Inspiration Healthcare Group (LSE:IHC) — Interim results presentation

0:00 Good morning, and welcome to the INSPIRATION HEALTHCARE GROUP PLC Interim Results Investor Presentation. Throughout this recorded presentation, investors will be in listen only mode. Questions are encouraged, and they can be submitted at any time using the Q and A tab situated on the right hand corner of your screen. Simply type in your questions and press send. The company may not be in a position to answer every question received during the meeting itself. However, the company can review all questions submitted today and publish responses when it's appropriate to do so. Before we begin, I would like

0:30 to submit the following poll, and I would now like to hand you over to CEO, Roy Davis. Good morning to you. Good morning. Thank you. Good morning, everybody, and welcome. My name is Roy Davis. I'm actually executive chairman and interim CEO of INSPIRATION, at this point in time. For those of you I've not had the opportunity to speak to before, I joined INSPIRATION as a nonexecutive director and chair designate in January and then became chairman in March, subsequently becoming executive chairman in May. So it's a pleasure to be able to talk to you today and update you on what's going on at INSPIRATION.

1:17 I'll take you through the slides one by one. So if we move on to our overview slide, As we've titled it here, it is a challenging time for the business. Overall, our H1 revenues were down 17% on prior year. Most of that fall has actually been in our neonatal business where sales declined by 26%. Part of the driver of that were discontinued products. We took about £2,000,000 worth of product sales out of the portfolio mainly due to difficulty in meeting MDR requirements. But also, our UK sales were down 20% on prior year.

2:07 As some of you may be aware, we actually did a restructuring of the UK sales force at the beginning of the year. That is starting to pay dividends and gain traction, so we expect that the second half will be more positive for for that. The biggest miss in our neonatal sales was very much in international where our sales were down 40% on prior year. We have effectively refocused our our international sales team, particularly with distributor management and and getting our sales managers back into the market, visiting our distributors and customers to drive opportunities. I think sort of post COVID, we've probably been more passive than we should have been, and so we're now being a much more active and and and driving into that. But the consequence of that has actually been a significant decline in our international sales year on year.

3:03 For things that are bright spots, quite well. The infusion business, which is our distributed infusion pump business, is actually performing well. Record first half sales of GBP 5,000,000,000, up 19% over prior year. Also, we acquired a company, Aeron, in January of this year to support our entry into The US market. AEROL makes transport ventilators mainly for the adult market. But in that case, we've actually doubled us doubled their sales to 1,200,000, which is, as I say, more than double what they did pre the acquisition. It's still a relatively small business compared to the rest of our business, but it's pleasing to see it actually performing well.

3:53 With respect to the Middle East contract, which has been around for a while and was expected to have been signed and shipped last year, that has now been signed, and we are progressing it. We're waiting for letters of credit on that, and we expect to ship that in h two. We have seen margin pressure in the first half. This is really impacted by mix and then also because of lower ventilator sales than expected. And for the full year, our revenues will be very much second half weighted mainly because of the Middle East contract, but also we would expect to see margin pressure continuing.

4:40 So the turnaround is progressing, but there are plenty of challenges and it is all about sales. And I'll come on to talk more about our strategy and our actions now shortly. So next slide is just financial highlights. I'm not going to dwell on this because Alan will talk about financing in more detail later. In terms of operational highlights, we're trying to build on the positives. So we have a strong position within the NHS in The UK. As I say, the neonatal UK reorganization is starting to work. And in infusion, we wanna build on our strength in home care to enter new markets in oncology and palliative care where Miqurel have launched a whole new range of pumps.

5:30 And I've already commented on the Middle East order. In order to support our commercial activities, we appointed a chief commercial officer earlier this year, Laura Edwards. It was an internal appointment, and Laura's we've restructured the UK sales team. We're driving the international distributed efforts going forward, so we anticipate this is gonna help us bring all of our commercial activities under one leadership. From a North American strategy perspective, Aeron, as we've already said, is outperforming. There is a good international sales opportunity there with Aeron where they don't solve very much overseas. That requires us to get projects products registered.

