Michael Matson: Okay. And then finally, the last one on the outlook for tax rate with Pillar Two. I mean your rate is kind of well above that 15% level. But do you expect any sort of impact there to your tax rate?
Mike Tokich: Mike, nothing material from Pillar Two, if and when it does get implemented.
Operator: Our next question comes from Dave Turkaly from JMP Securities.
David Turkaly: Bouncing around a bit, you may have talked about this but I wanted to just ask quickly. Any update on that radiation sterilization master pilot program, like in terms of participation or anything we should assume. Anything you’ve learned or anything you think we could look at in terms of how that might impact things moving forward?
Dan Carestio: Yes, Dave, this is Dan. It’s been very positively received by the customers and also by the regulators with the agency, FDA and we’re excited about the program because it does sort of create a lower regulatory barrier, switching barrier for our customers to have more supply chain flexibility when changing different modes of sterilization. So this is something that we felt was important to offer up to the industry and work with the FDA to get that approved. So that there was much more flexibility at a time a couple of years ago when everybody was exposed and challenged. So no material impact in the short term here. Do we expect — but I think that longer term, it’s a great program for us and bodes well for our customers.
David Turkaly: And then just quickly as a follow-up, when you look at like EO, if they’re transferring from that, like — is the margin profile much different via the different modes in AST that they might switch to?
Dan Carestio: Not really, no.
Operator: And our next question is a follow-up from Michael Polark from Wolfe Research.
Michael Polark: Healthcare capital, as I kind of run — review the numbers or the fresh set of numbers. And I know — so that how you manage it? You have customers waiting for product and you want to ship as quickly as possible? But I kind of see the makings of a soft landing here for Healthcare capital revenue in ’25. There had been a fear that it might likely be down as you kind of improve lead times and conversion rates. But again, I kind of see this kind of Goldilocks scenario where growth decels for sure but assuming orders continue at these current levels, you’re still growing Healthcare capital revenue in fiscal ’25. I know you don’t have guidance out there but I’m curious what you think of my theory?
Dan Carestio: I love your theory and I hope it plays out that way.
Michael Polark: Okay. I had one other follow-up. Cobalt 60, I heard the comments on maybe a little bit of downtime from loading and we obviously know that Nordion was exceptionally calendar 4Q weighted in terms of deliveries in calendar ’23. Is there some element that now that you’re back to like full strength at those plants, the gamma network speeds up in the short run. I’m just curious how that actually works.
Dan Carestio: It does but we have to have the volume is the issue. So we needed to take the cobalt because we’ve gotten to a deficit position in many of those plants because it’s been for some of them over a year since they last loaded. But it doesn’t — it should not have a material effect unless we get more volume than we anticipate. And if we do, we’ll be able to run it because we’ll have more capacity.
Operator: And ladies and gentlemen, with that, we’ll be ending today’s question-and-answer session. I’d like to turn the floor back over to management for any closing remarks.
Julie Winter: Thanks, Jamie and thanks, everybody, for taking the time to join us this morning. We look forward to catching up with many of you in the coming weeks.
Operator: And ladies and gentlemen, with that we will conclude today’s conference call and presentation. We thank you for joining. You may now disconnect your lines.
