Brad Nattrass: Thanks, Eric.
Operator: Our next question is from Brian Wright with ROTH MKM. Please proceed with your question.
Brian Wright: Hi, thanks. Good afternoon. I had a couple of quick questions. I want to start off with just thematically with the big backlog build, are there some instances of success on the full integration strategy, the full one-stop shop from design all the way through construction?
Brad Nattrass: Yes. There is one that was announced in December. It’s a $20 million design build contract in New Jersey. And Brian, when we signed the design build contracts, we typically do not sign an equipment contract because we’re in the process of designing and going to preconstruction, and we want to keep those options open so we can look at a variety of different equipment solutions. So that’s typically signed 3 to 6 months later.
Brian Wright: So the – so in actuality, the backlog is probably even stronger than what you put out there. Is that a fair…
Brad Nattrass: Yes. I think that’s a fair assumption, but we’ll call it anticipated backlog because unless those contracts are signed, and deposits received, we don’t classify it as backlog. So that $93 million, that’s $93 million of signed contracts that will – depending on the sector and depending on the category, will be realized in anywhere from one quarter to – as it relates to a full large cannabis facility it could take up to 18 to 24 months.
Brian Wright: Got it. And then I guess we’re here kind of towards the end of the first quarter. Is there any chance you’d be willing to share where the backlog is now?
Brad Nattrass: No. But with the growth that we’re experiencing and the – the infrastructure that we’re investing in, evidenced by the continued negative adjusted EBITDA that we gave color on in Q1. I would hope – I think it’s a fair assumption to assume that it continues to strengthen.
Brian Wright: Okay. Great. And if I could sneak one last one in. Could you just help us out with kind of the – with the ramp with the first quarter kind of being a little bit low on the fourth quarter on the revenue, just like how to think about first half versus second half?
Brad Nattrass: Yes, for sure. In terms of Q1, it is tied to design build projects that we expected to kick off in January and they ended up kicking off in March. So the good news is they kicked off. We have boots on the ground, and we’re actively developing those projects, one in commercial and one in CEA. And based upon the strength of the backlog now at the end of the year and Q1, we have a lot more line of sight, Brian, now into the future, and that’s why we felt comfortable giving the guidance. But it will – we actually give color on it as well. We’re anticipating sequential growth quarter-over-quarter Q1 through the end of the year, both in revenue and adjusted EBITDA. And we are all hands on deck working hard to bring positive, get back to a positive adjusted EBITDA as soon as possible. On the last call, I said Q2 was the target still remains our target, but no guarantees that we’ll get there in Q2, but we’re working hard on it.
Brian Wright: Great. Thank you so much.
Brad Nattrass: Thank you, Brian.
Operator: Our next question is from Anthony Vendetti with Maxim Group. Please proceed with your question.
Anthony Vendetti: Thanks. Yes. Brad, I was just wondering if you could talk a little bit on a more macro level in terms of tightening credit, any credit market rising interest rates, any of that impacting some of the capital equipment purchase or some of the longer-term contracts? And then just a little bit of color on some of the long-term contracts you did mention in this call, how you expect that to roll out?