In the U.S., our consumption continues to be strong and as referenced earlier, in the 12 weeks to September, almost 10% growth. In international, the growth of 12.3% was largely driven by ON, which was supported by higher investment levels as the brand continues to gain traction with new consumers across all our key priority international markets. We expect strong momentum for ON in Q4. We and continue to progress all aspects of the brand playbook with strong brand activation planned into Q1 '24. Anchored in delivering consumer protein and energy needs, the ON powder format has a really strong value proposition. And no doubt, it is resonating with consumers and will continue to drive our brand momentum. Given the continuing momentum of the brand and despite the scale of the strategic price increases implemented last year, we're confident that the brand will deliver mid-single-digit volume growth for full year '23. Looking to healthy lifestyle, it's 18% of our GPN portfolio. It includes the brands of Isopure, think! and Amazing Grass and it continues to gain momentum. Here, our recent consumption was 12.3%. Q3 was another strong quarter for the Isopure brand for the continued rollout of the Isopure, Add Less Do More campaign, distribution growth and new visual identity driving good consumption. We've launched a number of innovative flavors across the healthy lifestyle brands and again, here, expect good momentum to continue for the rest of '23. SlimFast is now 10% of our GPN portfolio. That has continued to decline as expected as ongoing challenges within the diet and weight management category have resulted in reduced shelf space for the brands. Our consumption here was down 35.8%. As we discussed previously, it's fair to say that the weight management landscape has changed dramatically in recent years. However, 1 of the things remains constant is the very strong need of many consumers for support in the weight management journey. As SlimFast continues to have very strong awareness and recognition by consumers as a brand that has a long heritage in this space. Our strategy for SlimFast is now very aligned with this trend, where as we outlined earlier in the year, we are now refocusing our efforts and rebasing our investments back to the core brand meal replacement ready-to-drink shakes and powders. Turning then to Glanbia Nutritionals in Nutritional Solutions, I'm pleased to report that the business delivered volume growth in the third quarter, continuing the sequential growth trajectory that we spoke to at the half year results. This growth was underpinned by good demand in protein solutions, while customer offtakes on the premix side, continue to stabilize. The overall volume decline of 6.4% was driven largely by those supply chain rebalancing trends that we saw in the first half of the year, again, as previously referenced, largely in premix. Pricing was down 7.6%, with positive price in premix offset by the declining dairy protein market pricing. We expect demand for protein solutions to continue to be well into the fourth quarter and for Nutritional Solutions to deliver an overall mid-single-digit decline in volumes for the full year. Full year EBITA margins for Nutritional Solutions are expected to be between 12% and 13%, representing again an increase of between 60 and 160 basis points versus '22. This is being driven by operating efficiencies and the accretive impact of the lower dairy pricing. As I referenced in September, we completed the acquisition of a bioactive ingredients business, PanTheryx. This business will complement the existing ingredient technology portfolio of Nutritional Solutions, particularly in the areas of immunity and gut health, providing a wider breadth of technical capabilities in the nutritional solutions space to support our customers. So now I'll hand to Mark.

