Welcome to the Analysts and Media Conference on Implenia's annual results and the Sustainability Report 2023, which was published at the same time. We are delighted to once again present our annual results here in Connect, and also welcome those present in the livestream to the presentation. My name is Silvan Merki. I am the Chief Communications Officer, and I have the honor of accompanying you throughout this event today. Our presentation will be held in German; you can also select the English translation in the stream. You can then ask your questions here in the room or in the livestream chat in German or in English. Before we start, I would like to draw your attention to the disclaimer shown here. We will present today as follows. Firstly, you will receive this update on the annual results from our CEO, André Wyss.
Our CFO, Stefan Baumgärtner , will then take you through the financial figures. André Wyss will then give you an outlook on the strategy and the markets. We will be happy to answer your questions afterwards. Now I would like to hand over to André Wyss for the first part. André, the floor is yours.
Danke, Silvan. Thank you, Silvan. Grüezi miteinander, hello everybody. 2023 was another successful year. The group achieved its targets and is on course for sustainable, profitable growth. This emphasizes that we are excellently positioned with our strong team and our comprehensive, integrated range of services. We are therefore once again setting ourselves a higher operating target for 2024. Now to the details. I will comment on the currency-adjusted results in Swiss francs, and you will find these figures highlighted in dark yellow. So we have CHF 7.3 billion; the group's order backlog remains at a high level and is of very good quality. We have significantly increased sales to CHF 3.7 billion. We have achieved a group EBIT of CHF 127 million. The result is not directly comparable to the previous year due to the above-average income in the real estate division. The group improved its equity ratio from 17.5%-20%.
The group result is at a record level of EUR 142 million. We also have a solid free cash flow that was generated, and we have therefore achieved all of our targets for the year 2023, the financial year. With a comprehensive range of services, our divisions offer specialized expertise for large and complex real estate and infrastructure projects. These range from planning to realization all the way to management. I will now explain the results of the individual divisions. Real estate achieved a good EBIT of EUR 40 million despite a market-related valuation adjustment from the investment in Ina Invest. We have continuously developed our attractive property portfolio with new investments and some sales. The carrying amount increased slightly as a result. The market value has fallen due to the sale of a long-term development project and valuation adjustments as well.
We will continue to invest in our property portfolio in the future. Real estate is currently planning and realizing several pioneering complex site developments. Former industrial and commercial sites are being transformed into sustainable urban neighborhoods with a high quality of life. For example, the Bredella site in Pratteln, or in the region of Basel, or Tivoli in Neuchâtel. We contribute our expertise along the entire value chain. As expected, the order backlog for buildings is lower, namely at CHF 2.6 billion. The reason for this is the strategic focus on profitable projects, a correspondingly selective choice of projects, and the challenging market environment. The division increased sales to around CHF 1.9 billion and further improved EBIT to over EUR 43 million. So being involved in early project phases and working together as partners helped buildings to create added value for our customers.
The integration of Wincasa was successfully completed on schedule, and synergies have been realized, and Wincasa has already made a net EBIT contribution of CHF 7 million. Together, we are continuing to work on an attractive offer for our customers. Our specialization proves its worth. For example, the new buildings of the cantonal hospitals in Baden, Aarau, and Lucerne, and the laboratory building for the Department of Biomedicine at the University of Basel are making good progress. These projects are planned and realized from the outset using the latest BIM and lean construction methods. Civil engineering had a successful year. The order backlog was further increased to a record high of around CHF 4.5 billion, with a focus on profitable and complex infrastructure projects. Sales is slightly above the previous year, and thanks to the good quality of the order backlog, EBIT increased significantly to CHF 41 million.
Many years of experience and extensive expertise in large and complex infrastructure projects position the division optimally in the market. Implenia is the only company involved in the construction of all four current Transalpine routes. These include the Gotthard, Brenner, Semmering, and Lyon-Turin. These are technical masterpieces that confirm our experience and expertise in large, complex infrastructure projects. So despite continuous portfolio optimization, the specialties division was able to significantly increase the order backlog, and the sales remained at the previous year's level. EBIT shows significant growth to around CHF 8 million. The division will further sharpen and expand its consulting, planning, and engineering areas. For example, Implenia Fassadentechnik is creating a high-quality, complex façade for the new administrative building of the German Bundestag in Berlin. Expertise in sustainable real estate and infrastructure is increasingly in demand from our customers, especially for large and complex projects.
