Macmahon Holdings Limited (MAH) Earnings Call Transcript & Summary

Thank you for standing by, and welcome to the Macmahon Holdings Limited First Half '24 Results Conference Call. [Operator Instructions] I would now like to hand the conference over to Mr. Mick Finnegan, Managing Director and Chief Executive Officer. Please go ahead.

Hello, everyone, and welcome to the Macmahon 2024 First Half Results Presentation. I'm Mick Finnegan, the Chief Executive Officer and Managing Director of Macmahon, and with me is our Chief Financial Officer, Ursula Lummis. Thanks for joining us today. As always, we appreciate your time and the opportunity to run through today's presentation, particularly during the busy ASX reporting season. I'll provide an overview of our results before handing over to Ursula to run through the financials in more detail. I'll conclude with some comments around our strategic outlook, after which we will be happy to take questions. Let's begin with the financial highlights on Slide 2. Macmahon has made an excellent start to the financial year with earnings up strongly across the board, margin improvement and increased operating cash flow. Reported revenue decreased by around 2% to $966 million following the commencement of Batu Hijau Phase 8 in April 2023, which saw the removal of Batu Hijau Phase 7 cost recovery revenue that contributed about $150 million in the first half of '23. Comparing on a like-for-like basis, revenue was actually up around 15%, which we believe is more reflective of the business performance. Our focus in the half was delivering both operational improvement for our clients and earnings growth for the business following the $2.6 billion in contract wins secured in the last financial year. And I think the results reflect that. Underlying EBITDA was up 17.9% to $176 million and EBIT(A) up 26.9% to $68.1 million. Underlying NPATA was up over 33% to $39.7 million with statutory NPAT at $36.5 million. And you can find a reconciliation of these in the appendix of our results presentation. EBITDA and EBIT(A) margins were up to 18.2% and 7.1%, respectively. These margin levels are more representative of the business now that Batu Hijau cost recovery revenue is excluded. But we still saw good improvement given the growth in underlying earnings was nearly double the rate of like-for-like revenue growth. Operating cash flow also saw strong growth, up 31% to $138.2 million for the half. Cash conversion was 78.6%, impacted by some timing of receipts, VAT and working capital movements, and we expect this to improve in the second half, consistent with previous years. Cash flow generation supported a strong balance sheet, and we've been able to increase our interim dividend by 50% to $0.045 per share. You will notice that our return on average capital employed has reached and exceeded our long-term target of 15%. Our response to that has been to increase our long-term target, and I'll talk more about that later. Finally, our order book remained strong at $4.4 billion and is supported by a tender pipeline of $11.6 billion comprised of predominantly capital-light opportunity, including $2.2 billion of tenders submitted and projects at an early contractor involvement stage. Our secured revenue for FY '24 is $1.8 billion and has allowed us to increase our full year guidance range slightly to expected revenue of $1.8 billion to $1.9 billion while retaining our FY '24 EBIT(A) guidance of between $130 million and $140 million. And with the stronger second half expected, it positions us at least at the upper end of guidance. Our guidance performance is shown on Slide 3. I fully appreciate that our track record is only as good as our last result, but we have worked hard to deliver consistent and reliable performance in the business. And I'm pleased our half year results have continued to demonstrate our consistency in delivering on what we say. This is notwithstanding some uncertain market conditions in recent years and continuing challenges around costs, skilled labor shortages and volatility in commodity prices. I'd like to thank the entire Macmahon team for achieving this and continuing to strive to deliver on our targets. Again, we are on track for FY '24, which is pleasing to report. Capital light is a term we have increasingly used in conjunction with our growth plans, and Slide 4 draws out progress we have made in reducing the capital intensity of the business. We have done this by diversifying and expanding our revenue to include more underground mining, mining support services and civil infrastructure projects, which are typically less capital intensive than surface mining and support free cash flow generation. This has continued to be a major focus during the period and has contributed to our positive results. Underground mining and civil infrastructure work is a priority and made up more than 1/3 of our revenue mix as at the end of the first half FY '24. This compares to only 10% back in FY '18. During this time, we've also grown the Surface division to scale, providing contract tenure and a stable foundation we can leverage to accelerate capital light growth. Importantly, 2/3 of our $11.6 billion tender pipeline comprises underground, plus mining support and civil infrastructure opportunities, indicating there is a lot further we can go in the capital-light area. To help achieve this, we continue to build our capabilities in underground, which included the Pit N Portal transaction, which I will talk more about shortly. I mentioned in my overview that we exceeded our long-term ROACE target of 15% in the first half of FY '24. We've increased this now to target 20% given we have now completed the high CapEx growth phase for new projects and reflecting both the gains we have made around growing our lower capital intensive work and the significant opportunities in our pipeline. Our long-term underlying EBIT(A) target remains unchanged at 8%. Our EBIT(A) margin was 7.1% over the half year period, but we have seen margin improvement as the year progressed. In the final quarter of FY '23, we reached 8.1%. So we are well positioned for full year FY '24 if we can maintain this. On Slide 5, I'd like to cover some of the more operational highlights during the half. In the surface space, Greenbushes is on track through mobilization and ramp-up with steady start expected in April 2024. Record gold production was achieved at King of the Hills at a time of elevated gold prices. So this was really important -- this