Hi. Hey, everyone. How's it going? My name is Rohan Patel. I cover medical devices and supplies here at J.P. Morgan. I'd just like to introduce Christopher Simon, CEO of Haemonetics.
Thanks, Rohan. Good afternoon, and welcome. We're obviously very pleased to be back at J.P. Morgan, especially here in person after the time away. I'm excited to provide you a look at where Haemonetics is today, where we are headed, including some unique opportunities that will enable an even greater impact across the markets we serve and help us deliver significant value, both for customers and ultimately, for shareholders. My remarks here today will have forward-looking non-GAAP numbers involved, so typical risk factors apply. You can refer to our SEC filings for any more information or questions you may have. Back in June, we shared our updated long-range plan for transformational growth. Strong performance this year to date is evidence that our plan is working, and we are recovering and gaining momentum essentially across all of our businesses.
Haemonetics was the top-performing MedTech stock in 2022 on a total shareholder return basis. Why? First off, plasma. Seeing record growth and margin expansion, we completed our technology upgrade cycle back in the second quarter ahead of schedule and grew 52% through the first half of this fiscal year. Our NexSys devices with the persona technology are enabling our customers to collect record volumes of plasma, helping them replenish inventories from historic lows and meet increased patient demand. In hospital, the essential nature of our products, combined with our focus on commercial execution and expansion, is helping drive outsized growth that will become the norm for us going forward. Despite macro pressures, customer staffing shortage, budgetary constraints, we continue to penetrate new accounts and increase our market share, laying a foundation for sustainable growth as we increase utilization of our products.
Our resilient supply chain and flexible global manufacturing network have allowed us to realize financial and competitive benefits from serving customers when, frankly, others couldn't. We continue to move ahead with our innovation agenda, advancing our pipeline and investing in new growth venues to further strengthen our trajectory. We are committed to providing our customers with cutting-edge technology that is targeted at meeting their most pressing needs. We remain focused on improving productivity and processes across the company. Our operational excellence program is enabling business continuity, supply chain resiliency, and operating agility, allowing us to meet customer demands without interruption. Accelerating savings are also helping to migrate some of the near-term macro pressures that we and all in the industry are facing.
Along the way, we've strengthened our top team, and we have an organization that is, at least over my last seven years tender, as engaged and as motivated as we've ever seen. We're very excited about where we are and where we're going from here. It's an exciting time for us, and we're comfortable this momentum will continue going forward. As I said, 2022 was a very good year for Haemonetics. We're cautiously optimistic that 2023 will be that much better. A slide that I used back in the Investor Day discussions in June, our strategy is rooted really in three pillars that will drive transformational growth. We focus on winning markets, top quartile potential markets across the MedTech industry.
We insist that we achieve a leading position defined as number one or number two in the markets where we compete, we are committed to delivering superior returns at both near and long term. We achieve this by focusing on three specific goals. The first goal is growth. Top line, bottom line, return on capital, and free cash flow. In particular, revenue growth is what's new and different and focused on as part of our story going forward. Our second goal is diversification. We're talking about portfolio evolution.
We're looking at customers, markets, geographic footprint, and different and diverse business models that will help make what we do more robust going forward and lead to our third goal, which is sustainability and the long-term health of the company and the communities we serve, investing in talent, diversity and inclusion, and managing environmental, social, and governance risks, so we can continue to deliver for patients, donors, and customers. Our value creation model is aligned with our strategy and goals and is focused on driving attractive financial returns and value for our shareholders. The first objective is to drive above-market growth consisting of high single digits organic revenue and mid-teens adjusted EPS compound annual growth rates through the end of FY26.
Our second objective is continued margin expansion, and we expect growth in adjusted operating income and adjusted diluted EPS to be more than double the organic growth rate for revenue. Let me say that again. We're expecting high single digits revenue growth, and we're expecting that our margin expansion will drive the adjusted EPS and our operating income to twice that rate. The third objective is to optimize our capital allocation. As we're increasingly successful across those first two objectives, we wind up driving a four or five-fold increase in our capacity to something in excess of $2 billion, which we intend to put to good work. The value drivers that are behind this are enduring. They haven't changed, at least over my tenure, and that's powerful in the consistency with which we're approaching it and the execution that we're putting against it.