The relevant ESG ratings once again confirm our leading position in the construction industry. For further highlights to this topic, please refer to the Sustainability Report. Before I hand over to Stefan for the financial update, you will get a brief insight into current topics and projects in our four divisions via this video. Aarau's cantonal hospital is currently the largest hospital construction in Switzerland. With 4,000 rooms, the hospital, and especially its operating theaters, places very high demands on building services and medical technology.
[Foreign language]
[Foreign language] .
Wood can be processed easily and precisely. The more uniformly and repetitively components can be made, the greater the economies of scale in production. This effect is particularly strong in buildings that allow a high degree of prefabrication, i.e., where the same components are used multiple times. The new Limmattal cantonal school in Canton Zürich is a good example.
[Foreign language]
Implenia counts on wood to build the future. We are seeing so many impressive transport infrastructure projects being conducted in tight spaces, even as the traffic continues around them. Just like the largest Norwegian underground railway tunnel project since the 1970s in Oslo.
Fornebubanen is one of the many transport infrastructure projects that Implenia is currently building.
[Foreign Language]
Whether it's base tunnels for European transit traffic, complex new inner-city infrastructure, or challenging refurbishments, the goals are the same: to link up urban centers, connect people, transport goods, and thus facilitate the mobility of the future.
So hello everyone. I will begin the finance update by mentioning the foreign currency effects. Order backlog sales, EBIT, and the equity ratio were influenced by currency translation effects in the financial year 2023.
One of the main drivers was the appreciation of the Swiss franc against the euro and against the Norwegian krone and the Swedish krone. The group's reported order backlog totaled CHF 7 billion. Adjusted for currency effects, we were able to increase this by 1% compared to the previous year. With foreign currency-adjusted sales of CHF 3.7 billion, we achieved an increase of 5% compared to the previous year. The reported figure was CHF 3.6 billion. The group achieved a reported EBIT of CHF 122.6 million, adjusted for currency effects of around CHF 127 million. We were able to increase the equity ratio to 19.8% or 20% adjusted for currency effects. There were hardly any transaction effects due to natural hedging. The income statement shows the reported results, including the foreign currency effects.
A strong EBIT of CHF 122.6 million was achieved through the profitable business of all divisions. In relation to sales of CHF 3.6 billion, this results in an EBIT margin of 3.4%. There was an extraordinary positive tax expense of CHF 30.6 million. This resulted mainly from the capitalization of loss carried forward. At around CHF 142 million, the group result is at a record level thanks to a strong operating performance, capitalization of losses carried forward, and the optimization of financial requirements. Excluding the payment of the first tranche of the Wincasa purchase price totaling CHF 100 million, the free cash flow totaled around CHF 87 million. In the second half of 2023, we generated a positive free cash flow of just slightly under CHF 300 million, although fewer advance payments were made due to the high interest rates.
Cash and cash equivalents and free cash flow were influenced by special effects totaling CHF 154.3 million. These special effects primarily include the first installment of the Wincasa purchase price and the repayment of a promissory note. Our goal remains to generate a sustainably positive free cash flow. Cash and cash equivalents at the end of December totaled CHF 478.8 million. Goodwill and right-of-use assets from leases and intangible assets increased as a result of the acquisition of Wincasa. Goodwill from the acquisition of Wincasa based on the purchase price allocation amounts to around CHF 99 million. The PPA amortization amounts to CHF 3.1 million per year. The balance sheet total, excluding Wincasa, is slightly below the previous year, and the asset-light strategy has been consistently pursued.
The second payment of the Wincasa purchase price, which was still outstanding at the end of 2023 and has now been made, led to an increase in current liabilities. In addition, a bond was reclassified from non-current to current liabilities due to its maturity in October 2024. Non-current liabilities increased compared to the same period of the previous year, mainly due to deferred tax liabilities. Equity totaled per end of 2023 CHF 576 million, which represents an improvement of 19%. This increase in equity amounts to around CHF 93 million and underlines the improved profitability. We have continuously increased the equity ratio to 19.8%, adjusted for currency effects to 20%. This is almost a doubling of our own resources within the last three years, and this clearly shows that Implenia is also financially on track for sustainable, profitable growth.
