Good morning. My name is Michelle, and I will be your conference operator today. At this time, I would like to welcome everyone to the Andlauer Healthcare Group 2022 second quarter results conference call. All lines have been placed on mute to prevent any background noise. Please be aware that certain information discussed today may be forward-looking in nature. Such forward-looking information reflects the company's current views with respect to future events. Any such information is subject to risks, uncertainties, and assumptions that could cause actual results to differ materially from those projected in the forward-looking information. For more information on the risks, uncertainties, and assumptions relating to forward-looking information, please refer to the company's latest MD&A and Annual Information Form, which are available on SEDAR. Management may also refer to certain non-IFRS financial measures. Although the company believes these measures provide useful supplemental information about financial performance, they are not recognized measures and do not have standardized meanings under IFRS. Please see the company's latest MD&A for additional information regarding non-IFRS financial measures, including for reconciliations to the nearest IFRS measures. Please note that unless otherwise stated, all references to any financial figures are in Canadian dollars. Following management's remarks, there will be a question-and-answer session. This call is being recorded today, August 10th, 2022, and I would now like to turn the conference over to Michael Andlauer. Please go ahead, sir. Thank you, Michelle, and good morning, everyone. Thank you for joining us today. With me on the call, I have Peter Bromley, our Chief Financial Officer. Following my opening remarks, Peter will follow with a more detailed discussion of our second quarter, and I'll then provide some closing remarks and look forward to opening the lines to any questions. No doubt, this quarter is a direct result of everything going right at Andlauer Healthcare Group. Between predictable continued organic growth across all our product lines, the successful integration of our U.S. acquisitions, Boyle, Skelton USA in Q4 2021, as well as acquisition of the Quebec-based LSU in Q1 2022, the fruits of our labor enabled us to have record numbers all across the board. Our revenue for the second quarter increased by 58.1% to CAD 169.4 million compared to CAD 107.1 million in Q2 a year ago. During the quarter, Skelton USA and Boyle Transportation generated CAD 32.5 million in incremental revenue for our ground transportation product line, and LSU generated CAD 7.8 million in incremental revenue for our logistics and distribution operations. Approximately 2.6% or CAD 4.4 million of our consolidated revenue for the quarter was generated by working with manufacturers, 3PL distributor, and government clients involved in the supply of COVID vaccines and related products. This compares to approximately 5.3% or CAD 5.7 million of our consolidated revenue in Q2 a year ago when our vaccine-related business were at their peak. On the flip side, our packaging revenue in Q2 this year exceeded what we generated for the same period during 2019 for the first time since the onset of the pandemic. As I noted earlier, we generated solid organic growth across our product lines. In particular, our air freight forwarding revenue was up 79.3% year-over-year. This outsized growth is probably largely due to the result of pandemic-related supply chain issues. Certain customers are willing to pay more for this expedited service to get their product to market. This accounted for approximately 50% of the increase. Looking ahead, as supply chain issues resolved over time, we expect the current demand rate to soften in the airfreight side. It's important to note that significant higher fuel costs passed on to customers as a component of our pricing artificially impacted revenue particularly in our specialized transportation segment. In step with our strong top-line performance, we continue to generate strong EBITDA and margins. Despite these inflationary times, we were able to maintain margins because of great collaboration and integration of our acquisitions and a red velvet rope approach to our present business, which emphasized even more focus on our workers, employees, drivers, and our present valued clients. EBITDA increased 54.6% to CAD 46.3 million in the quarter from CAD 30 million in Q2 last year, and our EBITDA margin was 27.3% compared to 28% in Q2 a year ago. EBITDA margins from our US operations, Skelton USA and Boyle Transportation, are in line with our consolidated margin range, and LSU achieved a margin consistent with our logistics and distribution product lines. Total comprehensive income was CAD 27.6 million, or CAD 0.49 per share diluted, compared to CAD 13.1 million or CAD 0.33 per share in Q2 last year. We've entered the second half of 2022 with a very strong momentum. I'd like to turn the call over to Peter to review our financial performance in more detail. Thank you, Michael, and good morning, everyone. Revenue for our healthcare logistics segment totaled CAD 48 million, an increase of 38.3% compared to Q2 last year. The increase was