6:16 But in doing so, that should open up new opportunities in new markets. We held a meeting with the FDA earlier this well, a few weeks ago now regarding the five ten k application for the SLE 6,000, which some of you may have seen. Originally, we we we put that in at the end of last year, but we ended up having to pause it because we were there were some concerns about cybersecurity. In actual fact, the meeting with the FDA went very well, and I think there was some misunderstanding about the application and the product, and and it wasn't so much about cybersecurity, but more that they thought it it was a brand new technology, brand new product. And when we explained to them that we sold it in '75 countries and had 3,900 already installed, they were much much more open to the application. We have some work that we have to do on that from a r and d application the the the kind of five ten k application perspective, which we're working our way through, and we would hope to submit that at some point early next year, in q one of next year probably, and then go through the five ten k process. So, hopefully, that's a positive. There will be probably more questions that come back from the five ten k from the FDA on the five ten

7:47 k, but it's it's a positive step forward. So we're hopeful that that will lead to the product getting approved in due course and that then we can leverage the Aeron acquisition from a perspective of being able to enter that product commercially into The US. Some other restructuring that we conducted during the period. Obviously, we had the change in chairman with myself coming in and the CEO. We are recruiting a new CEO, and that process is progressing well. And we also closed the Hailsham site to get all of our activities into Croydon. So that saved about £500,000 If we look at the from a business update perspective and just to remind you that we really operate in two distinct markets, the neonatal market, which represents about 75% of our revenue, and the infusion therapy market, which represents 25% of our revenue.

8:53 And in infusion, we're market leaders in The UK in home care and looking to expand that into oncology and palliative care areas. In terms of our focus as a business at the moment, really, it's back to basics. And what do I mean by back to basics? And I'm gonna each of these items has a slide, which I will talk in more depth about. But first of all, we're really focused on driving sales and improving our geographic sales and distributor sales, but really pushing that, also looking at recurring revenue type sales from consumables and service, improving profits, which obviously means selling the best margin products, but also then looking at our cost base, making sure that's appropriate for the business going forward. We're also looking at then, thirdly, improving working capital.

9:52 As as you will be aware, we have working capital in terms of inventories increased from pre COVID, something like $78,000,000 up to 14,000,000 at the current time, which is which is too much for the business. We need to drive that down and get it back to a a more sensible level, and that will free up cash. And the most obvious way to do that is actually to drive sales. The good news about inventory is that the majority of of that inventory is actually for our main mainstream product, the SLE 6,000, but it's still way too high. So we need to focus on improving that. And then when we've done those things, we can worry about executing future strategy and and The US commercialization plan and having an exciting r and d road map for the future.

10:47 So we sort of touch in a bit more detail on each of these. So driving sales, we'd like to definitely improve our geographic spread of the business. At the current time, about 50% of the neonatal business is actually in The US. We have minimal sales in that market present, hence the five ten k application for the SLE 6,000 and the acquisition of Aeron to give us that footprint so that we can actually build our presence there. So we want to see that progress as we go forward, focus on higher margin opportunities, so particularly own brand rather than distributed products if we can, and then also diversify our product offering, in particular, at consumable and service revenues.

11:38 In the first half of this year, our service revenues actually increased 8% over prior years, so that that's positive. But there's still a lot of opportunity there to to do that, and that applies just as much to SLE and INSPIRATION products as it does to Aeron products. So service is a big opportunity for us. We've actually hired a new head of service to come in and help drive that commercial side of things. Also on the consumable products, you know, we sell our ventilators. We sell them with some initially, with some circuits as consumable products, but we don't follow-up on that, and we don't really push our consumable products partly because maybe the quality of them isn't what it needs to be. We have a new range of consumable products which will be launched in the second half of next year. And from that, we will then be looking at how we drive consumable sales and improve effectively the visibility of our revenue streams and the quality of our revenue streams. So basically, all of this is aimed to actually improve sales.

12:49 If we look at profits, I've already talked about closing Hailsham in terms of saving £05,000,000 looking to improve our product margins, but we also have to look at our cost base. And I think with the cost base, you know, we need to make sure it's it's fit for purpose and for the size of business that we've got. And and, you know, that that is something that we are actively going to be looking at in order to improve our our cost effectiveness, both optimizing the organizational structure and also making sure it's focused on customers from a process perspective and and efficient. So quite a bit of opportunity for us to go after in that area.

13:37 Working capital, I've already talked about inventory. We've implemented some changes to try and control what we're purchasing, but we need to really the the the key to this is very much around sales driving sales in order to reduce our inventory and then not actually replacing it unless we absolutely need to. So I think this is, again, another key area of focus for us going forward. In terms of executing future strategy, really at the moment, it's about focusing. And I think we need to focus on those key elements of driving sales, improving profits, managing cash, focus on the customer, and really you'll see I've coined something here, e to the power of three, really trying to focus the organization on excellence in everything that we do so that we deliver on the potential that we have. We have a really good product range, really good business here, but we just kind of lost our way, lost our focus, need to get back to that.

