NNBR - Earnings call transcript Q3 2019

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Operator

Good day and welcome to the NN, Incorporated Third Quarter Earnings Conference Call. Today's conference is being recorded. At this time, it is now my pleasure to turn today's call over to Mr. Mark Schuermann. Please go ahead, sir.

Mark Schuermann

operator. you, Thank and everyone, joining us. Good thanks morning, for Investor Mark VP, and Schuermann, Treasurer Relations. I'm welcome third I'd conference to like you to NN's call. quarter earnings XXXX

a Officer, to the and Abernathy and Chief Our and Officer. please If copy. the is contact morning a Financial send or is Warren copy they'll the needs Executive presentation, of call SVP presenter XXX-XXX-XXXX attending release Veltman. be Macgregor DeByle, Interim Tom you at anyone happy Also press this Chief President supplemental

I'll press begin, take risk of as call, live conference presentation comments we XX, company's you Before ask statements Q&A The well the December note as including the ended this the XXXX. the to that made forward-looking XX-K same regarding on contained and year webcast. applies session, for factors of today's cautionary release, language section in the today's supplemental language

used will today markets should tax presentation foreign flow, sales, regarding to and which defined subject cash performance of SEC Our our rates, as many company's non-GAAP various results, outside synergies, forward-looking exchange These certain caution with statements rules. the contain includes uncertainties, The operating other are and control. topics. of acquisitions, margins, rate, statements by risks measures future presentation and worldwide be also are

to non-GAAP that and over the supplemental the prepared remarks. business Warren the our presentation. and A I'll and the said, you. tables now contained and the commentary for the Warren, turn results, such is on line reconciliation in of after of we'll in Tom measures release With the final call questions press section discuss provide open will

Warren Veltman

Mark. Thanks

to revisited gain our NN's the understanding first the a some us analysts of present. to that earnings As this previous Based on is Tom my and like that information earnings of would better calls shareholders call, and and capital review, analysis information hope adjusted expenditures. outlook, the capital have the of more our financial results presentation financial and earnings additional presentation present informative. you regarding find the to performance working revised company's we group's and we I

overview quarter. of an Let's the start third with

Our year or primarily sales ago. group, organic life million, from were were million XX.X X% one up driven our sales were sciences year the from prior QX up by XX% XXX.X where for from sales and

The and over margin year. operating from expanded EPS income third this quarter XXXX. X.X% X.X% operating GAAP improved basis year QX both XX to income last points

previous in shares, in lower and net income sales XX.X million and from income to from increased adjusted and of increased operating share per improved million this loss our one adjusted note also with number to XXXX, X.X a the million EPS to in $X.XX up $X.XX QX the to share year year. of EPS XX.X% the XXXX, the a XXXX. outstanding XXXX million XX periods, in shares or QX in in number adjusted versus previous was XX.X% EPS XXXX EBITDA XX% consistently Both that in to Adjusted this margin loss EBITDA of year. than an XX.X $X.XX slightly Please weighted $X.XX of adjusted of ago comparison increasing was XXXX. and QX XX.X% resulting XX.X% per in of quarter was reported sales EBITDA between year

during in same million. XXX net flow NN quarter, in of quarter a debt in the million XX.X XX.X of increase the million over year cash reduction to one quarter generated free the third resulting an ago,

expenditures. and reduced plan Some in capital operating include significant highlights through announced our free during improve the expenses flow cash quarter reductions to

quarterly also Life eliminated We margins to continued operating have cash improve. sciences dividend. the

and costs solutions effectively mobile to on reduce Power with solution's associated sales fixed to were its volumes. lower up growth organic response meters, in X.X% sales continues smart

that best announced other the interest close initial ensure is our we a more are these Due are of previously to evaluating capital structure structure, stakeholders. The company in options refinancing we review of had expected detail the of this that the profile a all highlights cost result in financing of to we to the presentation. will throughout week. its We refinancing achieving

committed structure we that that plan, reasonable to be aligns can capital a and remain a with We strategic established establishing such optimistic our on terms. structure are

