Looking at you to go, Paul. Thank you, Andrew. Welcome to Select Harvests' 2021 half-year results presentation. Joining me today is our CFO, Brad Crump, and Company Secretary, and Andrew Angus from Overland Advisers, who manages our investor relations. This presentation is being recorded and will be available on our website. Brad and I will present the results and provide a market update. There is the facility for analysts and institutional shareholders to ask questions at the end of the presentation. Please raise the hand function and you'll be able to ask your question. If a retail shareholder has any questions, please email Andrew at andrewangus@overlandadvisers.com.au. That email address is on the screen. Andrew will arrange for a response at the end of the presentation or via email. Please note the disclaimer and the basis of preparation of this presentation. As an introduction to our performance in the first half of 2021, this has been challenging, as was the second half of 2020. As you have previously been advised, like many businesses, we've had the operational issues of COVID-19. We've had market access issues in major markets, Europe, India, and China. Like all export-orientated businesses, we have seen the dollar appreciate over 10% in the last 12 months. The biggest single headwind was the U.S. industry's marketing of a record crop 20% larger than last year. The net impact of this is that Select Harvests has had delayed cash flows, depressed pricing, and a much weaker bottom line. As you can see, the low almond price has significantly impacted our results. NPAT for the first half was AUD 1.3 million. EBIT for both divisions was AUD 3.1 million. The EBITDA was AUD 12.8 million, EPS AUD 0.026 per share. We maintained a strong balance sheet. Net debt to equity was 21.7%, excluding lease liabilities. Operational cash flows was a positive AUD 6.3 million. This cash flow was a result in part to the delayed shipments, all due to market access issues. In a normal year, our shipment profile would have been 75% of shipments were between March to August and 25% the remainder of the year. In 2020, there was a 50/50 split. As a result of these results, the board has elected not to pay a dividend. I would like to remind you that this result is prepared on the basis of the assumptions around cost, price, and volume. The actual result is not known until the crop has been 100% processed and 100% committed. As we sit today with 40% of the crop processed, 50% of the crop committed, and 80% of the export currency hedged at 73%, we are anticipating a crop of 28,250 metric tonnes. Around 4,500 of this is from the Piangil acquisition. This is marginally higher than the forecast we announced on the 29th of March. Growing conditions we have seen were good without being spectacular. Harvest in New South Wales was delayed. The general quality is better than last year. This plus our investment in new sorter means that we are getting a higher percentage of in-shell from our crop. The price realization is AUD 6 a kilo, which is at the top end of our March 29th announcement. Market prices have remained low as the industry has marketed the larger U.S. crop. The delay in the Australian shipments has put additional stretch on an already full supply chain. Prices have started to recover, a lot of this has been evaporated through the appreciation of the currency. We have made a strong focus on our control levels, including the integration of the Piangil orchard, cost in general, and staff safety. The acquisition is meeting its business case as we are well underway in integrating the orchard into the Select Harvests group. We've kept our costs down through absolute cost control with particular focus on our harvesting costs, tree-to-waste productivity, our water strategy, and our general repairs and maintenance expenditure. As always, our people are our first priority. Our team has continued to manage through the challenges of COVID-19. Our total recordable frequency rate has reduced by 6%. I now turn to our operational performance. At these prices, we are seeing strong demand from all markets, China, India, and Europe. Last year, the domestic market grew by 10% with over 350 new products being introduced into the market with containing almonds. Plant-based protein through products like almonds is becoming more and more an everyday staple in our lives. As I said, we have 50% of the crop committed. We're expecting similar pricing, and we're expecting some further price recovery, but the full benefit will not be felt until the 2022 crop. We have invested in new sorting capability, which has improved our in-shell yield and throughput. Water prices have fallen, but we have only experienced a small benefit as we were concerned about availability after the end of last season and carried a significant amount of water over at a higher price into this year. The food business transaction is proceeding with companies undertaking detailed due diligence