Good morning, and welcome to the Nuvi Holding Corp. 1st Quarter of Fiscal Year 2021 Financial Results Conference Call. All participants will be in a listen only mode. After today's presentation, there will be an opportunity to ask questions. To withdraw your question.
Please note, this event is being recorded. I would now like to turn the conference over to Joe Dorme, Managing Partner. Please go ahead.
Thanks, Betsy. Good morning and thanks for joining us today. On the call are Gregory Pellon, Chief Executive Officer Ted Smith, Chief Operating Officer and David Robson, Chief Financial Officer of Nuvi. This morning, Nuvi issued 2 press releases, one regarding its Q1 2021 financial results and another one regarding a transaction with Stonepeak Infrastructure Partners. Call.
The company also posted slides to accompany today's call on the Investor Relations page of its website. Following prepared remarks, we will open the call for questions. Before we begin, I'd like to remind you this call may contain forward looking statements. While these forward looking statements reflect Nuvi's best current judgment, they are subject to risks and uncertainties that could cause actual results to differ materially from those implied by these forward looking projections. These risk factors are discussed in periodic SEC filings and in the earnings release issued today, which are available on our website.
Nuvi undertakes no obligation to revise or update any forward looking statements to reflect future events or circumstances. With that, I'd like to turn the call over to Gregory Polan, Chief Executive Officer of Nuvi. Gregory?
Thank you, Joe, and good morning, everyone. I'm excited to kick off Newby's first earnings call as a public company today following the completion of our transaction with Newborn Acquisition Corp. It's been an exciting few months. And as we begin our journey as a public company, we've been hard at work continuing to build on all that the team has accomplished and service funding in 2010. This is highlighted by the agreement to form a joint venture with Stone Seeking Processor Partners we announced today alongside our financial results.
Ted, David and I are looking forward to walking you through this joint venture as well as other recent developments, results and outlook for the remaining of the year. To start, some of you have had the opportunity to hear the background of our business and our clear go forward strategy, But we recognize that others are likely new to the story. So I want to take a few minutes to walk through our technology and how we are focused on driving value for our call. And ultimately, our shareholders. At Nuvi, we are capitalizing on a transformational megatrend with a differentiated and proprietary mobility technology, an experienced team and a compelling turnkey offering.
The transition to electric mobility is among the largest microeconomic shifts in our lifetime, with an opportunity to accelerate solutions to climate change. Our mission is to lower the cost of electric vehicle ownership while supporting the integration of renewable energy for a scalable and sustainable green society. Road vehicles account for 22% of U. S. GHG emissions.
In fact, the transportation sector emits more harmful pollutants than any other sector, And road vehicles are more than 80% of transportation emissions. The transportation world is rapidly equifying, which is key to solving the climate challenges we face. However, according to the DOE, Transportation electrification is forecast to result in a 40% increase in total U. S. Electricity demand by 2,050 on a grid that's often already strained.
This increase would result in $2,000,000,000,000 investments in necessary grid upgrades to keep the lights on. But there is a tremendous hidden opportunity in our increasingly electric transportation. Today, vehicles on average are parked And unused approximately 96 percent of the time. And if we could harness the battery in all the electric vehicle expected to be on the road globally in 2,040, We could power 163,000,000 households. This is equivalent to powering all of the homes in the U.
S. For 1.2 years. At Nuvi, we take advantage of this hidden opportunity. We turned EV into power plants. So how do you do it?
How do I do it? Our proprietary vehicle to grid or V2G technology intelligently utilizes vehicle batteries to not only pull power from the grid for charging, but also store energy, including renewable, and then safely discharge part of that energy back to the grid when it's needed most. V2G technology enables a vehicle to make money or save on your electric bill when it's not in use. We do this while ensuring electric vehicles are always ready to perform daily driving needs. NuVasive Time controls everything seamlessly behind the scenes.
Nothing extra is needed from the EV owner point of view. Simply plug your electric vehicle, That's your next scheduled trip, and you always remain in control of the vehicle set up charge. By turning to what you need, the platform will determine which grid services are most appropriate. Our technology enables degradation of multiple electric vehicle batteries in multiple locations through EV charging stations into a virtual power plant of VPP. Our platform has recovery to sell the aggregated energy back to the market and are growing that can be shared with our customers.