was a really important achievement for our client. We focused on operational efficiency with continuous improvement initiatives implemented across the portfolio. We are actively looking at opportunities to lower the capital intensity of surface projects and the strategic rental agreement with Emeco is a great example, which I will talk more about shortly. In underground, the focus has been on continued growth. We are targeting growth of over 50% in the next 2 years to maintain the momentum of 44% CAGR we have achieved since FY '18. The acquisition of key Pit N Portal contract will add circa $100 million in underground revenue to our order book. But more importantly, the new workforce and underground assets will provide security to existing work and enhance the growth capacity of the business at the right time. In mining support services and civil infrastructure, we successfully completed the Fimiston tailing storage facility project and are continuing to pursue a highly filtered tender pipeline with $4 billion of civil opportunities, which is up from near 0 in FY '19. Managing risk and building capability are important considerations, and we have been pursuing teaming and strategic partnership arrangements in Australia and Indonesia to execute on the pipeline. Finally, at a corporate level, we continue to see a tight market for skilled labor in Australia. But encouragingly, the rate of cost inflation has shown signs of normalizing. We continue to proactively manage these issues and successfully attracted talent to increase our workforce to nearly 9,000 people, excluding the 220 employees acquired from Pit N Portal. In addition, contract structures provide a protection against rising input costs, including labor, with 35% alliance-style contracts and we're always testing return and capital metrics on all projects and looking to improve those when opportunities present. I mentioned the Pit N Portal acquisition earlier. And now on Slide 6, I'd like to discuss the strategic rationale for the transaction. The slide provides a summary of the transaction details. These are also outlined in the ASX announcement, so I won't repeat them here other than to say that the transaction was structured to be consistent with Macmahon's capital-light approach to investment with no [indiscernible] and to manage and minimize risk. The key advantage is centered around building scale and further capability in underground and providing flexibility for our capital light growth strategy. The transaction adds a significant skilled employee base in a tight Australian labor market. Around 220 Pit N Portal employees joined Macmahon's workforce. They are located across strategic locations in Perth, Kambalda and Kalgoorlie in addition to customer sites in Western Australia. The accompanying strategic rental agreement with Emeco facilitates growth flexibility, a gain, on a capital-light basis whilst enhancing free cash flow generation capability. Finally, the contracts we acquired include Mincor's Cassini, and Durkin projects, which Wyloo has recently indicated will be put in care and maintenance from 1 June 2024. We don't expect this to impact our expected revenue from Pit N Portal in the second half, and the workforce can be readily deployed on other Macmahon projects, helping us to meet our ongoing people requirements and retaining our capacity to execute on our extensive pipeline. Slide 7 is a recap of our key projects, the tenure cost curve profile and related commodity exposure. Some key call outs include our newest project is the Greenbushes lithium project, a Tier 1 global asset supplying 40% of the world's lithium. As I mentioned earlier, the ramp-up has progressed well. The dosing contract expires in June, and we are currently reviewing extension options with the client that are amenable to both parties. You'll recognize Slide 8 as another regular feature in our presentations, which outlines the portfolio diversity in the business. This is an increasingly important attribute given the significant price volatility we have seen in some commodities over the last 12 months such as lithium and nickel. While we have a large exposure to gold, approximately 75% gold and copper gold on a revenue basis, we do have diversity among commodity exposure and also by client. It is worth noting that our exposure in Indonesia has dropped off to 6.5% following the commencement of Batu Hijau Phase 8, which show the elimination of cost recovery revenue. We would like to leverage our competitive advantage to increase this through some capital light contract wins in this region. Moving on to Slide 9 on people and culture. I'll begin with the safety and well-being of our people, the management of which is critical for our business. TRIFR increased slightly from 3.94% to 4.36%. And while severity tended to trend down, this is always a priority focus for us. To assist in setting our expectations for safety and quality throughout the business, we have developed the winning at Macmahon supervisor training to educate in role-specific processes, systems and legal obligations. And we also introduced the electronic passbook to strengthen our leaders' knowledge of the HSEQ systems and processes. On the workforce front, we continued our efforts on both development and acquisition, including the 220 people from Pit N Portal. Development included ongoing investment in our grow-your-own program and this delivered 286 new recruits. We also have 421 trainee participants, 26 mining graduates and 109 apprentices. We were again successful in attracting talent in the challenging market to increase our workforce to more than 9,200 people. Overall, female representation in the Australian-based workforce increased to 19% across all occupations and First Nations people represent 4.7% of the Australian workforce. Slide 10 outlines some of our sustainability related activities and metrics. And I've already covered some of these points in my discussion on people and workforce, so I'll let you go through the points on this slide in your own time. I will, however, take the time to reiterate the importance of a sustainable business to Macmahon. At Macmahon, we are committed to embedding sustainability within our business strategy, operation and culture so we can continue to grow responsibly and in a way that delivers positive outcomes to our team members, customers, investors and the communities in which we operate. I'll now hand over to Ursula, who will take us through the half year financials.