The board of directors wants the shareholders to participate in the increasing success of the company, and it will therefore propose to the annual general meeting on the 26th of March to distribute a dividend of CHF 0.60 per share. This represents an increase of 50% on the previous year and a dividend yield of 2%. The board of directors assumes that Implenia will continue to pay dividends in the future. For the year 2024, we have set ourselves a higher operating target with an EBIT of approximately CHF 130 million based on the strong operating business in a challenging market environment. In the midterm, we are still aiming for an EBIT margin of over 4.5% and an equity ratio of 25%. With that, I would like to hand back to André for the strategy and market outlook.
Thank you, Stefan. The megatrends of population growth, urbanization, and the energy transition are driving demand for large property projects in urban locations and complex infrastructure projects. Implenia's range of services and their know-how, expertise are geared precisely towards making the best possible contribution to these positive megatrends and opportunities. The current macroeconomic environment remains challenging in certain sectors, in particular due to higher financing costs as well as construction inflation.
The building construction market is developing slightly positively in Switzerland. In Germany, the growth rate in this area is negative. Our strategic positioning is paying off as we are less affected by the sharp decline in demand for smaller residential developments. We see positive growth forecasts for the civil engineering division in all of our geographical markets. In the fit-for-growth phase, we are consistently pursuing our four strategic priorities. Today, I will focus on the two priorities of portfolio and profitable growth.
By expanding our portfolio along the value chain, we are integrating new high-margin business areas with low capital commitment. The acquisition of Wincasa is a good example of such forward integration. With a view to sector-oriented specialization, as for example in the areas of health or research, mobility, and energy, we are constantly developing. This applies to both organic growth and acquisitions, such as the BAM Swiss for the healthcare sector three years ago. Through this specialization, we are increasingly winning projects based on our expertise and experience and less on price. This enables us to further increase profitability. In Germany and Switzerland, we offer a fully integrated range of services. We are also active in other markets such as tunneling and associated infrastructure projects. This portfolio makes it possible to balance out market fluctuations and has proven to be very successful.
Our order backlog is of high quality thanks to the continuous and strict application of Value Assurance. Project risks and opportunities can be recognized and mitigated at an early stage during the entire project term through this Value Assurance. This enables us to thus continuously improve our project margins. The construction industry still has many opportunities to improve business operations. We are consistently driving forward operational excellence in these areas in order to further increase our effectiveness and efficiency. The strategic orientations outlined above come together in our integrated range of services. We create unique added value for our customers through close cooperation between the business divisions and expertise along the entire lifecycle of properties and infrastructure. Our integrated model has also proven to be resilient in the current volatile market environment.
We strive for a sustainable increase in profitability, and through a combination of organic and inorganic growth flanked by an asset-light strategy, the group is tapping into high-margin business areas. We are therefore ideally positioned to increase our profitability to the medium-term EBIT margin target of over 4.5%. Implenia achieved the targets for 2023. This emphasizes that we are excellently positioned with our strong team and our range of projects and services. Thank you for your attention, and now I will hand over to Silvan for the Q&A session. Vielen Dank, André. Thank you very much, André. Yes, you saw it here in the video. Our great tunnels and hospitals and dams are built outside, and well, we can't just bring them here. Now, can we? We would be delighted to show you on-site what our experts are enthusiastically committed to every day.
We invite you to visit one of our highlight projects, the Aarau Cantonal Hospital, the second tube of the Gotthard Road Tunnel, or even the Grimsel Dam. Following this event, you will receive an email with the opportunity to register for a visit. On the 26th of March, our annual general meeting will take place, and we will present our half-year results on the 21st of August. If you have any questions following this event, please do not hesitate to get in touch with us via the usual contact channels. We are now looking forward to answering the first question first here in the room, and then we will go to the questions that have been entered via the chat or that have come in via the telephone line. So, André and Stefan, would you please join me here on the stage? [Foreign Language]
Very well. Thank you. So, to whom may I hand over the microphone for a first question? [Foreign language] . To the back. [Foreign Langauge]
Yes, thank you very much. The first question regarding the buildings division. So, excluding the Wincasa and those CHF 7 million, the margin is, as far as I understand, has been quite rather flat. So, what is the continuous development over the next years regarding the margin profile if you exclude Wincasa?