We have options. our evaluating assist retained advisors us external to in strategic fully

response incorporating the of As technical with guidance growing these consultation the accounting Form a Consequently, credit of result company, our to our filing current in language in will facility revolving and prior concern surrounding the situations XX-Q. the will delay financing, with our be to auditors, our in XX-Q. be the independent

we our in with our X. informed our exceeding improving facility our October team expectations a We their three, additional provided we to cost-reduction will margins; focus that are the immediately on When initiatives We've able Page on would delivery; and free our expenses. establish strategic started overhead focus quality be debt. the to down I plan the prior revolving flow things; focus a by told one, credit two, on XXXX. that SG&A would I customer consistent improving and excessive, and for be on servicing were CEO, on optimistic with of detail our operating first capital paying reducing cash that and those select three as the costs interim structure I expiration employees

of million expect group of reduction To X.X date, footprint of an in the we to corporate over group a we At rent the time, and our consolidating immediate X by reduced in expense. yielding annually. our same reduction corporate million XX%, achieve are headcount have the

long-range believe needing this early, of the one will not financial space a year, but and future. incur contemplate us a We plan space in less likely exit will penalty does our than the to I be the payback portion office

recently closure focused are year, groups saving end also annually. operating the Our of facility streamlining Fairfield by the overhead Power $XXX,XXX solutions costs. on of related announced the this

yielding fixed during continue XXXX. margin sciences an focus of announced additional October, in Life this late transferred the its $X.X to other growth SG&A while additional current reorganization structure, Mobile on million which facilities The group the will expense be Ohio to reduction its will includes facilities. enhancement, in maintaining experiences bulk of business solutions expenses.

overall cost We to cost additional structure consolidation cost and more be continue for analyze improving will footprint our facility opportunities for competitive. structure and to our

previously and focused we also As indicated, dividend on our we have are capital reducing expenditures. annual cash quarterly have eliminated

to August last X%, quarter arts Slide sales and sciences Turning grew year. revenues XX%, for year. revenue X, associated which Life third basis, the consolidated our with by total segment. increased the the prior solutions grew of closed in acquisition incremental On power almost assisted a that details technical by X% versus

the automotive posted with headwinds, reduction Mobile sales GM in a strike. to solutions due global coupled

sales Paragon the and real weakened within by euro growth versus solutions. in growth overall May to XXXX, as organic a continued and XX.X% extent, a acquisition exchange power of the sales basis, On grew Brazilian U.S. life the sciences the of in primarily Foreign sales lesser driven dollar. reduce year-to-date to

accounted was growth XX.X% growth; organic and foreign headwind acquisitions X.X%; a Overall, for our was exchange X.X%. of of

I'd to over Tom more performance like a our Now DeByle provide it in-depth financial of Tom turn to for review can quarter. so the

Tom DeByle

compares to Please a Thanks, basis. Warren. which to turn GAAP our quarter basis results third non-GAAP a on Slide X,

the One NN, the adjustments better I two to on category slide. for into CFO special As items our at new is break transparency. down as referenced chose categories

expenses. unusual onetime are These

and the few over number years. called the integration company of The to the transition past expenses due non-ops, other acquisitions has includes captured made category, integration historically

The exchange The on detail amortization provide adjustments. some loans second next adjustments will includes effects of foreign slide also intercompany category more and of our items.

GAAP numbers on XXXX, Still for to reported the both column first from left quarter and XXXX Slide shows using X, numbers. derived and reading right GAAP the third calculations

items, you adjustments column shows Second will which adjustments. the special generally category first nonrecurring are recall to of

The excluding special of third column The is the fourth category column non-GAAP, second integration adjustments, items. non-ops. shows

a shadings, categories adjustments. highlighted both XX positive gross is Stepping on of basis profit which back increased considers and adjusted can excluding XX profit, Gross right see increased both the negative both column indicating adjusted increased page, fifth of basis total the numbers for on and Non-GAAP profit basis non-GAAP gross the XX points. total special points. variances. and And points items, basis GAAP green you side non-GAAP, the year red

income increased XX increased XX was basis EBITDA Non-GAAP EBITDA, EBITDA points. basis Non-GAAP excluding items, points. on basis GAAP income, special XXX basis up basis adjusted total reported And points. points, increased a basis operating and XXX basis increased XX special items, Operating increased XX basis points. adjusted income operating non-GAAP a on points. excluding non-GAAP total

be Bottom segments: from XXXX. These expenses to sales of business reported line operating the that with longer in fourth a company we industrial is solutions the transitioned no after and matter a income it. life ball-and-roller quarter Transition percent mobile profit, measure were as sciences, power the past diversified of company three solutions. shown gross as improved costs and no will a you and integration how EBITDA