Thanks, Mick. Good morning, everyone, and thank you again for joining us today. Before I go through the profit and loss, Slide 12 provides some additional context on our half yearly financial performance over the last 3 or so years. The key takeaway is the growth and the consistency of the business has been able to deliver in this period, particularly in underlying earnings, underlying EBITDA and EBIT(A) continued this track record in the first half of '24. We've also adjusted for the impact of the 0 margin cost recoveries included in revenue and the Batu Hijau Phase 7, which was approximately $150 million in the first half of '23. You can see from the shaded columns in the revenue chart that adjusted revenue has largely been on a positive trend with the tapering off slightly in the last year due to the commencement of Batu Hijau Phase 8 and the removal of these pass-through costs. Excluding the pass-through revenue on a like-for-like basis, revenue growth in the first half of '24 was over 15% compared to FY '23 and over 25% on the preceding half in 2022. We have also adjusted the EBIT(A) margin chart on the bottom right to separate margin performance based on a like-for-like revenue. The clear columns show the margin performance on revenue, excluding 0 margin cost recoveries and you can see the difference is significant. This also highlights that the first half of '24 included revenue growth from the $2.6 billion in contract wins secured in the last financial year, which have taken time to reach steady state and provide scope for margin improvements, which we expect to see towards the end of the year. Slide 13 provides a summary of our profit and loss statement. Mick already called out the key revenue and earnings changes, so I just want to cover off on a few of the other relevant details. Net finance costs was 6.2% in the first half of '24 compared to 5.2% in the first half of '23, reflecting interest rate increases and the refinancing costs of our financing facilities. Interest rates appear to have stabilized, so we don't expect to see significant rate related increases going forward. The effective tax rate was 29.2%, following $15 million of tax expense incurred in the first half. The reported statutory impact was $36.5 million compared to underlying NPATA of $39.7 million, which excludes one-off adjustments, principally relating to share-based payments, acquisition of corporate development costs and Software-as-a-Service costs. Finally, the strong half year performance support an increase in the half year dividend to $0.045 per share unfranked, equating to a payout of 23.8%. This was in line with the increased policy powered range of 20% to 35% of underlying earnings per share previously announced in our FY '23 results release in August, and it is also a 50% increase compared to the first half of FY '23. Cash flow net debt waterfall on Slide 14 provides an overview of the major cash movements during the year, impacting our net debt position at the 31st of December. In summary, net debt increased from June '23, primarily due to the increased working capital relating to the timing of receipts from customers, delay in receiving the Indonesian VAT and the Greenbushes project ramp-up. Underlying EBITDA of $176 million was a major driver of cash generation with net working capital movement of $37.7 million, resulting in underlying operating cash flows of $138.2 million for the half. Consistent with prior years, this is expected to be higher in our second half. The 78.6% EBITDA cash conversion was impacted by timing of certain receivables, the VAT and increases in working capital for the project ramp-ups, including Greenbushes. Again, we expect significant uplift in second half cash conversion as has occurred in the previous years. Total CapEx was $128.5 million comprising sustaining CapEx of $80.1 million, growth CapEx of $31.4 million, primarily relating to the Greenbushes lithium project and $17 million related to tyres. The FY '24 CapEx forecast remains unchanged at $203 million. This excludes tyres. Overall, while it was a relatively neutral first half of free cash flow generation with the timing of seasonal impacts I've noted and CapEx more weighted to the first half, we expect a step up in the free cash flow to return in the second half together with the lowering of the net debt and gearing in line with our expectations as set in the beginning of the year. Slide 15 shows our 5-year cash generation and return on average capital employed track record by half. The core strategic objective has been to improve cash returns and the return on average capital employed. You can see from the chart that the business has historically been a consistent generator of cash with a relatively high earnings cash conversion. Cash generation in the first half of '24 was $138.2 million with cash conversion below full year levels, but this is not uncommon at the half year due to the cash receipts and working capital timing differences. We expect cash conversion for the full year to be higher with no change to the expected free cash flow for the full year, as previously noted. The chart on the right shows the return on average capital employed has steadily improved to be back above our long-term target of 15% following a couple of years of higher capital investment dragging returns down. We expect this return to continue increasing as the capital intensity of the business reduces and positive earnings and margin growth continues. Accordingly, as Mick noted earlier, we have now increased our long-term return on average capital employed target to 20%. Slide 16 provides a summary of the balance sheet, highlighting continued improvement and balance sheet strength. Net debt as of 31st of December was $212 million, up slightly in the 6-month period, but is expected to be below the 30 June 2023 levels by June 2024. Borrowings comprise predominantly bank financing facilities and equipment leases. Net debt to EBITDA of 0.63x and gearing of 25.1% is below our internal guide rail of 1x and 30%, respectively. Current gearing level reflects the ramp-up of Greenbushes operations, including CapEx in the first half that is now largely complete. Lastly, cash on hand was $200 million, and together with the available banking facility totals $264 million. Thank you for your attention. I will now hand you back over to Mick before we open for questions.