Thank you, Siobhan, and good morning to everyone on the call. At the end of the quarter, the group's net debt was $335 million compared to $731 million at the end of Q3 last year. The lower net debt is primarily due to strong operating cash flow during the period with significantly reduced working capital outflows as inventories returned to a more normalized level compared to the post-COVID supply chain challenges of last year. In addition, the group received proceeds of approximately EUR 179 million in April from the sale of the Glanbia Cheese U.K. and Ireland joint ventures and the repayment of associated shareholder loans. The group has committed financing facilities of over $1.3 billion. As Siobhan has mentioned, post quarter end, we closed on the acquisition of the B2B bioactive ingredients business of PanTheryx for $46 million, and we continue to look at acquisition opportunities, primarily in the nutritional solutions space. Year-to-date, strategic capital expenditure has been primarily focused on further manufacturing automation in GPN, voting extrusion capacity and nutritional solutions and IT implementations across the group. For the full year, we expect strategic and maintenance capital expenditure to be between $75 million and $85 million. The group completed the most recent share buyback program in mid-September. The EUR 100 million buyback resulted in the purchase and cancellation of 7.2 million shares at an average price of EUR 13.86. We will continue to look at share buyback programs as a vehicle to return capital to shareholders. At the end of the year, we expect the group's net debt-to-EBITA ratio to be below 0.7x. Now I would like to update you on elements of guidance for the full year. Firstly, for GPN, we now expect like-for-like revenue growth to be approximately 5% for the year, augmented by strong year-on-year growth in the fourth quarter. While we expect good revenue growth for the year in Sports Nutrition & Lifestyle, we expect this to be somewhat offset by lower revenues in weight management. In Nutritional Solutions, we have discussed the supply chain rebalancing trends we have seen during the year as well as the sequential improvement in trends as the year has progressed, with volumes down 6.4% year-to-date. For the full year, volumes are expected to be mid-single digits lower than prior year. Turning to GPN EBITA margins. We now have good visibility for the remainder of the year and the positive trajectory we discussed as part of our half year results in August, continues to improve with the structural margin in GPN underpinned by continued focus and revenue growth management initiatives, operating efficiencies and margin optimization. We have also said previously that second half margins are benefiting from price increases taken last year as well as lower weight costs in the second half, somewhat offset by inflation in other cost of goods sold and enhanced brand investment. We are now able to update our GPN EBITA margin expectations for the full year to be between 14% and 14.5%, representing an increase over the prior year of between 280 and 330 basis points. Looking to next year, we will provide a detailed update on '24 margin expectations during our '23 full year end results call. At this point, we would expect '24 GPN EBITA margins to be broadly in line with this year. Turning to GN Nutritional Solutions. Our EBITA margin guidance is unchanged, and we expect margins to be between 12% and 13% for the full year, an increase of between 60 and 160 basis points over prior year. As we announced in August, we have with our U.S. joint venture partners decided to amend our commercial agreements, which will simplify group reporting from 2024. As a result of this change from '24, Glanbia Nutritionals will act as an agent for the joint ventures and consequently, we'll recognize only the commissions earned on the sale of joint venture products. We will no longer gross up revenues and corresponding cost of sales of the joint venture products. There will be no change in day-to-day operations, and there will be no material change in the group or Glanbia Nutritionals EBITA. Detailed pro forma information for '23 will be provided with the; 23 results. But for illustrative purposes, depending on dairy markets, this change will result in group and Glanbia Nutritional revenues being lower by approximately $2 billion and group EBITA margins will be higher by over 300 basis points from current levels. There will be no material change to Glanbia Nutritionals dollar EBITA with again, subject to dairy market pricing, Nutritional Solutions EBITA margin is expected to be 150 to 200 basis points higher and U.S. Cheese EBITA margin is expected to be 200 to 300 basis points higher than currently reported. We believe this change will be effective from '24 will simplify the presentation of underlying performance of the group and facilitate easier comparatives with our peers. Now turning to cash. Based on the performance year-to-date, we expect to have strong cash flow for the year, and operating cash flow conversion is expected to be between 80% and 90% for the full year. Return on capital employed is expected to be between 12% and 13% for the year at the top end of our Capital Markets Day target range. And as Siobhan has mentioned, we are pleased to upgrade our adjusted earnings per share growth guidance from 12% to 15% to 17% to 20% for the full year, primarily based on GPN expected performance. And with that, I would like to hand it back to Siobhan.

