Q4 2023 Zevra Therapeutics Inc Earnings Call

Participants

Nichol Ochsner; Vice President of Investor Relations & Corporate Communications; Zevra Therapeutics Inc

Neil McFarlane; President & CEO; Zevra Therapeutics Inc

LaDuane Clifton; CFO, Secretary & Treasurer; Zevra Therapeutics Inc

Joshua Schafer; Chief Commercial Officer & EVP, Business Development; Zevra Therapeutics Inc

Adrian Quartel; Chief Medical Officer; Zevra Therapeutics Inc

Christal Mickle; Co-Founder & Chief Development Officer; Zevra Therapeutics Inc

Oren Livnat; Analyst; H.C. Wainwright & Co

Jonathan Aschoff; Analyst; Roth Capital Partners LLC

Sumant Kulkarni; Analyst; Canaccord Genuity, LLC

Lachlan Hanbury-Brown; Analyst; William Blair & Company, L.L.C.

Presentation

Operator

Please standby, your program is about to begin.
Good afternoon, everyone. Thank you for joining the Zevra Therapeutics Q4 2023 corporate updates and financial results call. Today's call is being recorded, will be made available on the company's website following the conclusion of the call.
With that, I'll now turn the call over to Nichol Ochsner, Vice President of Investor Relations and Corporate Communications for Zevra Therapeutics.

Nichol Ochsner

Good afternoon and thank you for joining us today to review Zevra Therapeutics' progress in the fourth quarter and full year of 2023, outlining our clinical advances, operational achievements, and financial results. Before we get started, let me take a moment to provide some important information.
I encourage you to access the news release, which was just published and available in the Investor Relations section of Zevra's website. As we proceed with this call, it's important to highlight that today's discussions will include forward-looking statements.
Forward-looking statements are not promises or guarantees and are inherently subject to risks, uncertainties, and other significant factors that may lead to actual results differing materially from the projections made. Please refer to the Risk Factors section in our most recent quarterly report on Form 10-Q and our other filings with the SEC and annual report on Form 10-K.
I'm pleased to welcome Zevra's management team members participating in today's call. I'm joined by Neil McFarlane, President and Chief Executive Officer; LaDuane Clifton, our Chief Financial Officer; Joshua Schafer, our Chief Commercial Officer and EVP of Business Development; Christal Mickle, our Chief Development Officer; and Adrian Quartel, our Chief Medical Officer.
Now I'll turn the call over to Neil.

