A warm welcome to everybody, and today we have the pleasure of presenting MapsPeople. To help us through the presentation, we are joined by CEO, Morten Brøgger, or CFO, Jesper Tidemand. The reason for today's event is, of course, the recently released Q2 figures from you. Looking at it, a pretty decent quarter. I know you are from the northern of Jutland, so let's call it that. On the SaaS metrics, you know, I think the ARR growth, but especially the net retention rate, I kind of caught my eyes there with 117%. Enough from me, and I will hand the words over to you. As always, you can ask questions in the box down below. We have discussed whether this should be in English or in, in, in Danish. We have seen on data that around half of the audience is, is from abroad, so we have to do it in English. Do ask the questions in Danish, and I will try and translate the, the best of my ability. For now, I will hand the call over to you, Morten. Thank you, Michael. It's good to be back, as you, you alluded to, it, it's definitely one of the earnings calls we've been looking forward to a little bit. Mainly because we've had a pretty busy quarter. There's been a lot of activity and a lot going on, some extra curriculum tasks as well. As you know, we started in the first quarter to really focus on delivered and invoiced ARR. That has been driving a lot of the efforts that we have been conducting, both through Q1 but definitely through Q2 as well. We started a new concept with our partners, a new type of contract that allowed us to go faster into annual recurring revenue. We focused a lot on utilizing the contracted framework agreement we have with our partners, and of course, as always, we've been working hard and focused on signing up new customers and new partners. On top of that, we did, towards the end of April, as, as you may recall, we did a cost realignment of the organization, where we reduced, the annual budgeted cost with DKK 21 million, just, just shy, just shy of 20%. We are seeing some of them in Q2, but honestly, they will start coming in in Q3 and have fully impact in Q4. We also raised, additional capital, which of course always takes a lot of effort and a lot of energy, but we got, an amount of, just around DKK 20 million. DKK 28 million raised in that round as well. We managed to complete, sign and complete the transaction of the activities from Point Inside as well, which has gone into this one. A pretty busy quarter, and then it's always good when you can actually see some of all this hard work, that not only me or Jesper, but the entire staff in MapsPeople has been putting into this one, is actually showing also in our quarterly report. Yes, it was a good quarter, a good stepping stone in the right direction. Q2, our progress on ARR, which is our key objective of growth for 2023, we saw that it grew with 36%, almost DKK 14 million during the quarter. On a year-over-year basis, we grew with a little bit more than DKK 21.5 million to DKK 52.9 million, which corresponds to 69% growth. That is, that is according to the plan, and that is according to the growth objectives that we set for this year. That is also starting to show itself on the recognized revenue, which year to date is up to DKK 19.5 million, which corresponds to a 34% growth in recognized revenue on a year-over-year basis. Clearly, this is something that we are pleased with. It is as we have planned, and it is showing the results of all the initiatives that we have put in place. Summing this up in some of these nice little figures here, we have reached almost DKK 53 million in annual recurring revenue, delivered and invoiced. That is the 69% growth year-over-year. A good portion of that is from our core growth products, which is MapsIndoors, which is now up to DKK 38.3 million, which is fundamentally a year-over-year growth of almost DKK 19 million, so a doubling of that over the last 12 months. You can also see that a corresponding part of our growth in the quarter, DKK 14 million, equals the growth we had in the entire company. It's almost 100% of our growth that actually came from MapsIndoors during the quarter. The focus on this business, making sure that we are utilizing all the investments that we've done, is, is showing well on this, core growth product. As you alluded to, we had on MapsIndoors, this growth product, we had a net retention rate of 117% during the quarter. And a lot of that is really because, some of these partner channels that we have, started to actually, be utilizing their contracts and putting on a lot of new customers, on those contracts so that we could send more invoices to them. Again, it's a result of, not just, a renewing, expanding direct customer. It is primarily a result of our partner strategy, starting to pan out successfully, and, and, and giving some return on the investment we put into this one. That is also what you see in the last one. We're now up over 1,000 end customers, which is almost doubling over the last 12 months. Again, this is all our partners who are starting to basically grow and set out a lot of new end customer on their solutions, which we can then see on our platform. This lead us to keep our guidance as it is right now, which for the ARR is DKK 77 million-DKK 87 million ARR at the end of the year. Our