The first two, plasma and hospital, are our growth engines. They represent more than 70% of our revenue today, and they are contributing disproportionately to our growth and margin expansion going forward. The innovation agenda and the inorganic growth help expand opportunities in our core markets. They strengthen our leadership positions, and they establish new avenues for growth and diversification. Operational excellence and resource allocation improve productivity, freeing up funds to invest in the highest return initiatives that we can identify. I'm gonna go into each of these six in a bit more detail. We'll start with plasma. Our leadership in plasma is indisputable. We're a trusted partner to our customers with a unique understanding and ability to deliver technology and services that drive value in the industry. Three things you should know about plasma.
First, it's an $800 million total addressable market that we believe will grow consistently 8%-10% over the long term. Clearly, based on our experience here to date, is growing much higher in the near term as the industry recovers. Second is we pride ourselves on consistent delivery. Despite the challenging macroeconomic environment, plasma collections recoveries has been robust through a best-in-class global supply chain that we use to serve customers as they strive to grow their collections at unprecedented levels to not only replenish depleted inventories, but meet rising end market demand for their products. Third, our commitment to innovation. We are the only provider that offers a total solution able to effectively meet customers' needs to safely maximize productivity.
We completed our planned technology upgrade to NexSys and are actively pursuing the conversion of our customers to Persona, now accounting for nearly half of our NexSys collections. The Persona value proposition is powerful. It allows for individualized collection levels that are specific to each individual donor. Our proprietary methodology safely yields enough additional plasma to exceed the total cost of goods supplied by Haemonetics. Let me say that again. Our proprietary technology is able to safely yield enough additional plasma to exceed the total cost of what we charge customers for our integrated offering. The cost per liter improvement available through our integrated platform is unrivaled. Our system delivers on average a 10% reduction in cost per liter attributable to the throughput and yield benefits that are unique to our system. Let's switch gears and talk a bit about our hospital business.
It is our soon-to-be largest and fastest-growing business. It will significantly advance our presence in under-penetrated markets that represent nearly $4 billion in global total addressable market. Our hospital business will play an outsized role in acceleration of revenue growth over the life of our long-range plan. It is a rich source of inorganic opportunities for growth. With growth comes scale and renewed margin expansion. Two leading platforms drive our hospital growth. Hemostasis Management Viscoelastic testing are rapidly gaining momentum in a $700 million TAM in areas such as cardiology, cardiac surgery, trauma, liver transplant. There's ample room for continued growth in these segments as the market is significantly under-penetrated.
We're focused on driving in core clinical segments where we can leverage additional clinical information, clinical data, translate that to clinical education, coupled with a meaningfully expanded clinical and sales force that are actually driving the uptake in our products. We're also addressing geographic market-specific needs and expanding our diagnostic capabilities to all consistently deliver double-digit growth. Vascular Closure is our most recent addition and now is our actually single fastest-growing product segment, chasing after this nearly $3 billion TAM. With a unique closure technology and first-mover advantage, we are well-positioned to capitalize on the opportunities within the under-penetrated and fast-growing EP and IC markets. Our commercial efforts are focused on the top 600 centers in the U.S. Not even two years after acquisition, we are making significant progress with expanding our share and increasing utilization of our products in these core accounts.
We will penetrate the majority of them not later than FY 26, strengthening our presence in EP and IC and providing sustainable revenue growth. In parallel, we're developing go-to-market strategies for international expansion and evaluating inorganic opportunities in the large bore closure market. We received CE mark fully a year ahead of plan, that's enabled us to begin commercialization in Europe later this fiscal year. We also announced in our last quarterly earnings call that we made a strategic investment into Vivasure Medical that could expand our TAM into the attractive, fast-growing, large bore closure market. Our innovation pipeline is focused on expanding our market leadership and enabling long-term plasma growth and long-term profitable growth. Newly developed products should contribute approximately 25% of our revenue over time. Sorry.
If I think about our innovation agenda and our pipeline a bit, in plasma, we're focused on maximizing yield and the quality of the plasma collected. We're talking about and working with our customers to actively improve center productivity and enhance the donor experience, and we're advancing connectivity and compliance vis-a-vis our NexLynk proprietary center software. In the process, we're also introducing new digital tools aimed at engaging the donor throughout the process and building additional retention and loyalty to our customers. In Hemostasis Management, we'll continue to build on our technology, expanding into new indications, into new geographies and critical areas of care. In Vascular Closure, we have a significant opportunity to expand to address new technologies and new procedures in small and mid bore. We'll also pursue line extensions to meet requirements of the newest generation treatments in arterial closure.
Portfolio evolution remains a priority as we increase our focus on M&A. We have a disciplined strategy and a very high bar for expected returns and execution. We are seeking hospital opportunities similar to Cardiva, where we can quickly scale up with differentiated market-leading technology and deliver robust financial returns. Vivasure is the intersection of our innovation agenda and our inorganic growth priorities, focused on enabling technologies in our core markets, products that establish strategic position in adjacencies and help accelerate our growth. Vivasure, as I mentioned, should enable large bore closure, expanding our TAM by $300 million approximately in a fast-growing procedures like TAVR and EVAR. Early-stage clinical data shows an impeccable safety profile and the potential to meaningfully improve health outcomes over time. I turn now to operational excellence and resource allocation, operational excellence is at the center of everything we do.
It has become an enabler of our resilience and agility throughout the pandemic and continues to serve us through recovery. We began focusing on and improving our resilience prior to heading into the pandemic. We improved both product quality, we heightened our focus on innovation. We right-sized our manufacturing footprint, we regionalized our distribution and supply chain, in particular, helping to avoid many of the supply chain disruptions that have plagued the industry. We also completed our move to a new manufacturing center of excellence just outside of Pittsburgh, Pennsylvania. OEP is on track to deliver $115 million-$125 million in gross savings by the end of fiscal 2025. It's already, by the end of this fiscal year, programmed to deliver $96 million in savings. These savings have helped mitigate macroeconomic pressures.
While we see a relative stability on things like inflation and foreign exchange, we'll continue to see increased efficiency in our business and more direct benefits to our operating margins. The growth of our businesses is generating strong operating cash flow and increasing our balance sheet liquidity. Over the LRP, our capacity expansion will exceed $2 billion based on this plan. Our capital allocation priorities remain unchanged, allocating resources to accelerate growth and create value through high-impact, high return on investment initiatives, such as expansion of our commercial capabilities, building out of our innovation agenda, including organic R&D and outsourced R&D where it makes sense, and of course, returning cash to stakeholders via share buybacks or paying down our debt optimistically as appropriate. I guess, in closing, what I'd like to do is just repeat something I said back at our June Investor Day.
This is a very exciting time to be at Haemonetics, and I have never, in my seven years tenure there, been more optimistic about our prospects. Let me say that again. It's an exciting time, and on an individual level, I have never been more optimistic about our prospects. Perhaps for the first time since the pandemic, we shared in detail what we've been up to and where we're heading. We've not been hunkered down riding out the storm, but instead, planning and laying the foundation for a fundamental transformation of our company and its businesses. Change is designed to achieve breakout growth, renewed margin expansion, and sustainable diversification. We're doing this by strengthening our competitiveness and capitalizing on opportunities in plasma while accelerating our pivot to higher growth, higher margin, innovative hospital-based opportunities and improving productivity through operational excellence.
As I said earlier, investors took notice of three consecutive quarters of solid delivery as providing evidence for the soundness in our strategy. We've been rewarded in terms of total shareholder returns in 2022. Understandably, questions do persist. Can we grow next year? Is the growth in margin expansion projected in our long-range plan truly achievable? I guess I'd answer in this way: We're outperforming meaningfully in a very difficult environment. We have raised our FY23 guidance twice now year to date. Are currently projecting roughly 10% growth over a successful FY22. Plasma revenue, excluding CSL, our largest customer, will still be approximately $350 million this year. The current guidance against that business for this fiscal year is 30%-35% growth.
We don't see any abatement on the horizon. Those projections do not include something we're working very hard to do and to expedite, which is conversion of the remainder of the market to our proprietary Persona technology. Hospital revenue is actually larger than that, projected to be at about roughly $380 million this year. It has grown in the mid-teens each of the last past years, and this year is forecasted to grow 19%-22%. Again, it's a high gross margin business, and we don't anticipate meaningful slowdown on the horizon. Operational excellence will deliver another $20 million-$30 million in gross savings over the next two years. If we see any abatement whatsoever in these macro factors, we'll see an improved gross to net ratio within that.