Neil McFarlane

Thank you, Nichol, and thank you all for making the time to join us today. In the fourth quarter and into 2024, we made solid progress towards transforming Zevra into a commercial stage company. On our last call, we announced that we were focused on three key priorities.
First, to close the Acer acquisition and deliver value to patients by commercializing approval. Second, to resubmit the Arimoclomol NDA. Third, to complete the Phase 2 trial in idiopathic hypersomnia and prepare to advance KP1077 into Phase 3. I'm happy to report that we executed on all of these objectives, and I would like to take the opportunity to recognize the extraordinary effort from our entire team to deliver for people living with rare diseases.
Before discussing our results, it's important to note that our financial statements for fiscal year '22, including all interim periods and the interim periods of 2023 will be restated due to a change in our warrant accounting. LaDuane will provide more details later on the call, but we believe the restatement will have no impact on the company's cash or ability to execute on our strategic priorities.
Turning to the fourth quarter corporate highlights. Let me start with the completion of the Acer acquisition, which propelled us into becoming a commercial stage company, diversifying our revenue potential and providing scale. The acquisition was a natural fit with Zevra's mission, bolstering the talent on our team and bringing complementary rare disease assets, including commercially available OLPRUVRA.
OLPRUVRA is indicated for the treatment of certain urea cycle disorders or UCD's, which are a group of rare genetic disorders that can cause harmful levels of ammonia to build up in the blood, potentially resulting in neurocognitive impairments, brain damage, and in some cases, coma or death.
We estimate that there are approximately 2,000 people in the US with UCDs, Of which, roughly half are diagnosed and treated. The UCD market in the US is estimated at approximately $350 million annually. Despite the available therapies, unmet needs for people living with UCD persists. We believe that will improve as a well suited to address these needs as it provides personalized dosage for each patient's requirements. It's affordable and easy for patients to pay. And most importantly, it is palatable as it was formulated to overcome the challenging taste and smell that was associated with other formulations of sodium phenylbutyrate.
Our commercial launch strategy is comprised of two major components. One, establishing a customer facing team, and two, building awareness. Since the completion of the Acer acquisition in mid-November, we have made significant progress towards executing on these priorities, ensuring that people who suffer from UCDs have access to and are aware of the benefits of OLPRUVRA.
As of the end of January, we have a customer facing team with decades of rare disease experience to support the launch of OLPRUVRA. This team was built to be targeted and able to reach the needs of our customers and partners, most of whom are located in approximately 40 centers of excellence across the country.
In addition to the sales specialists, we have marketers, patient services, and market access professionals as well as medical science liaisons and patient advocates for engaging with key customers. While initially built to support the launch of OLPRUVRA, this same group of professionals will launch Arimoclomol, if approved.
We have initiated several strategies that are being utilized to build awareness for OLPRUVRA, which is currently quite well. For example, we have established Quick Start, which is a 30-day free trial to allow patients and physicians to gain experience with OLPRUVRA. We're working with patient advocacy groups, the patient community, and using these centers of excellence to drive brand recognition.
We're also working with payers to ensure broad market access for patients. We've seen a meaningful growth in reimbursement coverage, which was approximately 55% at the time of acquisition to now more than 70% of covered lives. While it's too early in the launch to provide data on today's call, we're monitoring key launch performance indicators, including new patient enrollments, number of covered lives, and net revenue.
As previously mentioned, the commercial footprint we established provides a high strategic fit for Arimoclomol as the majority of prescribers for both products work within the same centers of excellence. If Arimoclomol is approved, we believe that close proximity and overlap in patient care will allow us to realize synergies and scale with the infrastructure that we've built.
As a reminder, Arimoclomol is our drug candidate in development for the treatment of Niemann-Pick disease type C, or NPC. NPC is a rare genetic progressive and potentially fatal neurologic disease. Earlier this month, the FDA assigned a new PDUFA date of September 21, 2024, and reaffirmed its intent to present the resubmission for discussion at an advisory committee meeting. If approved, we intend to utilize our clinical data as well as real-world evidence and the data from our expanded access program to support market access, reimbursement, and treatment decisions to establish Arimoclomol as the foundation of treatment for people with NPC.
We will continue to work closely with key opinion leaders to educate on Arimoclomol's clinical profile and raise awareness of the heterogeneous presentation of NPC, which may include neurological and psychiatric symptoms, all of which make NPC difficult to identify and diagnose. Because of this, the time to diagnosis remains a significant unmet need in the NPC community. Therefore, we're working with patient advocates to drive early diagnosis and supporting efforts for NPC to be included in newborn screen.
Together with an approved indication, these initiatives will help drive the evolution of treatment guidelines and accelerate the time to diagnose -- diagnosis and treatment initiation. We will continue to work with all stakeholders to develop patient services that will provide access and a positive experience.
We applaud the NPC's patient advocacy community who united and submitted a compelling response through an informal petition for the FDA in support the Arimoclomol approval. They have received nearly 1,000 signatures from 47 states, forcing their support. As the FDA review continues, Zevra will maintain our expanded access program for Arimoclomol and continue working tirelessly to bring this potential therapy for the patients as soon as possible.
Now I'd like to turn your attention to KP1077, our clinical candidate being developed as a treatment for idiopathic hypersomnia or IH. IH is a rare chronic sleep disorder characterized by excessive daytime sleepiness and uncontrollable need to sleep and difficulty waking up from sleep in most instances, despite average or longer amounts of not fall asleep.
As you may recall, KP1077, serdexmethylphenidate or SDX, was designed to steadily release d-methylphenidate, it's active ingredient. This unique pharmacokinetic profile allows for flexible dosing to overcome these primary IH symptoms.
The design also ensures that patients receive the highest core concentration when they need it most. SDX is designated as a Schedule IV controlled substance by the US Drug Enforcement Administration. Earlier this week, we announced positive top line data from our placebo-controlled double-blind proof-of-concept Phase 2 study evaluating the safety and tolerability of KP1077 in patients with IH.
Consistent with the interim data that we previously reported in Q4, KP1077 was well tolerated at all dose levels evaluated in the study, including the highest dose of 320 milligrams daily and at dosing regimens of either once or twice daily. The most common adverse events were insomnia, headache, anxiety, nausea. and decreased appetite. Due to KP1077's unique pharmacokinetic profile, adverse events were mostly mild in severity despite higher overall exposure levels.
These data support the study's primary endpoint of safety and tolerability. Top line results from the Phase 2 study also showed that KP1077 produced clinically meaningful improvement in excessive daytime sleepiness or EDS as assessed by change from baseline in the Epworth Sleepiness Scale, during the five-week open-label titration period, which was maintained throughout the two-week double-blind withdrawal period for both dose regimens.
Additionally, patients administered KP1077 showed benefit in change from baseline at the end of the open-label titration, and at the end of the double-blind withdrawal period for the IH severity, scale, the sleep inertia visual analogue scale, and brain fog severity scale. The study successfully fulfilled the objectives by providing key information for the design of a potentially pivotal efficacy trial, and the results of the secondary efficacy endpoints are supportive of initiating the Phase 3 trial of KP1077. We plan to request an end of Phase 2 meeting with the FDA to seek guidance on the Phase 3 clinical trial design.
We are pleased with the top line data and believe that KP1077 could provide a significant benefit to the estimated 37,000 people in the US who are currently diagnosed with IH. With only one FDA approved treatment for IH, there remains an unmet need for therapies with different mechanisms of action to address symptoms including sleep inertia, excessive daytime sleepiness, and cognitive dysfunction. We look forward to presenting the results from our Phase 2 study at the upcoming SLEEP 2024 conference this summer.
And in summary, we're pleased with our progress in the fourth quarter. As we enter 2024, we have three areas of focus. First, to successfully launch OLPRUVA and ensure access for patients. Second, to prepare for the potential launch of arimoclomol. And third, to advanced KP1077 in sleep disorders. We believe that we are all -- we believe that we are well positioned to continue to execute and deliver on these key strategic objectives.
Now I'll hand the call over to LaDuane, who will provide an update on our financial results and outlook.

