RWS Holdings (LSE:RWS) — Half Year Results

0:00 Good morning, and welcome to the RWS Holdings PLC Half Year 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. Just simply type in your questions and press send. Before we begin, I would like to submit the following poll, and I would now like to hand you over to CEO, Ben Fass. Good morning to you.

0:27 Good morning. Good morning, and thank you for joining us this morning. I'm really excited to be able to to share directly with with you those half year results. I am joined today by Stephen Lam, our chief financial officer. And so I'll I'll go through a quick presentation about the RWS, the highlights of our h one results, and I'll hand over to Steven for a more detailed presentation of the numbers of each of our divisions. Before I I dive into the the result themselves, I thought it would be interesting for those of you who are less familiar with RWS to give you a a quick overview of who we are.

1:14 At the core, RWS provides AI solutions to help the world's largest company operate safely around the world. We are creating a cultural intelligence layer that serves as a communication between enterprise AI that's developing everywhere and their consumers to make sure that the content they produce is actually accurate, means what it's supposed to mean, and resonates in a way that helps the brand grow their brand in any country around the world. We do this in three different segments. Generate, where, really, we help them generate data. We help them create content that's well organized using a suite of software and AI data services.

2:16 In transform, which is probably the the activity that you know us best for, We help them transform their content so that it can work harder so that the content that they create can be consumed anywhere around the world, can be consumed by any type of customer, and that includes adaptation, transcreation, translation, localization. And so we do this again at the scale that's very rarely matched by any by any people. And then in protect, we help company protect their IP, their patent, their trademark around the world. We do this, of course, with a mix of technology, domain expertise, and human in the loop.

3:09 Just a few things. We are we are working, for example, with 85 of the world's top 100 brands. We have a series of patent ourselves, more than 45 AI patents. We we received two new ones in the last six months. We work with around 250,000 cultural language and domain experts around the world, and that's a a scale of operation that's really attractive to our to our clients.

3:44 And our our logic is really to to make our services more and more accessible seamlessly. So we were very proud, for example, to be the first third party solution that is now completely integrated in Copilot. So if you're a Trados customer, you can use our product directly from your work environment in Copilot, for example. So that's a quick introduction on RWS. And to to to to to finish this picture, in our our fiscal year starts in in October. And this October was a very important moment for for RWS because we actually started only in in October with this new organization with those three pillars with a a very simplified and focused strategy for our teams.

4:45 There's three things that are important to us this year. Refresh go to market. I'll come back to this, but it means how do we focus our attention to the customer that matter, how we sell them the solution that matter, and how we organize our teams to to to to to do this efficiently. An innovation road map. At the heart, RWS is relevant, stays relevant because we keep innovating for clients. We've hired a completely new technology team with a a great leader and refreshed the the product road map. The company is now very much led by the product innovation, and so there's a few exciting things that have happened in the first six months on our innovation road map.

5:38 And finally, efficiency. We need to to to keep increasing our efficiency. And so we're reviewing all of our processes to make us more agile, faster to execute, and to really allow us to keep pace with the the the change around us and the demand from our largest client.

6:02 And we do this those three pieces of focus around our our three segments. If you look at the first half, we're very proud of what we've achieved on the in the first half. We've posted 7% organic constant currency growth. That's the highest in many years. More importantly, we've posted also a profit improvement of 28% year on year, which shows you the impact of the efficiency plan. And that really that's very important for us because it validates that this new operating model, this new organization, and this new strategy is working.

6:54 On the technology and innovation front, we've launched a new product called LanguageWeaver Pro through a co development with Cohere, one of the large LLM builder. And the the the pride is that LanguageRover Pro has been ranked by three external benchmark as the best performing language solution enterprise, sorry, enterprise translation engine in the world. We've also acquired a company called Obviously, which has built an AI platform to help companies manage their trademark and specifically their trademark infringement around the world.

7:44 We are extremely proud of this acquisition, and they have joined our protect division, allowing us to now access a new segment of the IP management, the trademark, which is a a very exciting market worth £2,000,000,000. And as I mentioned, we've also received two new AI patents through for from the development that we've done. On the leadership front, we've we've been pleased to welcome Steven on the March 1. We've also hired a new CEO for Americas division, Rajesh Shah, who comes from an extensive career at Oracle and then Genpact.

8:31 And we've also hired a new country manager for India. India is becoming a very important part of our strategy. We have about 20% of our colleagues based in India. And Ravi, who who who's joined us, was managing the all of the shared operation of a new scope and is now helping us really attract higher talents and organize the structure in a more efficient way. On the go to market, I mean, the the the the the the numbers speaks for themselves, but we we we are very pleased to have attracted new customers, new logo in each of our segment. And in train AI, in particular, which has been a a real engine of our performance, we are we have new customers also delivering revenues already.

9:28 On the simplification and efficiency, we have a ongoing program of cost reductions. We are deploying product to automate our our system, and we have a ambitious IT infrastructure transformation to continue help us grasp some efficiencies in the in the two years to come. And at the heart, I wanted to to to to end on this. What makes me the the most proud is the the change that I see in the culture, which is now really AI and innovation first. I see innovation coming from each part of the organization.

10:14 I see salespeople developing the prospection tools. I see our marketing team deploying new platform that help them attract new clients. And this mentality, I think, is what helps us increase the clock speed within RWS.

10:34 I'm gonna hand over now to Stephen to give you a bit of overview of where we are number wise. Excellent. Thank you, Ben, and good morning, everyone. Just a reminder, we we have a September year end. So what we'll be talking about this morning is our half year trading to the end of March. So back in December, when we announced the guidance for new segments, we set some expectations in terms of revenue, adjusted operating margin, and in terms of cash generation. I'm really pleased to say that we exceeded or met all of those expectations in the first half of this year. So in terms of revenue, our organic constant currency growth, as Ben touched on, was 7%, was our strongest for a number of years.

11:19 And that reflected in line with our expectation performances across the business, combined with an exceptional spike in our performance in our train AI business, which I will come back to shortly. On adjusted operating profit margin, we were delighted to see the 130 basis point improvement in adjusted operating profit margin, which reflects, therefore, 28% growth to GBP 26,400,000 in the first half. And that's the combination of our strong revenue performance, but also the benefits of our productivity investments that Ben also touched on into our efficiency program. And finally, on cash generation, we guided we have a slightly quirky measure here that we're we're currently reviewing, but our operational free cash conversion, which effectively takes our EBITDA, knocks off our lease payments, our working capital movements, our CapEx was 67% against the guide of 65%.

12:14 It's worth noting there that actually our our cash generation is quite strong compared to our operating profit. So we're basically, we're spending a lot less on new CapEx because of the more efficient way we're developing than the levels of depreciation that we've got coming through the business. Okay. Just moving on to the next slide. So this slide just simply sets out our financial highlights for the first half. So we delivered £360,000,000 of revenue in h one, which is up 5% or 6.8%, 7% organic constant currency. And you will see that the gross margin dipped a little bit in the first half. That reflects predominantly mix across the businesses. So the train AI business that we have is a lower gross margin, but a strong net margin with good operating leverage, and that diluted the margin a little bit in the first half. And we also saw some mix impacts in protect, which had a negative impact on margins. But like for like margins in each of the individual business segments are exactly where we expect them to be.

13:16 And then you can see the strong adjusted EBITDA and adjusted operating profit growth that I touched on earlier. The group has some borrowings, and so you'll see our net debt here. This this excludes IFRS 16 leases of 33,000,000 at the end of the period. In a typical year, we're generating just over a 100,000,000 of EBITDA. So you can see that there's very low levels of leverage. And I'll come back to the obviously acquisition, but the initial cash outflow of that we paid for in May, we were still after paying that with the equivalent of less than half a turn of adjusted EBITDA, including that obviously payment. It's worth flagging here a couple of things. One is that we are a global business, but a lot of our customers are American based.