So, the division over the past semester has continued to improve, and that was the case this year, not only in the past years. And so, we presume that buildings will continue to develop and improve positively, but don't expect any great jumps because we were already at a very high level in the past years. But we can continue to expand this in a very positive manner.
Thank you very much. To whom may I hand over?
The another question is regarding the free cash flows. I was wondering, you had a very positive effect because the payables have increased, and do you have to presume or expect a normalization and cash rate then for 2024?
Stefan, thank you very much for this question. Well, it's a normalized fluctuation within the months and the quarters, so it's not an extraordinary high situation. And then, according to the cycles, it will continue then to develop, to expand. [Foreign language] Have we answered the question?
Thank you very much. Please don't forget to mention your name and from which organization or for which organization you work. So, microphone to the person here at the front. Yes, hello, Mr. Arnold from Stifel.
Two questions on my behalf. I cannot hear anymore, so. So, the second question regarding the profitability or the profit. We have benefited then from the taxes. Will there be any more positive effects that can be expected in 2024, or is it over?
Thank you very much for the two questions. I will answer the first, and Stefan, you can take over the second one. So, with the precalculated margin in the order backlog, we were able to increase over the years, and it sort of flattened, but that was to be expected. And now, what we are doing with the realized margin, that is actually more important in the end. We are trying to bring it to the same level as the precalculated margin, and we were able to do so in the past years, and this explains our improved profitability.
But we would like to get closer, and so I believe that we will also be able to do that with our strategy of 4.5%. Taxes for Implenia is just as important for Implenia as for other groups, and so we need the financial instruments. For the year 2023, we had these loss carried forwards, and no, we cannot presume that there will be others of this type because we have dissolved the reserves, and we have booked the capitalization. We presume that there will be a normalization then of the tax expenses in 2024.
Thank you very much for answering this question. To whom may I hand over the microphone here in the audience?
It's also possible then to enter your questions in the chat window, or you can also just make a phone call, and it will be registered or entered in the chat. So, at the back of the room. Thomas Albertini of UBS.
Thomas Albertini of UBS. So, just to mention my name. So, another question. To come back to the buildings division. So, this development of margin, so what does it depend on? Is it just mainly developed because of the smart environment that has been improved, or do you hold the strings, so to say, or the reins, and are there certain factors that you can influence? Yes, a very good question.
Thank you. So, it doesn't apply only to buildings, but for all divisions. There are several aspects that need to take into consideration. So, usually, it's in our own hands. So, the market environment also plays a role, a major role, but let's say the negative figures that we have with residential constructions, we're not really, let's say, impacted by that. So, first of all, it's always a question of productivity. So, we have more lean and more BIM in the realization of our projects from the beginning to the end, and so that's one thing. So, the more productive, the more efficient we become, the higher the margin will be.
And the second point is the strategic nature, specialization. If you do a project once, you commit a lot of errors. If you do it two times, the same project two times, well, you commit less errors. And the more projects you have, well, then you reduce the errors to the strict minimum, to zero, practically. And so, you have then the advantage of generating more profit.
And then the third point is also competitiveness or competition. And so, the one who has the lowest price is the one who gets the tender, well, then the margin isn't very high. And if you have a specialization, very high complex projects, well, competition is much smaller. So, there are a lot of factors that play a role her . Thank you very much.
To whom may I pass over the question?
So, I'll start with the first question. Wincasa is exposed to Credit Suisse and brick-and-mortar shopping centers. How is the market environment influenced there?
It's also a very good question, Mr. Sauter . Thank you. So, the proximity to Credit Suisse is not unknown, but you just have to imagine that it's not to the bank that we have this proximity, but to the investments made. So, we are very well positioned with Wincasa.
We are the very vast, let's say, foundation. If you look at the profit of Wincasa, it's not that different from ours, and they have many more complex objects. And so, they are positioned in a similar way as we are, and so we benefit from each other. We can use their know-how in the planning of our objects, and we also, in turn, can help then Wincasa with our expertise. So, we see great potential here. And during the first year, this wasn't really manifested, but Wincasa was able then to generate more profit than expected. And now, with the coming synergies and that we see in 2027 and until from here to 10 years, we should have then the results that we expect. So, we are very optimistic. So, as long as there are objects and there is a contract, there's no problem how they are used.