LaDuane Clifton

Thank you, and good afternoon. 2023 was a time of incredible progress as we seek to make therapies available to people living with rare diseases. But our financial results for the quarter and full year reflect our continued investments in advancing our development programs and building out our commercial capabilities.
As Neil pointed out at the beginning of the call, we are restating our previously issued financial statements for the fiscal year into 2022, including all interim periods and the interim period in 2023, due to a change in the accounting for warrants with certain cash settlement features. Warrants from 2021 have been classified as equity and are now accounted for as a liability, resulting in non-cash fair value adjustments that will be recognized at the end of each reporting period. This change and the related non-cash adjustments are expected to have no direct impact on the company's cash, cash equivalents and investments, our forecasted runway or our business operations.
Now focusing on our financial results for Q4 2023. We reported net revenue of $13.2 million. This was a solid quarter in which we earned a net sales milestone of $10 million under the AZSTARYS license agreement, and annual net sales for that product surpassed $15 million for the year.
Revenue also included royalties under the license, which rose to $1.3 million for the period compared to $900,000 in Q3 2023. Net reimbursements from the French expanded access program for Arimoclomol was $1.8 million, and there was recognition of some initial sales of approval. R&D expenses for the quarter were $11.4 million, which was primarily driven by the Phase 2 study in KP1077 that has since been completed, along with the work to prepare the Arimoclomol NDA for resubmission.
General and administrative expenses were $14.7 million. The period-over-period increase was primarily related to personnel costs and professional fees associated with our investments in our commercial infrastructure as well as our business development activities, which included the closing of the Acer acquisition.
Net loss for Q4 2023 was $19.6 million or $0.51 per basic and diluted share. Our full year 2023 results included net revenue of $27.5 million, which was primarily driven by the $15 million in total net sales milestones earned under the AZSTARYS license agreement. Royalties were $3.8 million and net reimbursements from the French early access program for Arimoclomol totaling $8.6 million for the year.
With total R&D expenses of $39.8 million and G&A expenses of $34.3 million, we reported a net loss of $46 million or $1.30 per basic and diluted share for 2023, which includes the non-cash impact of the change in fair value adjustment for the warrant liability of $1.4 million for $0.04 per basic and diluted share.
As of year-end, total cash, cash equivalents and securities were $67.7 million, which was a decrease of $15.7 million compared to September 30, 2023. Total share of common stock outstanding were 41.5 million and fully diluted shares outstanding was 38.2 million, which includes approximately 5.6 million shares issuable upon exercise of the warrants.
Looking ahead, our available resources are expected to support our forecasted operating cash runway into 2026, and we intend to evaluate optimization of our debt structure. Our forecast includes commercial revenue from sale of OLPRUVA, and ongoing reimbursements from the French EAP for Arimoclomol. But it does not include commercial revenue from sales of the Arimoclomol or the sale of the priority review voucher, which would follow potential FDA approval.
We remain optimistic about the opportunities we have in store during 2024, and our focus is on creating long-term value for shareholders by consistently executing against our plan in support of our mission to becoming a leading rare disease company.
Now our colleague, Josh, Christal, and Adrian will join us for our Q&A session. Operator, please open the line for questions.