primarily attributable to our acquisition of LSU on March first of this year. Year-over-year growth in our logistics and distribution product line, reflecting greater outbound order handling activities for Accuristix, and increases in transportation billings impacted by fuel surcharge programs from carriers which are passed on to customers. Further, our packaging solutions contributed 10.7% revenue growth in the quarter. Revenue in the specialized transportation segment totaled CAD 121.4 million, an increase of 67.7% compared with Q2 last year. The increase was attributable to 70.8% growth in our ground transportation product line, driven by incremental revenue from our Skelton USA and Boyle Transportation acquisitions, organic growth and higher fuel costs passed on to customers as a component of our pricing. Our air freight forwarding and dedicated and last mile delivery product lines also contributed to growth in our specialized transportation segment, with year-on-year revenue increases of 79.3% and 27.6% respectively. Michael already discussed the drivers for the strong growth in our air freight forwarding line. Growth in dedicated and last mile delivery was attributable to incremental revenue from route expansion in Western Canada and increases in fuel costs passed on to customers. Cost of transportation and services was CAD 82.8 million or 48.9% of revenue, compared with CAD 47.3 million or 44.1% of revenue for Q2 last year. The higher cost of transportation and services was primarily attributable to our acquisitions of Skelton USA and Boyle Transportation, and higher fuel costs in line with the increases in revenue related to fuel prices. The increase in the operating ratio this quarter reflects our Skelton USA and Boyle Transportation acquisitions, which have increased the relative proportion of specialized transportation segment as a percentage of our total consolidated revenue and cost profiles. Direct operating expenses for the quarter were CAD 28.3 million or 16.7% of revenue, compared with CAD 21.6 million or 20.1% of revenue for Q2 last year. The increase was primarily attributable to outbound volume growth for Accuristix and the acquisition of LSU. Our specialized transportation acquisitions, Boyle Transportation and Skelton USA, have lower facility-related costs compared to the healthcare logistics segment, which resulted in the lower direct operating expense operating ratio in the quarter. SG&A expenses were CAD 12.1 million or 7.2% of revenue, compared with CAD 9.2 million or 8.6% of revenue in Q2 last year. The increase is primarily attributable to our LSU, Skelton USA, and Boyle acquisitions. The decrease as a percentage of revenue reflects operating leverage generated within SG&A functions compared to revenue growth. Operating income for the quarter totaled CAD 30.2 million, an increase of CAD 11.4 million or 60.5% compared with Q2 a year ago. Approximately CAD 3.9 million of the increase is attributable to our LSU, Skelton USA, and Boyle Transportation acquisitions, with the remainder attributable to organic growth. Net income for the quarter totaled CAD 21.0 million, up CAD 13.1 million, or up from CAD 13.1 million in Q2 a year ago. Higher segment net income before eliminations for both our healthcare logistics and specialized transportation segments contributed to our increased profitability on a consolidated basis. Total comprehensive income for the quarter was CAD 27.6 million, reflecting foreign currency translation adjustment gain of CAD 6.6 million related to our acquisition of foreign operations, Skelton USA and Boyle Transportation. If I look at our balance sheet now, as at June 30, 2022, we had cash and cash equivalents of CAD 29.3 million and working capital of CAD 49.2 million. This compares to cash and cash equivalents of CAD 25 million and working capital of CAD 31.6 million at 2021 year end. The significant increase in working capital is primarily attributable to the increased scale of our business since the acquisitions of LSU, Skelton USA, and Boyle Transportation, and the repayment of amounts drawn on our revolving credit facility. At quarter end, the aggregate amount outstanding under our credit facilities was CAD 50 million under our term facility and nil under our revolving credit facility. We remained well positioned financially to pursue growth opportunities. I'd now like to turn the call back to Michael for closing comments. Michael. Thank you, Peter. Well, since the time of our IPO in December 2019, we've significantly strengthened and expanded our platform, delivering on each of the components of our growth strategy while maintaining our disciplined approach with respect to both financial and operating metrics. We've continued to build on our unique culture where employees, drivers, owner operators, and customers continue to be our most important stakeholders. I'm extremely proud of our management team and our personnel in successfully managing our day-to-day operations and commitments to our customers through all of the additional challenges related to the pandemic, inflation, et cetera, while also supporting the advancement of our growth strategy. This includes the many contributions of our new partners at Skelton, Boyle and LSU, who