14:47 As I mentioned earlier, we are well advanced in our recruitment of a new CEO, and hopefully, I will be able to announce more on that in the coming weeks and months so that we can move forward on that front. And the key drivers of future growth as far as the business is concerned, well, strong sales channels. As I say, we need to make sure that we're really out there with the customers and our distributors, pushing things, trying to improve our geographic sale penetration, particularly in The U. S.

15:22 New products, clinical leadership area. I've been a little surprised that we haven't got as much, going on in that as I would have expected, and that's something that we're we're looking at doing now. We've talked about The US commercial strategy. Clinical leadership will help us with that as well. We will need that in order to get our SLE 6,000 adopted in The U. S. We've talked about recurring revenues in terms of consumable and service and making the organization operationally lean. So I think the strategy is very clear and it's and you'll see on my final slide, I'll come back to this, but it is all about execution. So we're very much focused on driving sales, improving profits and generating cash.

16:10 And with that, I will hand over to Alan, who can take us through the financials. Thank you, Roy. So this is our first half of the current financial year. And just as a reminder, that covers the six months to the end of July twenty twenty four. As set out in the first slide, the revenues for the first half were down 17%. So GBP 17,000,000 of group revenues for the period, including the revenues from Aeron in The United States. Gross margins have come down by just over 5% to 43.5% as a result of product mix and geographic mix. And I'll come on to that in a bit more detail in the following slide, but there has been quite a significant reduction from the same period last year.

17:03 Operating expenses were flat, but with the loss of revenues and the lower gross margins, that's taken the business to a EBITDA loss in the period. So last year was a 1,800,000 profit. We've reporting a £900,000 loss for this six month period here, which also feeds into an operating loss of £2,000,000 when you include noncash charges, but also some one off costs associated with the restructuring, which I'll talk about in a minute. In terms of cash and net debt, with an operating loss and working capital still increasing, we have had an operating cash outflow in the first part of the year. As you will probably be aware, we did raise money to strengthen the balance sheet in June and July, and those funds, which were just under £3,000,000 net of expenses, were received at the end of July just before the end of the period.

18:01 And so net debt of 6,800,000 on the balance sheet is after completing that fundraise. This table and slide goes into a bit more detail around the revenue movement over the period. We've spoken about infusion products, which have done very well in the first half, growth of 19%, and we expect that kind of performance to continue for the full year. So it's the neonatal products that have really resulted in the decline in group revenues for the first half because neonatal went down by 26% at 12,000,000. And that's after including the Aeron products, which we're reporting within the neonatal portfolio because they fit more closely there.

18:50 If you look at this on a capital and consumables basis, which is quite informative, it's the capital sales that have really suffered in the period with consumables, which includes service essentially being in line with last year. Service was up within that, so consumable products were slightly down. But it's the capital sales, which had a 45% reduction, has caused the underperformance from the first half. Geographically, that's a mix of both The UK and also international. We touched on international a minute ago. There's a 40% decline from the same period last year, and there is some some work to be done in refocusing the performance in the international business.

19:35 In The UK, where we had a restructuring at the end of or we had some new sales leadership at the end of last year and a restructuring of the team in the first quarter, we can actually see signs of improvement. And whilst 20% reduction in sales doesn't really say an improvement on the face of it, those numbers are in line with our internal plans. The phasing of the capital sales opportunities in The UK is more second half weighted this year than it was last year. Last year, there was quite a lot of ventilator sales in the first half and then a poor second half. This year, the opportunities that we're working on are predominantly in the second half. So we expect for the full year, The UK business to be back to performing in line with with the prior year and monitoring the pipeline that we've got. That certainly seems to be on track.

20:26 If you look at the the brands and you can see here the end of life products, the SLE 1,000 and SLE 5,000, which were discontinued because of the costs associated with getting them through MDR, which is the new medical device regulations, the challenges associated with obtaining parts. Revenues from those products have declined by 2,000,000 in the first half, which is a very significant part of the reduction in capital sales. We had hoped to see the SLE 6,000 perform better, and that was part of the reason for introducing new variants of the SLE 6,000 last year. But as you see here, SLE 6,000 sales were down by 29% in the period as well, really on the back of weakness in the international markets. And that's where the focus is very much for the second half of the year.

21:18 If we look at the rest of the income statement, you can see here the gross margins of 43.5%, and it's the fact that capital sales have declined so significantly combined with the growth in the infusion therapy business that's contributed to this. So capital sales tend to be at higher margin. Infusion products, because they are a distributed product, we only have a lower gross margin and so the sales of infusion are at a lower than average margin for the group. So growth there hampers our margins, and and capital sales have have also impacted gross margins. The operating expenses were flat compared to the same period last year, and the closure of Hailsham only happened at the very end of July, so you don't see any impact of that in operating expenses yet.

22:14 That will start to feed through in the second half. But below adjusted operating profit, you'll see there, there are nonrecurring or one off exceptional charges of $1,200,000 and those fall into two distinct categories. There are the restructuring related costs from the closure of Hailsham and the change in CEO position as well as the UK sales team restructure from the first half. But there is also a provision for the deferred consideration or earn out that we're due to pay in relation to Aeron. This is a one time payment to be made in the middle of next year depending on revenues achieved by Aeron for the period up to April next year. Based on the performance in the first half of the year, there we are on track to reach and exceed the the maximum level.

23:06 So we have made provision for, the $1,000,000 payment that will be paid to the shareholders of Aeron, in the middle of next year. And if sales continue at the current trend, then we expect to make that payments.

23:21 The balance sheet, there's not too much detail here because the balance sheet really is fairly simple, and it's all about working capital. Inventories at over 14,000,000, a further increase compared to the end of the last financial year, are are way too high. You look back to early twenty twenty two, and they were just under £7,000,000 for a business of the same size or I could be slightly larger because revenues were 40,000,000. So that's the target we've set ourselves is to get back much closer to the level that inventories were at two and a half years ago. They have started to come down. Numbers peaked during the first half. Once we ship this Middle East in order before the end of the year, that will give us a bit of a step down in inventory.

24:10 But thereafter, it's a steady month on month process of selling more and making sure that we don't have any more long term commitments with our suppliers. Trade and other receivables, there are also some opportunities to improve cash collections from debtors, which we're focusing on by adding resources to the credit control function and hope we can generate more cash from that as well. And then net debt of GBP 6,800,000 there as at the end of July. And the following slide just breaks out the movements in that net debt and the increase over the period. As we've highlighted, there was an EBITDA loss. Working capital has increased with movements in inventory and receivables.

24:56 There were some small amounts of other payments. CapEx is much lower than it was historically. There's no further investment in the Croydon facility, and the level of capitalized R and D expenditure has dropped quite significantly. We're trying to make sure that we don't repeat the issues in the past of having to write off capitalized R and D, so we're taking a more rigorous look at what gets capitalized. And then you have the equity raise there, cash proceeds received at the end of the period leaving net debt at $6,800,000 And then we have a slide on revenues here because, as we've said, revenues are second half weighted. This was some analysis that we put together to support the fundraise back in June, July to look at the sources of revenue and the how we achieved the 41,000,000 revenue target for the full year.

25:50 So we've got actual revenues in the first bar chart here. We have confirmed orders from customers for delivery in the second half of 6,400,000. There is a portion of revenue that we call run rate, which is typically consumables, spare parts, service revenues, as well as revenues from The US where we don't get orders significantly in advance. We just get demand coming in to be fulfilled within the next week or ten days or so. These revenues are fairly predictable month on month. We've based this run rate on the run rate experienced in the first half, so it's not off a higher base from prior years. And that is expected to deliver just under £9,000,000 of revenue through the second half.

26:35 We then have our pipeline of capital opportunities from distributors. This is weighted, so we are only recognizing opportunities that have a 60 or an 80% likelihood of success. And the revenue number here is risk adjusted by those percentages, so the gross number is considerably higher. We have The Middle East in order that we expect to ship in the second half, and we have a smallish gap to be filled. But this is being tracked month on month internally. That gap has reduced from over 2,500,000 when we first prepared this back in June, and that gives us the confidence of meeting our full year revenue expectation, which clearly is second half weighted. And with that, I'll hand you back to Roy for summary and outlook. Thank you. So in summary, the turnaround is underway.

