Earnings call transcript Q2 2023

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Ladies and gentlemen, good morning. My name is Abby, and I will be your conference operator today. At this time, I would like to welcome everyone to Unifi’s second quarter fiscal 2023 conference call. Today's conference is being recorded, and all lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question-and-answer session. and now you, over the Thank A.J. to Instructions] I turn will conference [Operator of Treasurer. Finance President vice Eaker, and

You may begin.

A.J. Eaker

Thank you, Abby, and good morning, everyone.

today Officer; Chief call Ingle, the is Executive Carey, On Chairman; Chief Executive Officer. and Financial Creaturo, Craig Al Eddie

securities included and these about cautionary During that X presentation can laws. today's this within from that the involve or deck of are difficult in Relations certain are guarantees Actual of that These be webcast Please certain unifi.com. statements projections which our current Investor that our forecasted, the slide implied call, in website, the by be be not statements. based operates. in risks turn and materially will a Unifi that on you Management differ forward-looking cautions we’ll predict. meaning section results the management, may markets statements statements what federal to Management and/or referencing performance, advises expectations, outcomes found to expressed, future call estimates for is statements. are Page these of statements of

directed XX-K are that on adjusted various the call. You certain that impact SEC discussed this with measures be adjusted as non-GAAP EPS, may capital, please results. advised regarding these Also, factors debt working be XX-Q may Form financial disclosures on Unifi's EBITDA, net the such to and filed adjusted and

now Al I'll to turn it over Carey.

Albert Carey

going joining turn thanks Ingle. call. this few and A.J. have our for and to this off, to CEO, it Good to everyone, morning, I'm Thanks, kick remarks I over Eddie then a

most of and you we of a for in been you ago, also clear their June to have discount significant environment their about very has stores, that XXXX the couple inventory apparel of way inventory think had Christmas of this this pre-release to heard of trying materials the that the back two a through had quarter holidays. see, began can all backlogs in and you way retailers they've this our all At operate and brands I in and the in inventory imbalance in, that it as point, XXXX. have apparel difficult out system weeks and of And today. and saw So, been

So, worsened for this significant before. reported then had and impact a us also it's is we been very as for our it's with definitely and our in has issue QX. while, and persisted, on actually QX a persisted this profits volume And

news. is Now, there good

operations, in portion it the and have this month see and a a of should January for well. We gradual that we is pickup With retailers, to US our great looks is improvement same like improvement China a our having our corresponding fiscal for seen the backlog in through business, from then year, US of our because profitability regards in a an there orders inventory of business balance US retailers. Asian on impact as business,

Lunar ended a So, has for that it's all situation volume had significant Year the our This holiday week. Asian Chinese way through last business. decrease New continued

soon. We'll very more do week couple up to in we weeks, level of know manufacturers this but opening many coming of that volume the expect some in We are improvements China. see next know

hard a say I gives material ideas. has One has on And from and were going working our very and of their recycled optimism it I'll future future The our all opened, reductions. busy increase aggressively, been increases, terms period gave attrition strategy and headcount customers - this holding on, we've We've tell and to at volume by been sales, actually North us continue positions pandemic REPREVE. gained that show labor likely cost able been definite to right While all the us costs. working work our people American and a but in voluntary several momentum apparel, for managed that of now. on was our there's to very excess and on avoid would our our with their to way brand inventories and activity brand the you, include has the customers the interest up with through also in organization customers will reduce for this for opportunity

at balance team a has the in sheet a new we strong thanks done this facility. tough even to Additionally, job have good generating and environment, a cash, credit

quarters, that to believe the remain behind about turbulence see in despite we the In of the two you most last kept employees for we in six even an just that very over place, attitude, we Unifi face control. see them. more is improvements we're the next they've have enthusiastic team working all challenges, do well and hear had are and done and we're during tell worst from our to You'll the We going profits proud management though timeframe us, the months. and this, the also fundamentals volume I’ll this Craig. good and these gradual of hard business beyond in to closing, the offset and a challenges their long-term job have Everyone's

are of them. proud we So,

he'll this at point, details of Eddie take performance. you our to - So, turn Ingle, me presentation CEO, let the over our through it turn over and the