14:01 And so we are quite exposed to currency movements. And you'll see that the the 2% difference of the top line growth is because about 70% of our income is in US dollars. Because of the nature of what we do, a lot of our cost base is in multiple countries around the world. And whilst we can hedge some of that, you will at times note there are some FX impacts in our results across the year, and we'll try and be as transparent about the impacts of those as possible. In the first half this year, FX had a negative impact of a couple of million pounds on our profit. So these growth rates here are stated after absorbing that. We've also increased some bonus costs in the first half this year, and we didn't do that last year because it was quite a tough period. So there are some other factors that mean actually even though we're reporting 28% operating profit growth, the underlying performance is actually a little bit stronger than that.

14:51 In terms of the dividends, we rebased our dividend to allow us to continue to invest in growth in the business in December last year. We paid a 7p dividend for the full year for FY '25. And in line with that rebased policy, we're paying 1.75 for the first half of this year. That equates to about a quarter of the amount we paid last year. And going forward, we're committed to a progressive dividend policy with about a quarter payout at the interim.

15:26 So just turning briefly onto the individual business unit segments. I'll call out a couple of items for each of these, but it's worth saying on each page, on the left hand side, you will see the serviceable addressable market. So this is the size of the market that each of our products is relevant to. We've also put some growth rates in and then the vended markets, the amount of the market that's accessible to third party suppliers such as ourselves. That gives you a sense of the opportunity for each of us. We've also put at the bottom of there the revenue that we delivered in these segments in f y twenty five, so full year revenue for last year. I've also set out on the bottom of each page what each of these businesses does. So in generate, we have two businesses.

16:12 Across the full year, they will be roughly evenly split in terms of revenue. The first one is our content technology business. This is a specialist software business that includes a number of platforms that really helps solve content management problems often in quite niche circumstances. So we work closely with governments around the world. We work closely with defense industries and other people in those sort of similarly regulated segments. And we help them really manage carefully change control over their important content. That business has a very high gross profit margins compared to the other parts of the business, our train AI business, which is more about where we're helping large language models for our customers. We're helping to develop and train those LLM models.

17:02 And that business is particularly exciting at the moment as you have seen the levels of investment going into building LLMs, and we've benefited from that by being able to provide services to our key customers. The way to think of the trained AI market is that there is a background of core demand where we're helping our customers maintain their LLM's. And then there are quite significant spikes in that market depending on particular investment programs. So in the first half this year, we saw one of those spikes, which is helping one of our customers get a new LLM to market. Exciting business, good operating leverage. We run that business with a very small number of in house FTEs, and then we're supported by a large crowd of people that we work with to do the actual training. So nice nice operating leverage, a highly variable cost base.

17:50 The net of both of those is actually a similar operating profit margin. And you will see that the operating profit growth is a little bit slower than the revenue growth. That reflects a really strong set of comparatives in the prior year in the content technology business. Just over onto transform, which is our largest segment. This represents about 60% of our revenues, and this is our core localization services. We did 210,000,000 of revenue in the first half. And back in December, we guided to about a 5% decline in revenue, and you saw a 4.6% decline there. This decline really reflects the pivot from services to technology sales, And what we're expecting to deliver off the back of that is stronger margins over time. So although we will see the revenue tick down occasionally, flat to sort of small declines, we do expect, strong operating profit growth as we pivot our income towards more technology.

18:47 So a couple of things really to call out in terms of performance in this in the first half. One is on our technology investment side. We have continued to invest in our platforms. As Ben touched on, we launched LanguageRever Pro at the beginning of March. That is, we believe, and we've done some research on this as well, the most powerful AI translation solution built in partnership with Tahir. It's a very exciting proposition for us and gives positions as well to be seen as the leading experts in machine translation. And then our Trados platform is also in this business. This is really workflow management for localization. Localization is an incredibly complicated process, helping customers transform their content to work at a global level, also to understand the context of that transformation.

19:34 Trados powers that, and we are currently working in the background to build the next generation of our Trados solutions. On the services side, we continue to make strong progress on our efficiency. We did that by having a significant pivot in our headcount over the last few years, and that has continued. We have seen increased use of our overseas hubs, particularly the big folks in India, which now represents about 20% of our our staff base. And as this market evolves, we expect efficiency gains to continue to contribute to bottom line performance, is which why you see a 17% growth in adjusted operating profit in the first half. Finally, looking at Protect. Our core Protect business is the original RWS patent services business. Here, we really help our customers protect their brand identities, particularly on their patents side through a combination of translation and filing of patents at a global level. We also help them renew their patents, and if they have corporate changes, to record those changes to ensure that patents remain valid.

20:40 In the first half here, which is all patent revenue, you'll see a small increase in revenue, which is in line with the guidance we set out last year.

20:49 The decline in profitability reflects a combination of there was some pivots in the European patent market from multiple countries to a single filing. That means that the actual volume of translation and filing, which is a slightly higher margin business, fell off a little bit compared to this time last year. We now believe that is at a stable and recurring level. We also then added a lot of new renewals revenue, which is lower margin, which a large percentage of that is fees for the patient renewals. We have invested as well in this business. So we've built out the team, and we've also given the new ERP platform, which starts to be depreciated in the second half of last year. The exciting element here that's new news is we bought obviously, which Ben has touched on, this broadens our offering into the wider brand protection space,

21:37 gives us an exciting new addressable market. And in terms of the deal structure for, obviously, as announced in the RNS, we paid about 16,500,000 for that upfront. What that's done is accelerated our ability to access some really cool technology in this space, and we believe now that by spending that money, we are able to operate two to three years earlier in this space than we would have been able to do had we developed something ourselves. The balance of the earn outs on the, obviously, acquisition that we called out in the RNS is entirely linked to financial performance and so that, therefore, is to some degree self funding and is on typical EBITDA multiples that we'd expect to pay for a a business delivering strong profit growth. Obviously, we'll make small losses here before becoming slightly profitable next year, then we expect stronger profit contributions from the following years.

22:28 And then on to cash generation. So our adjusted EBITDA in the first half of 46,000,000, you can then see our uses of cash and our movements in net debt. So small outflow in working capital reflects our revenue growth. You'll see we spent about 7,000,000 of CapEx in the first half. This is less than we've spent in previous periods and reflects the fact that we are now able to by using AI tools, we're starting to see some of the the benefits of developing our new product sets in a much more efficient manner. Also reflects the fact that we worked with Coher in developing LanguageRever Pro, so therefore, we didn't have to spend enormous amount on our own internal LLM model. Obviously, we pay some interest and taxes. We do incur quite a significant charge. We spent £11,000,000 in the first half. That reflects a combination of the efficiency actions that I touched on earlier, together with the fact we've got a two year program to move all of our legacy IT from virtual machines and on premise solutions to a fully integrated Google Cloud solution.

23:32 And then you'll see the significant dividend payment of the $20.25 final dividend that was paid out in the first half.

23:40 And then finally, just in terms of outlook and trading, we haven't significantly changed our trading guidance for the year. We did call out there's a small FX headwind that I touched on earlier and the obviously impact. But for the full year, we are expecting to deliver mid single digit organic currency constant currency revenue growth and good operating profit margin improvement. And with that, I shall hand back to Pen. Thank you. Just to wrap up, we I I wanted to look back on those three pillars and show you how we track the progress that we're making effectively. On the new go to market, there are there are two KPIs that are important.

24:26 Are our top customers spending more with us or less, and are they happy? And so we we're tracking net repeat revenue for top 100 customer.