Thanks, Ursula. Now I'll go through the strategy slides in all of our results presentations and people may be keen for me to skip straight to the outlook. But our strategy guides our direction, delivery of our strategy drives our performance and our strategic objectives frames our outlook. I'll get to the outlook shortly, but please bear with me while I briefly recap on our strategy on Slide 18. Our strategic themes are to improve margins and execution of the underlying business, invest in future relevance and competitive advantage through investment in our people, processes and systems, undertake focused expansion in current markets, including underground and Indonesia, diversify through new business growth with a focus on accelerating growth in the civil infrastructure area and assess corporate value drivers to ensure we have the balance sheet required to execute our strategy. It is worth noting that as part of this, we regularly review all our projects to ensure they are continuing to meet internal hurdle rates, including margins, return on average capital employed and free cash flow generation. Where required, we will recycle capital from high to low capital-intensive projects. I hope you can see these themes have been evident in our first half of FY '24 with our focus on margin improvement, investment in people, enhanced underground mining capability, increasing business mix and improvement in capital management and returns. This is the basis for us increasing our return on average capital employed target from 15% to 20%, which we see as sustainable moving forward for the business mix we are developing. Before I talk about the outlook for the second half of FY '24, I want to walk you through our order book and tender pipeline on Slide 19. Our current order book remains robust and stands at $4.4 billion. The order book runoff chart on the left shows a high volume of secured work in FY '24 and '25 at $1.8 billion and $1.3 billion, respectively. This excludes any short-term churn work, which is usually between $100 million to $150 million per annum, putting us in a very strong position for the years ahead. The tender pipeline has grown to $11.6 billion and comprises highly filtered, strategically aligned and credible project opportunities aligned to our capital-light strategy. It reflects strong market activity in the underground and civil spaces. Along with continuing strong levels of activity across the broader mining sector, the growing tender pipeline supports a positive, longer-term outlook for the business in our targeted areas. Macmahon's capital allocation policy is outlined on Slide 20. It reflects our view on the importance of balancing dividend payments to our shareholders and retaining financial flexibility to enable the continued execution of our strategy. Our priorities remain to maintain a resilient balance sheet and ensure appropriate liquidity and gearing, retain flexibility to fund organic growth and accretive acquisitions and provide increased cash return to shareholders. We've been executing on all 3 fronts with balance sheet, leverage and gearing being kept well within our long-term ceilings of 1x and 30%. The targeting lower capital-intensive growth in underground and a consistent track record of sustainable dividend payments to shareholders. We increased our payout ratio in FY '23, in line with our focus on capital-light growth and improving business performance. You can also see in the graph at the bottom of the slide that Macmahon continues to deliver significant growth in revenue and earnings over the past 5 years, while our price-to-earnings ratio has more than halved over the same period. Given we are past the CapEx heavy growth cycle, which pushed our gearing and leverage to the FY '22 peak, I believe this divergence will now correct. That brings me to our priorities and outlook for the second half of FY '24. It shouldn't surprise you that our priorities are largely the same as outlined here on Slide 21, all with a view to generating capital-light revenue, earnings and cash flow growth. Consistent with the past, we expect our second half FY '24 free cash flow generation to be much stronger than the first half which will see us deliver increased cash back earnings in FY '24 pre-dividend payments. We have a positive outlook with our $4.4 billion order book showing a high level of secured earnings in FY '24, underpinning the bottom of our revenue guidance range. And we have a very robust $11.6 billion tender pipeline that continues to support our positive demand outlook for the business and also our objectives to grow in lower capital-intensive segments. Levels of activity in the mining sector remains strong, and we have diversity in our order book, our client base and our capabilities. Interest rates and cost inflation appear to have stabilized in Australia, and the tight labor market is showing signs of easing. Skilled labor is still difficult and expensive to source and we will continue to invest internally and consider opportune acquisitions where we can. With that backdrop, our guidance for FY '24 is for revenue in the range of $1.8 billion to $1.9 billion, up slightly from the previous range of $1.7 billion to $1.8 billion and underlying EBIT(A) of $130 million to $140 million with the strongest second half expected, which should be at least towards the top end of the guidance range. Again, this is supported by a strong order book with around $1.8 billion of work already secured for FY '24, excluding short-term churn work. With that, I'd like to now hand back to the operator to open for questions.