Is that correct? I'm not quite sure I understood your question correctly. So, I was talking about Credit Suisse, who has a portfolio. Are they going to have problems, let's say, reuse of their own objects, and how is that going to impact Wincasa? And I believe it won't impact Wincasa. So, yeah, we could say that. It depends what's going to happen with that object, but there are newer objects, and you can imagine that Wincasa also has or administers objects that we construct, that we build. And so, we're actually going to open the market. And so, for certain customers, perhaps there will be objects that will then be eliminated, but that's absolutely normal. But basically, it doesn't really impact Wincasa directly because who is going to use this object doesn't really play such a role.
Then the change of one or, let's say, administer to the other one, you just have to be better at what you do and do things better than the others. And especially for these large-scale objects, will they rely on a good quality?
I have another question regarding Ina Invest. Two days ago, or was it yesterday? There was news, very significant news. Could you tell us something about it? So, what does Implenia want to do at the strategic level? So, you're talking about the merger of Ina Invest and the holding.
So, originally, that's what we had set out because at the time, it was the correct solution from different points of view. And now the time has come where we said we had to merge the two, and we think that that's not going to have a direct impact on Implenia.
Ina Invest will continue to be strengthened, and if it strengthens Ina Invest, it also strengthens Implenia. But at the moment, directly, there is no direct impact, and it's also covered by us. Thank you very much. So, thank you very much for this question. Are there other questions here in the audience? Yes, Rainer. So, Finanz und Wirtschaft. There were news regarding Implenia that they are also going to be committed in the next, if I understood correctly. So, what is actually the goal of this commitment? I think it was mentioned, but I don't recall. It has to do with innovation and with sustainability, so beyond zero, actually. So, it's a question of, let's say, inventing materials that are much more neutral from the CO2 emissions impact. So, we work with Empa together, and we work on other topics with Empa. We always found it very interesting.
And so, what we're trying to do now is to have more materials that are CO2 neutral, so in terms of sustainability. So, I would like to include now, I believe another person has a question here. Yes, please. So, Zürcher Kantonalbank. I would also have a question regarding Ina Invest, and there was a dividend that had been proposed from Implenia, and then it was then changed or transferred to a loan, I think. And so, can you tell us something about the equity ratio and conversion? Does that relate to the equity ratio that has been strengthened, and how is that to be understood? Well, that's a question for Ina Invest, but from our point of view, it has absolutely no influence on our equity ratio of Implenia. Absolutely none, zero.
UBS, once again, at the back of the room.
Yes, regarding the guidance, these CHF 130 million EBITs that you are aiming for. So, is this due to the increase of prices in some kind of specialties that you mentioned, or are there also savings measures that you are aiming?
So, in terms of costs, we are a lean organization. We are very well positioned at the production, and we are also endeavoring more productivity with lean and BIM. So, all this digitalization, industrialization of our construction industry, we want to be the leaders in this area. That's one point. And then we continue to improve or make improvements in all divisions, which is something we have proven over the three years. We've proven that it is feasible. And also, Wincasa will play a certain role. So, there are various components that play a role here, but you can expect us to continue to improve throughout all divisions.
And so, of course, through perhaps one or the other division, we'll have certain difficulties or challenges depending then on the market situation. That will be compensated by the others, but I must say that we were able to improve then throughout all divisions in a continuous manner throughout the years. So, does that answer your question? Almost, almost, okay. So, if I include Wincasa with the entire year, so that means a normal marginal improvement for the business, doesn't it? Well, you can present it. If we do a guidance, we want to fulfill that guidance, and so that is something we have done all the time over the three years, and we were surprised positively because we have been above that average throughout the years. So, when we have a guidance, we want to exceed that, actually, and not just fulfill it. That is our ambition.
So, Christian here in the front, from Stifel. Yes, perhaps. Dumb question or a more philosophical question. I see that you are the only company in all Transalpine projects, and you have a unique know-how, and at the end of the day, for infrastructures, you have an EBIT margin of 2%. Well, actually, one could think that you probably have more potential. I mean, there should be more extracted. It's not something new, but every time, I'm always surprised that you don't have that you haven't generated a higher EBIT margin. Why?
Well, that is a good question, and we see it the same way you do. We also believe that the margins in this area are still too small, but we believe that we can continue then to progress. We will then aim more with specialties, and we believe that in the future, the know-how and the quality will be much more important than the disclosed prices or the prices. But when the tender says, "The price is 100%," well, we have the quality arguments that, unfortunately, don't seem to have any effect, and so you have to pay the price.