have shown that the management employees and drivers care about each other and its customers with the same passion of other AHG companies. This has been evidenced by the incredible collaboration I've witnessed between Accuristix and LSU, between ATS Healthcare and Skelton Canada, and between Skelton USA and Boyle. I mentioned earlier that we've entered the second half of 2022 with strong momentum. We are well positioned to continue building value for our stakeholders for the rest of the year. I'd like to also announce that we will be increasing our dividend to CAD 0.07. Our board approved that yesterday for all the shareholders on the line. That concludes our formal remarks. I'd like to open the line to questions. Michelle, please commence the Q&A. Thank you, sir. Ladies and gentlemen, we will now begin the question-and-answer session. If you would like to ask a question, please press star followed by the number one on your telephone keypad. If you would like to withdraw your question, please press star two. Please stand by for your first question. Withdraw answers. Your first question comes from Kevin Chiang of CIBC. Please go ahead. Hi. Good morning. Congrats on obviously a very strong second quarter here. Thanks for all the details in your prepared remarks. Maybe if I could dig into your margin performance in Q2 in the sense that, you know, we've seen a lot of transportation and industrial names that have, you know, what I'll call pricing power, such as yourselves. They've seen sequential margin erosion, even if they're capturing inflation dollars, just given the flow-through impact of surcharges. You know, you stand out here in the sense that, you know, you saw sequential margin expansion despite rising inflation. I believe the acquisitions that you've made over the past 12 months would have initially been dilutive to your margins. If you could just maybe dig in a little bit further as to maybe some of the puts and takes that you were able to pull on to offset maybe some of the headwinds on margins in the second quarter. Hi. Good morning, Kevin. Yes, indeed, there's no doubt that, especially with inflation, the way it is, and I think I spoke to that a lot in the previous quarter earnings call or various investment calls, that we were wary of the input costs. I think I was, you know, everywhere we looked, we saw double-digit input costs, never mind trying to get access to equipment. The labor market was, you know, so tight, particularly in the first quarter, that it became evident. I think we anticipated that. When we did our business plan last year, we were anticipating that already. We were seeing the signs. You know, part of the red velvet rope approach that I refer to is truly this year was really about focusing on each other and our customers, enhancing the communication lines, and supporting each other. Part of it was, you know, with all our companies, you know, at Accuristix with, you know, with the cost of storage going up and leases going up and letting customers know that this was in the pipeline and getting them ready for it. This was done, you know, pretty much Q4 of last year. Part of that is the discipline that we instilled, enhanced communication. You know, we went out there and gave our employees an increase right off the bat in January to start the year off. We looked at all those, and we communicated to that. You're right, we do have, you know, certainly the ability to speak to our customers and let them know that these resources are important, and these costs, you know, and keep those in line. You mentioned about the acquisition being dilutive. I'd like to disagree on that, Kevin. I believe that it actually has surprised me how it's done the opposite. That's probably attributable to the incredible collaboration that I've seen. I'm amazed to see how collaborative these the owners of these acquisitions have been, and the employees, and the willingness to work together and collaborate, and share. The one thing that's come out of this is the best practices, and not everybody does it perfect. They've quickly been able to adapt to say, "Hey, this is how we do it here." All of a sudden. You know, for example, Accuristix, you know, we've talked about vaccine distribution. LSU has incredible experience with the vaccines with the Quebec government and be able to share the best practice. Now Accuristix can go to Ministry of Ontario, and offer these type of services or. I'm just giving you an example off the top of my head. Certainly Skelton from an ESG standpoint, where all their trailers they are able to plug in the reefers when they're stationary in facilities. Having our ATS facilities with a plug-in capability, so when the trailers come in, that they're able to be plugged in and not have to run on diesel fuel. Those are some of the examples, and they're fast and furious, and they're being done collaboratively, and those best practices typically end up on your bottom line with better efficiencies. I've seen that as being a real windfall for us. That red velvet rope approach is a focus on each other and then our customers, you know, the good communication and as contracts come up, we had anticipated that. I mean, hats off, like I said, the management and the team have