[Operator Instructions] Your first question comes from James Lennon from Petra Capital.

Mick and Ursula, well done on the results. Just a quick question on your depreciation and CapEx. So is it fair to assume going forward, I mean you mentioned you passed the peak. Where do you see CapEx as a proportion of depreciation getting to? Is it likely that CapEx will sort of come below depreciation or around about the same? Or where do you sort of see it going in the next 3 to 4 years?

Thanks for the question, James. Over the longer term, we'd expect CapEx to just be slightly above depreciation, but we would see depreciation being a smaller proportion of overall revenue and obviously, earnings as we pivot towards a lower capital-intensive earnings that we're looking at. And you can see in our pipeline. But we'd say the absolute number probably staying the same as earnings increase and are attracted from other areas that don't require as much capital.

[Operator Instructions] Your next question comes from [ Alexander Bell ] from [indiscernible].

Mick, well done on the result. Just a quick question on the tender pipeline. I think it's on the Slide 19. You point out you've got $2.2 billion of tenders submitted and at ECI stage. Can you just give us a bit of color on capital intensity of the tenders? I think casting my mind back to Talison, I think it was $1.1 billion off the top of my head and something like $128 million in capital or CapEx. So can you just give us a bit of guidance around the tender pipeline? How intensive is that in terms of CapEx?

Yes, for sure. Thanks, Alexander. Look, of the $11.6 billion as you can see, 2/3 is underground and civil mining support services, and that's very intentional. And you'll see the mining support services, civil infrastructure is $4.2 billion of the $11.6 billion. And you'll see in one of the earlier slides, that's grown from 0 years ago. And we did that very deliberately so we could grow a long-term foundation in surface so that we had the ability to be selective in new work we bring on. So as a result of that, and obviously, it's the reason we have confidence lifting the return on average capital employed target now from 15% to 20%, and we expect to do it even further in the future. That's off the back of the fact that almost all of the tenders submitted at the moment are low CapEx tenders, and I would say, below 20% to 25% of CapEx for every annual revenue dollar. So you're dead right with Greenbushes. That was about $1.1 billion at the time and $128 million was the top end of the CapEx. And we did say at the time we're looking for different ways to do that. And we've been moderately successful in doing that, but this would be a much lower capital intensity than Greenbushes. And in some cases, over half of those jobs are effectively only working capital, no capital outlay for fleet. The other thing that contributes to that are things that like the Emeco rental agreement that we've agreed with Emeco as part of the Pit N Portal deal. By getting competitive rates there does make us competitive in the civil infrastructure area and means we don't have to lever off our balance sheet. The only time we do that in the civil area is if we add idle assets, which at the moment, we have very little.