recognized revenue between DKK 38 million and DKK 45 million, and EBITDA of negative between DKK 52 million and DKK 62 million. We are maintaining them at this point in time, and we think we are right on track to be within that guidance. If we go to this one, it always looks nice graphically when you're delivering a lot of growth. You can actually see in this that the growth that we have delivered in the first six months of 2023, more or less corresponds to the combined growth that we had in the previous two years. Yes, we can see that the investments we've done in our partner strategy, we are now utilizing that, and it's showing results in our business. The fact that we invested in building a sales, a strong sales organization in North America in particular, is starting to show its results in the 1st quarter here as well. The investments we've done in automation and machine learning activities, making sure that we can actually cope with this workload without paying more employees. We're actually a little bit less as, as, as, as you mentioned, that's right. Then we're also seeing that a lot of this demand out there is coming in on, on, on our latest technology bet, which is providing these 3D indoor mappings, which looks a lot nice, and we see a lot of pull in that through our partners. On top of that, yes, we've had a lot of focus on delivering exactly this growth. As I said, the ARR is our core growth objectives, because everyone else follows that in the business. From our point of view, we are very happy that we are spot on plan, and we can see some very significant growth in our business. If we double-click a little bit about that, I like to always show this cohort analysis, because it gives you a little bit of view on the quality of the customers that we're bringing in. You can see, with the exception of the business that we took on in 2020, 2019, I think it is, which started to grow, but then it's declining. You see growth in the customer cohorts coming in from 2021, 2022 as well. I like to see that the cohort that we took in, in 2022, the DKK 6.5 million, is now more than DKK 10 million, which fundamentally corresponds to more than a 50% growth on top of that customer base that we took in there. That is actually also why you see the reason for this high net retention rate. If you then look at what we've brought in, in the first six months of this year, the light green out in 2023, assuming and what we are clearly working hard on, there is some expected growth on top of that in the future as well. This is why we're maintaining our, our growth objectives. And looking at that, and I think I pounded you a little bit on this, because last time it really didn't look like now it's growing, but it can be split into two things. You know, prices, of course, can affect this one. Is there any price effects in this, or is it really that customers are starting to use, you know, more, more square meters and more maps per customer? Yeah W hich, which one of the two drivers is driving this? It's, it's not price hikes, 'cause we haven't really done any of that. I think the way you need to look at this is a customer to us is the partner, and behind that one is a lot of end customers. Customers. It's really about the partners are starting to pick up pace again. We've seen, we've seen in some of the verticals which were suffering during the pandemic, like conferencing is starting to pick up, we see sports venues starting to pick up, and, and of course, corporate office is continuing to grow nicely. We have continued a lot of interest in the healthcare sector, and renewed interest in what we call the public safety sector, which is primarily in the U.S. It's really that these partners that we have are starting to deliver, and their delivery pace has picked up quite a bit. Perfect. Just to... I also understand that you have a partner, and he can pick up five customers, and now he has picked up five customers, you know, instead of three customers. That, that's actually what, what makes the, the, you know, your net retention rate or, or, or non-existing customers actually start growing. Perfect. You're absolutely right, Michael. Good. Investing in setting up a partner program, signing them up, having them implement our technology in their application, is time-consuming, and having them to spend money, time, and effort in, in growing their customers so that we grow, that always take a lot of time. That's what I said, we're starting to see the results in the investment we've done in our partner channels. We are focused on helping them being successful, because when they're successful, we are successful, and these are the results we're seeing, starting to take off. The rationale behind that strategy is that when you have a lot of partners, then when they start becoming successful in their business, as we're starting to see here, then they, they will help us in a more exponential way than we could have done on a one-to-one basis. Yeah. Yeah, yeah. Yeah, yeah. Is this, you might say, the channel down, you, you have started building it up from the bottom, and then it, it should, go up. Perfect. Yeah. Yeah. Excellent. I know it sounds very easy, but it's actually not. I'm just glad that we've become very good at it, and we're seeing some positive