done an incredible job in keeping the line of communication open. No, it's obviously a great performance. Maybe just if I could ask on the dedicated last mile you saw strong sequential growth and year-over-year growth. Looks like you're expanding your routes into Western Canada. You know, are you seeing maybe an inflection in the opportunity that you see within this segment? You know, are you seeing changes in maybe consumer buying habits, you know, coming out of the pandemic? You know, just any commentary there. No, our business is like our friends at Mullen's line says that, you know, "Be boring, make money." Our business is somewhat predictable and boring, really, when it comes to healthcare consumption. It's not fashionable. I guess maybe sunscreen, I guess maybe, but when you're traveling, but it's really not. We don't see that. We still see the pharmacy channel being very strong. I guess you can probably ask your friends at Loblaw with Shoppers or McKesson or Neighborly and see how they're performing. I think you know, certainly the trust in pharmacy by Canadians is still very strong and we see it with the volumes going into the pharmacy. Well, that's great, Konark. Just one last one for me, just maybe for you, Peter. I apologize if I missed this. The CAD 22 million in organic revenue growth in the quarter, how much of that was fuel surcharge? Or fuel surcharge increase maybe is maybe the better way to ask it, if you happen to have that number. Yeah, we don't really disclose the portion. Okay. It's just difficult to measure across all the different business units 'cause it's not all the same way, but so we don't really disclose that number. Okay, that's fine. It's. That's it. It is significant. Okay. I mean, you can probably do the math on it, just for you know for reference. If you look at diesel prices for the you know the average diesel prices in Q2 of 2021, probably around the CAD 1.20 per liter mark. For Q2, it was over CAD 2, CAD 2.10, and sometimes over CAD 2.28, CAD 2.40, I think it reached at one point. So you can imagine the amount of you know fuel surcharge revenue that was generated. I would suggest that half of that would be fuel surcharge. That's why I needed to indicate that in my call here. That's helpful directionally. That's perfect. That's it for me. Thanks again, and congrats on a good quarter. Thank you, Kevin. Your next question comes from Konark Gupta of Scotia Capital. Please go ahead. Thanks and good morning, everyone. Congrats on a good quarter. I want to dig into the packaging revenue, actually. It seems like, as you pointed out, it was not also up, or not even just up from last year, but also up from Q2 of 2019. In 2019, I noticed that there's been a little bit of volatility between quarters on that revenue line. From a pre-pandemic perspective, in terms of demand in that segment and in terms of, you know, like, people and resources in your shops, where do things stand? I'm like, just, like, not just looking at revenue, but looking at the volume and kind of, you know, your capacity in packaging business, where does it stand versus pre-pandemic? Good morning, Konark. It's pretty much business as usual from that standpoint, from the co-packaging. Part of the co-packaging also includes the packaging, which includes Credo. Interestingly enough, you know, baked in these numbers, there's actually a decrease in Credo sales and usage. I think I alluded to last year that every province had ordered, except for PEI, Credo packaging from us for the vaccines. It was fast and furious on that standpoint. That's dropped year-over-year, quarter-over-quarter. Our co-packaging business, certainly, you know, one of the largest sunscreen products in the country, we co-package for and other large consumables. Certainly there was an uptick on that when you consider that, not many people were traveling over the last couple of years. It's not an area, Konark, that I'm putting too much emphasis on. It's very complementary to our Accuristix business for our clients, but it's probably the most commoditized part of our business of all the segments. You know that's great, Michael. Thank you. My last question before I turn it over is on the kind of the industry environment. The U.S. government came out with a Medicare package just recently, and there were some talks about, you know, drug price reforms there, et cetera. I'm just kind of curious, obviously, you guys are starting to build out your U.S. franchise with the two acquisitions. The drug reform, which is kind of proposed in the U.S. We also have something similar, but in a different way in Canada as well. Any thoughts as to what kind of implications do these reforms in the U.S. or Canada have on your business as you look forward or your customers on the manufacturing side? Yeah, I think, for me, I mean, the U.S. market is definitely a different market than Canada's even. I'll focus on the distribution aspect of it. The distribution in the U.S. is really dominated by the three wholesalers, that being McKesson, Cardinal, and AmerisourceBergen. That's probably a question for them more so than for me. At the end of the day, you know, Americans or Canadians don't consume more because the prices are cheaper. It's a matter of drug