Thank you, Mark. And so to close, as Mark has just outlined, we're upgrading our guidance to date to that 17% to 20% growth based on that year-to-date delivery and strong momentum in GPN and across the group for Q4. This builds on a strong performance of '21 and '22, and I'm pleased to say that those 2023 to '25 strategic targets outlined in our capital markets event last year are very much on track and we're well on our way to achieving the financial ambition that we outlined at that event. As I reflect today, Glanbia has evolved enormously and now has very clear and unique positions in nutrition at a time when consumers truly recognize and value the benefits of better nutrition. These global consumers give Glanbia a strong runway for growth. Growth we will deliver by driving forward across the complementary areas in the group that we have built and invested in. the growing global billion-dollar ON brands, the growing portfolio of U.S. healthy lifestyle brands, the protein powerhouse capability in Nutritional Solutions and the global leadership position in the blending of vitamins and mineral premixes. Glanbia is in growing categories, has incredibly passionate and innovative teams has a highly efficient supply chain strong routes to market and strong distribution capabilities. And we have, as Mark has outlined, the financial capability to continue to invest for growth. But maybe most importantly, but I hope our recent performance has shown you all, is that culturally Glanbia is resilient and agile and always testing itself to be better. We have category-leading brands across multiple growing regions and transformed business capable of executing growth effectively and efficiently and for the long term. So it's been an enormous privilege and honor for me to be part of this incredible Glanbia team for over 30 years, CEO for the last 10. It's been a very exciting journey, and I believe the group is in great shape. So as we close out '23 I'm really, really delighted that we have incredibly strong successor in Hugh, who will take over in January and who is a super team, I know will drive Glanbia on to just more and more future success. So for now, as always, many thanks for all your time over all the years, and we now pass to Q&A for -- I'm joined with Mark and indeed by Hugh, who will happily take all your hard questions. Thank you.

[Operator Instructions] Our first question comes from Cathal Kenny at Davy Research.

Two questions Firstly, your full year guidance implies a pretty significant step up in Q4. Just wondering, could you provide some amount of color on the moving parts for the Q4 expectation? Secondly, general comment in terms of what you're seeing in terms of pricing within the category for ON and associated promotional activity? And final question is just on inventory and any color or comment in terms of the inventory position within the core channels within GPN.

Hugh?

Yes. Cathal, thanks very much. The line was a little faint there, but I think I got the 3 questions. I think in terms of quarter 4 and guidance, there's a number of things driving that. First weak comps, were up against a weaker quarter for last year, driven by a degree of customer destocking. Secondly, marketing of waste. We've spoken about that before. We have a significant up-weighted marketing spend this year, and we'll see a significant amount of that goes through in quarter 4 as well, supporting our brands. New Year. New Year with all its quarter 4 is always strong as we prepare for a strong quarter 1 next year, A New Year, New You. And lastly, innovation, we have a number of new flavors on the Gold Standard Whey, which are going into different retail channels as well, which are launching in quarter 4. So all of that gives us confidence around strong volume demand for GPN, particularly ON and quarter 4. Second question, pricing. That's something we always watch. We'll be investing a little in price in quarter 4, but all planned all around supporting quarter 1 New Year, New You. Certainly, we had significantly high COGS in half 1 as we came through that of the oil industry. We're watching care. We're not seeing anything dramatic right now. We are seeing a little bit of increased spend, let's say, around Amazon second Prime Day, but it's something we're watching carefully. But everything at this point in time is carefully planned for quarter 4 and quarter 1. Lastly, inventory note. No major change in inventory is something we track all of the time. And there's obviously going to be a little bit of puts and takes across different channels. But as of now, comfortable with our inventory levels. And in fact, a big driver of our working capital and the cash conversion has been a reduction in inventory in GPN over the course of the last 12 months.

Our next question comes from Patrick Higgins at Goodbody.

A couple of questions from me. One GPN and 1 Nutritional Solutions. So on GPN, could you maybe just give us a comment on the whey cost backdrop? Is it still trending lower? Have you seen some stabilization, I guess, particularly for the higher grade stuff? And how should we think about your visibility on whey costs into next year? How forward hedged are you at this stage? And then the second question is just on Nutritional Solutions and the pickup you've seen in the protein solutions business. How much is that just kind of returning to normalized kind of underlying demand and growth in that business? Or is there an element of restocking in there? Or how should we think about that pickup in volumes as seen in that business in Q3?