This lowers the total cost of ownership of EVs and helps customers save money on vehicles through intelligent Safe charging during non peak hours when net interest rates are low. An example of how our technology is working today is our operation in Fredesburg, Denmark, with our longest standing customer there. This customer originally acquired 10 Z2G capable Nissan's ENV 200 vans. Each of these vehicles outfitted with a rather small battery of 24 kilowatt hour and connected to a 10 kilowatt charging station Has been generating $2,000 of great service revenue per vehicle per year since we started using the aggregation platform of Nuvi called GIVE nearly 5 years ago. This is about a 25% total cost of ownership production over the life of the vehicle.
Nuvi's technology is backed by 25 years of research and development led by the Professor Witte Hampton at the University of Delaware and my partner in Saudi Nuvi. With more than 350 deployments on 5 continents and more than 11 years of market participation in PGM, Our patented technology is ready today for large scale deployments to lower the cost of electric vehicle and help solve the climate challenge. There are major benefits of Nuvi's V2G technology. These include the acceleration of EV penetration by monetizing an increased level of utilization, The improvement of grid resiliency and the acceleration of renewable penetration. The market opportunity for V2G is that, totaling over 6,000,000,000,000 We have identified the fleet market as our initial area of focus because of ease of scalability.
School buses, in particular, are a key area of focus. White school buses, they are by far the largest mass transit fleet here in the U. S. And are considered the ideal application of BPG technology. Given their consistent and predictable route and the fact that they sit idle for most of the day and during the summer, which are times when utilities need power the most.
Discharging power from aggregated electric buses into the grid 95% of these buses are diesel today, which represents a tremendous opportunity for electrification, while possibly impacting the health of students, drivers and the planet. If we can rectify all of the school buses in the U. S, it would be equivalent to planting 108,000,000 acres of trees. The benefits would also be equivalent to electrifying 1,600,000 passenger vehicles. Recently, School bus electrification has been gaining momentum and has an extremely strong support from the current administration, but up cycles remain rectifying school buses.
Today, the upfront cost of electric school bus is often cost prohibitive for school district. In addition, Managing electric school bus fleets requires specialized expertise across technology, power market, policy and finance. Finally, each school district has unique needs and concern. We have always believed that in order to supercharge the adoption of electric vehicle, We would need 100% certainty infrastructure financing solution. As a result, we are excited to announce an agreement to form NEBO, a joint venture with Stonepeak that plans to deliver a transportation as a service solution for the electrification of fleet with an initial focus on school buses.
Stonepeak is a leading infrastructure investor with €33,000,000,000 of assets under management and significant experience investing in transportation and energy. Pompeo's plan to deploy up to $750,000,000 through the JV to fund Levo's assets and infrastructure. David will provide specific details regarding the joint venture structure, but let me say how excited we are to announce this important step forward in our strategy with the support of Stonepeak. Upon closing, the joint venture will provide us with the ability to continue enhancing our core business, expanding our valuable partnership and providing our V2G technology to more and more customers. Livre will bring together our proprietary V2G technology, Electric vehicles, associated charging and grid infrastructure, maintenance services, seamless customer experience and a financing solution to create a customized offering to the occupied fleet.
While the initial focus of Lever will be school buses fleet, We see a vast opportunity in other fleet verticals such as commercial fleets, last mile delivery, ride hailing and ride sharing as well as municipal services. We also intend to work with our OEM partners across the value chain with whom we have strong relationships to deliver this solution and meet the needs of customers of all sizes. Nuvi will continue to work with our global industry partners, including developers, free toner and operators to enable widespread of VQJ technology and complement label's offering. Upon closing, we believe our partnership with Stonepeak with Zet concluded with a differentiated infrastructure funding solution and a well regulated partner that bring much more than just capital to the table. We believe the labor partnership will deliver strong value creation for our shareholders while expanding the reach of our technology.
We believe this is just the beginning of a differentiated approach that can be scaled and replicated to drive future revenue. Bringing us back to NUVIT's mission, we're excited about the acceleration of electric vehicle deployment that our revolutionary technology enables, creating a greener and more equitable planet and helping to address the climate challenge. Before I turn the call over to Ted, I want to highlight a few key hires that recently were added to the team. We recently appointed Tim Hennessy as our Chief Revenue Officer and Jesse Bryson as Vice President of Utility Recruitment and joint development and joint venture deployment. Kieran will lead revenue opportunities and drive strategy to deploy our V2G solution across key markets and Jesse will help lead the effort around our V2G and PaaS offering.