of non-GAAP, go which and CEO a granularity million reported related charge of Let's relocation between of excluding tax-affected transition to items and were items X.X incurred X, prior with quarter special total office. Compared non-GAAP. Slide million a XXXX issuance million X.X $XXX,XXX. arts reduction cost million special to X.X for of restructuring debt tax of acquisition, other items write-off million a we technical X year, related of prior costs, unamortized Johnson Tax-affected to a from the asset-impairment acquisition adjusted cost, bridge million special costs in August of and of the item City provides from specifically X.X discrete X.X more the the GAAP, transaction the

and nonoperational capabilities of that development, on foreign integration XXXX, amortization million and metrics Again, on year. prior professional intercompany QX million loans and million, adjustments loans amortization financing costs. million In year X.X X.X X.X integration development, intangibles of on the our deferred year capacity of fees are and and costs. X.X and financing deferred right in capacity intercompany of of million, intangibles million improving bottom million of X.X of transformation million of over the were million, transformation for for of million, X.X and capabilities X.X side the the X adjustments Tax-affected shows tax-affected foreign chart of line of fees exchange exchange X.X were X.X and professional

with at fiscal the in X. year. the Working the X.X third million end to end million. the turns quarter working prior quarter of Net million of the decrease prior X.X at in Turning of third XXX.X year, the was X.X Slide capital a versus compared were XXX.X capital

the quarters. the million. EBITDA debt debt at times improvements segment XXX The versus Please on is showed versus million inventory by X.X DSO focused as the in and X Slide impacting the decrease paying down funded the turns, agreement the was debt was end XX. flow third to year, sciences in in Net and company's improving million the prior times XXX year. overall The of results. in positively coming to prior a cash company of of measured ratio quarter turn credit X.XX life Our

in date. to quarter year working Slide million generated flow to the XX and in cash spending. We shows our result the cash flow a a partially was XXXX. the improvements flow quarter for improved million XXXX third XX.X lower management, The of free capital operating free compared free XX.X cash increase results cash quarter capital third in of and of flow in negative of

negative the in XX.X in at that net that fourth higher in million capital negative free anticipate not very million slide. Free cash repeat cash It fourth expenditures. and a less and We is positive speak flow operations by to we'll of due was primarily the quarter from year, cash to X.X point in on on as XXXX in of more that and XXXX presentation. tax quarter XXXX important the and quarter, footnoted will basis positive a this cash cash later flow to the refund XX.X fourth flow the provided prior note provided million year-to-date operations

XX.X XX approximately Cash to our capital Slide in and expenditures third capital were trends. XX.X amortization million XXXX. summarizes the million spending, quarter depreciation compared

in capital For lower the percentage the year. units was compared company's our to XXXX of year's of business X.X% down spending across X.X%. sales, all prior QX spending quarter, prior the There from was capital

in year. capital has XXXX. XX.X sales total On the as million spending a spending basis, its XX XX NN million of four a exceeded the the in spent year-to-date past depreciation NN X.X% prior capacity and, on years. has or X.X% over manufacturing versus increased million of anticipates company or expense capital of sales

better X%. to to Going NN and activities targets capital of in this spending will directing operating range capacity forward, focus on and sales be the utilize

cash back down to call the This will debt. that, to us up I'll With pay turn to Warren. free allow

Warren Veltman

Tom. Thanks,

year. sciences in prior year. Adjusted increase products, group for presented have operating improvement operating system driven from prior and and the sales for XX. additional information has to The XX% life tray starting XX.X% an of by increased our over the margins each groups, primarily been Page our We the orthopedic with profit XX.X% yielding or year-over-year on case delivery has

of XX% results XX% As approximately to a reminder, amortization. intangibles are the due the from GAAP adjustments to

seen margins. We EBITDA of have adjusted and expansion our also reported

continuous of Our positive of trend performance result operations. margin international improved installation improvement, is our process the automation of and

