This explains why we were quite well organized for the initial year, year and a half, and it did not affect us as much as it was done by the U.S. companies. However, by the end of the day, we are part of the full global supply chain, and now it does affect us more. We do anticipate by the second half of 2023 this will decline, and what has happened in the mechanical parts and in the transportation and other areas, that will improve also in the electronic parts, and we will be back on track somewhere towards the second half of 2023.
Ella Fried: Do your competitors also feel optimistic about this timing–?
Butzi Machlis: That we give out as a market estimate right now, and we are in daily contact with all the suppliers to understand exactly when can we get the missing parts, to understand. In some cases, we have the entire product ready and we are just missing one transistor or one piece of electronic, you know, that’s delivered to a customer and they can do it, so we are on a daily–we are on a daily contact with the relevant suppliers. We start to see some improvement, but the estimation right now in the market is that it will be solved, or most of it will be behind us during the second half of next year.
Ella Fried: Okay, and last question about the hedge. I know that you have now a new hedge policy and it’s less sporadic than it used to be, but this recent month presented quite an opportunity for hedge, so did you stick to this structured hedging or did you take also some opportunities in this sense?
Kobi Kagan: Hi Ella, this is Kobi. We are sticking to our policy, which is we are not prophets and we cannot anticipate what happens with exchange rates – for instance, nobody anticipated the sharp decline in the British pound, so we are trying–we are sticking to the policy. Next year, of course, we have some stronger hedges due to the improvements in the energy rates, and we sometimes take picks and when we identify picks, we actually take the opportunity and increase our hedges. But this is–everything is around , so we maintain this policy which gives us–we want to work on steady platform of exchange rates, and sometimes it’s to understand what is the neighborhood of the exchange rates which we are working, again with taking advantage on spikes that we have identified.
Ella Fried: So it will be more closer to the average and less the spikes, if I read you right?
Kobi Kagan: Yes, this is right, because we are–we think that the steady platform for the company is very advantageous forward, and of course we have a significant improvement for next year in terms of the platform of exchange rates that we are going to work with.
Ella Fried: Okay, thank you very much, and thank you for taking my questions. Good afternoon.
Kobi Kagan: Thank you.
Operator: The next question is from Ilya Fainer of Leader. Please go ahead.
Ilya Fainer: Thank you for taking my questions. Most of my questions were answered, but I want to ask you what’s your opinion about the will eventually lead to a lower growth in the defense budget and how it’s going to influence the company. The second question, with the impressive growth in the backlog, do you have a range or guidance when we’re going to see the growth in the revenue and what’s your guidance for the next two years?