For the last 15 years, Tim has been at the helm of Energy Storage, have been developed the Energy Storage Extension for the California Self Generation Insight Program, SIGP, in 2008. GSE formerly served as SDP Global Market Development for Advanced Microgrid Solutions, call an AI software company in the renewable and energy storage space. Additionally, we appointed Steve Morin call. As our Chief Legal Officer, we bring decades of public company general counsel experience in telematics, IoT and mobility segments focusing on patent and Intellectual Property Protection. We're excited to welcome all these three leaders, which it brings vital industry experience and relationships that will enhance our business.
We continue to be excited about the future of Nuvi. And with that, I will turn the call over to Thad.
Thanks, Gregory. I want to highlight the valuable partnerships we've built and some of the exciting work that's been accomplished since we completed the business combination with newborn. We recently announced the first deployment of a series of D2G school buses with our partners, Bluebird, Cummins and Rambus. In March, school bus industry leader Bluebird delivered its 1st operational V2G capable school bus utilizing technology from Nuvi. With our partners at Bluebird, we're on a mission to make the electrification of school buses more affordable and efficient and Nuvi's V2 gs technology positions us to do that.
We also recently announced a project with Con Edison White Plains in New York, in which we use e buses from Lion Electric, whom we collaborate with to partner to provide power to Con Edison's grid. The goal of this project is to explore the technological and economic potential of using e buses on a wider scale to improve air quality and grid reliability. There are approximately 1,000 school buses operating in Westchester in 8,000 in New York City that could make a significant difference to the environment if converted to electric with V2G capability. We are building alliances with both utilities and school bus manufacturers to enable a national rollout of V2G enabled school buses, which we believe will eventually replace diesel buses at competitive prices, helping to achieve the objectives of President Biden's infrastructure plan. We're also working in the shuttle, delivery truck, transit bus and refuse truck segments, where the business case for V2G remains very compelling as battery and infrastructure costs go down.
Heavy duty and the light duty fleets are very much at the forefront of our deployments right now. And therefore we're working with a variety of leading OEMs. In short, we have a pipeline that we're building aggressively with significant opportunity ahead. As you can see, we have a lot of exciting partnerships and momentum underway that we believe will drive significant value for our company, call our shareholders and other stakeholders. We look forward to continuing to update you on these developments.
And now I'll turn the call over to David. Thanks, Ted.
Before I go over the financial results for the quarter, I wanted to briefly comment on the disclosure we made in our press released this morning regarding the filing of our 10 Q for the quarter ended March 31, 2021. As a result of the recent guidance provided by the SEC on April 12, 2021, for SPAC related companies regarding the accounting and reporting of warrants, We intend to file an extension with the SEC to file our 10 Q. We require this extension in order to complete our analysis related to the accounting and reporting policies raised by the SEC. However, we do not expect the company's financial position or our Q1 results or the financial information disclosed in today's press release to change as a result of this analysis. This analysis includes evaluating whether some of the warrants issued in newborns initial public offering and the PIPE awards that were issued in the PIPE offering should have been reclassified as liabilities from equity in the previously issued financial statements of newborn.
The results of our analysis may require newborn's historical financial statements for the year ended December 31, 2020 to be restated such that some, if not all, filing of our Form 10 Q for the quarter ended March 31, 2021, will be delayed until a final conclusion is reached. With that, let me now provide an overview of our results for the quarter and our current financial position following the completion of the transaction with Newborn. Then I'll get into our outlook for the remainder of 2021. In the Q1 of 2021, we generated total revenues of $800,000 compared to $900,000 for the Q1 2020, a decrease of $100,000 or 15%. The decrease is attributed to a $100,000 decrease in grants revenue.
We believe such grant funded project revenues will be a smaller part of our revenues in the future as we focus more of our efforts on commercial customers. Cost of product and service revenues primarily consisted of the cost of charging station goods and related services costs. Cost of product and service revenue increased by $100,000 or 4 68 percent, primarily due to the sales of charging stations in the U. S. SG and A expenses were $4,500,000 for the quarter as compared to $800,000 for the Q1 last year, which is an increase of $3,700,000 The increase was primarily attributable to an increase in compensation expenses, including deferred compensation and professional fees, which were associated with the completion of the business combination.
