Reynal, right?
Yes.
I always want to make sure I have-
Yes, have you met Mike? Mike Weatherred.
Hey, oh, Mike.
Yeah, pleasure to meet you.
Yep.
All right. Well, thank you, everybody. Very excited to have Ingersoll Rand up here, Vicente Reynal, Chairman and CEO, Vik Kinney, CFO, and also Mike Weatherred, who we're super happy to have. So, you know, maybe starting off high level, you know, in my view, the best compounder in U.S. industrials, you know, a lot of companies do M&A. I don't know if I cover any companies that grow margins-
Mm-hmm.
-through the M&A. That's what always stands out. So, you know, what's the secret sauce?
Thank you for you know those kind words. You know the secret sauce is really the culture that we have created at Ingersoll Rand that when you think about it is this ownership mindset where you know 20,000+ employees across the company they think and act like owners because they're owners. I mean we give them equity so they have skin in the game. Every year we kind of walk them through our strategic year plan to all employees in the company so they understand what it takes to drive long-term performance creation. And when you have this ownership mindset across employees globally and then you give them the specific tools to execute really well and the tool that we talk about here is IRX and that combination is pretty powerful.
And then when you give that ownership, the tools and the initiatives around organic growth, around inorganic growth, it just creates this flywheel that over the past few years, it's just been going on. And now we just have a phenomenal platform across Ingersoll Rand with a fantastic culture that we just think, that we truly believe is for here for many more years to continue on this journey of long-term value creation.
Yeah. So, you know, it sounds like the foundation at the company, you know, helps do that. But is there also an element of when you're looking at what to acquire?
Mm-hmm.
Are there certain things that you're saying, "Okay, hey, we know they're going to come in, integrate well, we can get margins up." What do you look for there?
Absolutely. So think about it, in the past four and a half years, we have acquired 51 companies.
Wow!
It goes into the integration process pretty quickly with utilizing IRX. We look for companies that have good growth margin that we can expand. We look for companies that have great aftermarket, that we can actually improve. We look for companies that they're mostly bolt-on in nature. So out of the 51 companies that we have done, 50 of them, you could argue they're bolt-on in nature. We also say that every three to five years, we'll do a bit of an anchor acquisition, and that's what we just did, we just did here with ILC Dover to kind of penetrate even better onto the life science end market and now go back into the bolt-on acquisition. So there's a lot of good structure and thought around how we do that M&A.
And it's an M&A as well that when you think about the 51 companies, 90% of them have been sole source. So we are cultivating hundreds of companies at any point in time. We put them through the funnel. We have a very rigorous process to look at velocity of the M&A going through our funnel. And again, it's very process-oriented. Very process-oriented, staying close to the core, quick adjacent next to it, but we don't go for a new leg. We don't go to very far away, kind of looking to M&A that is kind of not aligned with everything that we do, and that has worked very well.
Yeah, no, absolutely. You know, while there's a lot to love about compounding, you know, it's. You drive growth without needing the cycle. You know, to get perpetual driver of positive revisions on earnings. You know, the concern that I have around compounding at times is, you know, when the companies have gotten so much bigger, I think you guys are probably 50%-
Mm-hmm
Bigger than you were in 2019. So, you know, adding that mid-single digit, now you need 50% more. You know, does that make it harder or, you know, is there a change in the way you have to do things?
Not necessarily, I would say, Chris. I mean, I think, what we have from a cultural perspective, is definitely a culture that is scalable because we've been able to scale it pretty quickly, very rapidly. We believe in one culture, the Ingersoll Rand culture that we have of ownership mindset, and even after 51 acquisitions, is really kind of core to all the acquisitions that we're integrating. And to your point, in terms of, the growth, do we have perhaps maybe? I mean, do we have enough in the funnel to continue on the inorganic piece? And the answer to that is yes. I mean, we are roughly a $7 billion-plus revenue, but we play in a $65 billion addressable market.
Where there's a lot of high level of fragmentation in very kind of close to the core technologies, and we have, you know, a pretty robust one. You know, earnings call, we said that even with ILC Dover and the other three bolt-ons, we still have eight-
Yeah
companies under LOI, and once we have a company on LOI, very likely it will close.
Yeah. Yeah, no, absolutely. You know, I guess maybe taking that, you know, kind of that total addressable market and, you know, bringing it to ILC Dover, was, you know, the TAM expansion there, you know, a big part of that deal and, the decision to push harder into life sciences?