Question and Answer Session

Operator

(Operator Instructions)
Oren Livnat, H.C. Wainwright.

Oren Livnat

All right, thanks. Very, very thoughtful. I am curious about this OLPRUVA launch. It sounds like you've got your infrastructure in place. Maybe I'm just now trying to build awareness. I know you're not giving guidance, certainly not on a product-specific basis. But should we expect material revenue growth for that product this year? Or is it more about just like a sampling and awareness building year, and just getting all the patient support processes worked out, especially head of Arimoclomol?
And on Arimoclomol, can you just talk about what, if anything you can say about your expectations around an adcom as far as what areas of focus you most prepared for? What do you think the agency might be interested, whether it be the connection between available data and your clinical data or validation and statistical issues? Anything you can provide on that would be really helpful. Thanks

Joshua Schafer

Hey, Oren, It's Josh. Thanks for the question. With regards to the OLPRUVA performance, as you noted, we are in full launch. And as Neil just mentioned, effectively the end of January, we had an entire commercial and medical teams now engaging with our customers. We knew at the beginning of all this that awareness for OLPRUVA and Zevra was quite well. But OLPRUVA in particular, if you recall, it was approved through a 505(B)(2) pathway, which meant that it had very little clinical experience.
And so our priorities have really been around driving awareness and ensuring that patients have access to OLPRUVA. And to do that, our team is working with physicians to identify the appropriate patients. We had a Quick Start program in place to make sure that patients can experience the benefits of OLPRUVA. And our reimbursement is increasing from 55% to over 70%. So it is too early for us to give any guidance on our outperformance in revenue. We will be watching new patient enrollments, covered lives, and net sales as we go, and we'll be providing updates on a quarterly basis.

Neil McFarlane

I'm going to ask Adrian to comment a little bit on that, the agency and the potential focus of the adcom.

Adrian Quartel

So the FDA has currently not confirmed the adcom. So there is an intention to hold the adcom and nobody has been sent. We are obviously clearly preparing for the adcom. As part of the original submission and share, we kind of know what the questions the agency are looking for. We're focusing on addressing those. What's important is we're really focusing on telling the story that the clinical data clearly shows which is a a significant benefit for patients. Some additional information that we got during the two FDA meetings prior to our resubmission also will be included. We are mostly looking for having a healthy debate about what we consider clear efficacy in these patients and a clear benefit profile.

Oren Livnat

All right, thanks, appreciate it. I'll jump back in the queue.

Operator

Jonathan Aschoff, ROTH MKM.

Jonathan Aschoff

Thank you very much. As I haven't had a chance to read the press release. It came out a little late and there's a whole bunch of calls. But can you help us better understand the magnitude of benefit in IH, and thus your optimism for an end-of-Phase 2 meeting that will go well and inform Phase 3 design?

Adrian Quartel

Absolutely. At first, we will focuse on what that Phase 2 trials trying to achieve. This is a trial that was designed to demonstrate safety and tolerability and inform us what the data may say into how to design the development program in IH.
Part of the secondary endpoints was looking at the daytime sleepiness and the idiopathic hypersomnia score at scale. We saw clinically meaningful improvements, not only the titration phase, but also in the [middle vein] phase. This trial was not designed to show statistical significance. We are planning to present this data actually certainly for meeting. And because of that, we are on data model. So we will discuss today that with the sleep experts that will attend that meeting.

