Earnings Call: H2 2026

Aug 26, 2026

Summary

FY 2026 saw modest revenue growth, strong EBITDA and NPAT gains, and improved capital returns, driven by strategic initiatives like the National Tote and BetMakers acquisition. Retail and digital channels posted robust growth, while cost discipline and balance sheet strength support future investments.

Please be advised that today's conference call is being recorded. I would now like to hand the conference over to your first speaker today, Managing Director and Chief Executive Officer of Tabcorp, Gillon McLachlan. Please go ahead. Thank you, and good morning, everyone, and welcome to our FY 2026 results call. I'm Gillon McLachlan, and I'm joined on the call by our CFO, Mark Howell. I'm going to take the presentation as read, and I'll talk you through the key highlights before handing over to Mark, who will step you through the financials. Refer you first to slide 2. Ultimately, FY 2026 was an important year for us. We continue to execute on the plan we presented two years ago, delivering significant strategic milestones. The numbers today reflect the progress we have made. We're steadily building a culture of doing what we say we will do, and for me, that's critically important. We've improved our execution and are delivering an omni-channel racing and sports entertainment experience, which customers are responding to. Products like TAB Time, TAB Shout, TAB Makeover, and Megapot are the outcome of using our unique assets more effectively. Sky now has the domestic and international rights for every Australian race, creating a strong foundation to grow the B2B media business globally. MAX Integrity Services continue to deliver consistent performance, providing growth and diversity in earnings across our group. This execution has been achieved while maintaining strong cost discipline and improving our balance sheet. In addition, we've delivered on key strategic initiatives, including the reshaping of the commercial model with our retail network, enabling us to grow and invest in that channel. Since year-end, we've also reached agreement with the racing industry on a National Tote, a significant milestone for Tabcorp and the industry. As we announced earlier this month, the strategic acquisition of BetMakers will modernize our technology and create a global B2B growth engine. Before I get into the detail, I'd like to note the company's subject to an AUSTRAC investigation, which we take very seriously. There is no update from our original disclosure. We are cooperating transparently with the regulator and continuing the compliance uplift, which we commenced in 2024. I'll now refer to slide 6 in the first pillar of our game plan. It's all about people, the right people in the right slots. We continue to grow capability and build a culture of strong execution. As part of the uplift, we've appointed key senior leaders in financial crime, wagering, retail, marketing, MAX, strategy, and cybersecurity. We've increased cultural accountability 360-degree reviews of all executives and senior leaders, including talent roundtables. We're also investing in the next generation of leaders. In FY 2026, we launched TABW, a program focused on developing and investing in emerging female leaders. Tab Kickoff, bringing our 150 top leaders together at the start of each calendar and financial year to align on the strategic priorities. We will continue to focus on growing capability and culture as the foundation of our future success. I would like now refer to slide 7 to 9 in our second pillar, growth for the industry and ourselves. The creation of a National Tote is a significant milestone for the industry. I want to acknowledge the Principal Racing Authorities in each state who work collaboratively to make this a reality. The industry has tried and failed many times to create a National Tote, and this group has achieved it. I am pleased to share the National Tote will launch early in the Spring Carnival. A merged pool will increase liquidity for punters and create greater price stability. The next step will be product innovation. We are focused on creating more jackpot-style bet types and products exclusive to Tote, and there will be new opportunities for global pooling. We will refresh the look and feel of Sky with greater focus on Tote promotions. I now refer to slide 10. Delivering unrivaled omnichannel experience is our greatest strength and differentiator. As I mentioned, we continue to innovate with new products and a better look and feel to create a genuine racing and sports entertainment offering. We told you at our half-year results about the success of TAB Time, TAB Shout, TAB Takeover, and exclusive in-venue generosities. Today, we can add the FIFA World Cup to that list. We achieved record turnover and revenue. Retail turnover for the event increased 57% compared to the last World Cup, and digital turnover grew by 53% compared to the last World Cup. I am particularly pleased with the increase in our broader retail turnover. More people are coming to pubs and clubs on the back of our investment in the channel. Digital in-venue turnover for FY 2026 grew by 9% and by 25% for sport. We continue to broaden our appeal with digital in-venue turnover down into the 34-year-old cohort, increasing by 23%. This reflects our brand refresh and improved look and feel of our offering. I would like to take you now to slide 11 and the new retail commercial model. Our fourth pillar is about delivering wagering growth underpinned by a sustainable retail channel. Creating structural sustainability in our retail model has allowed us to invest more in uplifting the retail experience. Support from pubs and clubs has been strong. More than 3,300 venues are operating in our network, representing 97% of historical turnover. Our new commercial model allows us to invest for mutual benefit. The improved product offering and week-long generosity calendar is delivering results, and we are looking to build on that growth in FY 2027. Now take you to slide 13 and our investment in modernized betting terminals. We have commenced replacing every existing ABT with new Next-Gen terminals. The terminals will deliver both compliance and commercial benefits. Technology is a key enabler for our continued uplift in regulatory compliance, and the new terminals provide us options for further automation and operate a safe and compliant network. Commercially, we expect the benefits from the new model will generate returns on investment of at least 25%. This includes terminal spend in FY 2027 and FY 2028, along with the phase one benefits included in our FY 2026 results that Mark Howell will talk to shortly. The changes we have delivered in retail this year are significant. I want to acknowledge the work of our people, as well as the ongoing support of our venue partners in positioning the venue network for a strong and sustainable future. On to slide 15 in our media business. Sky's recent domestic and international rights renewals underpin our ability to grow a global B2B distribution business. A key focus in the year ahead will be using our rights acquisitions to expand this part of our business, which will be complemented by the proposed acquisition of BetMakers. On screen, Sky is now a fully integrated part of our wagering experience, including QR code integration, allowing viewers to scan and receive pre-filled TAB bet slips based on our presenter tips. This is another step in creating the complete omni-channel experience. The look and feel is continuing to evolve, and you will see further changes as we launch the National Tote. Slide 16 summarizes our agreement to acquire BetMakers. The acquisition represents a unique opportunity to accelerate our transformation to a modernized, technology-led company and establish a global B2B growth engine. We believe with BetMakers, we can create new products faster and more cheaply, uplift capability in our workforce, and benefit from complementary assets to grow scale and diversify internationally. The transaction will require various approvals, including by BetMakers shareholders. Completion is targeted during the third quarter of FY 2027. I will now hand over to Mark to talk you through the detailed financial results. Thanks, Gil, and good morning, everyone. We have delivered what we think is a pleasing set of results. We have responded to the modest growth turnover environment with continued focus on cost control, while delivering a number of important strategic initiatives that have sustainably improved our earnings both in FY 2026 and into the future. Before I run you through the results in detail, there are four key aspects I want to call out. First, the initial phase one benefits of the new retail commercial model were delivered in line with expectations, with a positive EBITDA impact of AUD 22 million realized in FY 2026. This was partly offset by the lower average yields in the first half that we called out in February. Second, the benefit of the reformed Victorian Wagering and Betting Licence applied for the full 12 months of the financial year versus only 10 and a half months in the PCP. We estimate this delivered an incremental AUD 12 million of EBITDA in FY 2026. Third, we continue to focus on cost discipline across the business. OpEx, adjusting for the Victorian license, decreased by 80 basis points, a strong result in a high inflationary environment. This allowed us to deliver operating leverage and 140 basis point improvement in EBITDA margin to 16.4%. Finally, we continued to focus on efficient investment of capital to support our strategy. We recorded another year of improved return on capital, up to 12%, a 240 basis point improvement on the prior year. In addition, we reduced leverage to 1.2 times and improved the diversity and tenure of our debt facilities, including a new AMTN and the extension of our syndicated debt facility. This provides us with significant flexibility to support our strategic investment going forward, including the rollout of modernized betting terminals over the next couple of years and the strategic acquisition of BetMakers. Now moving on to the result. Slide 17 sets out the FY 2026 group financial result. Group revenue grew by 0.8% to AUD 2.64 billion. Variable contribution increased 4% while OpEx was largely flat, delivering strong operating leverage with 10.3% growth in EBITDA to AUD 432 million and 15.9% growth in EBIT to AUD 219 million. Net interest expense decreased by 5.8%, reflecting the reduction in net debt. This, in turn, delivered 44% growth in NPAT before significant items to AUD 71.1 million. A final dividend of one and a half cents per share has been declared, bringing the total FY 2026 dividends to three cents per share, a 50% increase on the PCP. This represents a 58% payout ratio for the year towards the midpoint of our 50%-70% payout policy. You will also note that on this slide, we have provided an NPAT view of the result. This is in response to investor