Absolutely. So when we acquired ILC Dover, it gave us a $10 billion addressable market increase. So we went from the $55 billion to the $65 billion. And now we see very well, similar to what we have done historically, which is very bolt-on in nature, acquisitions that we can actually continue to put in this level of fragmentation that we see in the specific areas that we like to play in the life sciences market. So yeah, gave us a great addressable market, and now, you know, we have a dedicated M&A leader for the life sciences segment. We already have a funnel that we review, and the funnel is already very, very aligned with what we have done historically, which is kind of bolt-on in nature.
Yeah. You know, the deal, I think, more than doubled the life science business. So I guess two questions on that. You know, how is it going?
Mm-hmm.
And then when we look at the M&A pipeline, you know, is it fair to assume that there's more coming into life sciences as you continue to try to scale that?
Yeah, so the integration is going fairly well. I mean, I would say that very common for us that between sign and close. At the moment, we sign the transaction, between sign and close, we do a lot of preparation for day one, and then once we close, we're off to the races. The teams are leveraging very well IRX. They're very indoctrinated and really leveraging a lot of the processes that we have. Are we gonna put 100% participation in? No. Do we have. I think we have a very good blend funnel between ITS, PST, and the life science as well, which is within the PST. We go for, you know, basically returns.
Think about all these bolt-on acquisitions that we have done, mid-teens ROIC by year three. It's a great financial performance, and that's exactly what we are very disciplined and sticking to the core of that.
Yeah. You know, the deal really stood out from a cross-selling opportunity.
Mm-hmm.
You know, maybe can you talk a little bit about that? And are you seeing that come through, or does that, you know, maybe take a little bit longer?
Yeah, still early in the process, but clearly, the revenue synergy was one of the most exciting pieces for us. Because now we're able to talk directly with the customer, with the biopharma med device, customers, and for them, it has been pretty eye-opening as to what we can do with the value proposition of the technologies that we have. Because when we go and talk to a customer, we just don't talk about that single technology, we talk about the subsystem that we can actually create and deliver to that customer, and that provides incremental value add for that customer with a better return on investment on the technologies that they're using for us.
So yeah, early stages, but really exciting to see that, where in the past, we have to, in many cases, when we were talking to a customer, we had to, like, not quote that specific technology because we didn't have it. Now, we're even going back to those customers and saying, "Hey, look what we have now, and now we can provide that proposition to you.
Yeah, and maybe last one on M&A. You know, I think the deal was very positive, you know, from a total addressable market expansion, cross-selling opportunities. You know, the concern that we heard from investors is that the history of industrial companies pushing into life science-
Mm-hmm
-really hasn't been, you know, maybe always that successful. You know, maybe you don't have the same domain expertise you have in industrial-
Mm-hmm
Generally subscale. I guess, what gave you the confidence that this was the right move?
Yeah, a couple of things. I mean, one, I would argue that, I mean, the team that we have in ILC is fantastic and terrific. And one, that many of the team members of the leadership team in there really came from industrial companies. And we've seen it many times too, as well, that actually very good life science companies have started in industrial, they moved there. In our case, we're saying we're not gonna grow 100% life sciences. I think life sciences for us is now high teens. And do we from a total revenue perspective as an end market, do we see that maybe going to maybe twenties, but do we get it to a 50%? TBD, but very likely or very unlikely. But I think it's one that, yes, I mean, it's giving us exposure.
A lot of the technologies that you see in life sciences, even simplistically, think about peristaltic pumps and compression technology. They start in industrial, and then they get applied into life sciences. I think the benefit of this is that the rigor and the process orientation of execution and driving performance that you see many times in industrial, and then applying that into a more scientific approach with a good structure, it drives better performance, too, as well. So there's a lot of good things that can happen as you kind of transcribe technologies from one space to the other.
Yeah. You know, maybe before I turn to the market outlook, I just wanted to see if anyone in the audience had any questions they wanted to ask. All right, so to the market, you know, when I look at the performance of the company, you know, with respect to the end markets, you know, growth has bifurcated above those end markets, you know, most specifically in Europe and-
Mm-hmm
in China and in Asia. You know, I guess, where do you attribute that to? Is that just you guys are winning share? Is it that, you know, energy efficiency and the value add there is higher than it used to be? What's driving that market outgrowth?
