Joseph Osha: I’m back. I wanted to return to that interesting point you made Christian about, yes, sort of some dealers. Sort of being forced to sell the, the family jewels to stay in business and that’s quite interesting given I expect where loan pricing in particular is going to go again depending on what happens today, tomorrow with Mosaic and the implications for that. How big an opportunity is that? And do you have a mechanism in place to perhaps go out and start looking at who might be prospective sellers in that market?
Christian Fong: Yes. I mean the Mosaic; we’re all watching that very closely.
Joseph Osha: Hasn’t hit today. I’m looking at it as we take.
Christian Fong: Thanks for the real-time update…
Joseph Osha: Actually no, it literally just hit.
Christian Fong: All right. Pulling back talking about a competitor. And look, we’re watching that. And the shift to PPAs and leases was sudden and we saw that to the discussions that we have with installers are ongoing, so we can see what’s going on at their level. Yes, it is dramatic. Let’s put it that way. And I think other folks have talked about the percentage shift to PPAs versus the loans. So in terms of the opportunities, the calls are coming in to us. We’re a well-known buyer within the market. Those of us that have built the company have been doing this for five years within this company, but 15 years for many of us that have been active in solar power and wind before that. Incoming calls give us insight that there are public renewable power companies that are actively looking for buyers of blocks of their assets.
And those incoming calls have given us visibility that it’s not just limited to the private markets that are always trying to raise cash and optimize what they hold versus the warehouse finance facilities that they have, but that this is extending to our public peers as well as they may be doing normal rebalancing. We don’t have necessarily the visibility into why, we just know the what. And I’ll leave it there for obvious reasons. I can’t talk about specific names.
Joseph Osha: Okay. All right. Thank you. That’s very helpful. And just I wanted to check on one other bit of simple math I was doing looking at your current financials, right? If you had a gross margin of $10 million, you had, I would argue, recurring operating expenses of $16 million. And then a depreciation add-back of, I think I want to say it was worth to be like $5.5 million. So on kind of an organic basis right now today, I would argue that you’re sort of running at cash flow breakeven. Is that a fair way to think of it?
Donald Klein: Yes. I think that’s accurate. In light of the debt structure and the principal payments, I think there’s a healthy amount of scheduled principal that’s made each quarter. So I think that’s one of the legacy Spruce carryovers and something that we’ve talked about revisiting again as we look at refinancing to get more cash flow positive.
Joseph Osha: Okay. All right. Well, thank you.
Donald Klein: Yes.
Operator: This concludes our Q&A for today. I now would like to turn the call back over to Bronson Fleig.
Bronson Fleig: Thank you, operator, and thank you again for joining us today and for your continued support. If you have any questions, please contact me or our Investor Relations team. This concludes our call today. You may all disconnect.