24:38 Last year, we're at we're at 94%. H one was at a 109%, meaning that the top 100 customer have spent 9% more with us than what they did last year same period. On the net promoter score, our score was 51 last year. We closed March at 49. Looks like a decrease. Two things. One, it is still extremely high NPS score for our industry. And secondly, as you know, you know, we've had a lot of reorganization in that first half, a lot of disruption. What I'm pleased is that we we run that NPS score on the trailing twelve months every month. We received the May result two weeks ago, and it's back at 53, so even higher than than before.

25:33 So, you know, all of the effort, even the efficiency plan is not at the expense of our client satisfaction. On the innovation road map, the the the percentage of revenue from our tech suite that is SaaS based is continuing to increase at 37%. That's important because it's a it's a recurring revenue, and we we keep adding new customers. So we're really focusing on creating those new cohorts every every year. Also, the share of AI related product and service is now just short of a third of our revenue, up from 26% last year. We like this because it's a it's an indication on how RWS is benefiting from the AI adoption with our with our customers as a a as an AI partner and an AI enabler for for our largest client.

26:35 And finally, on the efficiency plan, we look at how much revenue each FTE is producing internally. We are currently at £95,000 on the on the twelve month period. That's up about, what, 6% year on year. And and that compares actually very, very highly to most service company out there, which shows you that we are we're really benefiting from the the technology side of our of our of our portfolio. And with that, I think we have about twenty minutes for questions. That's great, Ben. Stephen, thank you very much indeed for your presentation.

27:22 Ladies and gentlemen, please do continue to submit your questions using the q and a tab situated on 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 recording of this presentation, along with a copy of the slides and the published Q and A, can be accessed via your investor dashboard. Andrew, we have received a number of questions throughout today's presentation. And if I may now hand back to you to chair the Q and A. Just read out the questions where appropriate, and I'll pick up from you at the end. Thank you. Thank you very much, Alex. Yes, let's get straight into the questions. The first one on revenue mix. Can you please provide more detail on how the Trane AI project work translates into recurring or repeatable revenue for the group? Frank, could you take this one, please?

28:10 I mean, quickly, I think Steven touched on it in his presentation. The the work we do is really helping company create a better dataset. And so the that's that's a fixed order. What we see is that there's more and more company needing to create those datasets. The market is increasing. And so the nature of the work is really project based, but the volume of project that are created are increasing. So we are we're confident on the long term growth of Trane AI. It's a harder activity to actually forecast. Great. Thank you, Ben. More broadly on AI, how is AI revenue expected to grow as a percentage of total revenue for the group over the next twelve months or so? Yeah.

29:03 So I just mentioned that AI revenue is about now a third of our of our of our revenue. We've guided last year. This is an an important part of our business. We've guided that we expect AI revenue to be over half of our revenue in the midterm. I'd I'd put this more at a two year horizon. Okay. Great. Thank you, Ben. So a question in terms of AI and and the market. Market appears to be pricing in a severe adverse effect on RWS' earnings due to AI. How do you view this, and how can the company harness the power of AI to its advantage? I mean, I I think that that came across during our our presentation.

29:55 The the the market, in general, had struggled to price AI for any businesses. We we see the mood really changing. We saw AI as replacing everybody. The reality is now our customers need partners that can bring them the benefit that they expect from AI. We don't see large company suddenly becoming a CRM builder, HR management tool builder, etcetera. What they want is to to be able to use software and and and and partners that can package and bring those those benefit to them. And so the our customers come to us and say, we need you to help us innovate on how we manage content. We help you.

30:50 We need you to to be able to handle more content in more languages faster, make sure that the the quality stays the same. And the the reason why we are able to do this is through our AI innovation. Great. Thank you, Ben. Question on technology now. So during the results webcast, you said the that the LLM is the engine, not the product. Over time, do you expect LanguageWeaver Pro to be able to use multiple underlying LLMs, or is the long term strategy to partner primarily with a single model provider? So the way LLM LanguageWeaver Pro is built, you you can bring your own LLM if you want to.