Yeah, for sure, you know, we have aligned very well with some very good secular growth trends, and that is number one around sustainability. And sustainability is energy efficiency, water conservation. And that has really aligned all of our technologies, I guess, to provide a benefit to the customer, that when you think about compression technology that consumes 30%-40% of the energy at a typical manufacturing facility, and we can come in with new technology and provide 15%-20% energy savings. And on top of that, we can give them a technology that we call EcoPlant, that can dynamically fine-tune that compression technology even remotely and provide them incremental benefit of energy efficiencies. The return on investment is fantastic for customers. So that has been definitely a very big push for us.
The second push is around digitalization. Once you connect these machines, there's so much data that you can get, and then what we're doing with that data is providing incremental services and solutions to our customer. And you saw in our Investor Day how we said that, you know, today, as a total company, 40% of our revenue comes in from consumables, but we wanna create even more stickiness to that consumable, and we're gonna call that recurring revenue.
At Investor Day, we said, "Hey, today we have a base of $200 million of recurring revenue, and we want to increase that to about $1 billion over the next few years, by 2027." And that incremental really comes in from that stickiness of having that data and providing a solution that is really conducive to providing good ROI to that customer based on an unmet need that they have today. Which it could be energy efficiency, it could be air quality, or it could be just simply saying, "I don't wanna deal with that compressor room. You Ingersoll Rand, take care of it." So I think, I think those are kind of some of the key core avenues that are providing that incremental revenue growth that we think is taking share.
The last piece is our demand generation engine, that, you know, Mike is leading, and this is a phenomenal engine for generating marketing qualified leads, instigating demand, and being out there with the customer in a very simplistic way, digitally.
Yeah. Do you think, you know, is the bigger difference from the customer standpoint that just, hey, the ROI or the paybacks are better than they were five years ago? Whether that's just because, you know, electricity prices are higher, you know, maybe the digitization has helped with that. Or do you think it's more that customers are maybe more focused on building, you know, resiliency? Well, that was obviously a big theme in Europe.
Mm-hmm
given some of the energy shocks over the last couple of years.
Yeah, great question, because it's probably both. It's the resiliency, it's the energy, and the third piece is really sustainability. I mean, many companies have put out their, you know, 2030, 2050 targets. And when you read the sustainability reports from these kind of large companies, they are actually even writing how, on their reports, how, you know, compressed air and air treatment systems is the next phase for them to get to that, Scope 1 and Scope 2. What I can tell you, too, as well, is that I know that ESG is a conversational topic that, you know, some people now are kind of not believing in it, but customers that are doing it, they're doing it because it is a great return on investment for them.
Because they see that really getting that energy savings is going down to the bottom line.
Is that return better than it was five years ago, that you provide to the customer? Is there any numbers or anything you could talk about on that?
It is. You know, I think maybe even about, maybe pre-COVID, on average, you could see returns of maybe two years close payback. Today, on average, fifteen months payback. And we think that with technologies, as we continue to develop technologies and continue to connect remotely connect, this payback could go even lower.
So I mean, 15 months payback is, you know-
Yeah
- a phenomenal investment for anybody. You know, I guess, what's the pushback for people, you know, maybe not upgrading their systems?
It's just mainly education.
Okay.
Mainly education. That's why we think this demand generation engine that we have is fantastic. I mean, just to give you a quick glimpse, I mean, we have, you know, five million end users in our database. So for an industrial company to have that many end users in a database, that we can actually leverage as a way to communicate with them, and obviously, companies that we acquire, we put them in this data lake system that we have, that we can extract more data and then communicate more with them. We're communicating with thousands of customers daily, and that is giving us roughly 6000 qualified leads per week. So it's a lot of touch points that we can generate. You can only do that if you have a highly automated engine, and that's basically what we have created.
Yeah. You know, maybe over to those MQLs, you know-
Yeah
... Mike's doing a great job. I think up 13% in Q2, you know, really stood out to us. You know, when do you think those MQLs could start, you know, driving a more material impact on, on organic growth for the company?
Yeah, I think the, you know, so one of the things Vic and Vikrama talked about in the past, that we usually think about six to eight weeks, kind of lag time. And one of the things. And I think it's the thing that's important. There's one point, just before I go to the sales funnel, but this is 160 people, and it's not a corporate function, but it's centralized. So we have 160 people that work in a unified fashion and get up every day thinking about creating demand. And versus other large industrial companies I've worked for in the past, you may have an equal number, but they may be fragmented.