as we speak. We've commenced the transfer of our industrial capability to the Carina West facility. We have capital plans to increase the value-added capacity of Carina West as the market demand continues. Recognizing the volatility and inherent risks, we've maintained a strong focus on our cost, cash flows, and balance sheet. I feel it important to give you the context of this result. You can see what we can control we are. If we can mitigate a risk, we are mitigating that risk. Unfortunately, it is virtually impossible to totally compensate for the almond price decline of this magnitude. You can see there that we've managed to maintain our cost, as we said, not far above last year. With our orchard investment program, we've seen volumes grow. Unfortunately, you can see what a dramatic impact the price decline has bring. I'd now like to hand over to Brad. Thanks, Paul. Good afternoon, everyone. As Paul touched on, the reduction in the global almond price has had a material impact on the 2021 half-year results. On a positive note, revenues for the half were 24.2% higher than the prior corresponding period. This is due to COVID-19-related delays in sales in the second half of FY 2020. We'll see the impact of this on Select's operating cash flow. Select's EBIT and NPAT are all predominantly impacted by the reduction in the almond price from AUD 7.50 to AUD 6. This is what has been used in the 2021 crop fair value calculation. Partially offsetting this was the additional tonnage produced by the newly acquired Piangil almond orchards. Other factors that impacted the almond division's results were the ongoing lower value of the hull market, as conditions remain positive for traditional livestock feed. Also, moderately higher cost per ton due to the increased level of cost recognized as Select's younger trees mature by another year. Additionally, yields are lower than the 2020 record result. Food division produced an improved result on the back of improved margins on value-added almonds produced into the industrial market. Additionally, there's the new Lucky product range in the major retailers and continued growth for Sunsol muesli. Lower corporate costs are due to lower employee payments, including short and long-term incentives and reduced discretionary spend. Moving to the next slide, which is an EBIT waterfall. This clearly shows visually the impact of the lower almond price, reducing year-over-year the half-year result by AUD 25 million. There's a small benefit from water savings in that first half, and this was due to the lower price. The benefit will increase considerably going into FY 2022. The half-year result benefit is reduced to the large volume of carried over water from FY 2020 that came in at a higher price and the increase in expenditure recognized due to tree maturity profile. More water has come on to our panel. The Piangil additional volume has contributed AUD 2.7 million in EBIT, and as mentioned earlier, cost per kilo have increased. Going on to our sensitivities on the next slide. While 40% of the 2021 crop has been processed, 50% contracted for sale, and 80% of the exportable crop hedged against the USD, there is still potential for some movements. As shown on the table, there are three areas that are very sensitive to a small movement in their drivers, the crop size, the crop price, and the USD rate, the U.S./Aussie dollar rate, FX rate. You can see there that the sensitivities are pretty clearly shown, and the sensitivities are based on the whole crop price and the FX, not on the amount that's still unsold. Just going on to our next slide. As shown on this slide, Select's cost per kilo for the 2021 crop has increased, and this is mainly due to 2021 yields being lower than the 2020 record result and the higher recognition rates for our immature orchards. As the pie chart shows, that while a large portion of these costs are considered variable, they are fixed in nature. For example, there's a fertilizer program in place during the growing cycle. This is committed cost based on an assumed tonnage. We don't change that as the year goes on. Overall, cash cost only increased by 1.4%. The higher overall increase was due to additional depreciation from the Piangil orchard acquisition. The balance sheet remains in a very strong position. Despite the lower earnings result, Select's gearing position remains relatively low at 21.7%, and all bank covenants were met for the half. Current assets are higher due to the inventory and biological assets as a result of additional crop related to Piangil. The increased sales have also led to receivables being higher as at the end of March. Non-current assets are higher due to the acquisition of Piangil coming on the balance sheet. It's worth noting that all owned orchards and water assets that are on the balance sheet are at sale at cost, which is materially less than their current market values. Bank debt is higher due to the portion of the Piangil acquisition