feedback and adjusts for certain non-cash items that are an ongoing part of our P&L, focused particularly on the amortization of wagering and monitoring license in our portfolio. For the remainder of the presentation, I will focus on three areas: the drivers of EBITDA growth, cost control to deliver operating leverage, and the strengthened balance sheet. Turning to slide 19, you can see the key drivers of the 10% EBITDA growth delivered in FY 2026. The reformed Victorian Wagering and Betting Licence contributed for a full 12 months, and it added AUD 22 million of variable contribution and AUD 12 million of EBITDA. We also benefited from phase one of the new retail commercial model that contributed AUD 22 million, which was partly offset by the impact of below-average wagering yields in the first half. Integrity Services fee increased by AUD 6 million as a result of the annual CPI fee increases and additional project work through the year. Underlying costs improved by AUD 6 million, which I will turn to now. Slide 20 demonstrates the focus on costs we have had over the last two years, with FY 2026 OpEx benefiting from the annualization of actions taken in FY 2025, as well as the continuation of cost discipline on discretionary items. General inflation remained an ongoing headwind, particularly in relation to technology costs. However, we more than offset this with AUD 18 million of cost reductions and a further AUD 9.3 million of more tactical items. This outcome was achieved whilst continuing to invest in the business, including advertising and promotion spend of around AUD 5 million in relation to the FIFA World Cup. Slide 21 demonstrates the continued focus on discipline, investment, and returns. CapEx increased by 22% in FY 2026, which was driven by investment in the new EBTs, which we have now commenced rolling out. We expect this investment to continue through the next two years and generate attractive returns for the business. In FY 2027, we expect to spend around AUD 65 million on the new EBTs, which explains a further step up in our expected CapEx spend in FY 2027 of up to AUD 160 million. Importantly, our ROIC continues to improve and was 12% at the end of FY 2026, up from 9.6% in FY 2025. Turning to slide 22 in cash flow. Underlying cash conversion was strong at 98% and in line with our expectation provided at the half, where we flagged full-year cash conversion of between 90% and 100%. This has helped us further reduce leverage across the year. On to slide 23. We have made significant progress improving our balance sheet in FY 2026. In November 2025, we issued AUD 300 million under a new AMTN program at a fixed coupon of 5.99% and a tenure of five and a half years. In addition, in June 2026, we extended both tranches of our syndicated debt facility by around two years. These initiatives diversified our funding sources, increased liquidity, and extended the average maturity of drawn debt to 4.9 years. Leverage at the end of FY 2026 stood at 1.2 times, and liquidity stood at AUD 1.2 billion, providing us with significant flexibility and funding capacity to pursue growth opportunities. As promised on the BetMakers announcement call a couple of weeks ago, we have rolled forward the leverage calculation to June 2026, and our updated pro forma leverage is 1.6 times for the transaction. I'll now hand you back to Gil for some closing remarks. Thanks, Mark. I believe the company made significant progress over the past 12 months. Earnings have increased, and we continue to exercise cost and capital discipline. Our balance sheet is in great shape, and our strategic agenda is clear. We remain relentless in executing the plan. Looking ahead, we expect the wagering turnover environment in FY 2027 to be similar to FY 2026. We will continue to be vigilant on costs in a high-inflation environment. Capital expenditure will increase in FY 2027 as we hit the peak of our investment in the new EBTs to enhance retail growth and compliance, and we should see further benefits from that investment in our numbers in FY 2027. I'm pleased with the progress we've made. We're delivering on the plan I presented to you two years ago. I'm happy to take your questions. Thank you. As a reminder, to ask a question, please press star one one on your telephone and wait for your name to be announced. To withdraw your question, please press star one one again. First question comes from the line of Andre Fromyhr from UBS. Thank you. Good morning. First question just about the changes in the retail commercial model. I think during the presentation you called out an AUD 22 million EBITDA benefit during the year just gone. I am wondering if you can help us understand how to think about the benefits derived from the phase two rollout. Is this something where we should expect a further step change in, say, VC profitability? Or is it something that depends more on behavioral change with the punters or with how the venues manage the TABs? Is that- I will hand over to Mark on that one, Andre. Other than to say, it is a holistic view. There is structural change, but there is a broader impact on wagering, and we are telegraphing a net impact. Yep. Just to sort of walk you through the numbers, Andre. There is an EBITDA benefit we are expecting in FY 2027. We have sort of said that CapEx on the terminals is around AUD 140 million, which we spent some in 2026, and we will spend some in 2027 and 2028, which we have called out. A 25% return on 140 will give you an EBIT number