It’s important to note that the expected credit loss is a non-cash expense. As part of the SG&A reduction, professional fees for the current quarter were $0.8 million, which decreased by $0.4 million, almost one-third when compared to Q3 of 2022, due to continued reduction and tightening related to accounting, legal and investor relation expenses. Share-based compensation expense, which is also a non-cash item and relates mainly to prior year’s grants that didn’t repeat in 2023, decreased to $650,000 for the three-month period ended September 2023, a reduction of $300,000. Research and development expenses for Q3 of 2023 were $0.7 million compared to $0.3 million of Q3 in the prior year. The increase in R&D expenses is related to additional employee compensation on internal projects and associated materials and equipment expenses as well as other expenses related to those projects.
Net finance costs amounted to $0.2 million in the current quarter and compared to $0.2 million for Q3 of 2022. Although the expenses are comparable, the current quarter included the interest and accretion expense of the convertible debenture, but offset by the interest accretion and reevaluation of the balance due on the business combination. The change in fair value of strategic investment for the current quarter was actually a gain of $1.2 million versus the loss of $1.8 million for the comparable quarter. This was caused mainly by the increased fair value of the common shares of HPQ recognized in the period. Comprehensive loss for Q3 of 2023 was $6.3 million, reflecting an increase of $2.1 compared to Q3 of last year. This increase is summarized as a decrease in revenue of $2 million arising in Q3, an increase of cost of sales and services of $1 million due to increase in direct materials and foreign exchange, an increase in the SG&A explained earlier, and mainly due to the non-cash credit loss charge, and offset by the significant favorable variation and the fair market value of strategic investments of $3 million.
Lastly, the Modified EBITDA, which is a useful metric in assessing the company’s operation, as it excludes non-cash and/or discretionary items, was at a loss of $6 million for Q3 2023, compared to a loss of 0.6% in the same period last year. This is an increase of $5.4 million and explained by the comprehensive loss detailed earlier and adjusting mainly for the fair value adjustment, along with depreciation and amortization, net finance costs and share-based expense. At this point, I’ll turn the call back over to Steve. Thank you.
Steve McCormick: Thanks, Andre. In closing, revenues continued the steady climb up from Q1, which management believes was likely the revenue bottom for the past three years. Despite this quarter being a lower quarter year-over-year, management is optimistic that the downtrend that has affected quarter since Q3 of 2021 has likely subsided and a quarterly growth pattern is more likely. As the company’s CEO, Peter Pascali was quoted in today’s news release, while we can’t guarantee that these early signs of sector-wide recovery will continue at the same pace, our quarterly revenues are positively recovering from the early year low, and our backlog continues to climb. Combined with renewed demand and traditionally slower business lines such as waste destruction, where we have signed contracts for six separate projects so far this year and the increasing interest in plasma torch applications of 2-megawatt power and higher, management believes there is good reason to have confidence around continued momentum.
The opportunities for the company across the large-scale industrial technology and decarbonization landscapes, which are both significant and emerging, continue to expand. For Q4 and into Q1 of 2024, the company has some major developments in play, both from existing customer relationships as well as from new and returning clients. Beyond all else, the company remains committed to driving shareholder value and continues to focus on improving efficiency, locating new and better suppliers and growing its customer base, all to improve margins, while engaging with potential customers around the world on a variety of new business opportunities. I want to thank you once again for joining today’s call, and I’ll now pass it back to Rodayna.
Rodayna Kafal: As we conclude our third quarter earnings calls, I would like to thank you all for attending throughout the quarter. And in the week leading up to the call, we have collected a number of questions addressed to the company. The majority of these have been addressed in Steve’s remarks, and we are not in a position to address the others as they have not yet been disclosed in press releases. We thank you for your understanding and participation today. We wish you an excellent day.
Operator:
