But there’s gross margin actions across the Industrial Technologies vertical that ought to lend to it. So those two pieces, we think, are largely controllables. I would pause that that’s two-thirds or more of what we think we need to be able to pull that business to our objectives. There’s probably less than a third that would be demand normalization, not demand growth, but and I was actually messing with this math yesterday. And I don’t think — it’s I think it’s hard to get there without having — it’s hard to get to over 10% without having some constructive perspective by the end of next year. The demand is not continuing to be as soft as it was this last quarter, but — or that we are not engaging in demand that’s there because of market — undisciplined marketplace.
But if there’s — if the undisciplined marketplace is cleaned up, and we’re participating in more of the demand that’s in the marketplace or if we’re seeing any demand recovery, then that should be with the other two levers more than what we need to get there.
Brad Hathaway: Okay. Got it. Thanks. And then I guess just finally, on the — congrats on getting the leverage down below 3%. I mean six-months after Hisco, that is pretty impressive. And it sounded like you were optimistic, but retaining a kind of high bar for future M&A. Is that kind of a fair assessment?
Bryan King: We’re optimistic. We’ll start with that. We’ve got a really robust pipeline of projects that we’re working through right now. So there are different stages of the diligence or lockdown, but trying to get them right and the disciplined framework is one that we just want to make sure we’re reiterating, because there’s not an urgency on our part to spend liquidity unless it absolutely fits our commercial objectives as well as our financial objectives for the business. But there are things that we are actively working on, and they’re of all different sizes at this point.
Brad Hathaway: Got it.
Ron Knutson: Brad, just maybe to add a comment on top of Bryan’s note. I mean, you saw it on our balance sheet. We currently sit with over $100 million of total cash. And certainly, the third quarter from a cash generation for us was a really strong quarter. We created $47 million of cash flow from operating activities and all-in that’s $74 million on a year-to-date basis. I know that was in some of our prepared remarks, which really helped get that leverage down to the 2.9%. Even though we have a limitation on how much cash we can offset in our bank defined EBITDA leverage. So I just didn’t want to get away from the call without reiterating our cash position. I think it ties directly into your question around acquisitions and having — as we sit today $280 million of availability through our revolver plus the cash position and that we do have an additional $200 million accordion feature through our credit facility as well.
So we feel like from a liquidity standpoint, we’re positioned really well to take advantage of those opportunities as they come up.
Brad Hathaway: Fantastic. Well, hopefully, you can find another Hisco out there. Excellent. Well, thank you all very much. And…
Bryan King: We’ve got ideas on that.
Brad Hathaway: Glad to hear it.
Bryan King: There’s been a lot of interest in — I’ve mentioned it in the prepared remarks, but there’s been a lot of interest that’s been inbound, which has been quite interesting about wanting to be a part of what we’re building. And there’s some businesses that are out there, and there are some assets that are out there that really do fit very well with what we’re trying to accomplish and would be real jewels to add to our business and would be very financially and commercially valuable to accelerating us being able to get to some of our objectives long term. So, just see how we land the plane. Otherwise, we’ve got some just infield, [indiscernible] around the bases in light of our Rangers win last night, objectives that we think that we can — where we can score some runs on acquisitions that really do fit commercially and aren’t taking on very big bites.
Brad Hathaway: Yeah. No, that’s excellent. Well, thanks again and obviously, we look forward to seeing if anything develops.
Bryan King: [Indiscernible] Thanks Brad.
Operator: Thank you. We have reached the end of our question-and-answer session. So I will now hand the call back over to Mr. King for his closing remarks.
End of Q&A:
Bryan King: Thank you, Olie. We look forward to speaking with everyone again when we report our fourth quarter results in early 2024. Additionally, we’ll be presenting at the upcoming Baird Conference in Chicago on November 7 and at the Stephens Conference in Nashville on November 15. We hope to see you all there. If you’re there, please come up and say hello. Have a great day and go Rangers. Thank you.
Operator: Thank you. Ladies and gentlemen, this does conclude today’s conference and you may disconnect your lines at this time. We thank you for your participation.