to work with. We have called out that the D&A on the terminals is around AUD 13 million, so you can gross that up to get to an EBITDA number. Then we have said, of that EBITDA number, AUD 22 million has already been realized in FY 2026. So that is, as Gil said, that is a net number, because there has obviously been other things removed from the commercial model, including things like EBT rental fees, and then there is also investment in the loyalty program as well. It contemplates the reinvestment we make in the network, as well as the netting out of addition of historical revenues and ins and outs. Yeah. It will impact the VC line, it will also impact OpEx as well, Andre, to answer your original question. Yeah, great. That is really helpful. I just had one other to follow up on the comments around the domestic wagering revenue outlook comments. You are saying similar growth to what we saw in FY 2026, but excluding the effects of FIFA World Cup. I am just wondering if you could help us size up, how big was the FIFA World Cup benefit in FY 2026, and is that likely to be greater or smaller in terms of the remaining impact that was early FY 2027? Yeah. Look, Andre, I would say there are a few moving pieces. The first thing I would say is there are events every year, right? Obviously the FIFA World Cup is a big one, but equally in 2025 there were some other events as well. Also turnover does come out of other places and pockets. To sort of answer your question, about half the tournament was in 2026 and half we thought fell into 2027. Our estimate is about 30 to 50 basis points of the turnover growth that we saw, relates to the World Cup in FY 2026. Okay, cool. That is helpful. Thank you. I think what we are trying to say, on an underlying basis, turnover growth is still relatively modest. Great. Thank you. Thank you. Next we have Matt Ryan from Barrenjoey. Oh, thank you. Just thinking about the National Tote. Interested in what work's still yet to be done to get the product active. I guess how we should think about the launch, in regards to promotion of the liquidity benefits obviously, and what that might do to your international business. Yeah. Thanks, Matt. Gil. I think we were clear with the market there was four big pieces to get done, which is obviously the technology piece, PRA approval, an aligned commercial model, and regulatory approval. I would say that everything's done except I think it's sort of implied that the New South Wales approval was the last PRA approval, and that was a protracted discussion where we were very pleased with the outcome, and we were pleased with the support of Racing NSW. Ultimately, there is a period of reg approval that will apply in New South Wales that goes to that approval. I think everything else is in hand and done. We don't expect any problems with that, it's just the normal course of time on that approval. To the second part of your question in terms of promotion, we're sort of keeping it powder dry in terms of the exact date. But you can expect a significant marketing campaign, a specific launch date, which has been decided on. We have a new brand. We have a campaign which will focus on what we see as the advantages of a National Tote, which is clearly greater liquidity, clearly the opportunity to have jackpot-style products, a simplicity in the way it's presented, a focus on its links to internationals, hopefully overtime link into sport. Turning a light on something which has obviously been a drag on our business for some time. This is an opportunity to refresh and present the actual advantages of the tote, which I don't think we've had the opportunity to do. We'll talk about that in various forms, as I said, across the price competitiveness, that hopefully comes with the liquidity, the opportunity for deeper pools through international commingling, jackpot and other product types that are unique. To start talking to a wider market about the tote generally. I just don't want to go into the, just particularly about the specifics of that promotion, because that will start playing out over the coming weeks, and we have a designated launch date that we want to make some bit of noise about. Thank you. That is helpful. I was just hoping for some comments on the detail behind wagering. I think historically, Tabcorp has been a little bit underweight sport, maybe relative to some competitors. Maybe just share some color on some of the success that you have had there, because the numbers appear to be pretty good again. Then just within racing, just interested in how much of a drag that greyhounds have been over the last little while, and if you could just shed any color on maybe the strength of thoroughbreds against that? I might kick it off and maybe Mark might add detail that I miss or he thinks it is relevant. Broadly speaking on the wagering, just to finish the discussion on National Tote, Matt. A third of our business is roughly parimutuel, and that has been in decline by 5% or 6% year on year, and FY 2026 was no different. Clearly then, the strategic imperative around the National Tote and the opportunities is you give that context through the numbers. Then with the business overall, with that context, sport grew at about 8%. Racing fixed odds was positive in mindset, and you can backfill on the numbers on that. I think, we feel the market is, there is modest growth. We are investing then, specifically on your sport, we look forward to OpenBet to be able to deliver differentiated product