Eddie Ingle

and Al, everyone. morning, good Thanks

stemming production. destocking fiscal have quarter we apparel results Al disruption operating difficult reflect global result continued and a very measures, environment experienced, As demand the slowed of our from XXXX noted, the second inventory

commitment company mentioned, amazing really amount very have to thank of industry, shown As I the a an their period across while resilience the for to and work. challenging employees enduring want and hard I our them their

the confident sustainable growth business a global towards model, For and as optimistic business in remain fibers. leader reasons, opportunities our future are in the of we we many

In slowdown the led results our of that anticipated. US magnitude our caused results our unforeseen, efforts impact overcome beyond the trends globally, particular, $XXX.X that demand in higher for we This to disruption we normal million, and than unusually XXXX. worsened to December, Now, and more an were in turning for impacts of to amount had Slide second closer quarter apparel negatively were sales by net in across became to would levels fiscal able second largest This look XX% resulted the inventory becoming what decline severe. quarter. stranded, brands our at X operations, destocking a more was profitability. production below in to the far the a the The these quarter, quarter down business our costs not and November compared resulting macroeconomic impacting domestic of fell the quarter, cautioned the adverse large retailers, fixed expectations. retailers, in our world's unfavorably we caused Last from which demand in and

while our business supply these for be difficult Now, are term, near challenges levels disruptions retailers to respective operating a as our inventory temporary and have to their brands and expected the business the work chains. apparel normalizing created environment through in

our business the quarter, and experienced recovery. on improvements us to November out process levels intact, to this as last and In the levels the our core few and meet weeks, we've bottomed as to December are December, the we notable we remain in we that ready road out, model seen that normalized plays already return business out, the we demand While more levels. remains leads in to is demand optimistic compared increased believe weekly which Al pointed in demand US, trends to in

the Americas by of material in during leverage primarily with the from costs higher December, volumes. pressured was Profitability quarter on asset lower loss the

moving solid to are us position stabilized current against input We quarter. in pricing putting a costs and glad see our December quarter, that third into levels, the during healthy is the

remain will Our today expectation both energy is prices that situation, the volatile. and geopolitical

we don't any However, pricing significant have actions planned. currently

in We US. temporary continue we've headwinds offset efforts to challenges experiencing in been the be our to the of proactive impact the and

lower of spend second positions took programs, term delaying received. of some measures we've saving included purchases, overtime open cost backfilling and the advantage raw quarter, minimizing extending material external some production headcount temporarily, we the lowering shutdown taking of the and the of extensions payment During hours, to periods, reducing

In segment lunar Asia, This mix, decreasing significant and sales sales well lower cost recent versus to Brazil, the cost any measure. remained quite against and demand from capacity earlier offset compared margin following to a prices much see of are with new was year in has we completely by Brazil's elevated in Brazil from Asia, performed demand with maintained the continue The market excess connection a demand purchases. while that inventory rich to ago. our with recover pressure strength operations months we Asia, strong higher in strong historical as higher volume optimistic a profile profile, Turning margin will year.

lower Now, comprised sales REPREVE the XX% to fiber significantly X impacted Slide to in quarter, by net sales, of I'd Asia. move to fiber. the products REPREVE In like second on discuss

the near co-branding. the the full rebound to confidence REPREVE REPREVE environment new continue future will momentum customer see products, that in we normalizes, brand have and adoptions, strongly sales in for operating We as once

fiscal we in brand the In XXXX quarter, to million REPREVE customers. fact, hangtags shipped second XX.X

On of REPREVE to PR activations, placements. gain social traction, product with the mix marketing and co-branded a continues front, media partnerships, launches,

as we virgin activation. winter more PR. step brands and was media, marketing, & to Asics several In digital we’re become products, co-branded that a to co-branded launch sustainable, The to H&M. hangtags, Arcade larger supported converting several new partnership. quite QX, first Tailor, launched order of and styles REPREVE Asics, polyester During REPREVE. And is Tom including included from committed proud Asics was core social by Belt, launch particularly The styles, and much and in this the see successful,

at mobile our the Asics-sponsored March. will in Marathon activate example, For tour LA

million the quarter. secured certainly Our XX new to is we fruit strategy PR in during XXX bear impressions as resulting placements, over starting

awareness driving resonating combined partners, from highly Additionally, media. on engagement. of curated content, with is consumer and is our REPREVE social new brand mix increased key creative imagery direction well A particularly branded

quarter, Pottery (Ug), Barn, Scotch many Yoga, Over and, among with & Soda, the Beyond Rigolo, we partnered others. Quicksilver

