Newmark Security (LSE:NWT) — Unaudited Results for the six months ended 31st October 2020

0:02 Good evening, ladies and gentlemen, and welcome to the NEWMARK SECURITY PLC investor presentation relating to the unaudited results for the six months ended 10/31/2020. Throughout this presentation, investors will be in listen only mode. Questions are encouraged and could be submitted at any time by the Q and A tab situated in the right hand corner of your screen. Simply type your question and press send. The company may not be in a position to answer every question received during the meeting itself. However, the company review all questions submitted today and publish responses where it's appropriate to do so. These will be available via Investor Meet company dashboard. I'd also like to remind you that this presentation is being recorded. Before we begin, I'd like to submit the following poll. I'd now like to hand you over to Mary Claire Durer, CEO Graham Fulton, CFO and Colin Leatherbarrow, technical director of NEWMARK SECURITY PLC. Good evening.

0:52 Good evening. Thank you very much for the introduction. It's a pleasure to speak with you tonight and present our interim results. As just mentioned, I have Graham Fulton, our Group C Finance Director and Colin Leatherbauer, Technical Director of Growth and Technology.

1:11 Good afternoon. Afternoon. I will tell you a little bit about who NEWMARK is. We have two divisions that operate within what can be broadly described as the security sector. We design and manufacture products and services that protect both personnel and assets and their data while ensuring security for organizations' physical assets and workplaces. We do this through Grosvenor Technology and Safetel. NEWMARK has a long history of over thirty years of innovation and this, coupled with our long term outlook for investing in emerging technologies to market, has allowed us to remain current, competitive and positioned for growth.

1:59 Through our divisions, we take good positions in high growth sectors, providing specialist products and services that lend themselves to having high barriers to entry with the levels of experience and expertise which is difficult for our competitors to emulate. GROVNER Technology develops hardware and software for human capital management and access control markets globally. Secure data collection, collation, processing and dissemination is at the heart of our offering. Put simply, we turn diverse data into real information while increasing security, ensuring compliance, and reducing time and cost for our partners. Safetel designs and installs and maintains a diverse range of physical security solutions to a wide range of sectors.

2:51 Products and services range from asset protection, building security, and target hardening to counterterror products. I'm going to make discuss the divisions that make up our business and the markets they operate in. Also, I will out learn our long term growth opportunities with a 108 employees and offices in The UK and in The US in Fort Lauderdale and warehousing in Jacksonville. So our revenue at Advance, we will go into more detail with Graham a little later. So NEWMARK SECURITY's last annual revenue for the year 2020 was $18,800,000 which provides a view of our results prior to being impacted by COVID.

3:43 Over the last few years, we've experienced significant growth in our people and data management division in the provision of time clocks and related services within human capital management. We have restructured and refocused our physical security division as a response to the changing market conditions and expect this to bear fruit as we come out of the pandemic. Geographically, we mainly operate within The UK and Europe for our access control and physical security solution lines and a more global reach for HCM, where we have gained most in The US.

4:28 The group has been impacted by COVID-nineteen outbreak, resulting in a 23% reduction in revenues compared to this time last year. We've experienced the impact most significantly in The UK and Europe based businesses of access control and physical security solutions, with delays in customer projects and restricted access to customer sites. HCM has also had some delays in customer projects. The growth in HCM is driven from onboarding new clients and derived from our close work with existing partners as they grow and use our clocks in their solutions to end users. During this period, we obtained a government backed CBILS loan, which provided additional security to the group and has enabled us to continue investing in the development of people, products and services.

5:23 Trading activity has increased as the year progresses and we expect the second half to be much stronger than the first as our business continues to invest in the future. We are an AIM listed business of twenty years and it is recognised as being an innovator in the industry for over thirty years. Our people are dedicated, passionate and specialists in their fields with long standing, deep relationships right along the value chain. Proportionate and tightly controlled investments in research and development allows us to stay ahead of the curve and ensure our products and services are both competitive and offer the highest levels of secure technologies for our customers.

6:16 One of our key differentiators are is our expertise and our focus. We have huge levels of ex of expertise through our personal and deep focus in our industry to design customer centric products and services. We pride ourselves on our consultative and flexible approach. We rapidly meet our clients' needs in a tailored approach to suit them. This helps us build trusted partnerships and create an ecosystem set up for scalability. Our market understanding allows us to plan and be proactive in the market as well as reactive. We are always developing new products such as cloud services and biometric technology, including facial recognition that cater to a developing market.