31:39 What we've done with LanguageWeaver Pro is fine tune a model that was already optimized for translation, fine tune with our specialist and our data so that the quality of output is the best in the market. If you don't want to use it, you prefer to use your own, that's that's fine. I think you you would be missing out, but we're not tied into just one LLM. Great. Thank you, Ben. Question for Steven now. There's been a rebound in transformed operating margin in h one this year, but it's still down quite a bit from where its equivalent was a few years ago. Do you see the tech offerings, so language even pro, Trados driving most slash all of the margin recovery there, or can it be more broad based?

32:26 And another question talks about cost cutting as one of the drivers for margin recovery as well. So I think if you if you could just comment on the drivers for margin recovery, please. Yep. Happy to undo. Thank you. So in the first half of this year, I think you're you're right. It's predominantly our efficiency program that's helped us improve the margins. As you can see, we launched LanguageRever Pro in March. We've got the future product launches. We've got more news on that to come later this year. And so as we pivot to our technology further, the new product that's going, I think what what that will do is two things. One is it will give us the opportunity to operate on the technology first model. But second, it also allows us to increase the volume of three parts that we can deliver as we move to more technology.

33:15 And that allows us to add a lot more value to our cost customers because the more they can localize, the more value they can get from their product developments and their content. So at this stage, it's predominantly the efficiency program, but you will start to see the impact of the new technology build as we look forward. Great. Thank you, Steven. Sticking with you, a question now about exceptional charges. Please, could you give some color on exceptionals, which are annualizing, it would seem, at about approximately 25,000,000 a year. Are they expected to continue at a similar scale for the next few years given the in-depth transformation of the business? So there are there are two component parts to that, the annual spend this year. The, slightly over half of that is our people changes that we've talked about earlier.

34:06 And then I touched on there's a big IT replatforming. That is a two year program, probably in the region of 8 to 10,000,000 this year. I suspect there'll be a similar amount, possibly a little bit less next year. The nature of our business means that it will continue to evolve as we move to a more technology first program. It's quite hard to call out exactly how much the impact of that will be at this this time, hence the exceptional nature of those costs. But I would expect us to continue to to pivot and efficiency is a core part of our process. But we're also continuing to invest in creating lots of new opportunities to grow as well. Great. Thank you. Ben, one for you here. Can we say anything about how LanguageWeaver Pro has been received since its launch?

34:53 And is it too early to tell how demand for for Trados Studio twenty six recently announced its building? Thank you. So language we report, there's there's been three types of of feedback. One from our existing LanguageWeaver customers who are very keen to to try the new version knowing that the the pro version is almost double the price of the previous version. So it's a significant step up, but we see a lot of interest from our existing customers. We have seen a lot of noncustomers, non RWS customers who have approached us really intrigued about the product, and so that's where we are building most of our pipeline at the moment.

35:47 And finally, we're also embedding language with a pro into Trados Studio. So freelancers will be able to use it instead of other translation engine that that they've been using in the past. Great. So The Trador Studio new version, I mean, I I can only say that the the the the the demand is has been stronger than last year. So that's that's also encouraging. Great. Thank you, Ben. And I guess sticking with new products, what material product launches are planned for the coming year that will move the needle in terms of revenue growth? I won't detail the the the whole product road map we have, but each of the segment has a very exciting product road map ahead of us ahead of them, sorry, Which which makes at a high level, which uses the agentic capability of AI to simplify and optimize the work for our for for our clients.

36:56 So in the in the generate segment, for example, where we where we sell software for knowledge workers to help them organize their knowledge base, our agentic capability will help those knowledge workers benchmark more data sources on the go, and so making their their job easier to do and faster. I'll I'll I I can only also tell you that we have some exciting launch on the transform segment for the plan for this summer. And so hopefully, you'll you'll hear from us in the end of year results on a very exciting launch upcoming.