that was debt-funded, and bank debt is forecasted to reduce in the second half of 2021. On to our cash flow. Unusually for the first half, Select has produced a positive operating cash flow. This would normally be negative in the first half due to the growing and harvest costs offset by the second half when the bulk of the crop is sold. The reason this year produced the first half positive operating cash flow is that a significant portion of the 2020 crop sales were delayed due to COVID-19. These sales accelerated in the first half of FY 2021. Investing cash flows are dominated by the Piangil acquisition. Other investing cash flows were in line with the prior corresponding period, other than additional AUD 4.4 million of permanent water that was acquired during the period. Thanks, Brad. Now I'd like to turn to the market outlook. As many of you are aware, 80% of the world's almonds are grown in the Central Valley of California, as I said earlier, the crop was 20% larger than previous years. It is no doubt that the size of the U.S. market are the price setters for the market. The 2021 crop is due for harvest in August. Currently, industry forecasts predict the inventory between seasons will be eight weeks stock, which is a very manageable carryover, whereas last year the carryover was larger. The size of this year's crop is the topic of a great deal of conjecture within the industry, with industry consensus well below the U.S. Department of Agriculture's forecast of 3.2 billion pounds. As you can see from the slide, the marketable crop will be somewhere between 10% smaller or 2.5% larger than last year. This is extremely manageable from an industry perspective. What's going to influence the size of this crop is going to be the impact of the California drought. Ironically, droughts are the best growing conditions for almonds on the basis you have sufficient water. The current allocations being deliberated in America means it's very questionable whether there's going to be sufficient water for them to grow a large crop. The conditions that are in the market at the moment, from a water balance perspective, and that being snowpack, aquifer, and reservoirs, is very similar to the 2014/15 period where almonds pricing moved up to over AUD 10. There is one big difference between the 2014 and 2015 drought is there's been an additional 400,000 acres of bearing permanent tree crops put into the Central Valley. To put this in perspective, they've planted over three times the Australian almond industry into the valley. The available water is the same. It becomes clear that this has been accounted for in the crop estimate on July 12th when the U.S. Department of Agriculture releases the objective estimate. At the moment, market pricing has firmed slightly, there's a lot of subjective as to whether or not it's been fully built into future pricing. A couple of other things to note in the industry forecast are, is the slowdown in growth moving forward. As you can see, there's been quite a dramatic growth in the past five years. It's certainly slowing down in the next few years in America. The impact of the water legislation, which is unknown, and probably hasn't been built into these waters. From a macro perspective, the impact of that legislation is that between 25%-35% of all agriculture in the Central Valley is going to have to lay fallow. Whether or not, how much of that is almonds is not been determined and really does depend on industry profitability. The appendix of the presentation conveys a lot more detail about both the U.S. and the Australian conditions moving forward. Last night, the U.S. California Drought Monitor was released. 26% of the state is in its exceptional drought condition, which is the highest drought condition. That is a movement of 11% in just one week. As I said, demand has been very strong for plant-based proteins, and they are becoming a more of a staple part of our diet, things like almonds. For all the pain of the low prices, it can be said this is about the best marketing tool for driving future demand, as almonds become used in more and more snacking, confectionery, bakery, and beverage products. As you can see here from this chart, you can see the sort of momentum that is building with double-digit growth in exports for almonds into mainly the Asian and European marketplaces. The industry marketing boards are continuing to invest heavily in the Indian and Chinese and European market. The health benefits of almonds are so well-known that in India, they've been described as an immunity booster nut by the government, encouraging consumption during the COVID-19 period. If supply can't meet demand, inevitably price must shift up. Our strategy remains unchanged. It's to become a supplier leader in plant-based foods, namely almonds. It's basically around our strategic priorities are to optimize our almond base. That's through becoming more productive and potentially acquiring additional almond orchards