Perimeter Solutions, SA (NYSE:PRM) Q3 2022 Earnings Call Transcript

Edward Goldberg: Okay. If you’re asking me on the earnings call, it sounds like it’s important to our bond holders, and therefore it’s very important to us. Let us figure that out. And you’ll get an e-mail from us, Brian with a clarification. Thanks for pointing it out.

Brian DiRubbio : Yeah, appreciate it. Thank you much.

Operator: Thank you. Our next question comes from the line of Joshua Spector from UBS. Please go ahead.

Lucas Beaumont : Hey, guys, its Lucas, again. Just wanted to ask a follow-up, so just wondering if you could talk about what visibility you have at the moment into increases in the aerial fleets for fire retardants over the next couple of years? So I know maybe this year isn’t the right year given that the acres burned are down so much but in a more normal year, would you say as well, I guess, are you seeing unmet demand from a materials perspective due to the lack of plans? So as we get more rollout, that’s going to sort of be a positive benefit as well. And I guess is that sort of — would you say that’s probably been captured in the 4% sort of retardant growth per acre CAGR or how do you guys kind of think about the dynamics on that side? Thanks.

Edward Goldberg: Sure. So, you know, we do look at air tanker capacity as one of the key drivers in the in the volume growth of our business. And we do continue to see an increase in air tanker capacity year-over-year. You know, in terms of visibility into what that is specifically, you should probably look to what the air tanker companies are saying, because they’re all pretty public in kind of their expansion plans both the private air tanker companies, and you can see the CAL FIRE is currently working on adding seven C-130s to their fleet over the next couple of years. So we see that as very positive. It does contribute to retardant per acre increases, and it also just increases the peak of what we can sell during the peak of the fire season. So we see that as a key driver of the business and one of the secular growth trends.

Lucas Beaumont : Right, thanks very much.

Operator: Thank you. Ladies and gentlemen, we have reached the end of the question-and-answer session. And now I would like to turn the conference over to Mr. Edward Goldberg, CEO, closing comments.

Edward Goldberg : Thank you all for joining our third quarter earnings call. We’re looking forward to talking to you again in a few months to report fourth quarter and full-year 2022 earnings.

Operator: Thank you. The conference of Perimeter Solutions has now concluded. Thank you for your participation. Have a lovely day.