There's always a price that is offered, and then there's a realized price. And then in these infrastructure projects, the end price is often much higher than the offered price. And so, a lot of countries are changing this, especially in the Nordic countries such as Sweden and Norway, and these qualities and these other criteria are much higher than the prices. What is the experience? What does a project leader look like, for example?
You can also win with a higher price, but as long as the tender is always with a price of 100%, it doesn't matter how good you are. You always lose. But we see, we notice this tendency, and that's why we're going to the specialization. For private tenders, that's a different country. We're talking about public tenders.
Thank you very much for your question and the answer. I would like to include one of the chat questions. One question from Fabian von Allmen from AWP Finanznachrichten.
Hello. Does the Signa debacle have an impact on your business, and are there opportunities for Implenia, or is that going to affect the prices in the market, for example? So, first of all, no, it has no impact on Implenia.
We don't have any skin in the game, but whether that will have a positive effect in the future, I am unable to say at the moment, but we will certainly not take over any projects if we are certain they cannot be financed. So, we don't have any kind of exposure. If we do, then a positive one, but it will have to continue then to develop, as described before, but we don't presume that that will happen.
Another question from Herr Scholz [audio distortion]
Are the large tunnels coming to an end in full year 2024?
There are a few tunnels that are coming to an end. The Forat Tunnel, for example, Semmering is also coming towards its conclusion, but the others are being added. So, I mean, you can see it in the order backlog. It's growing continuously, very nicely.
Another question from Tabea von Ow from AWP Finanznachrichten.
According to the ESG report, in the past year, you had a higher CO2 emission per ton. So, how do you explain this?
It depends on the project that you are taking care of. For example, if you have tunnel borers, then the CO2 emissions are higher in the tunnel business. So, we will show more transparency and show where the effects are. So, our aim is to reduce the CO2 emissions per unit, but that has to do with the project portfolio.
Thank you very much. It's still possible to continue to ask questions. Here in the audience, you have a question, I believe.
Yes, I have a question regarding the civil engineering division. You said that it didn't look too positive for all markets. What does that mean for Implenia's activities? So, what do you foresee for 2024? I don't know. I don't recall when I said that.
At the markets? Oh, the markets are very good. Yes, in civil engineering, the markets are all significantly positive, and we also believe that that will continue to manifest. So, in the markets where we are active, we see concrete growth in the coming years. And so, perhaps there was some kind of misunderstanding, but no, no, everything is on track. Everything is positive. Any more questions from the audience? We have another hand raised here. Yes, here in the front. I have a question regarding specialty buildings. So, how do you limit then the projects? What is a specialty, and what is a civil engineering project? So, if you have, for example, buildings, you have a tender. That tender is also made to subcontractors, and in most cases, specialties would be, for example, a subcontractor then for the buildings, or it could also be a subcontractor for civil engineering.
So, you cannot say that a project is completely to you or a total contract. So, you can have projects in both areas, and usually, if you have something that is made with wood or you have building technology, then it will be buildings, and civil engineering is clear. But in most cases, you're talking about subcontracts of a general contractor or a total contractor, and the development is really so that they continue to improve in their specialties. It's very asset-led. These are engineers, planners who go about these activities, and that has a higher margin, and we want to continue to push that.
Thank you very much. We have the possibility to answer perhaps one or two more questions. Christian, here in the front, please.
Yes, regarding the dividends, you are going to raise them to 50%. What is this based on? Do you have a payout ratio target, for example?
We don't have a target for the dividends, but we just said that we want to pay the dividends as the activities or business is improving positively, then we also want to pay the dividends. So, we have an EBIT development or EBIT margin development that is continuously positive, which means that the dividends paid will be higher also, even though there will be a certain recline because you don't have these deferred tax impacts. So, in 2020, that was an extraordinary situation regarding the taxes. Even without the tax effects, we could have paid the dividends. So, it's not related to the taxes. Did I understand you correctly?
Yes, you explained it correctly.
Any further questions here in the audience? I believe there are none through the phone line or via the chat. Well, in that case, thank you very much. I would like to stop our Q&A, and the floor is yours, Andreas.
So, thank you, Silvan. I would like to thank everyone for attending today's Analysts and Media Conference, and I wish you all a great day and goodbye. Thank you.