R and D expenses increased by $700,000 from $500,000 for the Q1 of 2020 to $1,300,000 for the Q1 of the current year. The increase was primarily due to an increase in compensation expenses and subcontractor expenses used to advance our platform's functionality and integration with more vehicles. Net loss for the quarter was $5,400,000 compared to $500,000 for the Q1 last year. Now turning to our balance sheet. We had approximately $62,000,000 in cash on our balance sheet as of March 31, 2021, and remain in a strong position with the funding from the transaction and our pipe investment.
We used $2,600,000 in operating cash closed during the quarter. Inventory increased by $1,900,000 from $1,100,000 at the end of the Q4 of 2020 to $2,900,000 at the end of the Q1 of the current year. We increased our inventory position in anticipation of increased charging station installations in the future. Prepaid expenses increased by $1,500,000 from $400,000 at the end of the Q4 of 2020 to $1,900,000 at the end of the Q1 of the current year. The increase in prepaid expenses was primarily associated with our D and O insurance program.
Accounts payable and accrued expenses increased by $5,600,000 from $3,500,000 at the end of the 4th quarter of 2020 to $9,200,000 at the end of the Q1 of the current year. The increase was driven by higher accrued expenses associated with the completion of our business combination, higher inventory levels and amounts due for our D and O insurance. Finally, at March 31, 2021, we had a stock liability of $2,000,000 which is associated with EDF Renewables Exercising its option to sell $2,000,000 worth of shares of Nuvi common stock back to the company at a price per share of approximately $14.88 The price per share paid was based upon the average closing price over the 5 preceding days trading after EDF exercised the option. The share repurchase was completed on April 23, 2021. Before turning to our outlook, I'll briefly review the key terms of the announced agreement to form Lebo, a joint venture with Stonepeak.
As Gregory mentioned, upon closing, Stonepeak will provide a commitment of up to $750,000,000 to fund Levo's assets and infrastructure With an upsized option of another $250,000,000 Upon formation, Nuvi will own 51% of the common stock in Levo and Stonepeak will own 49%. Stonepeak will also own 100% of Levo's Class B preferred shares and receive a preferred distribution of 8% per year as well as up to $6,000,000 warrants. Vesting of certain of the warrants is conditioned upon levels to point very aggregate amounts of capital over at a strike price of $50 per share. Now turning to our outlook. As many of you are aware, We've provided revenue, cost of goods sold and operating profit and loss projections as part of our stack process.
As we outlined today, we have a lot of work underway and plans we're putting in place to grow our business and drive revenues, including our TAS offering and joint venture with Stopeak to provide opportunity for us to achieve our top line targets. While many of these projects are still in the early phases, We are seeing strong interest from large customers, many of which we already have partnerships and we believe we have multiple paths forward to drive significant revenue growth. With respect to gross margins, for the current customers we have under contract and the terms of customer contracts we are currently negotiating, our gross margins are ranging between 20% to 25% on average for the sale of charging stations. Regarding operating expenses, we expect SG and A and R and D expenses, which totaled $5,800,000 in the Q1 to increase as we bring on additional headcount to support our sales, and financial results, technology and business development efforts. We currently expect quarterly expenses excluding the cost of product and service revenues to range between $6,000,000 to $7,000,000 per quarter for the next several quarters, depending on the timing of new headcount we are planning to onboard.
The operating expense forecast I just discussed do not include any one time expenses nor ongoing costs associated with the completion and the rollout of our new joint venture, Levo, which will be a separate N and V that will be consolidated by Nuvi in accordance with our 51% ownership of the common stock. We will discuss the accounting treatment per level in more detail upon completion of the transaction. In closing, We have a solid cash position with $62,000,000 in cash on our balance sheet at the end of the quarter. Given our expected future operating expenses And the significant progress we're making to grow our business and generate additional revenues, we believe we'll continue to have a long runway to pursue growth opportunities. And with that, I'll turn the call back to Gregory.
Thanks, David. In summary, there are 3 major points about Navi's position and future growth and prospects we want you to take away from today's call. First, we have a leading and differentiated technology that meets a pressuring need to lower the cost of EV ownership that is growing rapidly. 2nd, we already have customers in place and partner relationships that position Nuvi well to drive revenue. And third, our strong future venture presents a compelling future opportunity to gain customers and achieve a new revenue stream.