7:08 Fundamentally, we create smart, safe and secure workplaces for businesses and employees alike. If you look at the table on the bottom left hand side where it refers to our customers, this is our route to market. Human capital management is sold through value added resellers and software vendor and houses. And access control is sold to system integrators and security installers, while SafeTool is directly to the end user. The company benefits from long stand relationship with many blue chip customers. We are building on our new recurring revenue streams through our cloud based subscription services in HCM, offering us advanced value added data met data middleware, biometric data processing, and clock management services hosted in the cloud.

7:59 Recurring revenue opportunities also in Safetail through our service division and maintenance. Kovner Technology. I'll delve into a little bit more detail here. HCM. In this period of the first six months, we onboarded new clients onto our GT four time clock, an HCM software company that provides HR solutions to over 30,000 businesses. This contract is initially for a period of three years with a minimum contract value of £760,000. In a separate win, one of our existing partners has entered into a supply agreement for the GT 10, our flagship hardware device, to an international retailer.

8:52 The project, which we've already started to supply, is expected to last three years and generate revenues of over £2,900,000. During this period, three of our long standing HCM customers in The US agreed to subscribe to our cloud provision software, remotely connecting new and existing client POTS devices to our platform. By the close of the period of the first six months, we had 5,400 clocks globally connected to our platform. In access control, sales of the new platform, Janus C4 increased over 10% in this period. SafeTub improved its product portfolio and is gaining traction following a comprehensive strategic review. We are currently implementing new expansion of our products and services to our markets.

9:43 A two year agreement was signed with a leading multinational financial services company with an expected value of £1,240,000 Another three year contract in this period was signed with a UK building society to support a client branch entrance water doors with an expected value of approximately £400,000 And we have also cemented our relationship with Tesco and Shells as a high value client. During the first six months, we were also pleased to welcome Terrence Yap as a new independent non executive director to the board in 2020. He has over twenty five years of experience in various industries, including telecommunications, security and smart cities development and as Chairman, Guardforce AL.

10:33 A group focusing on delivering technology innovation security solutions in the Asia Pacific region. This is really just a small sample of some of our customers showing the broad range of sectors and industries we serve. The software houses on the bottom right hand side are just some of our HCM customers. The products and services we provide may be specialists or needs, but the demand for our services is not. And as a consequence, the end users of our products operate across a diverse range of sectors and geographies. From retail to infrastructure and education to defense, organizations and businesses of all shapes and sizes share an almost universal desire to increase efficiency, safety and security while reducing costs.

11:31 This is what drives our continued success. I will now hand over to Colin Leatherbauer from Grosvenor Technology. Good afternoon, and thank you, Mary Claire, for the introduction. Hopefully, you can see the slide. I'm gonna spend a few minutes walking you through some of the technologies the NEWMARK group leverages,

11:56 where we innovate, how we and how we differentiate our products and services. So this slide is titled growing our contacts contactless solutions. So to talk to that, it's fair to say, as a group, we have experience going back decades using a variety of different contactless technologies from simple barcodes and magnetic swipe cards to moving on to contactless smart cards and more latterly, smartphone credentials using Bluetooth and NFC technologies. The common theme throughout that has always been about identification and verification of individuals accessing a workplace or clocking in or clocking out of work in our our HCM stream. And I think it's worth pointing out the pandemic has been transformational in changing attitudes to entering the workspace.

12:47 And across our three lines of business, we've been very well positioned to innovate and provide solutions to meet the needs of essentially a contactless experience entrance experience. And to talk to that directly, last year, we introduced facial recognition. Marie Claire mentioned that briefly on our GT line of time clocks, offering one to 10,000 identification, actually, more than that if necessary, virtually instantly, allowing our clocks to grant access to people coming into buildings completely frictionlessly and very quickly indeed. And this addition has been a major driver to contract wins in both The US and Europe driven by the need for a touchless experience.

13:33 And although we've supported biometrics for many years, mainly in the form of fingerprint readers, we now see a significant and sustained push towards facial recognition technology for obvious reasons.

13:45 And we can now integrate those solutions into both our access control and secure portal entrance portals and speed lanes, which in turn then provide a highly secure and frictionless entrance experience. In the first half of twenty twenty one, we will also release thermal temperature and fever detection capability on our GT liner devising devices, combining facial recognition and thermal temperature monitoring to further protect the work workplace.