NC attendance. end fans our December. mobile Season Charlotte shifting XX,XXX activation was there watching Maryland, a Now in Mayo of the University tour at to cumulated at activations, with the Duke’s partnership State of I play in over myself with Bowl Bowl

a mix the people. shows Takeback impressions of Through we strategic designed the this the core live with mix. is media to media. announced Takeback XX, reduce article's building year look over fabric Trade across X.X production BXB waste Unifi of to expansion over on and garnered was program diligent coverage, relations, was forward million - on partnership, ESPN tenant or to Additionally, notable of our trade Textile On XXXX media Unifi's so Textile from the launch marketing a broadcast XX XX.X lifecycle. November XXXX business at first and for the Textile million remain game XXXX. Takeback. pieces an end a of lifestyle of of generated three-year the

This November. to exhibited not in yet Running Unifi tenant and customers. Munich Running and The is While new in first back levels, time is the and well in at potential ISPO pre-COVID Event existing both Show, received we our exhibited both at was The brand Austin by

QX to levels. on and are to business REPREVE ahead momentum and more the both focused on building in return Looking beyond, normal seeing back we the

With that, I'll now Craig. Craig? turn to call over the

Craig Creaturo

completed and just demand of retailers Thank we everyone. morning, exhibited quarter good the you, impacts brands. Eddie, The and reduced by

our capital drove first managing activity working significant to focused than profitability. short-term we our the and margin and pressure on believe flowing Outside we chain, the quarter, goals. is supply and our fiscal demand costs pursue team long-term remain Softer as products remains disruption, expected operating apparel continue for through our nimble strong, of than underlying to the management lower

in to like the Before reviewing would the I discuss income items statement. two segment (indiscernible) performance,

interest First, during to $XXX,XXX, the a recorded refinanced and quarter, portion incurred facility of transactional non-routine $XXX,XXX credit debt approximately when expense, as fees expense. were we were costs and interest the in driving extinguishment second increase banking our

from paid. efforts certain payments Second, we Brazil income benefits in December taxes filed of quarter, tax In Brazil. returns our tax components prior to recognized in we additional period the amended recovering recover

the As approximately associated cash within receive months of a result, $X.X million XX we the refund expect next or so. to

been expense that our fiscal You item that has relates understanding calculation tax EPS current in to will the the adjusted note of this included year. improve to

segment reportable the Let's Slide begin X performance. review of the to presentation of to turn our webcast

in and XX.X%, mix driven sales by prices, offset flake generally demonstrated impact the by sales. segment, the volume proportion higher revenues Americas significantly a selling partially For levels selling lower Asian sales with that strong, imports and with reductions chip volumes. Price of decreased lower higher X.X% in by anticipated the prices we increase from the mentioned Brazil, earnings volume call. with that prior offset an In were average pressure was connection from

by decrease For of the our the million, pricing sales volumes apparel sales quarter, were overall strong. Accordingly, segment, apparel majority vast mix weakness, and while XXXX Asia challenged with the characterized since near-term December consolidated remained were by weakness. net $XXX.X production

levels, rate demonstrated of at fiscal of appropriate costs competition. and and prices negative to allowed overtime, declining from diligent negative higher gross and this expected selling minimizing Americas profit decreased million, to the our the We cost and during from Brazil, operating decline by input year. fixed margin Slide help in quarterly made pressure to goods with the X margin the took $X.X difficult in attributed absorption. gross import the The to impacted reduce costs on impact the gross to associated cost while employment $XX.X percentage, actions Consolidated shortfall control sold X.X% million to were Turning gross overview. profit weaker for low cost on were the profit to to levels, attrition labor gross quarter. from segment’s margin start Brazil's X.X%. normalize product efforts demand, current hours gross profit In

required The with REPREVE Asia Our maintained strong market sales profile, selling a current of lower constrained more a prices a dynamics. at the the margin level high products, proportion albeit adjustment demand. due segment to gross to

to Our be asset-light prove choice a for model the region. great Asia continues to

into have drives trigger compliance January pricing was refinancing only borrowings helpful we continues established our is level available million coverage interest million available $XX.X our fall $XX.X and years, this a quarter and million, XXXX, and the runway loan. and Thus, an consideration purposes. $XXX $X.X increases covenant level short-term credit borrowed completed Outlined great We in flexibility million. became note level. flexibility could $XX.X from against $XXX liquidity ended It's earnings that we majority revolver, the Fixed springs during borrowings borrowed was trigger second if the quarter has second maturity asset-based $XXX rate but moves rate loan, provides the lending as quarter. This to the facility million our our described current facility loan demand capacity overall to to been term the our significant during borrowing expanded the to of we million ABL charge Accordingly, term trigger the Xst, on period Slide softness. for October favorable place new structure against our XXXX, the with before for leverage X, borrowing borrowed below ratio of and be date and outstanding of ratio our new our end borrowings in million, our several helpful extends applicable. At not facility. that on release, our