results. Perfect. Good. We have this one that I, that I always show in this one, which is fundamentally showing our lifetime value and our customer acquisition cost, and thereby also the relation between them. The dark green one you see on this slide is our lifetime value. Mm. Let me again remind everyone, lifetime value, where we measure as a five-year contract, so 60 months. I think it's slightly longer, and you could actually probably see that on the previous slide, that it's not really going away in five or five years, right? We are, we are using 60 months or five years as the lifetime value of a customer. You will see that those bars are going down, and, as I like to repeat, I think I said it the last time as well, it's always dangerous when you have a graph that goes down towards the right, but here it's actually good because it again shows that our partners have success. They bring on a lot of new end customers, and these are smaller, but that is okay, because we have the scale through the partner. The fact that this one is getting smaller, is actually just showing that we have a lot of success for our partners, and that's also why you can see this high growth in the number of end customers as well. The light green one is our customer acquisition cost. How much money do we spend on marketing and sales, on getting on these new customers and this lifetime value? You'll see that that have dipped a little bit, and that is clearly because we have been more capital efficient in our growth. We have reduced our cost, but actually also. No, that is the main reason, sorry. Then we have the graph in the middle, which is how many months does it take us to pay back one new customer? You remember the last two quarters, it was around 23-24 months it took us to pay back a new customer, and I stated very boldly the last time that we needed to go below 18 months before the end of the year. We are now around 20 months, and it is still our ambition and firm belief that we can get down between 12 and 18 months by the end of the year. Just to be precise, in this one, we have not included the acquired ARR for Point Inside, because that would be cheating in a like-for-like basis, if you want to say it like that. Because we didn't spend any sales and marketing money on those. This is the like-for-like slide. This is absolutely also moving in the right direction. This shows that we are becoming more capital efficient in our sales and marketing costs on, on growing our business. And we're not quite done yet, but it's showing a good step in the right direction. Some of the cost out. Oh, cost out, it's such a bad word to use about what it really is. Some of the cost out will also be on the sales and. Yes Sales, okay, sales slide. Good. Absolutely. That's what you started to see here. Yeah. Yeah. I wanna introduce my new best friend, Jesper Tidemand, who's our new CFO. It's his first time here. I think my normal sidekick, our chairman, Lars Brammer, is probably on the other side today. Jesper and I have been allowed to take charts ourselves. Jesper, welcome, and I wanna give you the opportunity to, to take the highlights out of the key financial figures. Thank you, Morten. Thank you. Hopefully, I hope everyone can hear me. I'll put some words on our P&L, our profit loss, for Q2. Let's start from the top. Our revenue ended for Q2 at DKK 10.7. As Morten mentioned, we got DKK 19.5 for year- to- date, which is a growth at 34%. If we compare with Q1, where we reported DKK 8.8, we have increased our recognized revenue with 22%. Our recognized revenue is developing as expected, and there is, as Morten mentioned, no changes to our guidance, which is the range DKK 38-DKK 45. The result of the increased ARR in Q2 isn't recognized 100% in our recognized numbers for Q2. We'll see the result of that in our Q3 recognized revenue. If we look at our other external expenses, we reported 6.1 compared to 6.7 in Q1. We have seen some of the cost reductions carried out in April, not all of them, and we'll also see that our other external expenses will be reduced in Q3 and fully in Q4. It's the same with our staff cost. We reported 22 compared to around DKK 21 million in Q1. As Morten mentioned, the cost reduction in April will have effect in Q3 and in Q4. We haven't seen the effect of the cost reduction in our reported numbers for Q2. In the bottom, our EBITDA, earnings before interest, tax, and depreciation, we reported 15.7 compared to 32. Negative 15.8 compared to 32. It's as expected. Of course, it is affected by our increased revenue, and it'll be affected by our recognized revenue also in Q3 and Q4. Our expectations for EBITDA is in the guiding range 52-62. We have no changes to our guidance, so it's the same DKK -52 million to DKK -62 million. I think that was walkthrough of our- Yep P rofit loss. Yeah, exactly. I think as, as Jesper Tidemand mentioned, we are, we're on plan. Our recognized revenue is, is, is, is growing and is being pulled by the increase in the ARR. It's, it's worth saying that the acquired ARR for Point Inside will turn into recognized revenue when those contract renews and become revenue that we, that we collect as well. That will also help grow that a little bit faster in the second half of the year, but that will happen over the next nine