14:25 So I'm just gonna touch briefly on the two key lines of business for Grosvenor Technology and firstly talk to you about human capital management or HCM. So in The US, we trade now as GT Cox, and the rest of the world, we continue to trade as Grosvenor Technology. And the HCM sector has evolved enormously in the last few years from initially simple clocking in to capture time and attendance, payroll data through to much broader workforce management requirements. And HCM providers now provide a a broad and deep range of HCM solutions. And Grover Technology has always been renowned for providing high quality, well engineered devices or time clocks as some of our clients refer to them.

15:12 And we've adopted over the years a good, better, best approach in terms of our hardware from simple embedded devices that just capture time using, say, a prox card or a magnetic swipe card to more laterally fully fully featured Android based time clocks and kiosks, which are modular in approach, which sport camera technology, facial recognitions, various modular readers, fingerprint biometric capabilities. And importantly, now they're based on Android, also offer the ability to surface advanced software that's being developed by our HCM partners via web browsers and essentially that have been developed to run on tablets can now be surfaced on our Android based time clocks.

16:00 In the first calendar quarter of twenty twenty one, we will also release the GT eight time clock and kiosk, and that builds upon the very successful formula of our g t 10, our first Android time clock released a few years ago. The g t eight will offer increased performance, capacity, much higher levels of security,

16:21 and an industry first with an Android 10 operating system. And this clock will move us into a broader SME or SMB if you're in The US market segment. The move to using Android operating systems has really transitioned time clocks from being simple embedded time capture devices to fully featured kiosks supporting a number of a broad range of HCM applications. As important as hardware sales are to our business, we've also been transitioning to being a a SaaS and services provider. And over the last two years, we've made a heavy investment in building a cloud based platform to which our cloud partners can subscribe to. And I'll cover that in a bit more detail on my last slide.

17:09 And just to talk briefly to access control, growing the technology is is synonymous is synonymous, sorry, with access control. We launched the first PC based access control solution in the mid nineties and have since continued to innovate in what is now a very, very competitive segment. Access control, however, is becoming more than a simple security solution. It's transforming into the hub of a smart building, controlling access but also bringing together data from building management systems, HVAC,

17:40 CCTV or IPTV, intruder detections, and fire systems. And we offer two access control platforms, SATiN Advance and Janus c four, catering for a broad range of customers' needs from single door systems to an enterprise estate covering many buildings, multisites, and thousands of users across the globe, essentially. Our later Genesee four solution is capable of integrating the multiple systems I've just talked to,

18:12 combining that with a powerful if this, then that capability to offer an extremely powerful and and flexible smart building solution. Both our platforms share our class leading range of modular hardware called Advance that offers an installer friendly, secure, and very scalable solution, which supports very recent technologies such as OSTP for maximum security and actually drives a very installer friendly and flexible solution. We've also developed the advanced hardware so it can be supplied as an OEM and that's been based off the development of a very powerful and open protocol REST API that allows easy integration of the advanced hardware to either cloud or on premise software solutions, further leveraging the investment that we've made in that hardware development.

19:17 So GT Connect. What is GT Connect? So GT Connect is a a powerful cloud based subscription service, which offers several significant benefits to our customers over our competition. So firstly, it allows the remote management of thousands of geographically dispersed devices, whether they're time clocks or advanced access controllers, reducing time and cost, improving the the or reducing the cost of ownership and the the carbon footprint of servicing our devices. The second element can be broadly categorized as middleware. We offer advanced cloud based middleware, data transformation, and data distribution services, which facilitate fast and very cost effective onboarding of new customers when they're beginning to implement our hardware solutions.

20:12 The last element and perhaps the most important is the bay biometric data privacy, attestation, and distribution services, which manage the collection processing of sensitive data or special category data in line with data privacy regulations such as in Europe GDPR, in The US, beeper among others. And this is increasingly becoming a real headache for our HCM software vendors. We now offer a ready made as a service solution to this problem.

20:44 And as GC Connect is a subscription service, it also can minimize the capital outlay as a barrier to onboarding us. Instead of instead, we essentially use a simple inclusive price per clock per calendar month, which wraps up the clock and all of the services and is charged effectively for the for the life of the device. Therefore, on our from our perspective, building a recurring revenue portfolio and moving us from a traditional hardware sale to a cloud based services provider. And the graph on the slide there demonstrates the growth of connected devices to our SaaS platform, and we expect this to grow as we offer GT Connect as a core element of our HCM value proposition. We're now over 6,000 subscribed devices, and we anticipate growth to over 20,000 devices in the next twelve to eighteen months and continued sustained growth beyond that.