balanced X or opportunistic Moving our we to and M&A allocation, approach the capital expect growth, strong Slide to highlights. repurchases our balance organic continue and and (indiscernible) for a and to maintain sheet to sheet, remain business in balance Under prospects. invest share

so program, under a the conducted remains As for million reminder, repurchases repurchase repurchases $XX.X share fiscal current with in XXXX available no far.

most we proper During timing and assess this conduct capital the ensuring continue our the expenditures, investments. environment, demand to of of purchases advantageous magnitude the payments suppressed we vendor and

for fiscal reductions in quarter expenditures third we sequentially quarter subsequent with further the are XXXX, this along outlook, flow in As less fourth expecting cash of capital fiscal of noted XXXX. our in

back the to pass now some comments. make will Eddie final call Eddie. I to

Eddie Ingle

before Thank turn we over to sessions, the our I'll you, expectations and give Craig. quarter. the fiscal the outlook Q&A And third you have we an for call

domestically we're and are environment in markets, within pressures. we through operating apparel on working As regions and retail the this discussed international both demand trends and demand seeing, the call, our still

demand the signals year. expecting half results the second choppy, our are remain Although stronger of we fiscal in

sequential and improvement And the pace we quarter we're recover quarter. industry, year. to calendar apparel the will the textile with third during the from the this, the operating expecting trends expect from second a at environment For demand the modest modest market operating

year. third expect quarter, Asia slowdown the the revenue after For normal sequentially get fiscal to we new during increase we in the past lunar

expect We on an expected our basis, operating income effective rate adjusted performance operating tax significant volatile. sequential is and and remain to improvements

navigate, sustainable the valid about today. remain remain that challenges not our global position need we optimistic of drivers Unifi The growth near-term fiber and of remain leader. as our We future potential business changed. demand there to While has long-term a

on with normal maintain strong we credit we as leverage will sheet opportunistically have amended team looking we the everyone initiatives, sustainability well course, facility, act globe. being when growth environment, and and brands where our on continue positioned our choice the balance and the We’ve Unifi been Of to to expanded of partner increased liquidity remain our can forward focused across time we more to pleased our through a to the strengths. is on

We will Thank you. now for open the line questions.

Operator

you will from Thank question Instructions]. we first with And Daniel Securities. Moore take our CJS [Operator

open. is line Your

Daniel Moore

wondering, questions. morning. Maybe clearly “modest” more turn for or guess in Good we obviously I'm that taking significant margin macro. and on operating with, in detail increase great positive, Thank this overall give Thanks at expect bit of challenging challenging, visibility the gross is Any difficult looks what improvement color start more QX? revenue I the you. fiscal like sequential to for and little stage? a you kind do EBITDA or

Eddie Ingle

other question, of down. much From not take over didn't as to I'll to perspective, a volume Dan, nicely. that as part or QX, suffer hand They it then down coming Brazil were certainly back of severely segments is the some they I'm business the during as Craig. three and going segments,

Asia, it than lower calendar in normal That relative volumes expecting month, of the to expect to November we but than was which was are QX what further happened the back in January, very, we the better nicely. come in So, levels increase resulted a volume very month. COVID. the around very there December production In during end even decent strange the

going uplift relative uptick are now, weeks US, seeing of month to of the nice And holidays. refer a quite relative to I'm first we nice a beginning in December sort December to So, two we the we're where of a are beginning the outside there. to to of see the

positive all So, all segments. around in quite our

Craig Creaturo

the X% units up for the January. first more three of little the Yes, a were color retailers, on weeks

very it's So, it window It's to small than definitely - look was. it’s at, better. better a it's but

Eddie Ingle

as where seeing - that to January, as expecting profit. far positive here early we Dan, like the QX, so your commentary versus that volumes positive And the in is feel where gross thought for say our we've gross to to return we add giving do be, to to color signs would especially comfort additional to are question, X% to seen, of that We I around would XX% us profit we're March in returning January up we will be they quarter. or this I our sales think here outlook, X%,

here expect yet, I we a to and rebound out in as as in slightly watch - continuing think similar but tougher Haven't they was new just mentioning, finishing had a still December kind seen did we're the this lunar Eddie Brazil year, that of quarter we're quarter. lagging - Asia. a have