We're watching the horizon carefully, but we like our chances in what we've been able to accomplish so far. Plasma recovery, rapidly growing hospital, OEP productivity combine for true value creation. Regarding the long-term margin expansion, I think it's important to understand and quantify the pivot to these higher growth, higher margin hospital-based businesses. It's a pivot that is well underway, and as we leverage our current outperformance, we'll look for opportunities to accelerate that pivot. It's why I coined the phrase back in June that our LRP is a series of evolutionary steps to achieve revolutionary results. With that, I'll leave it and transfer to your questions.
Thank you. I'm gonna be joined by David Trenk from our Investor Relation team and James D'Arecca, our CFO.
Well, thanks so much, Chris, for that introduction.
I guess, just to kick things off, I wanted to start with some near-term trends, specifically staffing and inflationary pressures that you've seen across the business. Just wanted to get a sense of how things are trending in fiscal third quarter, and how does this change your outlook, if at all, for the balance of the year?
Yeah, sure. Maybe I can, maybe I can handle that. Hi, everyone. James D'Arecca, I'm the CFO. Yeah, on the inflationary side, we certainly have seen some relief, I'll say, in particular, in the freight area. I think that you've probably heard that across the industry now with some of those challenges logistically, you know, all the cargo ships sitting off of California and the empty box cars, all that is working its way through the system, and we're definitely starting to see some lower rates for freight. That said, for us, things like wages, those went up during COVID, those haven't similarly have not gone down. I think we're gonna be having to live with those, you know, for a while.
On the, you know, overall, trend for us, you know, we had a year that we were not expecting to be as good as it was. Our revenue grew a lot more than we thought at the beginning of the year, and our production was planned for that level of revenue. Because of that, we had to, on the production side, go out into the spot market for things like sterilization, for certain components and parts. In the pre-COVID era, you can get away with that. You might pay a slight premium, but now you can't. You know, we've been experiencing headwinds from, I'll call those, unplanned spot-type purchases, which has increased our costs.
It's, you know, I'll call it a good problem to have because our revenues have also been similarly affected because they're going up much more than we thought. On balance, we'll take it. Over time, that will work its way through the system. Then longer term, I guess everyone can make their own predictions on inflation. Hopefully, though, we'll start to see it abate here, you know, towards the end of the calendar year of 2023. In our long-range plan we took the approach that you're never gonna be back to pre-COVID levels. Maybe we'll get, you know, some relief in the back two years. We don't have us returning back to anything near what pre-COVID costs looked like.
Great. Thank you. Then also just given your hospital-centric business model and the current economic backdrop, I was just wondering if you could talk more about how the company's performed during, prior recessions, and your expectation for kind of the future if that were to come to fruition?
Yeah. If I could just open the aperture on that and talk about really all three businesses, and I'll do the first two quite quickly. You know, on our blood collections business, that is as durable as it gets. It's a very altruistic community, almost regardless of what happens. Volunteer donors turn up. We've seen that there's critical blood shortages that need to be addressed worldwide, but it's not for lack of donor willingness. We view the returns from that business, particularly where we've been able to step in and supply where our competitors cannot, as quite robust, and we feel good about that regardless of what comes next in a macroeconomic environment. Plasma, by all accounts, at this point, is inversely correlated.
Any, you know, any economic storm is serving to increase donor traffic into the centers. Our customers are doing everything they can to drive that demand. We feel really optimistic, as referenced by our current guidance. When we turn to hospital, you know, originally, we were describing that in the early days of the pandemic as elective, non-elective, particularly with the addition of electrophysiology-based procedures. That's not really an accurate definition. We've talked about it as essential. I would argue that all four of our product segments in the hospital business are essential, and we've seen that. There's no shortage of challenges, and we are reliant upon the hospitals being open and able to do the procedures. Throughout the last two point five years, where that's been the case, we've succeeded nicely.
There will be challenges with capital. We're not at the same price thresholds as some of the most expensive hospital-based capital, but when those systems are jammed up, we suffer the consequences. We've got an excellent team on the ground that's been able to work through it. At this point, I think it's really down to potential geopolitical risk in some countries where their hospital systems aren't well functioning at the moment. Until that gets abated, we'll have to manage accordingly. Particularly in the U.S. or in Western Europe, we feel really good about our hospital, the essential nature of our hospital products.