Jonathan Aschoff

Okay. So when you did this trial, you optimize these people to any one of the four different doses. So it's a complete random smattering, like it's not 16 patients per dose. It's whatever was their optimum dose, that's where they land. There's no balance among those four groups --

Adrian Quartel

That is (multiple speakers)

Jonathan Aschoff

Okay. So after seeing the Phase 2 press release or are you still contemplating a narcolepsy trial, because the word narcolepsy is not in that press release on Tuesday. I was just curious as why that was?

Neil McFarlane

Hey, Jonathan. It is Neil. We're taking this data that we've got now on our Phase 2 to inform Phase 3 in IH. But we're also understanding in our Phase 1 data, some of our Phase 1 data and other data to understand how to unlock the value of the broader sleep disorder opportunity. So we're evaluating that, but we have no further comment today on if we're going to move forward into narcolepsy.

Jonathan Aschoff

Okay. And just a yes or no, OLPRUVA, is going to wait until you see how you track with the first indication, correct? Or do you have development plans for such that you could even give us a timeline?

Joshua Schafer

So you are correct. We're waiting to do a full evaluation of our portfolio and strategic plan before making any decisions on (inaudible)

Jonathan Aschoff

Okay. Lastly, when it comes to your adcom, do companies typically have any sort of back and forth with the our patient advocates and strategize in any way? And if so, do you intend to do anything like that? Or is it now just everyone shows up?

Christal Mickle

This is Christal. Yes, we -- it is very common for companies to engage with the patient advocacy groups and that we are doing that. One of the ways was to the patient's -- the patients that came through, certainly, that was something that we are very happy to see. And so we will continue to engage and make sure that the voices of the patients that are being heard as the adcoms are on their way.

Jonathan Aschoff

And I think that will be an important part of the adcom. So that's good to hear. Thank you very much.

Neil McFarlane

Thank you, Jonathan.

Operator

Sumant Kulkarni, Canaccord.

Sumant Kulkarni

Good afternoon. Thanks for taking the question. I have two. First one is have you had any interactions with the FDA on the pending Arimoclomol filing since you announced the three-month push out of the action date and how have those discussions gone?

Neil McFarlane

Thank you, Sumant. Maybe I'll take that one. We get as part of the NDA resubmission information requests from the agency, which we've been able to satisfy and return in a timely way. One of those requests, as we've announced previously, was satisfy the requirement of turning a major amendment, which then caused the delay of three months and our September 21 PDUFA. So we are in having those discussions, information requests are coming in, and we're able to satisfy those information requests in a timely fashion.

Sumant Kulkarni

Got it. And then on the recent Phase 2 data for 1077 in IH, we're yet to see any quantitative details because of the SLEEP Meeting related embargo. But qualitatively, would you say there was anything counterintuitive either in a positive or negative way in the data relative to your original expectation?

Adrian Quartel

I think the most important message from this study was on the primary endpoint. So we dosed patients at the 220 milligrams, which is a pretty high dose high than we've done with those before in patients, and we saw no increase in safety protocol and safety. More importantly, the cardiovascular safety profile is exactly as we had expected, and there's no changes in the cardiovascular safety profile. So it does have a compound that can be safely administered to patients with idiopathic hypersomnia.

Sumant Kulkarni

Thank you.

Operator

Louise Chen, Cantor.

Hi, good afternoon. Harvey on Louis from Cantor.
Congrats and thank you for taking our question. First question on KP1077. Post positive Phase 2 results, what is closer competitors in IH? What differentiates KP1077?
Our second question is on Arimoclomol, the Rare Pediatric Disease, PRD program (technical difficulty) this. If Arimoclomol get approved and a program does become terminated. how might that impact the value of Arimoclomol's PRV? Thank you so much.

Neil McFarlane

You were a little challenging to hear. I understood the question to be if we were going to get a PRV with the approval of Arimoclomol. Is that correct? And then the other 1077 program, in regards to differentiation from competitors?

Yes, that's correct. Thank you.

Neil McFarlane

Okay. So yes, we have a PRV that will be issued upon approval with Arimoclomol's NDA approval. So that does --

Joshua Schafer

I would add, Neil, that and I think what he said is what is the likelihood or what do we think the value chain will be, if the program governing that would be ending this year. And I think the analysis we've seen or the information we've heard from a variety of sources says, if the potential that that program ends, the value could go up. So I think we're going to assess that and look at that. But that's our current thinking on that point. Adrian?