manufacturers dealing with generics. Maybe generic companies might have, you know, an advantage maybe with these type of reforms. You know, that may be an area where you might see increased business from a generic and less from ethical manufacturer. I think from that standpoint, it really does not impact our business. I'm more concerned about the FDA regulations when it comes to the movement of goods and the transportation, the temperature controls. That's an area where I'm bullish about, because there's already discussions about it, and we're seeing that with our manufacturer clients who are starting to ask more of that in the U.S. That makes sense. Thanks for that. I'll turn it over. Thank you, Mike. Your next question comes from Tim James of TD. Please go ahead. Thanks. Good morning, everyone. Congratulations on a great quarter here. Two kind of bigger picture questions, I guess, Michael. You now have approximately two years, I guess, or almost two years since you started making acquisitions. They all seem to have gone so well for you, but are there any challenges that have come from your M&A that have created, you know, lessons learned for the future, or have they been as seamless as they appear from the outside and by looking at your results? Yeah. Tim, that's a good question. I don't take anything for granted, certainly. I recognize that our business is about people. Character is definitely one of the areas that I know we look at from a sports franchise standpoint. We look at drafting players or the likes. We look at character as being, and sometimes it's something that you really can't measure. The culture of a company has proven to me that that's an area that I now focus more on because of the success that we've had with these three acquisitions in particular. Because if you do have the right same culture, then the collaboration becomes even greater. The things I have learned have been, you know, it's actually exceeded my expectations, Tim. That's why I like to speak to it. With respect to, you know, it hasn't come easy, I might add. You know, I mean, certainly you got to do the right due diligence. Peter and his team and our executive team have, you know, are very vocal and honest about their assessments, which makes it easier to navigate, but it takes time. This year, you know, to me, I made it clear to the board that I really wanted to focus on our employees and our customers this year. The challenge is time from a due diligence standpoint and being able to do it right. I think that's what it is. I think the input efforts is the challenge. We've said no to many initiatives, you know, sign the NDAs, looked under the hood and said, "You know what? It it's gonna be a lot more work to try to, even though it is accretive," you know. I think that's been our approach. The challenge is making sure that we found the right, the right fit, and they're out there. I mean, at the end of the day, I think people want to work for a company that appreciates the efforts, that's employee-focused and that's, you know, what we offer. Okay. That's helpful. My second question, I'm wondering if you can cite any areas, and I'm thinking across your business broadly, you know, any areas where you can point to where you've taken market share here in the second quarter. Maybe I should open it up to call it the first half of the year, if it's easier. Or do you feel that once you exclude acquisitions and fuel surcharges, your revenue growth has been kind of in line with the relative industry growth rates? Tim, another great question. I think that's the message that, you know, it's been a wonderful, like everything. All the stars aligned in this quarter. I think if you look, you know, closer, you'll realize that the organic growth really was in line with the industry, which was mid- to high-single digits%. The fuel artificially rose that. Certainly we're extremely pleased with our margin performance. That's indicative of a lot of factors. All in all, we're, you know, we've shown to be consistent, and we'll continue to show consistency in our margins. I, you know, we haven't strayed from that. Interestingly enough, I mean, one of the areas that we've looked at, you know, particularly on the logistics side of things, is because the pricing of new facilities was, it's, you know, grossly. I say maybe the word grossly is not probably the right word, but it feels that way, inflated. You know, we felt it was more strategic to ensure that we take care of the present customers and look at, you know, look at all our margins and look at our business and create, like I said, that red velvet rope approach of the business. You know, I think when industrial leases, you know, it's become a bit more reasonable, and I really believe that we've hit our peak in that space. That's just my opinion. That we will be in a better position, you know, in a year or two year to put the top on. On the transportation segment, while the U.S. continues to grow, we've been limited by the equipment access to equipment. That's been, you know, it's not even as much as on the driver's side as much as equipment. They're starting to flow in right now on the U.S. side. But there's been a big demand for our services, or, you know, from a security