And then to the point Vicente made, not only is that database centralized, but the way we go to market through the web and the way we use marketing automation and the way we use the CRM and so on and so forth, it all looks the same. It looks the same in Singapore as it does in Mexico, as it does in Canada, et cetera. So when a marketing qualified lead comes in, and to Vicente's point, there's roughly 6 000 of them a week, a good metric to look at is converting 30% of those to an SQL. And an SQL is a sales qualified lead, which means now it's in the hands of the sales force, and they're gonna run it through a sales funnel.
We think about a 30% conversion rate as being good, and we've been able to stay roughly at that level. Then we track those through a 5-stage funnel, and the third stage is where we're making a quote, and we plan to win 50% of the things that we quote on. We see this year, that 6- to 8-week lag time is definitely taking longer, but that stage three in the funnel is getting bigger and bigger. You know, one of the questions we got asked several times yesterday is: Are things in that funnel not active anymore? There aren't any things in the funnel that are not active, because once they become inactive, we're gonna take them out, right? Because it's just clutter and junk.
So the enthusiasm at which Matthew and Vik and Vicente talked about the Q2 results is, not only are the MQLs up, but the funnel's bigger, and especially the large project funnel is, I think you guys said, 20% bigger year over year. And that's, again, when you're looking at that globally in a unified, similar metric format, that gives us a lot of self-comfort.
Yeah, I mean, I guess maybe on that short cycle side, you know, what is driving... I mean, I know short cycle actually stayed pretty solid for you guys, but, you know, are you seeing positive rate of change, and what's driving that? Do you think the end markets are getting better? Is it... Okay, maybe there was some channel, that inventory digestion that needed to be worked through?
Yeah. I'm gonna take that one. I think, obviously, you know, we think about Americas, Europe, Asia, differing dynamics, region to region, of course.
... I think what we kind of see right now is, obviously, general, what we call stability, right? You know, our kind of view here is things are kind of moving sideways. Probably, you know, worth noting that up to three regions, Americas has probably been the best performing. Europe's been, I'll call it, in the middle. Not all parts of Europe made equal. Obviously, certain parts much better than others, and others that, you know, clearly there's more room for opportunity as we think forward.
And Asia, I think, is quite well understood in terms of the headwinds that that market has seen, and quite frankly, we were pretty explicit, even coming into the year, that we had a large project kind of dynamic that was just gonna be, you know, quite frankly, with the run-up you've seen in Asia, in particularly China, in EV battery and solar over the course of the last, you know, let's call it eighteen plus months coming into twenty twenty-four, that was just a phenomenon that wasn't gonna repeat itself. As we move into, excuse me, the back half of the year, I think it's probably fair to say that things continue to operate generally in line with what you saw coming out of Q2. Really not a dramatic amount of difference.
As you can probably imagine, there's still uncertainty clearly in the market, whether you want to attribute it to elections or pick your favorite driver, so you know, for us, I think the MQL phenomenon is kind of this whole kind of self-help kind of dynamic. You know, MQLs, in my opinion, are really a reflection of our team's ability, and, you know, as Mike said, almost 200 people every single day. How do you instigate demand for our products? Our products are fairly ubiquitous in the context that they serve a lot of different end markets, and there always are gonna be pockets of growth, even though China, you know, obviously you read the headline news, but there are, you know, some pockets of growth.
There are products like blower and vacuum and fifty plus acquisitions we've made that are getting translated into Asia, and by definition, those should lend themselves to some nice opportunity that demand gen helps kind of amplify. So for us, it's just gonna continue to be, how do you instigate demand even in what might be a sluggish growth environment? Yeah, you know, on the, the maybe the longer cycle funnel, you know, first half, I think up in the twenties-
Mm-hmm.
-year- on- year. But, you know, like Vic was saying, that conversion is slower. You know, it sounds like there's a lot of reasons for that. You know, we can maybe pick our favorite, but I guess what do you think are the biggest, and why do you think that is, you know, converting slower than you would expect?
Yeah, you know, we've, you've seen that that there's been, on a global basis, not only in the U.S., a lot of these large mega projects announced. Once it gets announced, it takes a little bit of time to get through the engineering, procurement, and construction company, so EPCs. Basically, you know, we have several EPCs who we do a lot of work with, but they're saying that they're just basically at capacity.