growing our brand, particularly in the B2B environment, and obviously expanding strategically in areas where we think that growing almonds is going to be a long-term viable proposition. You can see here that we have the growth built in, and our volumes are assured moving forward from here through to the year 2028, and this is on the basis of the maturity profile of our orchards becoming older. Our focus is on the triple bottom line of people, planet, and profitability. If you look at our 2021 to 2022 focuses, we're recognizing the need to de-risk ourselves with ongoing focus on minimizing the usage and the mitigation of the water risk is one of our key activities. Last year, we published our sustainability report. The next step is to set some more stretch goals, particularly in the environmental quadrant there or planet. We have the opportunity to commercialize our excess co-waste at our Carina West processing facility, selling it to other horticultural industries. Labor has been challenging, particularly in regional Australia, as you've seen. We're very dependent on casual and on-hire labour when we do harvest. We had no issues with this year, but we're already planning for that next year as COVID seems to be continuing with closing the borders. As we've grown, our systems have become inadequate. If we want to get great people and have engaged people, we need to improve our systems, and also we need to make sure we have the appropriate developments and plans in place, and clearly the investment in Carina West to make sure we can take on both the capacity and the future capability that we're moving from Thomastown. If I go to our top 10 priorities, our safety and well-being, it's making sure that our horticultural programs are in place to deliver a big crop in 2022, completing the execution of the food business restructure, adding a set further capacity into our processing facilities, managing both absolute cost and cost per kilo, marketing programs to ensure we're the preferred supplier of our product into the marketplace. Clearly, with our sort of volatility, managing both our cash position and balance sheet is critical. Growing strategically as opportunities come up, completing the sale of this crop at the price we forecast and managing our capital investments. Andrew, I'm open to questions. Thank you. Thanks, Paul. We've got a question here from Paul Jensz from PAC Partners, so I'll allow him into the room. Paul, can you hear us? Can you hear me? Yep. I'll hand over to you. Okay. Just wanting to talk about the, I suppose, the M&A opportunities in Australia with the prices where they are. I suppose to me, our processors both here and looking to the U.S. are making money. Is opportunities opening up for you in this low price environment? We're aware of several assets which are for sale at the moment, Paul. We obviously have to be conscious of where we sit from a balance sheet perspective and actually the value that these properties deliver to us. We're very conscious that the cost of growing is different in different regions, and they bring different issues with them. Some of the properties we put a line through without looking at. If there's something that's attractive, we'll certainly have a look at that, a mature orchards. I'd say, most sellers' expectations are probably above where we sit today, and there's probably a need to recognize where the market prices sit and the sort of cost impulses that are potentially moving forward in the industry. On the U.S., any comment on the U.S., Paul? Look, we're not engaged in anything in that area at the moment, Paul. Okay. Thank you. Paul, we have another question from Alex Patton from Citi. I'll put him in now. Afternoon, Paul and Brad. Can you hear me? Yeah. Loud and clear, Alex. Awesome. In your release, when you say you anticipate the second half FY 2021 result to be similar to the first half, are you talking about either EBIT or NPAT or another line item, or am I reading that incorrectly? Well, because we recognize half of our result, from the fair value point of view in the first half, and obviously the second half has the other 50%, unless one of those factors that we spoke of earlier changes, then the second half will be very similar to the first half, across either EBIT or NPAT. Okay, cool. Just wanted to make sure that was the case. I think in a March update, you said you'd sold or committed 20% of the crop at AUD 6.60 a kilo. This AUD 6 average price kind of implies a big shift for the remainder 30% you've committed, probably implies a price around AUD 5.60 a kilo. Is this just due to different quality grades, or has pricing really deteriorated that much in two months? The export data would suggest otherwise. It's mixed. As I said earlier, I mean, our export program's like 75/25, and the majority of that is in-shell orientated, so it's a mixed issue, Alex. There is a chart in the back of the presentation that shows you that pricing's improved, particularly