and a temperature standpoint. On the Canadian side of things, we've really focused on our employees. If you recall, in Q1, we had issues with staff and whether it be the COVID outbreaks or the fact that people were reluctant to coming back to work, who were working from home, et cetera. We really focused on our customers. In some cases, we've actually looked at the less complementary clients that i.e. medical clients, medical equipment clients that really don't need our services because we offer temperature control. You know, if it's a radiology equipment that has to go to a hospital, which is complementary from a linehaul and last mile delivery standpoint, but really doesn't need temperature control, we would ask them to please find another carrier. We've really focused our energy on ensuring that there's a smoothness to it. Really, if anything, we have not taken any more market share. We've just improved, you know, our relationship with our customers. Great. Thank you very much. Your next question comes from Maggie MacDougall of Stifel. Please go ahead. Morning. Good morning, Maggie. My question was around the degree of pricing versus fuel surcharge versus true organic growth that we can look at when we look at your reported non-acquisitive revenue contribution in the quarter. I think you sort of just answered that when you discussed your organic growth relative to the industry as being mid- to high-single digits. We'll leave the question open here if there's anything further that you'd like to add. No. I mean, I think at the end of the day, like I said, we really focused on our present clients and making sure the communication was open and clear about input costs. Certainly pricing played a part in the revenue growth. We did have, like I said, organic growth. We could have probably had more organic growth had we decided to, you know, be more focused on more sales. To me, it was important. You know, our employees and drivers and management were, you know, they worked extremely hard over, you know, the previous year and a bit with the pandemic. We just wanna make sure that there's an opportunity for, you know, people just to focus on a bit more normalcy. It's been incredible. The best part is that, you know, we've been able to become more efficient and that's served our clients well. Our on-time performance is at an all-time high. It's allowed people just to take a good breather. Yeah. Well, hopefully that gives you a bit more color. Yeah. No, thank you very much for that. The other question I had was around your expectation for price increases implemented to be sticky, and I'll exclude fuel from that because that's just a pass-through. If we do see inflation cool, which, you know, who knows if that's gonna happen or not, but let's say it's possible, would you expect to maintain your pricing at the current level, given that portion of that is wage increases, and I'm not sure that you'd be keen to roll those back? Oh, definitely not. I mean, I look at, you know, I think Metro just announced their quarter results last night as well, and they seem to have passed on that to the consumers, that all the inflation of their goods by looking at their numbers. The cost of groceries aren't going down. The cost of housing, if you can't afford a house, you're gonna have to rent now, and renting is not gonna go down. I don't know about clothing, but certainly when I look at the necessities, the basic necessities, I don't think our frontline workers in particular aren't going to see, you know. It's been difficult. I don't want our frontline workers to have to be worried about having to get a second job in order to manage their family. For us, it was very important. You know, and many of our facilities, we don't have a bus line. You know, whether it be in Chatham or in Belleville or, you know, in some of these. Most of our employees drive to work. Mm-hmm. Still, you know, we kind of alluded to the fuel prices and all. There's not gonna be. Unless there's deflation, which I don't think is in the horizon, our costs are gonna be, you know. But it's a matter of understanding what our costing model is and in many cases, sharing it with our clients and say, "Here we go." You know? They have the same issues, especially if it's a transportation client where they have their own distribution centers, so they know what their input costs are. Right. To me, it's keeping an open line of communication and sharing that information and we're, you know. It's one of the hardest things for a salesperson to do, is go in for an increase with a present client where they have a good relationship. It's not. We don't like to do it, but it's. We hope not to have to do it, you know. Right. By becoming more efficient as well, so. Okay. Okay, thank you, Michael. Have a good day. Thank you. Your next question comes from Walter Spracklin of RBC Capital Markets. Please go ahead. Yeah, thanks very much. Good morning, Michael. Good morning, Peter. I just wanna come back to your comments, Michael, on U.S. regulations and the opportunity you see there of increased monitoring and of temperature-controlled transportation component. If we were to see that happen, what I'm trying to figure out is how much lead time will you have as a