27:31 Our focus is very much on back to basics. So driving sales, especially internationally, ensuring operational and cost efficiency, and managing cash generation. Think as with all turnarounds, change will take time. We are I don't think we need the vision or strategy in many ways, but we do need to execute on it, and we need a a road map, a r and d road map for the future with exciting new products in it. We are, as I say, well advanced on recruiting a new CEO. From an outlook perspective, as we've said many times through this presentation already, revenues are H2 weighted and mainly because of the just the nature of the business the the contracts this year, but also the Middle East contract is progressing, and we expect to ship that in H2.

28:27 There are additional material one off tender opportunities both for H2 and falling into FY 2026. And the underlying demand for our products does remain strong. We will see continued margin pressure in the second half, and and we expect that to impact full year earnings expectations. And operationally, as we've said, we need to get the cost base in the right place to support commercial execution going forward and make sure that we are appropriate appropriately organized, I suppose, for for the revenue that we have. And unsurprisingly, perhaps, it is all about execution in the business. So that's very much what we're focused on and delivering on the potential that we have.

29:21 So thank you very much. That concludes the presentation. Now we're open for questions. Sorry, Alex. No worries. Perfect. Thank you very much, Roy. Alan, thank you very much indeed for your presentation. Ladies and gentlemen, please do continue to submit your questions using the Q and A tab situated in the top right corner of your screen. While the company take a few moments to review those questions submitted today, I would like to remind you that a recording of this presentation along with a copy of the slides and the published Q and A, can be accessed via our investor dashboard. Roy Allen, as you can see, we have received a number of questions throughout today's presentation. And if I may now hand back to you and kindly ask you to read out those questions where appropriate to do so, and

30:10 The first question, I guess, we're reading it out. It says, under previous management, this business appears to have entered every major product line by acquisition and generated negative shareholder returns. Please, could you provide specific examples of what the new management is doing to turn the business around? Hopefully, I think with the back to basics slides and the detail we shared there, we've answered that question, but it is literally us focusing on driving sales of what we've got and improving the the the profitability and cash from that from that side of things. The next question is how do your customers view the quality and reliability of your your main ventilator products?

31:00 How do you collect this data? I think the SLE product range has historically been very well viewed in the marketplace

31:09 and viewed as one of the leading products. We and I think that's still the case in in certainly the customers I've met with. We have a customer service and customer complaints department actually, so we collect that data that way. And if we have issues, we we we deal with them that way. So that that's how that's dealt with.

31:35 Next question was we've discontinued some ventilated products, which appear to be more basic models. Does this reduce the sales opportunity going forward?

31:45 Also, for how long are you planning to support discontinued models with maintenance spares? Second part first, which is easier easier easiest thing to say is we are required to support discontinued products for seven years post the date that you take them out. That's one of the requirements for medical devices. In terms of we have, as you said, discontinued some of the more basics models. We have introduced the 1,500 and some variants of the 6,000 as well. So we would hope that those products would go some way to help compensate for the the models that we've taken out of of of the portfolio.

32:33 There's a question here which says, have you checked the Glassdoor reviews by employees or former employees? What are your thoughts on this? Has any action been taken? I have to say I have not, but I will be talking to our HR function to get them to do that so that we can I can understand that? But that that that's one I will look at. A bit more detail a bit more information about the 4,300,000 Middle East contract, I. E, which country?

33:05 I guess we could probably say which country. Mean, we sort of Makes sense. Have said it on and off. It is actually Egypt. I think the question here says what proportion of hospitals' neonatal units in that country does it cover? Is it repeatable in that country? So I think the answer is yes. It is repeatable in the country because it doesn't cover all of their hospitals. I think, originally, it was anticipated as being for hospitals outside of Cairo, and then a lot of the orders are now supposed to be for Cairo. I don't know that we have control or detailed understanding of of where the UPA, which is the purchasing authority, have actually decided those products will go. But what I can say is that does not match the total demand or infrastructure they have in place. So there are future opportunities for that.

34:11 The Infusion product line has shown product positive growth driven by the home care market, what is the strategy for expanding this, and how sustainable is this growth? So as you rightly say, infusion has performed well. We have a very strong market share in the home care market, and I think we would anticipate being able to maintain that. As far as where we can drive the growth in the future, I think the new range of pumps that Bicrel have launched allows us to go into the oncology, palliative care, and other areas within the NHS. So we're sort of we see the growth is coming from that those particular areas.

35:17 No. K. Do you wanna talk about the oh, sorry. I well, I can't comment on that one. So the r and d roadmap there's a question which is what is the r r and d roadmap concentrating on? I think a lot of the r and d effort, let's put it that way, rather than the roadmap, historically, has been concentrating on either MDR work, so trying to get products through MDR so that we could keep them in the market because various components are gone obsolete and needed to be redesigned, etcetera. I And would say that's the majority of of of what the effort in in r and d has been on.

