ROCK
#It's approximately 10%, <UNK>.
The range of revenues on prospects that we continue to research and think about and come to our attention range from the double-digit millions to triple-digit millions.
I'd say upwards of $250 million in revenue size to as small as $25 million, $30 million, $40 million on the other end.
And, as far as leverage, today, as I think people could compute off the earnings press release and its balance sheet, our gross leverage on an LTM EBITDA is probably around 2.0.
So, very manageable, very modest.
And with pro forma, with an acquisition of a particular size, at the higher end of that range I just cited, our leverage could even get to 3.0, mid-3s and I'd still feel very comfortable being able to service our debt level at that point.
Because, understand, this Gibraltar has made money, thick and thin, every year, generally averaging 5% to I think we got to 7% of revenues last year.
We're keen on managing our CapEx closely.
The operations continue to produce, in aggregate, good profitability, even in the lean years, post-2008.
I only see that expanding as these simplification initiatives continue to increase our profitability, take down our operating assets, and I am anticipating that the recent historical and very effective cash flows, free cash flows out of Gibraltar, will continue to keep overall leverage coming down when we do take on additional debt for acquisitions.
This company generates, year-in year-out, positive free cash flow on a very healthy level given its relative small size in revenue.
It depends on the seller and their appetite and what's negotiated.
But I don't think we're seeing anything that approaches the high-tech industry and internet companies.
So, we're still in single-digit multiples.
I believe we could still come to agreement with interested sellers in assets that we're interested in and would still be in single-digit multiples on EBITDA.
I echo those.
At this point, I'm not sure what those numbers will look like because, as you know, this is kind of a new product introduction that's gone on over, kind of a test market, over a couple years.
So, how quickly it's going to ramp now, I think, as people really engage, we haven't been down this path before so it's hard to put a number to it.
These are being marketed to the largest of the multi-family apartment property owners and managers in the U.S. So, there are several customers have bought multiple units of these parcel lockers that they've installed in a number of their properties that span across the continental U.S. So, the number of units that we have installed are owned by a fewer number of actual property owners.
At least a factor of three probably is a reasonable relationship.
Thanks, <UNK>.
Thank you.
That was the ---+
Contract.
That was the revenue in calendar 2015 for that discrete contract that we spoke of.
Yes.
Yes.
I'm saying yes to your 5% statistic.
Well, one nuance that comes to my brain is that we do not have buy-in programs to speak of.
So, channel inventory could be quite different between the channel partners they have for asphalt shingles compared to what our roofing-related ventilation stocking levels would be.
That probably would be the first nuance that I'd offer up, <UNK>.
We have that information from retail channel partners.
But it's irregular on national wholesalers and contractors that we sell to.
I think overall, I think that's true, <UNK>, over a long multi-quarter time period.
But the focus on one 90-day period, I think there's ---+
The first quarter this year, <UNK>, benefitted primarily from RBI's being now part of Gibraltar.
And RBI had a really strong sales quarter in the fourth quarter of 2015.
And what we saw primarily affecting the positive cash flow here in the first quarter was collections and cash coming in from RBI's customers.
So, I'd like to think in every Q1 going forward we're going to have the same circumstance.
But that was the underlying driver for the first quarter's improvement.
And then the second quarter, to your other aspect of the question, we have some build of working capital as we're now getting into the seasonally-stronger part of the calendar year that will influence both inventories and, to a lesser degree, receivables.
You're welcome.
Thanks, operator.
And thank you, everyone, for joining us on our call today.
We look forward to speaking with you on Thursday, July 28th when we expect to report our second quarter results.
Thank you again.
This concludes our call.