All of us at Nuvi are excited by what is ahead, and we appreciate you taking the time this morning to join us. With that, I will now turn it back to the operator to begin the question and answer session. Operator?
The first question comes from Eric Stine with Craig Hallum. Please go ahead.
Good morning, everyone.
Good morning.
Hey. So obviously, I mean, over the last 6 to 12 months, There's certainly been a pickup of vehicle to grid activity and companies talking about how they play in this space, but also it's certainly not all created equally. So maybe just talk about your technology, how it differs from a lot of what is out there or what is talked about? And then maybe just broadly, if there's a way to kind of talk about your level of involvement with a number of these projects out there relative to some of the other companies that are talking about it?
Yes. This is a good question. I think the way I like to answer that is I decompose the V2G implementation in 2 aspects. One is the infrastructure and communication. So that relates to having a bidirectional capability, right, where either the charging station or the onboard charger inside the vehicle has the ability Just to get energy from the grid, so taking AC to DC, but then pushing back the DC that's inside the battery into AC back to the grid.
And I don't want to get too technical, but that's one step. And then the other step is also all the information that you would like to know that Is necessary in order to make the appropriate decisions. That's the infrastructure and communication piece. On top of that, you also need to have a platform, a cloud platform that basically gets all this information and makes decisions In terms of how to dispatch certain needs that it gets from the grid onto the vehicle that are available at that specific time. And really our IP that we have and with the initiative up at the University of Delaware covers those two aspects.
And there is a lot of focus on the first part, the bidirectional piece and the communication And very often when people are talking about D2G, that's what they talk about is the bidirectional capability and the data. In terms of Having a platform that has the ability to be considered as a virtual power plant, participate across a variety of energy markets. To our knowledge today, we are really the only one that is able to do that across multiple continents And across a variety of energy markets going from frequency regulation to demand response And time of use optimization of demand charge management. People are sometimes doing one of those, but the ability of a platform to do all these combined services To our knowledge, we are the only one who can do that.
Got it. Very helpful on that. And maybe your capabilities, I guess that speaks to why you've signed or plan to form this joint venture with Stonepeak on that. I mean Any pipeline details you can share there? Do you have specific opportunities that are targeted for that initial 7 $50,000,000 which I know can be upsized or just any details there would be helpful.
So, I mean, first of all, We are very, very excited to work with the Stonepeak team. Over the last few months, we've been building a great relationship altogether, And we see tremendous opportunity there. Obviously, the I know Sandvik has done some very good decisions as we've been going through the process and Validating, have been validating all what we've shared so far. Now the opportunities are definitely arising. We're not in position at this point to share a lot more detail about these opportunities.
But in the very near future, we'll be able to start sharing So I think and I think this will be very, very exciting.
And I would just add to that. We only just announced this agreement today, but it's been part of our long term objective, long term capital funding. There's a need for that in the space, and we've talked about it. So this is the first step And now seeing this joint venture with Stonepeak and providing the capital to put forth that strategy.
Yes, got it. And maybe last one for me, just Kind of sticking with that topic. I mean, 3rd party financing options, you're starting to see it. Maybe just talk about what you're seeing side of your plans and then just how receptive school districts are to that because I would think there's some level of needing to educate school districts that that is a potential solution going forward?
Yes. I think a couple of points that are important there, right, and we kind of addressed that earlier. One is, It's very important to be flexible because school districts work in many different ways, And so it's very important to be able to adjust to that. And also, I need to emphasize a few things is that We have some partnerships that we are working on today with developers and other owner operator. And And we know as newbies, we remain very excited about all these opportunities, right?
I mean the target of achieving 20% of the school bus To be electrified that the administration asset, to give you an idea, it takes about $1,000,000,000 to convert 1% of those buses. So 20% is about $20,000,000,000 that will need to be used over the next 4 years in order to convert 20% of those So there are many opportunities, and we see that, as we said, as a complementary solution to Some work that is already underway today. So I think that's what I want to emphasize on addressing your point here.
Okay. Thanks everyone.
Thanks. Thank you.
The next question comes from Craig Irwin with ROTH Capital Partners. Please go ahead.