for Nonpareil varieties, whereas the other grades have pretty much stayed the same. Okay. Yeah, cool. I would have assumed you guys would have benefited from some of that Nonpareil strength. Is that right? Yeah. Okay. One more from me. With the food business, treating those branded sales and non-item stuff as a discontinued operation, the EBITDA margin seemed to have improved markedly to about 13% in the first half. Is this level of margin appropriate for that food business going forward? That component of our food business going forward is all our value-added component. For example, that's your pace line, that's your sliced and slivered products overseas. Those margins going forward are all right, bearing in mind also that our production facility in Thomastown will no longer be part of that. That's all product that's produced up north in our factory in Wodonga. No, that's very clear. That's all from me. Thanks, guys. Thanks, Alex. Paul, we've got a question from Jonathan Snape, Bell Potter. I'll put him through. Yeah, hang on. Can you hear me okay? Yeah, Jon. How are you going? Yeah, good. Look, just a couple of questions. Maybe first, just following on from the pricing one earlier. That 50% of the crop that you've committed, at what price point have you actually committed to that? The 50% that's committed, it's committed at a price over AUD 6 at the moment. As Paul mentioned, we obviously also have a trail of manufacturing-grade product that will come into the mix later on that'll draw that price back down to the AUD 6 that we estimate. Okay, where are you seeing spot pricing at the moment? Well, that depends on what product or what grade you're looking at. I think historically, in the last update, I think you said it was like AUD 5.50-AUD 6 is where the spot was. Yeah. Has that moved up since then, or is it kind of stayed still? Jon, have you referred to the graph at the back of the slide? Yeah. The Nonpareil price has definitely moved up a little bit. The other stuff's stayed about the same. You've got to back out a little bit of currency there because of currency appreciation. Look, it's in the similar zone. Okay. Look, can I just ask a question around the cost structure? In particular, I guess in reference to the depreciation rates and as well, the kind of comment in there that you bring on some of the younger trees, and so it's creeping up the cost per kilo. Obviously, you guys capitalize some of these costs as the orchards are maturing. The PP&E particularly lifted a lot, and the depreciation really hasn't followed suit, which would kind of suggest that there's probably a fair bit of Piangil depreciation still being capitalized. Is there any way you can give us an idea of how you expect, say, not just this year, but looking out next year and the year after, as those orchards mature, how do we think about that shift in capitalized costs coming onto the P&L as an expense going on? That's something that I can go through just in a bit more detail with you offline, Jon. Fair to say that some of our immature orchards had a spike up in production in the last couple of years, so there were some cost benefits that flowed through from that. Now they're flattening out to a level which was sort of more expected. That's why from one year to another, there's been a bit of an increase in that cost per kilo from immature orchards. With our capitalization that we did over a seven-year period for younger trees, we try to average that out so that the capitalization of costs increases with the level of production that those trees produce. That said, some of these immature orchards that were put in place recently have exceeded their production in their younger years, which meant that that capitalization rate and the production hasn't quite matched up as it has previously. Is there a simple way where you can say, I guess, this year's cost per kilo move, how much of it kind of reflected costs that, say, were capitalized last year in terms of water and, I guess, operating, which were then expensed this year? Is there a simple number we can reference? Is that three that's in the bar chart, or is there a little bit more in there in addition to that? Sorry, which three are you talking about? I think you had one further where you had the movements year-on-year in the EBIT. I think it was the EBIT waterfall one right back there. Yep. That one, yeah. Is it simply that growing cost, that AUD 3 million? Is that the number I should be looking at, or is there other components of it fixed in elsewhere in the EBIT? Yeah. That growing cost, that's the increase in costs that have come under the income statement for the half. Okay. That's AUD 5.8 million for the year. Any pricing growing costs that have been recognized? Okay. All right, great. Thank you. Yes, hello. Paul, we've got a question from Simon Conn at Investors Mutual. Simon, can you hear us? Simon, are you there? Can you hear me now? Perfect. Okay, cool. Here we go. Great. Quick