on our digital platform with the arrival of OpenBet in the coming months. We focus on presenting energetically. The NFL is an example. We are big for us. We are the sponsor of the NFL game here in Melbourne. We have got other targeted sports that we are leaning into. Live betting when it launches, I am sure there will be a question on that at some point, there may well be, will be a key differentiator and ability to continue to grow our sport portfolio. Thanks, guys. Thank you. Just a moment for our next question, please. Next, we have Liam Robertson from Jarden. Oh, thanks. Hi, guys. Good morning. Just two questions from me. Firstly, on the new retail commercial model. I think what I'm hearing, you've called out AUD 22 million of incremental EBITDA in FY 2026. I can then sort of do the math on your inferred ROIC. It looks like at full run rate, it's more like AUD 46 million-AUD 48 million of EBITDA. So two questions on that. I guess, on the additional AUD 24 million-AUD 26 million, how much of that do you think you can deliver in FY 2027? That's just the first part of my question. Thanks. I won't comment on, you can do, I'm not going to comment on your accounts to say they're right or wrong. We're working, there's, because there's reinvestment, and we're putting a lot back into the retail network, Liam. But all of it, whatever your numbers are, will be realized in FY 2027. Okay, perfect. That's very clear. Thanks. And then just in terms of, I appreciate you calling out incremental EBITDA. Sounds like that's after factoring the loss of EBT rental fee income under the old model. Just for the avoidance of doubt, are you also factoring the loss of turnovers from venues that didn't take up the new commercial model? Yes, we are. It's a net number, clearly. So that would factor in loss of that. And we've called out that we've retained 97% of the turnover. And we've had a bright start to FY 2027. So I wouldn't factor in too much downside on that, as we've had a good result in retention. But it's more putting the other part about the loss of EBT rental income and others. But it's more the net would include reinvestment in the network, loyalty programs, things we are doing in the retail network as we are more active, as we, beyond the structural economics of the changed agreements, we try and increase traffic participation in the retail network and ultimately turnover as we try and drive the omni-channel wagering business. So we will be reinvesting both of that in that model with our venue partners. Okay, thanks. That's very clear. Then just last one, maybe just following on from some of the questions from Matt around National Tote. I guess simplistically, in time, do you think you can get racing turnover back to growth via the new National Tote? Well, that's certainly the ambition. There is a clear plan. And the steps, and the pieces to that, I've talked to and I won't re-prosecute that. But we believe, the international linkages providing the unique aspect to us, the price competitiveness, with a well-executed product, generosity plan, promotional plan, changes the dynamic for us. And ultimately then it become, to answer your question, that's the ambition. Proof will be in the pudding, and we have to execute well. But when it's a third of our business and we've been in 6% decline, every percentage point of decline that we arrest obviously is important for us. And we're leaning in aggressively in how we do that. And the opportunity is there, and I think it's up for us to execute on it. Thanks. I think just to build on that, Liam. It won't happen immediately. Obviously, it'll take time, and as we launch more features and products with National Tote. But as Gil explained, that's our ambition over time. Thank you. Thank you. Just a moment for our next question. Next, we have Justin Barratt from CLSA. Good morning, guys. Thanks for the opportunity. Gil, I know you've made comments on this before, but I just wanted to follow up again. The government's proposed gambling advertising reforms have now been legislated. Looks like they're going to commence from the 1st of January. I just wanted to get your thoughts on the impacts of that on the broader industry, how you think it affects Tabcorp relative to those broader industry impacts, and I guess confirm that that has been considered in your commentary, on your outlook comments for FY 2027. Yeah, Justin, thank you. There's two parts. There's an absolute and a relative impact. In an absolute sense, they are a sensible set of reforms. I think that our outlook factors that in. I think that the reforms target areas where they should, which is those with vulnerabilities, and ultimately allows business to still promote sensibly and the industry to grow. In a relative sense, I believe we're very well-positioned. I've talked to that before. Clearly, with 3,500 retail outlets, with Sky Media, with a set of assets that are clear and established both in racing and in sport. To be more tactical, we're not impacted by some of the. We agree with the majority of the recommendations, and in part are already there. As an example, we don't pay commissions to our VIP account managers. I feel there are a set of recommendations that are contemplated in our outlook, and in a relative sense, I think that we are very well-positioned. Yeah. Fantastic. Gil, on the new commercial model, you are saying that 97% of the network by turnover is now operational. I just wanted to confirm, I guess that includes all the largest