XXX QX. is XX million reduction backlog a Our million, from

us have and recently that new and allows our product interact of improve the delivery expected to launched process customers We with proactively planning application with sales our dates. matching ops requirements

more implemented, application will our fully result is in reduction this a expect it As that backlog. we of

in look as As in level of same to we continue trend relates XXXX. greater do the XXXX is forward, product growth to it new expect expectation X% we QX comparisons, than at quarter. X% with the upcoming introductions occurred as tempered expect the year-over-year expectation to positive not somewhat XX% a we that growth

year sales, margin manufacturing that uncertainty plan. are has sales in created The the summary Page to is America sales expect we in from XX.X% the new mobile business business due on and to moving included in production, latter programs while due incremental delays solutions tariff during down expect, integration we North processes continuing stages the declines leveraging Mobile to improvement environment of due a primarily of our end to improve Paragon As a launches, to XX. continued ago

mid-September. and that the of supply percentage as QX uncertainty adjusted reported sales sales in GM impact of and EBITDA EBITDA started chain In strike, has a in which created the spite of reductions, over the the increased XXXX. both

settlement been with supplier September contract. offset indirect Through positively customer also fixed The benefits a on reduction results million the labor, were labor had reduced sales the XXXX, that in costs. of SG&A of quarter impact an a end related The the by X.X of the and annualized has reduction defaulted basis. by of litigation impacted on were by

on adversely not believe XX. Workers the first the impacted on Auto previously that Based strike fourth the October current volume do lost It schedules, the United will fourth the be Mobile's concluded likely customer results inventory after will be of our As recovered the during announced, quarter will by that we quarter. occur year.

group some reductions. of programs, We process production margin on the manufacturing improvement expect costs, impact and and be of some XXXX completed including the focus indirect this to on of reduction for due carryover new modest will growth through fixed start-up in labor the improvements XXXX additional

levels. in including from management, improved expenditures addition, and free reduced cash expected flow In capital capital is improvement working reduced inventory

to Moving power solutions.

both was operating discussed, smart with sales adjusted points labor driven in Margin and and X.X% increase acquisition. the points, due and technical to by operating comparison previously is in improvement and demand Power over organic by labor year to prior to As efficiencies. profit years increased year respectively. growth SG&A increased indirect reduction GAAP XX meters and basis XXX from due basis profit associated direct incremental sales arts

closure Fairfield expansion electrical We process as continued growth footprint, of of sales margin both with expect to and our moderate facility coming and such XXXX during the facility our optimization improvement. from and continuous defense due aerospace

EBITDA profile. and continue free capital a to significant cash higher generate low expenditure to margins will due flow Power

summarized fourth we for year quarter Lastly, have the XX. guidance the and Page on our

million. guidance As XX to with it for XX. sales EBITDA previously the to to relates of fourth million million XX Sales be the as the in quarter are on adjusted to million, from the and XXX announced XXX is range range expected an EBITDA, same October

of this debt in cash flow note million, through to remains free to of adjusted positive the Please year. expect million estimates We with $X.XX place the of XX an assume structure EPS XX end these $X.XX. current

call will questions. we the and for remarks, to turn prepared our the back now concludes operator That

Operator

from with Lake [Operator question Markets. be first Capital Brown Street instructions] Rob Our will

Rob Brown

of, in about little prior use growth single rates Could your business, First, on with high Or a color sciences a I in the digits. think your you is life sort that slowing And line more is thinking? talked there. XXXX the from expectation? in that,

Warren Veltman

think expectation. line our in I with that's

business we're introductions year. was starting One of new of that our first we've the to slow in product in the next due would, the that in of introductions And seeing that would things new significant business. product of half number quarter first expecting or the been that that pace down that the

is from So to the expectations. this X% rate with line single-digit in growth, growth our X%

Rob Brown

to it guess, then at guess, you decline thinking cycle? maybe again see wanted why business I in but you in XXXX? in of just point XXXX And market there. the I this clarify down do I programs again. should think with me this I business, that not Mobile new understand, How that your Is offset some help And said that,

Warren Veltman

We've program delayed. seen the in to don't fully We some decline capacity anticipated some we've of we've And that the due a had, we expect utilized in been make to is that, the in frankly, to a of were also new XXXX. in primarily today more some we sure that XXXX have environment. customers XXXX delay due our place tariff working volumes with in that launches

Rob Brown

And the then the I question, financing last discussion. on guess,

You you on, that talked what's hoping resetting sort thinking you're looking at? alternatives what you're of, said sort your are, of, you're, And the timeline the for? about,

Warren Veltman

I for put we capital our structure in that thing is that think important aligned plan. place strategic us the is there most a with

this. thoughtful we So that the to very be we're in go going about way

going understand strategic make the the to But through structure We our that we're continuing haven't us, we and plan. approaching to in that for various structures are set it, sense most specific mind. to it urgency timeline. so with surrounding our the a would trying We lenders talk optimize and vis-à-vis

