So I think that’s going to be the real big difference as we get a flow of these $1 million machines coming in more regularly, and that’s what we should be seeing happening.
Bill Nicklin: All right, thanks. Now, just to, again, to get quite granular on this, from what you’re saying is starting in June, the quarter that’s coming up, you’ll see some improvement in the supply chain issues, and then that will continue to improve through the year. But from the orders you’re booking, it looks like that that bubble or jump in shipments because of normal shipments plus the catch up from the supply chain problems, that even with that moving through, you’ll be able to replenish your backlog at a higher rate than the shipments are going out?
Stephen Harshbarger: Yes, yes. You hit the nail on the head that — I think if you find that — if you start tracking our backlog, we’ll become the strongest future indicator of where we’re heading because we’re anticipating our order intake to exceed the shipments going out, as our demand for our products increases. So yes we anticipate a strong enough bookings to replenish our backlog.
Bill Nicklin: Great. And last question, if you will. It appears as you’re going from R&D orders to pilot project orders and production line orders, at least my visualization of a production line is that your equipment will probably be sitting alongside of your customer’s equipment or equipment that your customer is buying from another vendor for a different purpose, to have a complete production line. How does this, and number one, am I correct, but number two, how does this affect the nature of the orders you’re receiving? And also, does it open orders for arrangements between Sono-Tek and other equipment suppliers? There are OEMs that might accelerate your growth down the road where in the past you were selling single units that were kind of standalone and there was nothing else driving the business other than a single new order coming in over the transom.
Stephen Harshbarger: Yes, it’s true. What you’re saying is that there’s, of course many machines that make up the complete manufacturing line in these coating processes. And we recognize the machine sitting before and after the ultrasonic coating systems, are often really critical to the end results of the product that we’re coating. And many of our customers would really prefer for Sono-Tek to also supply the equipment standing alongside our coating systems and to take full responsibility for large parts of the manufacturing process. So we’ve been rapidly increasing the number of strategic outsourcing partners we work with. They’re from a variety of several different disciplines. And this allows us to supply our, an increasingly larger end customer solution which continues then to drive higher and higher ASP for us. And some of these strategic partners also create some additional potential opportunities for even closer relationships in the future actually.
Bill Nicklin: That’s great. Thank you. It looks like you’ve got the ball teed up here and I appreciate all your efforts and let’s see what happens. It sounds pretty positive. Thank you.
Stephen Harshbarger: I appreciate it, bill. Thanks.
Operator: And our next question will come from Ted Jackson with Northland. Please go ahead with your question.
Ted Jackson: Hey, good morning.
Christopher Coccio: Hey, good morning, Ted.
Ted Jackson: So I’m going to sort of at a more higher level follow up on some of Bill’s line of thought. So looking at your backlog, which by the way is impressive, if I kind of look at the historical backlog, if you look back, say, two years and go forward, you used to kind of see your backlog going to be, call it, 25% of the four, 12-month revenue. And then clearly with all the supply chain issues it’s been kind of in the 35% to 40% range in the last part of the fiscal year. If I was to look at that $8.5 million of backlog in the understanding that, that’s going to go out in fiscal 2024 and say that, hey, that’s 40% of fiscal 2024 revenue, which would be kind of like the high end, higher than the high end of what we’ve seen the last couple of quarters, you’d be pushing north of $20 million of revenue. Is that a fair way to look at your business or is that maybe too aggressive for you?
Stephen Harshbarger: Well, we haven’t given projections about stating what our full fiscal year revenue will be. But everything that’s in that backlog right now, $8.5 million, will be shipping out this year — or we’re anticipating, I should say, to shipping out this year. And I don’t think there’s anything in that backlog right now that’s on the edge, for example, of not being able to ship. The order intake is still going really strong. I think that there is no reason for us to anticipate it not to continue to go really strong. And without saying exactly where we think we’re going to come in for the year other than we’re going to definitely be showing growth, I think it’s looking really positive. Now whether those really large orders that we’re anticipating, because there are some really large orders that we’re anticipating getting here from multiple systems, whether the majority of those will be able to ship out in FY 2024 or not is a question.