37:42 Great. Thank you, Ben. And a follow-up to answer to your answer to the earlier question about language weaver probe being embedded in TRADOS. Will TRADOS be a lot more expensive given language weaver probe being embedded in it? I don't believe so. I think it's a it will be I don't want to say anything stupid, but I think it's a it's roughly it will be a choice for the the freelancers to to have the subscription with a company like DeepL or with LanguageRural Pro. So you'd be able to to to test for yourself which quality or which tie style you prefer and and and choose which subscription. Great. Thank you, Ben. Okay. So switch to Steven.

38:27 A question about deferred consideration in respect of the the, obviously, acquisition and, you know, our expectations around its future performance. Yeah. Happy to share. So as I touched on, we spent £16,500,000 upfront to buy the technology and to welcome the obviously team who are an excellent group, really bringing a dynamic way of thinking and working to our protect business. The balance of the payment, which could be up to £40,000,000 in total, is a an earnings related multiple. So the way we will work that out is we will look at the financial performance in f y twenty eight and f y twenty nine, and then that will drive a a final payment that will follow the year. So there are two two reviews, f y twenty eight, f y twenty nine with payments in f y twenty nine and f y thirty. I think it's a very good deal. We're very pleased with it. We're also really delighted to welcome the team, And I think it yeah. There's a strong financial upside if the, obviously, business performs well.

39:34 Great. Thank you. One about targets future targets. Do we have any medium term, say, three to five year targets for EPS or other financial metrics? So in in December, I think it was the slides, I think, towards the back end of the presentation, 39, forty, forty one, we set out our our guidance. I don't think that's changed. You saw in the first half that, train the spike in train AI helped a lot. Obviously, that will be a bit of a headwind in h one next year. But as an individual segment level, we expect to see the the pivot and transform towards technology first approach. That that means we're really focused more on operating profit growth than revenue growth in that segment.

40:23 In the other two segments, we as you saw from the market information, there is good demand, and we expect there to be good revenue growth in both of those segments going forwards. And as we become more efficient and we scale those businesses, we expect the operating margins to tick up. We would like to get back to a higher level of adjusted EBITDA margin over time, and we continue to expect strong free cash flow generation. Great. Thank you, Stephen. Final couple of questions are to do with the share price. I've left these ones to the end. Share price performance post results has been disappointing. Are management surprised by the reaction? I was. I was I was because the you know, whichever way you do take them, the h one result are are strong.

41:17 There's growth. There's high growth in profit. There's a there's a there's a momentum in terms of of innovation. So I was and and I guess, I was somehow reassured by the fact that most of our institutional investors that we've met with Steven over the last week have been equally surprised. So, you know, that doesn't I'm sorry if you're a shareholder, and that that that kind of hurt in the short term. But this is this is, yeah, something that we're hopefully, we'll reverse as we continue to to build trust with investors that we're actually delivering on what we what we announced that we will do. Thank you, Ben. And then finally, what do you think the share price might be in twelve months' time?

42:11 I mean, the the, unfortunately, you know, given I'm not able to to to to predict the share price after a result, I'm probably the last person you would want to ask. The the things that I would tell you is that I'm a believer in the share in the company. I've personally invested a significant portion of my savings into this company. And so I we're we're all focused at making this company more valuable. And I I I believe that there's there's many opportunity ahead of us. We are operating in a in a market that's growing fast where clients, as they create now content supposedly for free and they want to operate globally, they realize that they need a partner they can trust to do this safely and meaningfully.

43:07 So we're confident about our future, about the future of the of of what RWS is producing in terms of value for our client. We are keeping our head down and and and focusing on delivering our strategy. Great. Thank you, Ben. Think I might hand back to Alex. That's all the questions we've had. That's great. I was going to ask you, Ben, for some closing comments, but I think you've pretty much wrapped it up there. So thank you very much indeed for addressing all those questions and updating investors today. On behalf of the MitraN team, we would like to thank you for attending today's presentation, and good morning to you all.