Also just, kind of taking a step back, you did provide a fantastic introduction of some of the growth drivers, but I guess just for the audience, if you could specify or zero in on a few that support your LRP, that would be great.
You wanna take the first cut on that one, James?
Yeah, sure. For our LRP, for the long term, several different areas. Certainly, in the plasma business, there's right now this environment where the fractionators have been trying to replenish their inventories, which had gotten quite low during the COVID period. They're looking to increase their inventories, and right now they have a donor environment which supports that. With the inflationary pressures, with the U.S. economy anyway teetering on recession, that drives donors. There's an opportunity there because on the one hand, the fractionators need to collect more than even end demand if they wanna increase their inventory and their safety stocks.
we see that as a, you know, a longer term phenomenon. You're not gonna fix that, you know, in a year. It's gonna take a little time. now how you exactly draw that curve I think is subject to debate, but we still see some great conditions there, overall, you know, as we move forward. Plus, you know, the end Plasma IgG continues to grow. you know, there's more people being diagnosed who require IgG therapy, and, you know, so the end user demand is robust as well. we feel confident, you know, that plasma is gonna continue to grow through our LRP plan, and there's a lot of tailwind behind it.
Shifting over to the hospital side, you know, again, you know, as, if you listened, you know, what Chris was talking about, very promising. We're in markets that are growing, you know, high double digit, you know, mid-teens up to 20%. Those will continue to drive our growth. We're in excellent areas within the hospital, and, you know, we think that that will, you know, certainly the hospital business is gonna grow to be even bigger than our plasma business, maybe even as early as next year. That will continue through our projection period.
It's an important part of our story because not only, you know, does that growth, you know, help on the revenue line, it also helps quite a bit, you know, on that operating margin line and on the gross margin line because the hospital products, you know, are more profitable than our plasma business. You know, as Chris was saying, a lot to be excited about, a lot that's gonna propel us into the future. If we make the right investments and deploy our capital properly, that will only just turbocharge that growth as well.
Yeah. If I could pile on there, it's a bit of a role reversal here between the two of us. To James last point, right. What we've been talking about here and fueling growth, it's organic. It is funded in the existing long-range plan. What we're talking about on the backside in terms of capital allocation is the potential to generate in excess of $2 billion of additional capacity that we will put to work, both through organic and inorganic, to drive growth above and beyond what's been communicated here. We're more than optimistic about our ability to do that and the opportunities that are presenting themselves, particularly in this environment, for us to lean in and generate additional returns.
Great. Thanks. Also, I'd just like to open it up to the audience. If anyone has a question, feel free to raise your hand. We can come around with a mic. It's okay. I can also keep going. I guess let's just turn to kind of how you bridge or how you're thinking about bridging FY23 with FY26, the LRP. Specifically, your LRP numbers anticipate a pretty kind of significant improvement in margin and diluted EPS. Just wanted to get a better sense of what the drivers are behind that. Also, if you could talk about what gives you confidence in your EPS expansion in FY24 as well and some of the drivers there.
Sure. If I, if I dial it back, right? The long-range plan that we communicated in June over a four-year period was looking at high single-digit revenue growth. We've talked a lot about the underlying drivers there. You know, three big product families, NexSys, TEG or Hemostasis Management, and VASCADE drive the lion's share of that growth. As we do that and we experience improvement in our operating margins through OEP and scale, we wind up growing our operating margins in the mid-teens or better. The combination of those things will result in a P&L at the end of FY26 that is approaching, if not in excess of 60% gross margin and in the high 20s or better in our operating margin.
That's a really powerful combination, I think when you step back from it and you appreciate just how much contribution these high growth segments and how much more of our total company they will represent at the end of the long-range plan, the economics, that financial P&L starts to come into focus. You know, the challenges, I tried to lay those out for FY24. We don't see the growth that we're currently experiencing across any of our major segments abating in FY24, In fact, there's real opportunity for us to lean into that. There'll be challenges, there'll be business that will go away, and we'll have to manage through that. From where we sit, you know, the current guidance has 10% growth year-over-year, and we're gonna look to build on that top and bottom line.
It's not without challenges, but we said this back in the LRP discussions in June, we're gonna seek growth in each of the years of our long-range plan, including next year, regardless of what happens with our customer base.
Great. I think we had a question over here as well, if you just wait for the mic.
Hi. May I ask you, how are your revenues, roughly geographically distributed between, you know, America, Europe, and so on? Thank you.