Good morning and thanks for taking my questions. So Gregory, I know the revenue progression is going to be lumpy, Given the nature of your business and the size of the individual projects, but there's a little bit of controversy out there as far as the outlook for revenue this year. A lot of people have been asking what's realistic for an outlook. I understand the earn out in the in your filings is 4,000,000 shares based on a $30,000,000 revenue number in your 2021 10 ks. Can you confirm that for us?
And then What gives you confidence that that is that that's a reasonable target that that's something that you can make? Is that something you can make You think for 2021?
So The earnout is definitely an important piece, and we'll we are working hard to make sure we'll be able to achieve it. We see multiple paths To get there. Now as you said, those paths tend to be very lumpy. And when you build the forecast, we want to make sure we are accurate. The other thing and here I will let David give a little more light to it, but as we do this joint venture with Stonepeak And we'll be 51 percent owner of the common shares.
That means we'll also be consolidating The revenue from Levo, which will bring some complexity in how we need to look at the future, and we are very Looking at that, we also, as we said earlier, bringing like Tim Hennessy, Chief of Neopisa, to work with us on setting up that. And what the way we want to communicate there is really a matrix that makes sense for us and that makes sense for you as well In order for you to keep on tracking the progress of the company, and I can tell you we are very, very actively working on how to set up these metrics. David, do you want to add anything to that?
Yes. I mean, as Gregory said, I mean, and I mentioned in my remarks, we're seeing a very strong interest from large customers, Many of which we already have partnerships with. So we think there's multiple paths to drive revenue growth. And as Gregory mentioned, the TAS operating in our Joint venture with Stonepeak is another opportunity to hit our top line targets. I would call out, we're an early stage Business, you mentioned it, revenues can be lumpy.
And so what we formally provided was an update on our partnerships That are going to drive the business forward and then we gave some more specific guidance on SG and A expenses going forward.
Understood. If I could ask a question specifically about, Livo and Stonepeak. So if we look at The front end revenue for Nuvi and sort of use the breakdown versus The cost of electric school buses and other pieces in the system, it looks like total investment of the $750,000,000 in capacity you identified in your release that that could translate into something in the range of $125,000,000 in revenue If it was fully invested in school buses, is that ballpark? And would you expect This first capacity here to be largely invested in school buses or will we potentially see The other services like taxis and commercial vehicles potentially in there as well.
So I think the calculation that you did here is a good approximation. And so that becomes No, a recurring revenue, right, over the life of the vehicle, in the case of a school bus is 12 years a good assumption. But and the SCO bus is a great entry point in what we are doing. We see tons of opportunity in that space. But as you said, many other fleets also present a lot of interest to us and we want to provide Support the electrification of transportation across the medium and heavy duty.
And so those robots is the entry point. All the segments we folks don't know that Ted addressed during the call today, refuse trucks, no shuttles, Delivery vans, municipal vehicles as well. There are many Pickup truck type of vehicle that municipalities are usually using that are going to be available over the next few months. And so those are going to be very attractive vehicles To convert and to be part of the V2G asset that we are managing with our platform.
Great. And then last question, if I may. Seasonality tends to be a very big factor for infrastructure in the school bus market. Do you expect that Similar seasonality to play for Nuvi, where really July August, most of the deliveries and most of the installations are made. And then you see sort of incremental deliveries at points throughout the rest of the year Or is it possible that we see large installations done outside of that typical window?
I don't think we're going to change the seasonality associated with the acquisition of school buses. Now the electric school bus might have a more flat distribution over the year. But on the overall, I think that seasonality will remain, right? That's when you transition from going to another where there's more There's a lot of windows to do that. So I think That seasonality in terms of new assets that we roll out will probably be there.
Then in terms of our revenue, once the assets are deployed, Without seasonality, it's not going to show as much in, I think, in the overall on the earning.
Thank you. Congratulations on a very successful coming public process.
Thank you.
Thank you. This concludes our question and answer session. I would like to turn the conference back over to Gregory Poinan for any closing remarks.
Thank you very much. We appreciate you coming and listening to us. I think we are very excited about this opportunity with Sontiq. This is Probably, at this point, the largest commitment in terms of the size in order to support the electrification of fleets. And but also I need to emphasize, we see many opportunities, and we want to engage with as many partners as possible in supporting the deployment of electric fleets and supporting and addressing the climate challenge.
So again, we want to thank you for listening to us this morning. We are very excited, and we're looking forward for call in Q2. Thank you very much.
The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.