Patrick, in terms of whey cost, we have -- as you know, in the second half, we probably have the lowest whey pricing we've seen for a while going through our P&L, whereas the first half actually some of the highest whey costs going through our P&L. So we've seen, I think, the whey market trough at this point. So it is turning somewhat, but not successively so, I would say. So from our perspective, it's more of a normalized turn as you would see when prices get low. In terms of visibility, we're pretty much procured through the beginning of the same quarter at this point into next year. So we have some reasonable availability into the first half. But again, I think our expectations would be that this turn in a way will be more of a normalized turn as opposed to some of the significant peaks we saw over a year ago. In terms of Nutritional Solutions, we are very, very happy that we're seeing the volume growth return for the business. And on the dairy side, I would say this -- no, I wouldn't say it's restocking. I would say it's more normalized consumer demand just being met right now. And our customers seem to be in pretty good shape from that perspective. On the nondairy side, albeit we're still at a negative volume comp, it is much, much, much reduced from where it was at the beginning of the year. So we are seeing that supply chain rebalancing begin to sort of phase, I would say, it's more of a normal pace. By the time you get into the beginning of next year, we would hope that we have back to a normal level there.

Our next question comes from Javi Garrao from Morgan Stanley.

My first question would be on NS margins. I know you narrowed the guidance for GPN, but the margin guide for NS at 12% to 13% remains pretty wide. What is keeping you cautious on the margin guidance for that division? And what levers could you pull other than commodity prices to deliver margins maybe at the upper end of the range? And then my second question would be on the GPN sales acceleration for the fourth quarter. Could you maybe comment what you're expecting by brand, I would imagine, still strong ON performance, but for SlimFast specifically, are you still expecting negative sales albeit including the comp that you see your comp in the quarter?

In terms of NS margins, we're very pleased -- actually where we go to end this year in NS margins compared to where we were last year. I would say there can be some moving pieces around dairy. I'd say we're reasonably confident to be at the midpoint of that range at this point in terms of where we stand. So again, very comfortable how we're going to end up in NS margins for the year.

Yes. And you kind of answered the question yourself really in terms of quarter 4 and in terms of the guidance of 5%, ON -- our sports nutrition brands, particularly Optimum Nutrition and Isopure will drive that growth. And yes, we will continue to see some acceleration in SlimFast as we saw in quarter 3, primarily driven by reduced SKUs in major retailers. So primarily quarter 4 are driven by Optimum attrition.

Our next question is from Alex Lang (sic) [ Alex Sloane ] at Barclays.

Firstly, just wanted to say, congratulate on leaving the business in such good shape and good luck in your retirement. I've got 3 questions, if that's all right. Just firstly, in terms of the GPN growth and ON specifically, are there any material differences in terms of channel growth that might mean the ON growth is not fully captured in some of the scanner data that we see? And then secondly, just in terms of kind of a longer-term thematic, but obviously, GLP-1 has been making a lot of a lot of noise. There's been some anecdotal comments on the likes of Walmart around users having more demand for protein and the doctors kind of recommending more protein to prevent muscle loss associated with weight loss. So it's early days, obviously, but I'd be interested in terms of how you're thinking about that potential opportunity for Glanbia across GPN and NS? And then finally, just for Mark, I mean, another very strong year on cash. I think you said that you're going to be below 0.7x net debt to EBITA at year-end. So I guess that's below your sort of optimal leverage. So I'd be interested in the priorities in terms of use of cash from here?

Just to thank you, Alex, for your note and Hugh and Mark will pick on specifics.

Alex, yes. So in terms of channel Look, firstly, when we have said this at our Investor and Capital Markets Day, we're an omnichannel business, our largest channels, our e-commerce and club follow-up by through drug mass. So we'll be looking across different drivers of growth across different channels at different points in time. I think in terms of scanner data, when we spoke at our Investor Day in May, we broke out our food drug mass business. About 23% of our business in North America, remains in around that today as well. So it's a key channel for us. But when I look at some of the external scanner data, we will see -- we're training large comps in terms of new listings last year and significant secondary displays in quarter 3 last year, which we didn't lap this year as we focus on New Year, New You on quarter 1 particularly. So from our perspective, we'll be looking across all our channels and all our markets and seeing where the best opportunity to drive growth at any 1 particular time. In terms of GLP-1, one, look, it's really interesting. It's certainly a megatrend in terms of weight loss. We're tracking consumer behavior. We recently commissioned a piece of research actually, to be honest. And what we can clearly see is interest and awareness is growing as a solution for quick weight loss. And we're watching how that materializes. We clearly see as well the consumers are worried about the side effects. We can see their scaling back in high-calorie foods. But I think really interesting for us and in terms of opportunity, they continue to look for ways to stay healthy. They're worrying about nutritional deficiencies. So that plays into our strengths. As they travel that weight loss journey, they want to make sure they're taking the right nutritious foods and our portfolio of brands ingredients play into that, whether it's high protein. They're looking for 4 to 5 products high energy or ideal calorific content. So we're watching it carefully. We're tracking it. But from our perspective, we would see it as a potential opportunity given our range of brands and ingredients that really will benefit consumers in that weight loss journey.