of your partners in that retail network. One in particular sort of expressed some concerns, I guess, about that new model. Yeah. I do not know who you are talking about, but yes, it does. I think the language is particularly precise, Justin, just to be clear, and I am going to call it out with ALH. We have rich commercial agreement with them, but we have three or four issues to resolve in the long-form agreement, and that is why we were, I guess, precise in our language to do that. Broadly, all the big groups are on board with some technicality in the exact status of the contracting. That is all I am talking to. Great. Thanks very much. Thank you. Next, we have David Fabris from Macquarie. Oh, hi, Gil. Hi, Mark. Just to go back to the commercial or the retail commercial model benefits. I guess if I look at that VC margin, it looks to be improved by about 1.5 percentage points sequentially. If we are thinking about FY 2027, is it safe to use that second half margin as a guide, or how should we think about the VC margin into 2027 for the wagering business, please? All right. Thanks, David. It is Mark. I think there will be some improvement in VC margin as a result of the commercial model. I will not give you a number, but I have given you a sort of an outline of how to think about the incremental impact. As I said, there will be some OpEx investment, but that is net of the number that I talked to earlier. The margin should continue to step up into FY 2027. Got you. To be clear, that is off the second half 2027 VC margin, not the FY 2026 average? Yeah, that is correct. Okay, perfect. Excellent. Then look, just on the cost, I really appreciate the guidance there, sort of the 3%-3.5% growth. Can you give any indication of the growth if you exclude the regulatory and risk uplift programs? I guess I am trying to split that out and think about whether or not some of those costs can come back out of the business in time or how we should think about it. Look, to give you a sort of response, we have called out, as you noted, 3%-3.5% growth in OpEx into FY 2027 off the FY 2026 base. We have called out investment in risk and regulatory uplift programs, and then I have talked to the investment in the loyalty program associated with the new retail commercial model. I think it is fair to say about half of that growth in OpEx is relating to those two items, and the other half relates to just general cost inflation. Got you then. I guess if we think about lapping that next year- We're not assuming. Yeah. Yeah, we're not assuming at this stage, David, to answer your question that we're going to be taking cost out of that. I think, David, this is Gil. I'd be sanguine about removing the compliance costs after a period. We are committed to our uplift plan and our safety and compliance. No decision has been made, but I think that will be an ongoing investment. Got you. No, that's fair. Just, sorry, one last question for me. Obviously, the BetMakers transaction is hopefully going to complete in 3Q FY 2027. How do you think about your CapEx on app development and the tech stack whilst you wait for that transaction to complete? Does anything change on that course? Look, I think, David, what I would say is that all of that we will need to take into consideration as we get closer. Obviously, we are going to continue our investment in the app until we have got a greater level of certainty around completion. But needless to say, that obviously we think forward in terms of what that potential acquisition can do to the business and invest in a measured way around that. Okay. Appreciate it. Thank you very much. Thank you. Next, we have Sam Bradshaw from Evans & Partners. Hey, good morning, Gil and Mark. Just wondering what your feedback so far has been from some of your BetMakers customers here in Australia. Thanks. Thanks, Sam. In terms of the larger customers, I think it applies across the board, but I've spoken directly with the larger operators to assure them that they will get a very professional service from us, and that we've had some experience now of being a wholesaler to the market. The service they've got in that, in terms of, say, the wholesaling, the B2B of Sky Vision, is a service they would expect in any of the services that we in our wholesale business, and that we would have strong disciplines around the way they received whatever products and services they're getting, and that we can do that in a way that is, they should feel completely comfortable. I think people appreciated the calls. We continue to reach out to all our prospective additional B2B partners to say that we have been a wholesaler for some time, and they should feel comfortable with our aspirations to continue to grow that and the way we'll go about it. Great. Thanks, Gil. Thank you. I see no further questions at this time. I will now pass back to Gil for closing remarks. Thank you. Thank you all for your participation. I will finish where I started. We have a clear plan. We are working very hard to regain the trust of the market. We think we are doing what we say. We are pleased with our numbers as they start to play through. We know we have lots of work to do, and we will continue to focus on our capability and our culture. That means that we execute better and better every day, deliver for our customers and for, ultimately, our owners. We thank you for your ongoing support. Thank you. This concludes today's conference call. Thank you for participating. You may now disconnect.