Operator

KeyBanc Markets. will Barger question be next with Our Capital Steve from

Steve Barger

the strategic have how just Morgan get deck. firm I'm are where review. nice sense law in to trying and on the is, slide My been a the engaged? Really improvement first JP we question long of

Warren Veltman

focused to evaluate Thacher, their the time. period and some of we've are efforts of an company advisors helping us More of been our have for and extended to Both options. Simpson those, strategic trusted recently, Morgan JP

So that, forward we'll are and with about go prospect. excited them with the

Steve Barger

start of Did weeks ago that couple months of process a a ago? couple or

Warren Veltman

than evaluate the a where more process annually extended couple planning of of ago, company. weeks couple ago. a board The more we excuse weeks of me, through It's direction recent strategic goes a the just than

So for us, it's ongoing an process.

changes the But to we've at we're the that. doing as strategic in to goals redefine and With the plan, and the we how business of it had in the process. recent ongoing that of look an we've seen process it's deleveraging, relates

Steve Barger

Can about savings reduction. path And geared million you to great there without significant cash flow? at free cash XXXX you sales? see think realistically, in really is It's how debt look early the give paydown toward any debt to XX a asset

Tom DeByle

Yes, there better certain, It's the management, along let's elimination with say, working capital through with the movements obviously, plant dividend, looking is. reductions. optimization these SG&A of at

have we be that So we're of reducing XXXX. a in line to sight debt going

Warren Veltman

focused Steve, that. to quarter in and think, And board our and I for what on extremely reduction this is you've the with quarter, view, just our third management beginning deleveraging in $XX.X million the the the team expectation the seen fourth this is, business. this of

Steve Barger

Yes. in on free it Good a draw cash the that source reasonable going all flow flow to expected half still you to half? and going No question. be positive first QX QX. in be a could the Is then free and job Or in think you in forward the are back cash quarters?

Tom DeByle

goal at mean, anything cash free But promise flow to every be positive ultimate quarter. want eventually don't would this I I time.

Warren Veltman

inventory the some cash from where one now. of receivable come most and is the free build first seasonality build, a right probably, of there's we're difficult seasonality that and The the is Steve, seasonality too, some quarter flow the add, and would But analyzing a business, from quarter that standpoint, we business, the the I some of standpoint. out

Steve Barger

sale and double-digit The I'm like press NN. margins. options public you sure for or a a all And life release lost EBITDA me. the strategic at or, part companies look sciences last said private of not it's that on one include that trade

business to of sheet if what Power great going can the a divest So to balance is it better really in so and sell and/or benefit delevered you're something, be clearly wouldn't life shareholders get really a sciences? Mobile

Warren Veltman

what sold. of Yes. we shareholders, the businesses approach about company. trying the process We're to goal trying approach to if going that to or our That's scenario mind most our any, where to going through to deleveraging best are it speak we're doing most a what's likely, a to maximize go for with goal. be We're have as the specifically create and to relates in not how also value certain going

Operator

[Operator Thank instructions]. you

CJS will next be Daniel Our from with Securities. Moore question

Daniel Moore

of to And of thanks as are refinancing the and the start, echo very sort of just for start any each of, for wanted credit the us of it balance improve we debt, profile profile. sheet, the of you the the Where relates updated the walk QX. the just your to about to interest expectations of timing might look maybe presentation, tranches what facility. talked like Tom, cost when the expense with terms position in And of, through for you be potential additional overall color transparency helpful. the with, Maybe today? interest on I goal expense

Tom DeByle

that Warren be Well, before I the our in our new the to That's what guidance end as in refinancing to we've QX, that there's is going have we of what over guidance. for no went year. modeled the said,

markets, expense. Going we forward, the with will have higher obviously, interest

Term up will B. We April one coming our tranche from become current year of a have that that in

try we're our structures to so different do long-range at plan is. just for And what various to best looking thing the

all So time. options we're this at looking at

Daniel Moore

or very then it improvement XXXX cost-restructuring profile commentary color the helpful to segments. in those given terms the some outlook potential Any relates for as margin point across of of And this initiatives? at

Tom DeByle

we margins we to expect Well, as improve move forward.

when we and XX-K call, in, have conference improve this next cost quarter, in plus which will SG&A reduction the forward. going and we're should But plant give March. issue be with our optimization, on which and not guiding our fourth margins that increases we'll reductions, until probably volume As