question on the balance sheet. You've got your PP&E quoted as AUD 130 million, because it's half year counting on a breakdown. I think in the slides you say some of that's at cost and others at market. Can you give us a breakdown of the AUD 430, in terms of what's in there and then just in terms of what the market value might be, but more reflective of the current asset prices in agricultural assets? If you have a look at our annual report, we break it out there. That was at the year-end, is at the end of September. If you bear in mind that market prices and permanent water prices probably haven't shifted much from that point, then that'll give you a good indication as to what the variances are between what's in there at cost. We don't revalue any of our assets on our balance sheet. Anything that was acquired in prior years is put in there at the acquisition price. The only recent thing that would come on board would've been the Piangil acquisition that we did, that we brought on board in early December. That's all sitting there in our non-current asset line that you've got there. You can see there, if you look at the cash flow, that'll give you a bit of a breakdown in terms of when we've done the PP&E or what the uplift in the investment cash flows are, what went out for the Piangil acquisition of AUD 138.3 million, which included some water as well. Isn't it AUD 124 million? Sorry. The AUD 138 million, I mean the 10870. Yes, if you have a look on the cash flow slide there, the acquisition's AUD 138.3 million. It was AUD 129 million for the actual orchard itself, and then there were other costs on top of that relating to the capital raising and so forth, including that number, AUD 13.5 million water as well. Piangil was in the half, Brad? No, it wasn't, was it? Yeah, it is in the half. Yep. You're referring me to the annual report in September, Piangil was- That wasn't in there. If you take Piangil, we paid market price for Piangil. Yep. Assume that hasn't moved. If you look in the annual report, that's all our other own orchards. We give an indication there as to what the values came in at, as opposed to what our cost price is. Those valuations you think are current? Yeah. Nothing much has changed since that time. Okay, thanks. In fact, we did valuations again of our orchards for bank purposes when we acquired Piangil. If anything, those valuations have gone up a little bit from what's in the annual report. That's a minor valuation number. Okay. Just obviously, India's obviously with the COVID issues over there. Can you just talk about logistics getting product into India and payments and how that's going? Look, it would be fair to say logistics generally is pretty bound up. I don't think I'm telling you anything you don't know about logistics and moving stock around at the moment, but we're definitely getting product into India. Initially, when COVID was announced, there was real concern that all the ports would close down and the ships wouldn't go in there. That's freed itself up. We've also tried to change which port we can ship into is not necessarily the one we want to, but we can get the product moved internally. There is a slight delay. Look, in general, the Indian market, from talking to the people in the market, is very buoyant still, and they ironically feel that they're on the other side of COVID, some of the people I'm talking to, so it seems very strong. There's no real in-shell left in the U.S. market, so we're really having pretty good run at it at the moment. Right. Dare I ask, can you give us an update on China, what's going on there? Look, China, there's no direct interference from the government and us trading in almonds. We haven't got any concerns such as other industries have at the moment, and hopefully won't have. Definitely, some of the anecdotal stories you hear about challenging getting stuff through ports and things like that, we're certainly aware of that. Really what we're having to do is make sure whatever product goes in there, all the documentation's right, everything's pristine, there's no quality concerns. We're having a higher level of governance around ensuring that what is in the documentation specifically matches the documentation, which may sound pretty, don't you do that every day? It's the little things like if the label's supposed to be printed in black, it's printed in black and dark blue doesn't do. It's that sort of stuff. That's the sort of detail we're going to, and we haven't experienced any issues to date. Okay. They're an important market to us, and the product appears to have strong demand still. Okay, thanks, Paul. Thanks, Brad. No problem. Thanks, Simon. Paul, we've got Mark Topy from Select Equities. Mark, you good? Mark, are you there? I might answer a couple of the retail questions while we wait for Mark, yeah? Yep. Somebody asked, I've got a question here, what would the impact be if the almond price was AUD 7.50? Look, just take it, AUD 1.50 times 