21:42 That's it for me. Thank you for listening, and I'll hand back to Marie Claire. Thank you very much, Colin. Thank you. I will talk to you a little bit about Safetel before I hand you over to Graham. I know we're running out of time a little bit, so try and be as fast as possible. So our other division, SafeTel, provides physical and electronic security solutions across the public and private sectors, adopting a consultative approach as clients' needs evolve over time.

22:13 As the types of attacks organizations face have grown and morphed, customer demands have become more varied, specific to industry type and often bespoke to individual businesses. Safetail's approach has evolved to provide a completely tailored service. We do not simply offer standard products or services. We work with our clients collaboratively to design a complete solution that exactly fulfills the specific requirements for every customer who chooses

22:40 to work with us. Typically, these products are blast resistant, bullet resistant, fire and force entry resistant. Additionally, we provide cash handling equipment and introducing entrance control and auto doors to our portfolio, all of which help organizations provide safe and secure environment for their employees and customers alike. We also have a nationwide network of field based technicians and engineers providing installation, maintenance, and after sales support on both our and other security solutions. This ensures all our products are maintained to a very high standard. This range of services reduces risk, cost and effort for specifiers, contractors and end users alike.

23:27 This overall approach leads to enduring relationship, some of which are over thirty years now, a high degree of customer retention and a significant proportion of repeat business and long term service contracts. The business serves organizations of all services and sizes and is particularly proud of the strength of its partnerships with many of the blue chip clients. We have a focus on our core markets and look to provide the best combination of technology and products to provide a solution for every challenge. I will now pass you over to Graham, who will go through our interim results.

24:05 Many thanks, Marie Claire. Good evening, everyone. So the financial highlights. So revenue. The sales has been have been impacted by the impact of COVID, a twenty three percent reduction compared to this time last year. The lockdown in The UK has impacted access control by 37% reduction and physical security solutions by a 24% reduction. That's generate that's really derived from the restricted access to sites and delayed delays in customer projects. Within the HCM line of business, then this is reduced by 15%, fundamentally from delays of customer projects, but also the reduction in the ultimate contract as expected reduction from the merger between Cronos and Ultimate.

25:09 Without the impact of Ultimate, we're showing some promising growth in HCM throughout this period with the commencement of new customer contracts. So within the income statement, the to combat the impact of COVID, then various cost reduction programs have been initiated that include furloughing pay cuts. There's a 10% pay cut across all employees. The furloughs, there was up to 25 to 30% of the workforce at the peak times of the lockdown were in place, and also there were some redundancies being made.

25:58 Gross profit margin was impacted. That's because we're keeping our operations open for our customers. We had skeleton workforce in place during lockdown to still keep on servicing our customers. The physical security solutions still maintained product sales, which were relevant to the COVID situation such as heightened screens and night and night's cash hatches for petrol stations. The but there are lower margin products that came in, but they were that that was good that we managed to keep on with the supply of these. Administrative expenses reduced by 11%, although that does include some exceptional cost of 170 k.

26:55 So if you remove that, we managed to reduce the administration expenses by 16% underlying. Of course, throughout COVID, we have closely monitored been closely monitoring our cash position. And we took early action to obtain the CBILLS loan of GBP 2,000,000, as Marie Claire mentioned earlier. We had positive cash flows from our operating activities and also a tax credit of $3.97 ks. We had cash outflows from the repayment of our invoice discounting facility to which is called saving on interest payments and also the continued investment in our future products under the intangible assets line, you see the $2.28 k.

27:56 The balance sheet, we maintain a stable balance sheet with $1,700,000 of cash in the bank and more potential for financing from from restarting our invoice discounting, you know, to draw down on our invoice discounting, which at this point is for is minimal to zero, and utilizing any overdraft facilities that we do have, which would give us a headroom of about an additional 1,000,000 overall. So we're in a cash positive stable position, ready for growth post COVID. So if I hand back to Mary Claire. Mary Claire just dropped out for one second for the connection granular. So I'm just coming back in right now, so bear with me one second. Wait for Mericlaire just to come back through. Thank you.