36:15 There has been some, I think, some basic work done on the next generation of ventilator in terms of looking at modules, basic levels of of technology that may be adopted as we go into that. At present, as I mentioned earlier, because of the feedback that we got from the FDA, we are now preparing results test and testing reports, etcetera, to support the application for the five ten k of the SLE 6,000. We've got with regards to Middle East contract, what further information can you share with us, e. G, what country is the order being shipped to? So I think I've already said Egypt, so we've got that. Sorry. I think there's a Main drives there on sales.

37:15 Yeah. Do you want? Yeah. So there's a question here about air on sales and what were the growth drivers for that. And I think there were two specifically. When we bought the company in January, they had they don't have a significant direct sales team themselves. They have three sales managers covering the regions around The US, and they had just appointed a national sales distributor in the final quarter of of last year. And so the first reason is that that relationship has really started to bear some fruit. The team that work under USME who are selling the products across The US have really got to grips with the product. So after a slow start, having a national distributor is is starting to bear some fruit.

38:03 That was helped by a safety recall for one of the Aeron products leading competitors that was issued by the FDA back in February. And so whilst the competition have been dealing with some safety issues, we've had a a tailwind of interest in in the air on transport ventilators. Sorry. It was not really relaxed from there. Couldn't see it. Are you confident that I should credit will be taken at least order in h two? As confident as we can be. Are we relaxed to meeting year end covenants?

38:51 So that's a question about meeting banking covenants, and I think the answer to that is yes. We have maintained a strong relationship with the bank over the last few months. We've been very supportive of the business and challenges and understanding issues of the delayed middle leasing contracts. We remain in regular contact with the bank. You'll receive monthly updates on progress and fully expect to be able to meet the requirements of the bank for the rest of the year and next year. There seems to be a question on capital and consumables.

39:39 It just says capital and consumables. So I'm not quite sure or unless that's the next point about splitting margins, which I don't think we do at the moment. So Yeah. We we we haven't published separate margins from different parts of the business. We have historically said that the infusion products are at a lower margin because they are not owned and they are distributed, and that that margin is obviously below the group margins. We haven't specified those levels. Next question actually says, does the FDA five application include the high frequency oscillation HFO mode? Does The answer is no.

40:29 As you may be aware, the FDA does not prove or at the moment, that is not a mode that's approved in The US, So the five ten k will actually go without the HFO mode. Separately, we are lobbying with some other industry participants to try and get HFO actually adopted in The US as as it's a better better for the patient. So that's a separate thing. But as it stands at the moment, no. The application is, I'll I'll say, plain vanilla. What was the question on checking for employees?

41:29 I think I think it was related. There's there's a question just says, what was the question on checking form employees? I think it was related to Glassdoor reviews and whether we had actually reviewed them. So and and the answer to the question was, no. I've personally not done that, but I will take that as an action going forward with HR. So I think that's the end of the questions that we've received. That's great. Roy, Alan, if I may just jump in then. Thank you for addressing those questions for investors today. And of course, the company can review all questions submitted today, and we'll publish those responses on the Investor Me company platform.

42:23 But before redirecting investors to provide you with their feedback, which I know is particularly important to the company, Roy, could I please ask you for a few closing comments? Yeah. Thank you very much. So firstly, thank thank you for participating today. I am optimistic about the future for the company. It is challenging, and, you know, we are having to unfortunately, I use back to basics a lot, but we are having to do a lot of basic things to get the business focused on what it should be doing, which is, you know, providing excellent product to our customers, selling, you know, and and and really just providing excellent product service going forward. So we're we're we're trying to get back to, you know, to to what the business is all about there.

43:19 You you know, I feel very optimistic about the future. It is challenging, but, you know, I do believe we will get there, and it is all about execution. So thank you for your continuing support, and we look forward to being able to come back with more positive news as as we go forward. Fantastic. Roy, Alan, thank you once again for updating investors today. Could I please ask investors not to close this session as you will now be automatically redirected to provide your feedback in order that the board can better understand your views and expectations? This will only take a few moments to complete, and I'm sure will be greatly valued by the company. On behalf of the management team of INSPIRATION HEALTHCARE GROUP PLC, we'd like to thank you for attending today's presentation, and good morning to you all.