company versus competitors that will be looking to build up their own ability to offer what you've been offering for so many years. Well, do you think the government will provide that lead time to get the, call it, the incumbents, the national carriers, give them time to build up that type of investment in their equipment? If they will, if they won't, what do you generally see as your lead time to profit from that? How much can you in fact capture, you know, given your existing footprint, that growth, if it were to come? Good morning, Walter. I can't believe you didn't congratulate me on my second quarter. Just kidding. With respect to that, to the US, I'm looking at how Canada evolved with respect to GUI-0069. Typically it's done, you know, inspectors go out there and they go and the manufacturer, and now in this case, wholesalers. Then they kinda say, "Here, you're not being compliant here, so we're gonna, you know, here's a observation. How are you gonna deal with it? Here's a timeline." Typically, what they're asking for is, "We wanna see progress. So the next time we come and see you, we wanna see a progress." Here's the problem. There's not that many inspectors out there, and by the time they come back and see you, it might be a year or two years. Here's the other problem. It costs more to move goods in a temperature-controlled piece of equipment where, you know, a trailer will cost you over CAD 100,000 when you put the extra insulation, so it's validated properly. It's not a typical trailer. You know, the reefer equipment and the technology to validate to make sure that every part of that trailer is maintained at the temperature, not just the front part of the trailer or the back part. They're more reluctant to spend more money, especially if you're a wholesale distributor, where you're looking at all your costs. It's a work in progress, but ultimately, you know, the FDA inspector or the Health Canada inspector can shut you down too. They do take it seriously, and I think you've heard me say it, you know, over and over again, you know, in our world, particularly on the drug side of things, it's you know quality trumps procurement. The manufacturers actually are the ones who are probably gonna push it more because the manufacturers typically are global in nature, you know, they're global enterprises, and their QA obviously have to deal with other countries, and they understand that. We're seeing more of a request from the manufacturing standpoint, you know, requesting, you know, the UPS's or the Kuehne+Nagels to, or the, you know, whoever 3PL or to use a temperature validated equipment. It's a work in progress. I'm figuring they're probably about, I don't know, I guesstimate, I think I talked to the board about that maybe 5-7 years away with where Canada is. Yeah, it's a work in progress. This is not something that's gonna happen overnight. You know, we understand the business. We understand the customer. We have a relationship with the manufacturers, a reputation that allows us to, you know, to continue to grow it and understand it because all we handle is healthcare. We don't do anything else. That's our approach to it in the US. I guess, you know, having that manufacturer, that history with the manufacturer, and if it's coming from the manufacturer, and they're used to dealing with you, that'll give you a little bit of lead time, a little bit of advantage in the U.S. if and when that does come about, your relation. Yeah. Walter? Sounds like we lost Walter. Michelle? Yeah. His line is still showing active, but I'm going to advance to the next question. Bring him back if you can, at maybe at the end. Absolutely. Awesome. Okay. Your next question comes from Endri Leno of National Bank Financial. Please go ahead. Yeah. Good morning. Thanks for taking my questions and congrats on a good quarter, Michael. Well, somebody has to do it, so. Everybody else, I was just more a jab at Walter, that's all. Yeah. I'll start with a question on the U.S., potentially from another angle, actually, maybe perhaps another growth opportunity that you might see there and just your thoughts on it. I think there was recently, a month or so ago, a report published at the behest of the White House on assessing the US Pharma Supply Chain and the need to onshore or to nearshore everything from precursors to raw materials to finished products, increase inventories and all that kind of stuff, or to more friendly countries, let's put it, versus the U.S. I was just wondering if you can talk a little bit about that. I mean, and to the extent that there's capacity to do that currently? What would it take and what could be the benefit there for Andlauer? Yeah. I mean, I think the benefits are big. You know, I look at a company like UPS and how I'm admiring their approach and on taking UPS Healthcare as, you know, truly a separate part of their business, focused part. They're feeling bullish about it too. I mean, they just finished an acquisition in Europe, a significant one, creating a network. Now they're, you know, global in scale, and I tend to be more domestic focused. The approach is the same, and we're looking at it from probably the same lens, except theirs is probably 30 times stronger. I feel pretty