29:02 Very clear. Hi. You're back with us. Thank you. Apologies. No problem. We signed several contracts in the first six months, which was great considering a lot of business was shut and some quite sizable contracts, which will be long term, and some new supply agreements. We had high growth in our human capital business delivering propositions to leverage from sort of the shift to cloud based computing. We also sort of powerful access control platforms deliver into a single platform and solutions. And so, really, in summary, we're in a very good position to move forward in a post COVID world with existing strategies not being just applicable, but even more relevant than ever.

29:50 We're providing safe and secure workplaces will still remain a key objective for organizations of every shape and size. And we continue to invest in the development of our technologies, as we mentioned, our cloud based services and clock as a service going forward to meet today's and tomorrow's needs. Paul, I will hand back to you. Fantastic. Thank you very much. Thank you, Mary Claire, Graham. Thank you, Colin as well. Ladies and gentlemen, please continue to submit your questions using the Q and A tab situated on the right hand corner of your today, I'd like to remind you that the recording of this presentation, along with a copy of the slides and the published Q and A, can be accessed via your investor dashboard in the investment company platform.

30:36 Lastly, before I hand back to the NEWMARK SECURITY team, I'd like to remind you your feedback is important to the company. Immediately after the presentation has ended, you'll be redirected for the opportunity to provide your feedback in order that the company can better understand your views and expectations. Guys, I know I haven't given you a huge amount of time to look at the the the q and a that's come through, but if I could possibly hand back to you and where it's appropriate to do so, you could read out the question and and respond. That would be fantastic. Paul, how much time do we have? We have got as as much time as you wish to have. Okay. So the first question for Manzine, you're under your strategy to move from SaaS type type recurring revenue models to HCM. Will that mean no upfront charge for your hardware?

31:21 No. Not at all. Our SaaS based product is for our service model on top of the hardware sales, but we'll also be moving to a class model, and that will be the no upfront charge. I don't know. Colin, would you like to add anything there? Yeah. By all means. So so CLAS is is our is our acronym for clock as a service, and we offer both that wrapped with the services and the platform, which we call CLAS, and we offer SaaS standalone where the the clock is purchased outright. And I think that actually talks to a question further down on how how about we stagger our transition and growth. And I can answer that in the the same breath in in terms of we we have a hybrid approach. So we're offering class selectively to clients both in The US and UK and SaaS to others. So we can control the rate at which we offer that amortized model to the market, if that answers that question.

32:29 Thank you, Colin. Question from Nick over to you, Colin, as well. Are there any new areas of innovation you see is complementary to offering your currently offer your growing list of blue chip clients? It's a broad question. I think there's a few different answers to that. So the move to cloud computing continues to offer new new opportunities across both our HCM and access control streams. We currently are on prem with our access control stream, and so access control as a service is an area of interest to us. Technologies that allow frictionless and contactless experience for both our access control and HCM lines of business are complementary to what we do.

33:25 The move to Android is also allow allowing us to offer more varied applications for our time clock solutions. So from a simple embedded device, we're now able to offer cloud based solutions downstream that we couldn't have done on on the previous generation of technology. Thank you, Colin. So from Simon, have you seen a change in competitive landscape? What is your typical sales cycle and what differentiates you when you're pitching for new business? Well, this is a sort of three phase question. So in the SafeTel business, we have seen some of our competitors falling away just definitely during this sort of COVID period and has made us product offering even more strong and reliable to our clients because obviously, they want longevity of a supplier.

34:22 And a typical sales cycle can really vary very much there. It can be from a product only sale which will see the order day and then sort of ship it out the next, or it can be a sort of six months large project with a large retail with some of the bigger projects. And on access control, this is sold through integrators and installers and they will generally sort of work on their sort of projects and their leads in advance and place the orders with us unless it's a very sizable large scale project. HCM is sort of very, different. What we have noticed, certainly in The US, we do not have that many competitors, but they haven't been making the same investment in technology as we have. And we've seen some of those sliding away and some of our customers are becoming even more reliant on our technology and the development of our core products as that market sort of grows for us.

35:18 So probably, I think that refers to a question further down. The market may be not be growing that much, but we only have a very small piece of the action, certainly in The US. We probably have 5% but some of the customer competitors are probably not as nimble as us and don't offer the same flexibility. The customers will become more more reliant, hence these new product project wins and product wins on our products. From Manzine again, how big is the potential material growth over the next three years? Where do you see your biggest opportunity? So given you numbers, we have no forecast out there, but we do see a huge amount of growth. I can't sort of specify in this meeting. And where do we see the biggest opportunity?