And just one other question. Just on the dividend. I think it's unfranked from memory. But I noted you've started paying tax and you'll likely continue to pay tax. Just in terms of the franking, can you give us some guidance on what level of franking we should expect going forward?

Alex, just for the first half, we've utilized all the tax losses. We have not started paying tax yet. So we will, by 30 June be in a tax-paying position. The franking will only accredited to Macmahon the minute we pay that tax, which is December 25, albeit though the ATO can come back and request us start making provisional payments. But at this point, we're still not generating banking credits.

[Operator Instructions] Your next question comes from [ Tony Greco ], Private Investor.

Mick, Tony here. Congratulations again on the good result, similar to the other guy. Just wondering, with your shareholding in Calidus, I don't know if I pronounced that right, comfortable holding it for the moment. Does it sort of help you work more as a partnership with them if additional work comes on -- comes from their minds? What are your thoughts on that?

Yes. We did a very intensive JV before we took that move, and we're obviously comfortable with Dave Reeves and his team there. It does allow us to work more in a partnering way, Tony, and there is future work there. But obviously, longer term, we don't intend to be equity holders in our clients. But at the moment, it helps we do respect and enjoy working with Dave and his team. We see that project and that company growing with what they're doing. And at the right time, we'll convert that back to cash.

You next question comes from [ Paul Browe ], Private Investor.

Mick, the question with regard to franking credits has been answered. Now that we pass the high CapEx growth, when do you see that the payout ratio will be increased to 50%?

Yes, you're spot on. We did mention at the end of last financial year that we've moved to the 20% to 35%. I think as Ursula said, we expect net debt gearing to reduce this full year as we did at the start of the year. We'll probably have a couple of years at this level and then we do intend to put the company towards that 50-50 payout ratio position in the future. All we want to do is -- I think once we exceed the 20% return on average capital employed cash-back target, it would coincide with those sorts of numbers.

Your next question comes from Simone Gorgan from The West Australian.

I just wondered if I could get a bit more color on the Cassini contract that you guys picked up from Pit N Portal and how you'll expect they'll reflect on the business. And just as well, if you could talk about any impact for you guys on the slowdown at Greenbushes as well.

Yes. So in terms of Cassini and Durkin, Simone, we had a pretty good line of sight or a level of expectation what would happen there. And obviously, we took that into account in the acquisition and Emeco and we're very forthright in how we structured that. So we understood that. For us, the priority in that transaction really was to get additional immediate order book, a number of really skilled people in a market that's really hard to attract, those sorts of skilled people and obviously, the rental arrangements. So we're pleased with what we've down there and obviously, in the future, depending on what happens, we've got to position there if and when that comes back. In terms of Greenbushes. We haven't seen our production profile change at all really in a material way, and we work very closely with the Talison guys -- Talison team, sorry, got to be correct there. And at this stage, there's been very minimal change in the production outlook. And obviously, a lot of what we're doing there in the pits is pre-strip for future ore delivery. So at this stage, we haven't seen a shift. If anything, the movement meant that there's a number of skilled people out there in the market, and I think we all know that, that's been rare for a long period of time. So it's one of the things I like about our industry. We stay very close. And if people are came to work, we make sure that they're gainfully employed by working together. So that's what we're all intending to do, and there's various ways to do that. But at this stage, that's the impact -- lithium is about 11% of our order book. Nickel, very little. So the overall impact to our financial results is minimal.

There are no further questions at this time. I'll now hand back to Mr. Finnegan for closing remarks.

Yes. Thanks, Darcy. Look, we really appreciate everyone's time. I know it's a busy period. We've got a virtual road show starting tomorrow for 3 days. And then beyond that, we're in Sydney, Melbourne around where people would need us really. So please call out, reach out if there's any questions, we're more than happy to answer them. And we look forward to meeting everyone in person as and when the opportunity presents. Really appreciate your time.

Thank you. That does conclude our conference for today. Thank you for participating. You may now disconnect.