Pasquale Romano : So the way we think about the — as you referred to it, the effectively the untapped potential in fleet because our customers are vehicle limited in fleet for the most part. As I also mentioned before, but in a different context, we can afford the investment in fleet because it has a lot of commonality with respect to the investment from an OpEx perspective in the balance of the verticals that we go after in the balance of the geographies. Now there are some fleet-specific features that we have to invest in. But for us, it’s incremental, very incremental, even the same hardware platforms, sometimes different configuration with same hardware platforms. So where am I going with this? Operating leverage over the year we just closed, we think is pretty phenomenal because it is showing that the trajectory of the OpEx, that’s everything from R&D to sales and marketing, G&A, everything is it’s on a very different trajectory as we add revenue.
We weren’t putting the company in peril this year. In fact, we’re making some very strategic investments to improve what we think is our long-term ability to have a great customer experience at even larger scale this year. So we think that the continued things that you saw from a directional perspective, in the year we just closed, will continue through this year and Rex made one notable exception in that because the Q1 revenue is seasonally down for the company. You may see a small retreat in operating leverage only in that quarter, but it should return to normal increase in operating leverage or a similar one that you saw in the previous year.
Alex Vrabel : Got it. Very clear. And then just on, I guess, sort of the growth outlook generally, like is there anything that you would sort of think about downstream beyond sort of the utilization rate or just sort of getting vehicles in people’s hands, that’s constraining you guys today. I’m thinking about utility interconnection, anything that’s sort of hampering your abilities that’s a little outside of your control that we should be aware of?
Pasquale Romano : So the utility interconnect question is a very good one, and it’s hard to model because the utility interconnect delays certainly are there. and they vary depending on the circumstances of the site, right, how much spare capacity is there? And what are you trying to do with that site. What — the way I think you should think about it is the active ports under management, it normalizes out the pipeline delay from initial order and shipment to actual installation and activation, which we do see variance. We do see a big variance. But because we have a long pipeline with effectively no air gaps, what you see show up today is the result of utility interconnect deadlines that are coming to an end, right, on projects that we effectively sold maybe six months ago in some instances, but then we can’t actually ship the product until they actually need it and it goes into the ground.
So some amount of delay and if you look at the new port ad rate, you can kind of sort of see the shadows of it. That delay is built into our numbers already.
Operator: And everyone, at this time, there are no further questions. I’ll hand the conference back to our speakers for any additional or closing remarks.
Pasquale Romano: Thanks for your time today.
Operator: And ladies and gentlemen, that does conclude today’s conference. Thank you all for your participation. You may now disconnect.