36:05 This definitely we see in the HCM market and most typically in The US where we're just sort of touching that market. We're we're becoming a brand over there. And we see this with our hardware direct sales, with our SaaS model, our cloud model, which and development which we're developing now, and we'll be launching our new product in the spring and with our class range of products. So we see the biggest upturn in revenues coming from HCM. Next question, I'm going to pass over to you, Colin. And I'm not quite sure, DSDTH. Could you please give us a timeline for the number of connected clocks and the current revenue for the next three years? Colin, probably revenues, just talk about very briefly, but if you could talk about clocks.

36:52 Okay. So as I said, we've got 6,000 connected devices across The EU and The US currently. We're in a phase now of transferring a number of our legacy on prem customers onto the cloud, and that's driven by various factors, one of which I mentioned, which was around data compliance and biometric privacy compliance. That migration of legacy estates onto the cloud will drive it up to circa 20,000 connections, But we're also onboarding new new customers onto that platform, so we expect that continued growth. So every device we sell essentially is now bundled with a a SaaS platform connection.

37:49 So to answer that briefly, we expect that to be about 20,000 connections in the next twelve months and then climbing hesitate to put a figure on it, but we sell thousands of clocks per annum globally or, hopefully, tens of thousands of clocks per annum globally. And a large percentage of those would be connected to these platforms. Colin, I think the next question, Nancy and I answered about our market share and the growth, what percentage, so sort of 4%, 5%. We're talking about The U. S. Where sort of our biggest growth area is, and we're looking to increase that quite dramatically over the next two, three years. We have a new plan that we're putting in place at the moment.

38:36 Abby has asked, what is our geographical split of your business and how much of your revenue is Graham, geographical split, where I'm looking back in a pre COVID position here, where we're about half of the business is UK based, with a third in The US. And that will be growing towards The US as time is moving on. On the element, we have an 18% recurring element of revenue, and that includes services from Safetel as well as an element for the existing SaaS revenue.

39:27 You can about 5% is on a in a kind of over over time and regular recurring revenue that we get as well that isn't related to the services. Thank you, Graham. I think this is our last question also from Manzine. The switch to SaaS model versus charging upfront for HCMA will mean lower revenues initially. How are you planning to manage this? Are you staggering the transition so you can still show growth? So I think we mentioned earlier, the SaaS model is just the services, so this is not gonna defer any income at all. So this will increase revenues as we go forward. But on our class offering, which we're just beginning to choose to offer to existing clients who want it, we will stagger this over a period. We have one contract that we're sort of talking about at the moment, a new new new company that is coming forward.

40:22 And they probably want 50% on an outright sale, but there will be some SaaS with that and the other 50% on class. But we do just sort of we do have the comfort that we are in a very comfortable cash position at the moment and more cash could be sort over. I think in one of the slides, Graham mentioned we've paid back all our invoice discounting and we're still sort of in a very comfortable cash position. So we will be staggering this and we will be looking at sort of opportunity by opportunity and sort of working with our clients as we go through those. And, Paul, I think that was the last question. Yes. I'd like to hand back to you. That is fantastic. Very clear. Thank you very much, and thank you. You have answered all those questions that we've had through from investors. And if any further questions do come through, of course, the company can review all of those, and we will publish the answers on the investment company platform.

41:12 Mary Claire, perhaps before I just redirect investors for feedback, if I can just ask for a few final words just to wrap up, please? No. Thank you for all taking the time to listen to us today. I think we are in a very exciting place. We've definitely you know, as terrible as COVID has been, we've sort of looked at the business from all angles. We've reorganized, we strategized the business, and I think we're in a stronger position than we've ever been before. Certainly, with the development of our new products, onboarding news these new SaaS clients, the new strategies in SAFETO. So it's very much an exciting time at NEWMARK. And having the comfort of having the cash to do what we need to do and manage it carefully, I think, you know, the team is very excited about where we're going and, you know, look forward to taking you along with us.

42:01 Fantastic. Mary Claire, Graham, Colin, thank you very much for updating investors today. Could I ask investors not to close the sessions? You'll be automatically redirected for the opportunity to provide your feedback. If you've accessed the meeting from the website, the feedback page will appear in front of you. If you've accessed the meeting from the link sent in the email, you'll be asked to log in to provide your feedback. It'll only take a a few seconds to do so, and it'd be greatly appreciated by the company. On behalf of NEWMARK SECURITY PLC, we'd like to thank you for attending today's session. This concludes today's presentation.