28,250 tonnes. The cost would be pretty much the same. All of that would drop through to the bottom line. I don't think you'd feel any different about that, Brad, that answer? No, exactly. That's right. Another question is, would we consider developing orchards in Western Australia? Not at this stage. There's still opportunities in the Murray -Darling Basin. Issues with infrastructure support. It's 3,000 km away from our processing center. There isn't enough industry infrastructure to support investing in greenfield acres into Western Australia at this point in time. I think that's the only two questions I've got so far. Well, while we're waiting for Mark, I've got James Ferrier here, who's from Wilsons Advisory. James, can you hear us? Yeah, I can. Thanks, Andrew. Can you hear me? No worries. Yep, perfectly. Hi, it's Paul. Brad, thanks for your time, and apologies, I did join late, so if I'm going to ask you a question that you've already answered, just tell me to move on, and we can take it up later. On slide 12 of the presentation, which shows a profile of the production costs, can you just clarify the definition of that production cost? Is it as simple as saying crop volume times price equals revenue less EBIT is your production cost? Is that how you calculate it? These costs are actual costs that go through our income statement or costs that we recognize. These are actual costs. Yes, our cost per kilo is obviously our total cost bucket divided by the number of kilos that we produce. Yeah. I guess, is it a number that we can reconcile based on the accounts that you disclose to the market, or are there balancing items that we'll never see? There are some other factors that aren't included in here. For example, if we process product for our third parties, if our wholesales, sale on assets. This is just purely on the actual crop that we produce and the costs that relate to that crop. That will give you the fair value on the crop. The profit for the actual crop, I think is around about AUD 12 million. Then there are other factors that are on top of that. Yeah, okay. Good. That's helpful. Thank you. The outlook for farming costs or production costs in the year ahead? I think you made reference specifically to water costs and the quantum of benefit you're looking at there, but beyond water? At this point, we're not seeing any major upticks in our costs. Other than the fact that our lease costs will rise year-on-year with CPI increases, but all our other costs should remain relatively flat. What will impact the cost per kilo, if you like, is our yield performance going forward. Yeah, okay. Essentially, if I can paraphrase what you're saying there is on a cost per acre, you're talking pretty flat, but if yield performance improves or stays at these reasonably good levels, then the cost per kilo can come down? Correct. Yeah. That's right. Yeah, okay. Thank you for that. The food business, I can see in the accounts you've presented the continuing and discontinued earnings. Is the continuing business earnings for food, is that indicative of its full potential post the changes, or are there still a bunch of other changes that you can make that could potentially see further improvement there? That number that's in there is a like for like, if you like. If we transfer what we look to transfer up north, that's the sort of numbers that we'd be looking at. It doesn't take into account any further possibilities of additional products we may be able to do up north. There is no large expenditure items that'll be in there. Okay, great. Last one, can you just explain the difference between the P&L interest expense and the cash flow interest cost? Might be an AASB 16 thing, I'm not sure, but just that pretty small number versus about seven or eight on the cash flow statement. Yeah, that's exactly where the differential is for the recognition of AASB 16. Yep, got it. Okay. Thanks, guys. Thanks, James. Thanks, James. Oh, we've got Mark Topy. Again, I think he's had issues before, but Mark, can you hear us? Can you hear me? Yeah, can hear you. Yep. All right. Trying to find that. Trying the switch on and off button. Paul, you did mention you see globally this increased demand with the lower almond price. I'm just wondering if you might be able to expand on perhaps where you see it coming from and how sustainable that might be going forward, in terms of the total demand picture. Yeah. Look, if I go through the regions, India's been the star performer. It's become the second-largest market in the world. That's definitely, you'd have to say near China, the more price-sensitive markets. Every time we, as an industry, grow, it skips, and I think, you can't underestimate the If the government comes out and tells you to encourage to eat these products, you can't just underestimate that. China has definitely bounced back to pre-COVID type volumes, so that's going well. Europe has been a very constant, despite all of their market closures, it's