bullish about that approach. You know, I mean, you look at precursors, you know, obviously with, you know, the drug trafficking and safety. The one thing I did find interesting, you know, as I'm learning about the U.S., is security becomes way more of an issue than in Canada. Certainly the government is there to try to make sure that they protect that, and I guess maybe that's what it's all about, and as well. How do I answer that? I think there is. Something will come out of it. I would anticipate that in 2023 we will be seeing a little bit more interaction in different lines of healthcare in the U.S. I just was in Massachusetts at a Boyle meeting last a couple weeks ago, I guess, Peter and I were. It was really engaging to listen to some of the pharma folks that spoke, some of the security folks that spoke, as well, because we have to have a board that is U.S. board because we're foreign-owned and we handle Department of Defense product at Boyle, and saw the relationship between security and healthcare. Anyway, long and short of it I anticipate growth there. You know, this is not even a year old acquisition, so we're still learning and feel comfortable with our footing. Certainly the initiatives by the federal government can only help our business. That's great to hear. Thank you for that. Another question on potential kind of growth. This one a bit closer to home, but I think two or three weeks ago, GSK and the federal government, they announced a new flu vaccine contract to be handled out of Quebec. You just acquired LSU there. Just kind of wondering your thoughts on whether you'll be able or willing to participate in the distribution and the handling of those flu vaccines. The answer is willing, yes. Able, yes. Ongoing negotiations, yes. That's to be continued, but we're very, very excited about that. Especially, you know, LSU, they have been doing the vaccines. Quebec is the only province that outsources their vaccine distribution, and has been doing it with LSU for many years now. We're bullish about that. Awesome. Great to hear. The next line of questions, it's a bit more back to kind of that organic growth. And I mean, our numbers, at least our estimates show you had like somewhere 8%-9% kind of organic growth in the quarter fuel surcharges. Would you expect something like that to continue in coming quarters? I mean, also mentioning that you exited with strong momentum from Q2. Yeah. I mean, I feel pretty strong about that. I don't see a trend either way. Like I said, we're pretty predictable industry and from what I gather as a. Yeah. Okay. Good to hear. And then, the last one I had, I mean, you also mentioned, or perhaps it was Peter, on the growth opportunities, and I'm thinking about acquisitions, at the back of my head. With just that kind of thought in you, is there some area that, for example, through an acquisition you might like to expand or add a capability that you don't have? I mean, is there something that would kind of fit in the company that you currently don't have and would improve the offerings that you- Yeah. When I look at the logistics chain, one of the things that I see, you know, when I go visit the Accuristix and LSU facilities is the amount of returns that happens. Typically, the returns are never go back in stock. If you have a Drug Identification Number, you can't, so then destruction needs to happen. A lot of this stuff is outsourced, and it rolls well, but it just doesn't. I think there's a better way. Certainly looking from a returns aspect and destruction aspect, I think there's probably. Especially with the network that we have across this country, I think we have an opportunity to maybe find a better way in working with manufacturers in a more effective way. you know, we talk about co-pack. When you talk about our packaging business, it's co-packaging, but we don't do a contract packaging. That's an area that maybe, you know. That's listening to the customer and being there for them. If the need arises, they'll be, you know, they'll be talking. You know, their businesses change. You know, certainly, you know, biologics is an area that that's, you know, that's not gonna go south. It's going north and understanding that. That's why when we did the capital expenses of getting the fridges and the freezers in Calgary and in Toronto, it's proven well. They're, you know, it's a lot easier to fill those these days. That's great. Thank you. That's it for me, and congrats again. Thank you, Endri. Your next question comes from Walter Spracklin of RBC Capital Markets. Please go ahead, sir. Walter? Mr. Spracklin, your line is open, sir. I apologize. There must be technical difficulties. Gentlemen, there are no other questions. Walter? Can you hear us? Now we've lost Michelle. No, sir, I'm still here. Oh, okay. There's just no response from Walter. Okay. Well, that's. Walter knows my number, has my number, and line's always open for him. Okay. Well, that's great. Well, thank you very much, everybody. I appreciate all of you participating this morning. Thank you and have a great day. Ladies and gentlemen, this concludes your conference call for this morning. We would like to thank everyone for their participation and ask that you please disconnect your lines.