As kind normal more to level, definitely we return noted, to input costs a more profitability. to start and through really of them price. was more lot expect reasonable and a competition got some flowing we of to that on lower challenges That's

all much So, improvement that adds up margin for gross a QX. in noticeable in

Daniel Moore

pricing. out, versus of timing flowed on it's of around mismatch the in appreciate of COGS extra of as just in jumped you - world Craig, increased color through helpful. sort which it. Asian magnitude sort impact I Brazil. tease any terms just but terms and know all into question, led my from of volume Super the impossible flowed next competition that was the And to I -

how to those trying prices quickly your as in back. snap how is a control you might increase sense margins and Just much get for

Eddie Ingle

in that jump I'll answer Dan. Yes, question, and

and the putting QX was quite at that changing and prices. It conditions. fiscal - that is into the were are to us happened Chinese as down resulted very situation fiscal incredibly Brazil to we Our in market-driven The where reacting should low importers Brazil unusual. now. on was what Asian And QX yarn have market really similar the was XXXX in Brazil, we there market to in

down said, higher through flow the coming improve that price material the that and will raw We margin purchased, also. volumes QX significantly back are, there. we that And nicely as we in will

change the there. will profile profit that So, down

Daniel Moore

and quarter? a but in - of Got input just volume we jump it. declined? or more, versus pricing Just of maybe sort are. was have in one forward Maybe of kind a costs the bit little queue, And to can be pricing where as expect headwind I back more do the we going what

as costs You stabilized, virgin mentioned back latest, bail pricing? from stabilized, well but input in? the both pulled have a What's perspective, bottle as

Eddie Ingle

will Americas, inventories quarter, all from declining we the QX. the Brazil, priced In have Yes. of in than more impact QX through input be move In probably passed as really the material through QX. significant we our higher raw costs

nicely we relative take more we volume - know we'll And looking expecting stable, positioned forward raw a costs. What come our raw we're that QX, pricing we're have can seeing is material normal back in material So, ad to that. to cost. more this so of our is advantage

Daniel Moore

Thank it. Thanks. I'll back in you. any queue follow-ups. Got with jump

Operator

we Sidoti. instructions]. from Thank will Lebiedzinski you. take next Anthony [Operator And our question with

open. line Your is

Anthony Lebiedzinski

thank and Hey, you morning, questions. for taking good the yes,

inventory your down a as it certainly sequentially, and first, basis year-over-year on was well. So,

So, have of most cost think that? we inventory How the high now? should about by sold you

Eddie Ingle

have saw going does And where raw Yes, flushed US, we the we In price chain, margin costs, it say which and through QX. their longer. QX. has that we in Brazil, flushed impact inventory it's coming move of because out supply I inventory the QX, a - in really little because bit in take in we would longer impacted the had their a to material in pressures US, problem, profile, the the particular through. of really we the in QX high out as saw we're They a

regions. Asia, In occur. that haven't had situation - both we So, that we China good quite about feel in in

Anthony Lebiedzinski

it. Got

Year. periods there, companies for heard taken then as Asia, you're that extended as other we've as companies from Okay. seeing lunar many as what New far the Yes, that. more And thanks far shutdowns of have around

any we're So, here, just past I are think picked what's, really and lunar is that have seeing up? that the what, year, you new now things happening that signs what's

Eddie Ingle

Yes.

So, on that. two comments

suppliers, and also. You're year our new but just our, lot extended take shutdowns not lunar of right. did January, also customers, the in A was early

people So, sometimes to with if made, it difficult and get the out of stuff even are that you wanted to get it the made. in was number workforce, some along

seeing we're are we're are February usually over The a are signals The quite for getting some interests. There’s lunar certainly We in just good. huge the in innovative holiday. product only have we garnering Asia February, - there's past in week there we a demand new REPREVE. When make products six-month lag.

So, we know certainly February, the are for inventories. over to we've to in that to reductions gearing but reductions timeframe. order going changes sales, still need the they're placing a last now retail and retailers, in to to for six some that they they're seen level, made And over in companies, But street their of They'll have the brands, on be continue there the and do months. you. inventories Asia work have start next There’s they've are to to and orders fall Thank march fall meet going - six for lot demand at heard brand up months. the that and to do going the we Christmas.