Adrian Quartel

OKay. Adrian here. So regards to the competition in the idiopathic hypersomnia space. So KP1077 has a differentiated profile, significantly different at pharmacokinetic profile than other products in the market and also a specific mode of action being a stimulant. It is only Scheduled IV program. And as I said previously, the cardiovascular safety really, I know jumps out when you look at the benefit of this program compared to other drugs currently on the market.

Great. Thank you so much.

Operator

(Operator Instructions) Tim Lugo, William Blair.

Lachlan Hanbury-Brown

Hi, this is Lachlan on for Tim. Thanks for taking the question. I guess first one is just on the OLPRUVA launch. It sounds like a low awareness. You maybe don't have a ton of experience, but can you maybe talk about the feedback that you've gotten thus far, do you have experience? And then second, I understand where Ravicti exclusivity at some point in the next year or two. So can you just talk about your expectations for that, and what it might mean for the market and OLPRUVA? Maybe what sort of scenarios there are for Zevra?

Joshua Schafer

Sure. Thanks for the question. And yeah, so awareness has been low for the reasons that I stated, and our primary objective now is to really build that awareness, working with physicians to identify those appropriate patients, and to put in place programs so that patients can gain that experience with OLPRUVA. The initial feedback that we're getting is those patients who have had experience with OLPRUVA are continuing on that. We have a number of patients who are continuing to get refills of OLPRUVA. And that really bodes well for future uptake.
In terms of reliability and the patent expiration or I guess it's really the entrance of authorized generics. We are aware that later next year, that's likely than an authorized generic approach -- authorized generic for Ravicti will come into the market and potentially is taken thereafter. We view that really is entrance into the high end of the market, specifically products continuing with Ravicti in the same formulation. OLPRUVA is very much clinically differentiated from Ravicti and the authorized generic that comes into the market. And we believe that we've got a great clinical benefit and we are price to be able to compete in this market.

Lachlan Hanbury-Brown

Okay, thanks.

Operator

Oren Livnat, H.C. Wainwright.

Oren Livnat

Thank you. Just to follow up again with OLPRUVA. I know it's quite early, but as you get more patients hopefully into the funnel onto the referral network, and then you trying get them to adjudication to paid therapy, how -- are you finding that you're being held to the hurdle of thinking back to generic view from a cost perspective? Or is the bar almost more likely lower and that you're essentially being benchmarked against the market leading Ravicti?
And regarding the patients you're going after, are you assuming current Ravicti patients are low hanging fruit, given you've presumably much superior product here from the patient perspective? Or conversely, are they maybe this stable business and not your target patients?

Joshua Schafer

Yeah, thanks. So all products -- all branded products in this space are required to have some form of step at it. And so it's not easy for OLPRUVA to have a step at it where a generic decent knowledge is required. We are seeing patients stepping thorugh that very, very quickly. And then physicians and patients are making a decision as to what's the next best clinical best opportunity for patients.
Many of the physicians that we've been seeking with, albeit it's been just a few short weeks that we've had that exposure, really find OLPRUVA to have most clinically differentiated and beneficial profile for these patients. So it's a little too early to give any definitive answers to that. The early signals are that, again, the profile of OLPRUVA is really lending itself towards patients switching both for [sevraine] and Ravicti to OLPRUVA.

Neil McFarlane

Oren, I'm going to add one additional comment to that. One additional comment to that, I think that's an important perspective. As Josh mentioned, the approach to getting patients on therapy is fairly consistent. Our improvement of the reimbursement on the covered lives from 55% upto 70% really puts us close to par also in that area, which then -- we then can drive that awareness and clinical differentiation from the other products in the market. And with the Quick Start program and other awareness campaigns that we're moving forward with will allow us to be able to give patients an option, physicians an option.

Oren Livnat

Thanks. Good luck.

Neil McFarlane

Thank you.

Operator

And this does conclude the Q&A portion for today's call. And I'd now like to turn the call back over to Neil McFarlane for any closing remarks.

Neil McFarlane

Thank you, operator. The fourth quarter 2023 was period of tremendous transformation for Zevra. We made solid progress towards achieving our mission of building a leading patient-focused rare disease company. As we look to 2024, our key strategic priorities are clear, and we look forward to updating you in the future. Thanks for joining us today.

Operator

This does conclude today's program. Thank you for your participation, and you may disconnect at any time.