Operator

instructions]. [Operator Thank you

will next KeyBanc Barger Capital from be with Markets. question Our Steve

Steve Barger

get think cap? as Where cash out got year? down about And cap quarter. conversion on going the into you days working million can XXX much the more next can you Primary that just you go? in working how cycle of cash to where can take Or

Tom DeByle

Steve. I inventory, looking due lowering And out days past early for just focus working higher further. cash coming that about, we're on This trying in. talked push all looking I'm just capital. terms, we is at me, turns, have Warren DPO so mean, at as I those And inventory to receivables, more improving

in from the, the been I'm hose, I've on drinking we'll understand. just fire and forward, you this focusing So going be if

Steve Barger

you what a modeling if this. dollars SG&A the should think will spend And dollars rate next corporate just And we How run year? question, have in about or expense be?

Tom DeByle

We're still working through that. We'll when March we give next further guidance year in our QX. release

Steve Barger

one product talk brand wrong, even just about kind the between I'm location, launching the the more. if you're where we in new, new Warren, you've a be think curve. past, Can correct And there something riding done Auto? that learning philosophy of it's I versus if in big CapEx And and differences just for building me tooling but can

So market to how of at? are you terms right programs approaching willing look you're the what in now

Warren Veltman

Steve. question, That's good a

capital redeploy, standpoint. looking or across businesses. we've look we trying strategy it we're working clearly, the when with deploy is at capital group of three the the modeling to on sales organization, And is one the invested the intensive team capacity. there of to been existing our a most from capital from So And standpoint, return at a things that mobile

be that able XXXX. going we're why the there spend reduce we're to reasonably confident CapEx that's to in And

to from there if level product above is current an a XX% annual sales which the we look on example, have manufacture you million China the of at $XX As volume basis, the an standpoint. capacity operation, probably

significant on pursuing to selling So into the existing spend. team require today is as capacity CapEx will programs that focused opposed

Steve Barger

conversations how the wins? value give just And and you life Can to going talk an sciences recent contract update model us on marketplace. is the proposition in new a back Just about for or evolving the second.

Warren Veltman

we've comparison, obviously, continue had out. going you We've, we expect when to Yes. the and that significant look year-over-year there success at

things really the of team make is And the some in on machining end supplier a I That indispensable automation there's is facilities put to of there done makes standpoint. additional lot our a just important, ongoing. that from an has of more is you, cost-effective some been automation us side, to us the would we've the through of labor One some capability. of that investments action tell as and modernized what customers. And

positive, So rate to obviously, going be for quoting the continues solid a ongoing performer hit extremely we be and forward. that the to and business expect us,

Steve Barger

life this, it that for question, sciences lower would seen a maybe but have end-market of to hit the you happen would significant what like X require I something. And slowdown to value proposition the Because prior and X%? the end pretty sciences, backlog to life that missed I, seems the you've in in given or

Warren Veltman

Yes.

stick I more That's to speculate would It's think what about happen in months. require fill, but we could end we're looking specific the we're learn an going of to impact that to lower that right range. X new with at which negatively, the X% range. upcoming what hard us events the certainly, now. to drive the And product can will introductions that, or either positively inventory

Operator

Thank you.

Moore will question from Daniel Securities. be next with Our CJS

Daniel Moore

where on be delta thoughts get XXXX? it adjusted be Just we've, there, fairly backing let's those go-forward sounds those, of, of in expenses. an right the from the and look longer perspective add a transition-related your kind Just a indicate sense likelihood what between will year type your some, Or in trying perspective? there the finished backs next now year. XXXX be EBITDA year say, like Does that like on for guidance, this could clarification from quick to XXXX, that no minimal the could out

Warren Veltman

like I as is this add on down backs year substantially add in next moves going are those thoughts there's my And backs. So portfolio don't business. so many

that minimal a business the actually is to down goes it absorbing. result So

is. two year, mobile, it be to new one We launches, let's in what will product year definitely be on to suppressing We'll we things MD&A the life have ones, that large the very such in you'll are, one prior sciences. able show do we should this reconcile. reconciliations margins to had comment We'll as in say, and certain very, transparent,

Operator

showing teleconference. conclude time. at queue I'm you. This no in questions will today's the this Thank further

You may now you. disconnect. Thank

NN (NNBR) 9 Nov 192019 Q3 Earnings call transcript