Yeah.
Meaning they don't have enough engineers to actually process a lot of these large engineering projects and then kind of release those projects into what you may wanna call construction. So I'd say that's definitely one that we have seen. I mean, when you look at the backlog of some of the EPCs, I mean, there are two- to three-year backlog that they have. You know, that is in regards, kind of has been one of the largest things that we have seen as to why the elongation in the funnel, and the second one that we hear often is the site, the customer is not ready.
In many cases, it could be because not enough labor to finish the construction, or it could be governmental paperwork that needs to get done, but the site is not ready to then accept, and therefore, it kind of delays the decision a little bit more. I think what all these, you know, the good news, as even Mike said, is that we're not seeing the cancellation.
Yeah.
We're gonna see, and so what this does is it kind of bodes well for us to see that there's actually this continued good visibility as we go into later in the year or even more particularly into 2025.
Yeah, I mean, it sounds pretty positive.
Mm-hmm.
You know, projects are not moving slow because, you know, maybe there's not demand for what that factory would ultimately produce.
That's right.
They're trying to move fast, but there's just hang-ups in the process.
That's right, that's right. And you know, I do personally a lot of travel globally, and you see the movement. I mean, you go to Mexico, you see that definitely the nearshoring, reshoring, it is real. You go to Brazil, you see it there, too, as well. You go to Southeast Asia, it is, it is very, very active. So there's just a lot of good areas of growth that we're seeing that we're putting some good focus into it.
Yeah, you know, on those mega projects, you know, the U.S. gets a lot of focus, obviously.
Mm-hmm.
You know, it's something we focus on a lot. But, you know, you mentioned mega projects elsewhere.
Mm-hmm.
Can you kind of talk about more, you know, globally, you know, what you're seeing there? Because I feel like that often is a, not as focused on, at least from us in the U.S.
Yeah, I mean, a few that kind of come to mind, I mean, Middle East. Middle East is from a project perspective growing incredibly fast. Whether you think about expansion into how do you extract gas to then liquefy that gas, or if you go to India, whether it is around infrastructure. I mean, the fact that in India, still only 30% of the water gets treated. So from a water treatment perspective is also very important. Railway systems, that's gonna drive better infrastructure. You start going now into Asia, shipyard buildouts in order to be able to support the growth of not only the LNG ship vessels, but also support the conversion of the vessels into more of a clean technology.
When you think about all those that I mentioned there, we play. Compression technology is needed. Compression technology, you know, is needed for boil-off gas. When you are inside that LNG ship vessel, compression technology is needed. If you wanna start up that engine with LNG, compression technology is needed if you want to extract the gas. Compression technology is needed if you're supporting localization of life sciences supply chain in India, for example. So, so I think that's that's the beauty. I think it's for us, we're really attuned to what we call micro growth trends.
Even though holistically, we look at a lot of micro secular trends, I personally, and you know, we have two people in our team in Davidson that all they do all day long is basically look at about a hundred micro trends that happen, and not just globally, but by country and by specific region. And that then gives us the ability to point our cannon, which we call demand generation, to then instigate demand and then kind of talk to those customers pretty quickly. And all of that done in a very cost-effective way.
Yeah. Yeah, absolutely. Maybe to Vic on margins. It's been a great story for the company on expanding margins. You know, right now, not much volume growth out there, but, you know, in a slower environment, the business does mix more to aftermarket, which is margin accretive. You know, what should investors expect for, you know, margins going forward?
Yeah, I'll talk about it in kind of holistic terms, and I'll kind of take it in two pieces. 'Cause you hit the aftermarket, which I'll park on the side here for a moment. But if we think about, you know, kind of just the growth algorithm and how we think about whether it be the growth or the margin side of the equation. First and foremost, we effectively now have two segments that play effectively close to 30% EBITDA margins, which is, you know, a testament to the team's execution and what the team has done over the last four and a half years, whether it be executing on the merger-related synergies, you know, pricing opportunities, things of that nature.
You know, in terms of going forward, I think the algorithm continues to lend itself nicely to margin expansion, so you know, as Vicente, I think, started the conversation in your first question, when customers are highly focused on innovation, you know, returns, energy efficiency, total cost of ownership, if you can deliver on that, the context of being able to, in a normalized environment, deliver 1%-2% price is pretty consistent. And that we've shown to be able to do that, and then frankly, in certain years, even more than that. Second, I mean, the productivity equation.
