Brendan Jones: Yeah. So, it’s an option. So we have — let’s start with the last one and move forward and remind me if I didn’t get the first one. But let’s go to the last one. So, we’ve got a fully dedicated study that is almost completed on building our own DC Fast Charger, the 240, where that would take place and what the cost structure will be. We also have a study going on, on the analysis on third party, what that hit on capital budget will be, et cetera. So, we haven’t made a final decision here. What we’re going to do is make the right decision for Blink and for Blink shareholders in the bottom-line of the company. We have our eye and our bias towards gross margin, but we also have to look at the whole financial equation to make sure that works for what we need to do.
Now, when we say contract manufacturing on that, we would never — if we decided to move forward with manufacturing on that, we are not going to go and buy and say, “Hey, we’ll use your design that looks like our design. It will be our charger.” So, it will be designed to our spec and we’re going to source the product with them to make sure we get it down to a level that maintains our margin. That is what we’re looking at right now. Now that could change, right? It could change or pivot as more data becomes available, but that’s where we are on the topic. We’ll have a final decision on that out shortly. As I said, the product is in final prototype design to functional units now and then we’ll have a final assessment on it. And what was the — I forgot the other one already, I’m sorry.
Chris Pierce: Oh, no problem. Sequential gross margins in Q3 versus Q2…
Brendan Jones: Yeah. So, you hit it. You hit some of it already.
Chris Pierce: …[indiscernible] ’24.
Brendan Jones: Yeah. So a lot of DC Fast Charger took us down from the higher number that we had in that and there’s still — we have quite a bit, we had less legacy that we worked through in Q2. We still have, on a percentage basis, it’s low, but when it impacts margin, it tends to have a greater impact because of where you’re at. We still have some legacy. I would estimate the legacy is less than 5% and we will get your correct number on that, but I’m doing an estimate in my head on it, it’s less than 5% of aggregate that we have in stock and that we are currently selling. But it is still there. It is predominantly on L2 and it is legacy that we have both in the United States and in England — and in Europe that we’re working through.
Chris Pierce: Okay. Perfect. And just lastly, you talked about Level 3 demand and we saw you just kind of answered this question around it. Would you say Level 2 demand is slowing? Or you wouldn’t frame it that way, you would just say Level 3 demand is growing at a faster rate than you expected?
Brendan Jones: So, I’ve been blessed with getting to work for big DC fast charger companies, and then getting to work for Blink that’s predominately L2 that does some DC fast charging. The pace of L2 is increasing dramatically. Although, if you do a share of voice analysis, all you hear about is DC fast charging. But that share of voice analysis doesn’t equate to the volume. All the L2 lines are increasing dramatically. And that makes sense because 90%-plus of the charging takes place on L2. So, now we’re starting to see higher velocity and throughput on that, which makes sense with every piece analysis that ever has been done in the industry.
Chris Pierce: Okay, thank you.
Operator: We have reached the end of our question-and-answer session. And now, I will turn the call back to Vitalie Stelea for closing remarks.
Vitalie Stelea: Thank you, Kelly, and thank you to all of you on the phone and the webcast, as we announced another record quarter for Blink. This concludes our call today.
Operator: Thank you. This does conclude today’s conference. You may disconnect your phone lines at this time. Thank you for your participation.