Anthony Lebiedzinski

Got it.

quarter stabilizing. material up you for so X.X%, then, was And in costs consolidated talk on Yes, your price a about basis, that. Okay. the mix thanks but

that environment, of perhaps? as pressures do level you that you adjust confidence pricing pricing, may as is perhaps because So, or have hold competitive to think what weak your your your macro given the to ability current far

Eddie Ingle

all the that time. ourselves we a ask question It's

we around the very market very balance approach to how we we strategic in opportunities. which are we're between years think and market, the how It’s we've thoughtful approach But different volumes a and We pricing, very several how are being the to changes made ago. are pricing. always from used I

I being the come for we're little a pricing. more tell us to volumes and to which time, will very we thoughtful waiting back, allow customers. you, are So, to be same in being At our will considerate strategic we're our

Anthony Lebiedzinski

Understand.

And last Okay. then question.

it curious said, you've but other Is heavily markets, that I just from to you're guys So, and saw will that environment the obviously you you being apparel similar beyond to what as make this it expand do with realize to this tied for current macro vertical very that you downward seen markets. trend that in quarter, the we're difficult in, think more apparel?

Eddie Ingle

Yes.

think to everybody December. in trying reduce through inventories they were So, their US went I the as

their So, destocking being a orders people of through as the manage trying canceled quarter. lot cash we saw were to that place, taking

Some apparel, be beyond what we we’re - markets chasing home. of call the beyond would

seen nice out mattress. some have holiday We coming the interest of in season

seen have is, their I they demand that is think automotive. two in things. We past in also achieve, uptick some but in to an inventory wanted some there gone And there targets they've One are uptick some some demand are on in on the apparel, the markets. apparel trying beyond in very that of some less service. of particularly those on still focused US, different And be markets we to dependent, we

Anthony Lebiedzinski

best Got it. of much Well, and you very thank luck.

Operator

Securities. CJS follow-up will take questions from Moore Daniel And with we

Your open. line is

Daniel Moore

Yes, thanks.

follow-ups gave of CapEx is to lower detail. covered you tick good we go through year. as going and the balance my was of One Obviously, the

flow or half, the and usage the Just generation relates might like the free look cash to it back any half as what terms Thanks. the of year in position. comments liquidity on either either QX for or flow cash, operating cash for of back that

Craig Creaturo

Yes.

the put been period fiscal ‘XX. release, doing we six-month in we've of Dan, that the think, cash to FY in a of lot I first noted cash operating comparison, million a in ourselves things same million months generated we $X $X we FY By help used six that year. position. of into good had In this

We've US, about pricing per We a of amounts the on our being that back make to good responsibilities. in moderated. US allowed got we're everybody really of need about has done We've through actions to inventory. slow I we've about it. the additional here take the specifics some there. doing as well, again, comments and we've of reduction lower careful sure on And inventory really And kind being talk we that's XX% pound like asked attrition, feel the evaluate, seeing. purchases. workforce, we're and is really, to through things things labor we people specifically, doing lot in about We've We've wise. up and what So, think are a did the taken that really lower Al's stepping that got price we backfilling where

So, do XXX XX% we've and been people here able to domestically. around or about that's that,

in the are generation to spot. business anticipating up we'll that ready those have higher a have good sales, things we of and comes From and cash higher a we're that actually to have back, set as be to perspective, than us a have. we'll So, the for little that accounts thinking build need we'll of levels start of bit to levels be inventory then receivable, more some

the we’ll of couple we've utilizing that using back. up know of as that we've be over room. plenty here So, be or business to grow quarters, that. are working again, setting to to capital able done do Good And recently we it head us some things next got comes

and very don't our are our or also as this we're self-sufficient. need again, a operation both very region. - bit, require operation, So, Brazil think Asia They I our cash touched we of fortunate, from little on operation both and Brazil

regions, spite of in that's financially. both some are of demands both them So, very Even lower helpful. doing in fine of those

to take come address business prepared but that going it's that. seeing to to some forward we're looking back, address capital and to that, are we know do we So, working

Daniel Moore

again. Thanks Perfect.

Operator

concludes this gentlemen, and for and ladies participation. And your call, we you conference today's thank

You may now disconnect.

Unifi (UFI) 2 Feb 232023 Q2 Earnings call transcript