It's roughly, 65-ish%-70% in the U.S. and the balance elsewhere.
It is interestingly spread across the three companies, right? Source Plasma is 90/10 U.S. If you look at our hospital business, that Stu Leads, it's 60/40, closer to 50/50, particularly now that we're really pushing outside the U.S. Electrophysiology business pulls that back, but that's a point-in-time issue. Our blood center business is skewed the other way, and it's more 1/3, 2/3, with the heavier weighting being outside the U.S.
Kind of going off of that internationally, I guess, you mentioned, I believe, on the second fiscal second quarter call about Vascular closure commercialization in Europe at the end of fiscal '23, if I'm not mistaken. Can you provide an update on that as well as, just a refresher for those of us not as familiar with the market opportunity? I have a follow-up once you're done with that.
Sure. We purchased Cardiva Medical early in 2021. At this point, as we approach the two-year anniversary of that acquisition, we are at least a year, if not two years, ahead of schedule, both on our deal model and anything we reasonably anticipated we'd be able to accomplish together with the asset. One of the things we announced back at, you know, our second quarter update was that we had received CE mark approval for the VASCADE family of products. It allows us to take the product to Europe significantly earlier than we otherwise would have anticipated. The outperformance in other parts of our business, including hospital year to date, has freed up funds that we're now investing proactively to get a physical presence in those markets and start commercialization sooner. It will actually happen at the end of this fiscal year.
It won't matter for FY23. It'll be modest in FY24 because the team's being really thoughtful about their approach, attempting to replicate what they've done so successfully in the U. S. is about 600 electrophysiology-based accounts and working your way through that. They're hyper-focused on enrolling new accounts and then driving the utilization of those accounts. We'll follow a similar methodology for Europe and other markets outside the U.S. as well. It'll be a larger number of accounts. The Pareto is not quite as tight. There's geographic considerations from one country to the next, but our team has good experience doing that, and I think one of the things we're really excited by is further leverage from our existing hospital-based sales force to bring VASCADE to market.
Great. Thanks. Just can you remind us how much it costs to set up shop approximately internationally?
It'll vary from one country to the next, depending on our starting point, and it will look quite different for indirect markets where we leverage either existing or new distributors in the process. It's difficult to give you a specific estimate. We're optimistic about the product profile. VASCADE is a do no harm first product. It's incredibly safe to use, it's easy, and there's a strong body of clinical evidence to help drive the education process. I don't wanna say it's simple or straightforward, it's not. We're very confident in the models we have to drive the rollout.
Great. I just wanna close, I guess, with capital allocation, if you don't mind. I mean, you provided a pretty good overview, and it seems like you have a fairly balanced approach. Could you just kind of talk about any one area in particular that is, I guess, more compelling to you at this time, or provide any details around that?
You wanna take the organic, and I'll take the inorganic?
Sure. I... You know, we went through our capital allocation strategy, right. We prioritize organic investments. Those are the things that haven't been funded in our plan, and we certainly have some exciting opportunities there on the plasma side to improve the speed of our devices. Also, you know, we'll continue to look to try to improve yield. You know, we wanna make sure that we continue to be the market leader. We're the market leader today, and we need to take advantage of our market leadership. You know, we have some very nice opportunities there to invest.
You know, on the hospital side, you know, there's always various different improvements that we can make and projects that we have, you know, in our TEG Space. Also, you know, as we look into in terms of closure, you know, I'll let Chris hit that probably more on the inorganic side. There's some nice opportunities, you know, in our own labs. Also, you know, I think there's a opportunity above and beyond in terms of our efficiencies as well and to invest behind, you know, how do we improve, you know, the costs of our products and make an investment there to really, you know, help drive those costs down.
Pretty big laundry list there, that we'd love to go after. $2 billion's a lot, there's certainly some other opportunities that we can fund as well.
Yeah. I'll just quickly highlight the inorganic 'cause it is a close second to organic. You know, we're committed to plasma. Any and all opportunities are worth pursuing there. The primary focus at this point is gonna be expanding that hospital presence with enabling technologies in core areas, electrophysiology, interventional cardiology more broadly, and perhaps trauma as well. We're excited. We think there's real potential for us, and we intend to pursue it pretty aggressively.
Great. Thank you so much, and thank you for joining us today.
Thank you.