Simply stated, we are a $7 billion-plus revenue enterprise, 20,000+ employees, 75+ manufacturing sites globally, and we subscribe to an in-region for the region model, which we recognize probably lends itself to a larger footprint, but by definition, that also should lend itself to productivity opportunities. Direct material cost still are obviously at relatively high levels, so we think there's continued to be some price clawback opportunities, we think 2025 onwards. And then, you know, in addition to the productivity and the pricing equation, we've done 50+ bolt-on acquisitions. And generally speaking, those acquisitions probably come in slightly below fleet average margins, but within a two-to-three-year timeframe, by showing, you know, how we underwrite deals, controllable synergies, getting that mid-teens ROIC, we see no reason they can't get to kind of fleet averages, if not better.
So I think there's that kind of perpetual behind-the-scenes, kind of a tailwind on the bolt-on M&A, continuing to see that expansion. So one, the concept of continuing to see margin expansion, absolutely. We don't see any cap necessarily, for example, on ITS margins. Probably fair to say that where you've seen strong triple digit plus margin expansion for ITS over the last three, four years, you know, maybe that reverts more to, like, a fifty basis points going forward. We're already at 30%, and maybe PST has a little bit more of the outsized opportunity. Now I'll come back to the ARA you said, obviously, there is this recurring revenue opportunity, and simply stated, $200 million of revenue, up to possibly $1 billion.
It's not only the highest, probably, growth piece of the equation from an organic growth perspective going forward, done properly and done well, and that $200 million shows it. This has like, you know, 60%-ish type gross margins. And so without question, that's kind of, in our opinion, I'd say, the, you know, the cherry on top, for lack of a better way to say it. That's the incremental, hopefully, upside. By no means were our investor day targets predicated on just delivering that piece of the equation. It's really delivering that controllable piece of margin expansion and growth and the recurring revenue, we're going to let be kind of the upside opportunity. But frankly, we're seeing some of that, you know, mix up on aftermarket as we speak.
I'd say that's been part of the first half results as we continue to ramp and, you know, globally expand the care model, and the recurring revenue model and for us, that's a huge piece of excitement as we go forward.
Yeah, you mentioned, you know, the company gets, you know, very consistent, 1-2% price, you know, pretty much every year. Obviously, you know, with inflation, it was higher. But, you know, when I hear that, you know, customer paybacks or ROI is materially better, you know, does that change the way you think about pricing and maybe, you know, not, you know, sharing those economics a little bit?
Mm-hmm. Mm-hmm. Yeah, no, even there's also new business revenue models that we're exploring. So there's definitely all kinds. And I think the advancement of technology and how we're incorporating technology to continue to get those, that payback lower, is just opening a new door of opportunities on how we can actually create more sticky revenue. I mean, recurring revenue is definitely one avenue, but there's many other things that we can do to really provide a customer at a much higher margin for us, but it provides an even better solution for the customer, that the customer is willing to pay for.
Yeah. Yeah. You know, maybe, you know, Vic gave some regional commentary earlier. Maybe finishing up on China. I mean, there hasn't been much out there to be optimistic about. You know, you guys in Q2 talked about, I believe, orders and revenue up sequentially versus Q1, a little bit of backlog build. You know, do you feel like things are getting better there? Or maybe there's too much to extrapolate out of there. I don't know if there's seasonality in that.
Yeah, I think the simplest way to say it here is, kind of probably just moving sideways at this point in time. To your point, encouraged by the Q1 to Q2, you know, sequential improvement. We did build backlog there. Obviously, we all know what the market is doing, we're not immune to that. But we do feel like the team on the ground there is executing well in spite of a tough landscape, and that fundamentally, yeah, while maybe growth rate expectations in China and total have maybe reset, the opportunity for our team to probably still outpace that by virtue of localization of products, demand generation, some of that self-help, if you will, that's the piece that we're encouraged by. So to your point, still uncertainty out there.
We'll continue to see how the team executes and kind of how the landscape unfolds through the back half of the year, but I think we're at least encouraged by the fact that the team is seeing general stability in what is a pretty tough landscape, and you know, hopefully sets itself up for a better growth algorithm into 2025.
Well, I appreciate that. We're up on the thirty minutes, but love the conversation. Thank you guys for being here.
Thank you.
Thank you.
Thank you very much. I appreciate it.
Thank you. That was great. Thank you.