Alex, this is for your question on cash and capital allocation. Yes, absolutely. Very pleased with the progress we've made this year. You can even see at the end of the quarter, we had a low enough net debt level and the PanTheryx acquisition was made just after the quarter end. And you're right, I did say assuming no major activity now at the end of the year, we will be below 0.7x at the end of the year. And that, of course, gives us tremendous optionality. And that's something, as you can imagine, we're working on. We do have an active an acquisition pipeline that we're looking at right now, primarily focused on Nutritional Solutions. And what I would expect is by the time, I guess the beginning of next year, we have the opportunity to talk about capital allocation further with the market. And obviously, we will -- you'd expect us to increase our dividend next year. We'll look at share buyback as well to the extent that makes sense because we have been very successful at doing that over the last number of years. So you're absolutely right. We have optionality on the capital allocation side, both on the M&A side and hope we could return to shareholders, which we will use appropriately.

Our next question comes from Karel Zoete from Kepler.

I have 2 questions. One is on the innovation agenda. In the introductionary remarks you spoke about good innovations in the fourth quarter. And I'm curious to see what the agenda looks like because the success of powders seems to be supporting the business. But at the same time, there's always this ambition to grow ready-to-drink, ready-to-eat formats. So how do you look at the latter? And is that going to be an active push still in 2024? And the other thing is on the acquisition in Nutritional Solutions. What does the acquired business really add to the platform in the U.S.?

Yes, so what I spoke about in terms of quarter 4 is new flavor innovation on our largest brand, Whey Gold Standard, which is -- with exclusive flavors launching across multiple different sectors. So -- and that's been an area of increased focus in 2023 as we came out of the massive challenges around inflation in '21, '22. We will always have a flavor agenda in terms of innovation on our ready-to-eat bars our tank brand. We just launched 2 new flavors, Boston creampie and chocolate mint. So both of those went in, in quarter 3 and looking forward to see how they do. And in ready-to-drink as well, when we look even across our SlimFast portfolio, we'll be launching new RTD flavors next year and continue to invest behind our Gold Standard Whey RTD. So while there are small innovations, they're still strategically important to us. So we will -- it will be an area as the industry and the sector as our business normalizes post significant price increase strategy over the last 2 years, invasion will be up weighted as we go into '24 and '25. So -- but should quarter 4, again, it's an underpin of quarter 4 and quarter 1 growth and look forward to more innovation as we go forward.

Slight build on that Karel, just to reference a very briefly, would be a trend that we are seeing in Nutritional Solutions as well where a little bit to the earlier point Hugh was making in response to Alex's a lot of the cost of Nutritional Solutions looking for hooks for their brands across that whole area of health, nutrition, fortification. So again, seeing that accelerate in recent times, which will, of course, be positive for the group overall.

Karel, to your question on the acquisition. Again, very pleased with the acquisition of PanTheryx gives us complementary, I would say, capabilities similar to the Sterling Technologies acquisition in gut health and immunity, very much seeing both there in the U.S. and Asian markets actually. And again, very pleased that we can do this acquisition on a bilateral negotiation process, which keeps the multiple lower than you might expect. So in that perspective, very, very happy with that add-on to Nutritional Solutions.

[Operator Instructions] We have no further questions on the call. So I'll hand back to the team at Glanbia to conclude.

Again, as always, thank you very much for your time and interest, and the team will speak with you soon. Take care from me. Bye-bye.