continued to grow at that sort of 6%-8%. America has been a little bit softer. What do you have? Looking at the underlying numbers there, it's manufactured products, so its ingredients product, its beverage products have been very solid on the way through. All of those markets, we can see ongoing growth there. Look, our domestic market ironically grew 10%, which is pretty unusual. A lot of that is put down to baking and more people working from home. Some of the European markets have experienced the same thing, and it seems that if people stay at home rather than do it, in all economies, they actually eat healthier than they are when they're on holidays and things like that. That's where we sit, Mark. Thanks. It's in a lot of it is driven in what I'd say is more price, less price sensitive areas where we add 100% of the product cost. Yeah. Okay. In relation to the lower water costs, as you know them, can you just maybe talk us through what you see is in that component of your, if you like, spot purchasing going forward? What's the sort of strategy? Do you try and lock in at this point, or do you wait and see how the season unfolds in terms of water prices? Can you talk to that perhaps a little bit? Yeah. The reality is we have to carry some water over. For more, it's just as much a risk mitigation thing as anything, because the allocations don't come out the first day of the year, so we do need to carry some water over, and we always do, and there's a certain rump of water which we'll always carry between season, and then we may well top up on that. This year, the outlook is for the next quarter for above-average rainfall, so we'll be carrying stuff over. You'll see that all general allocation water in New South Wales and Victoria, some of them have had no allocations. Where we sit today, you've got to say there's a couple of years of that water there, which will keep a ceiling on pricing. Entitlement pricing hasn't moved at all, so that's, I think, a function that there's more permanent cropping in the Valley, so people are acquiring water as a risk mitigation strategy similar to ourselves. Yeah, okay. If I recall correctly, just in terms of what you deem to be your optimal mix, did you have to acquire some more permanent water for the annual going forward? Yeah, we've acquired a little bit of that. We're below our strategic number at the moment. In the end, we're just taking the time to accumulate a bit over time rather than rush out into the market, looking at our current profitability, and also, when we go into the market, we don't want to signal the level of activity we've got or what we got to get. Just fair to say, looking at your commentary on that water side, some of the more frenetic sort of activity around water purchasing might be slowing down a bit there, or is that the takeaway from that chart on future water purchasing? I think the market, the people getting full allocations, and high allocations, the pressure on the water market is clearly a lot less. Yeah, I'm just trying to think through some of those major projects that were kicking around, but whether some of those have gone away or not. Major projects by us or- Well, no, almonds, olives. There's still plantings going there. They're definitely coming down. There's a lot less new plantings from nursery sales going forward than there are today. I think we're a bit like that chart that we show in the U.S., where I think we've gone to a similar level of activity, and there'll be a similar level of flattening because people are concerned about water availability and water deliverability. Sure. You've got one state government that's not issuing any licenses, the Victorian government, so that's potentially a third opportunity there. Yeah. There's no negative sort of implications to you from this whole Murray River review and so forth that you can see? No. It probably didn't get our wish list, but no, there's no negative outcome. Just perhaps lastly, historically, in terms of where you're positioned now on your forward sales of almonds is probably a little bit less than historically. I'm just, you're confident a level around that, so selling the balance of 50%, you're feeling pretty confident around that and maybe seeing a little bit of a positive price movement there? Look, I think what I outlined in supply and demand says in theory, the pricing should be moving in an upward direction. There's only two things that can disrupt that, because one is the currency appreciates faster than price, and the other one is that we don't have the quality that we think we have on the crop. Sure. All right. Okay, well, thanks very much for that. Thank you. Thanks, Mark. Paul, we are all out of questions. Okay. All right. I'd like to thank everybody for connecting up, and for those of you we're going to see in the next couple of days, look forward to seeing you via Zoom or Teams, as unfortunately, as Victorians, we're not moving too far. Have a great weekend. Goodbye