months. Salaries, as, as Jesper Tidemand mentioned, we can't really see the cost reduction yet. We can see a little bit out and a little bit in, 'cause April is also when we have our annual salary increases, and we did a little bit on that as well this year. But we'll start seeing the impact on the staff cost in Q3 and fully in Q4 from the cost reduction we did in April. That's what we prepared, Michael. That's, that's what we prepared. Perfect. Let's, let's take some questions. Do you expect that order book of the DKK 26 million, that's where you still have some contracted ARR, which we don't have, but you, of course, give us the number, which is good. You don't report on it, but how much of that can be converted and delivered in invoice in the second half of 2023? Can you give some flavor on that? How much of the, going from your ARR to your ARR guidance is coming from that, and how much is coming from new customers? I know it's a hard, hard question, but can you give some flavor on how much you expect to close this year? Yeah. It, it is a good, and it is a relevant question because it also shows a little bit about the burden of what we have to go and create of new stuff, right? It, it's kinda like it's, it's similar efforts that we put into this one. My best guess is that of the new ARR we will deliver in the rest of the year, somewhere between 40% and 50% come from our order book, and the remaining part will come from new contracts, and expansion of existing contracts, that get invoiced and turn into ARR before the end of the year. There's a question on the net retention rate. You touched a little bit upon what, what is driving this, because it has actually been negative by, negative, it has been below 100, which is not good. Maybe we should explain if not everybody listening into this call, but I want you for another reason, that the net retention rate is, you know, how much are you on your existing customer base, how much are you able to grow? Some is going out, but some new business are coming in on the existing business, so it's a very important parameter to measure, you know, how do existing customers view your product, and are they willing to buy more? Is there other reasons that the one you mentioned, and can you give us a, a feel for what do you expect, this rate to be in the future? Well, well, so, so first of all, I think as, as you mentioned, the, the 117% we have on MapsIndoors is actually, I think, 121% of the overall business... Oh, okay. ... for the quarter. The important one, because it's, it's the one who has the biggest, impact on the numbers, is the one on, on MapsIndoors and where we have a lot of growth, which was 117%. This means that the customers, we had the same quarter last year and this quarter, right? They are, they are now just 17% bigger than they were, so they're buying more from us. Yeah. Which means that we are getting some embedded growth from our customer base, which is always relatively cheaper than going finding a new partner or new customer to set that up. And again, it is a good number. I don't have a. It will be over 100% for the year. I'm not sure we can keep it at 170%. We will do our best, but we don't have an exact guidance on that. Should we be capable of keeping it at 117%, that fundamentally means that of the DKK 50+ million that we have right now, we will get DKK 8 million of additional revenue in a year. Okay Should we keep on that one. That's how important it is, right? A high net retention rate helps significantly on the growth of both the ARR and thereby also on the recognized revenue. Perfect. there's congratulation on a great result. Can you Q2 results, can you elaborate a bit on where additional cash injection goes? I guess the capital you got there, where that is injected into the business? Yeah, I can. Clearly, a lot of that is going into making sure that we can continue to sign up new partners. We have come up with this new partner model, which is prepaid platform licenses, so it turns fairly quickly into new invoiced ARR and thereby into invoiced recognized revenue and thereby also to cash, right? It's making sure that we can maintain and support the on- intake of new customers, new partners, new deals, but actually also support these partners being successful, so that our net retention rate will keep going up in the future. I think that's where the majority of these efforts is going. We're continuing to invest a little bit in our automation and machine learning capabilities, so it gets cheaper and cheaper and cheaper for us to produce and maintain an indoor map. That is bringing our profitability or the gross margin of the product upwards, not the gross margin, but the profitability of the product. Finally, we are investing a little bit in new commercial models, specifically in the on the marketplace. It is really to make sure that we, in a very capital efficient way, can continue this growth and support our partners to deliver this growth to us, right? I think, as we said, we raised around DKK 28 million. We are growing our ARR significantly more than DKK 28 million this year, and we expect that will also lead us into profitability and cash flow break even through 2024 from the operations of the business. Actually a very capital efficient growth, if I should put like one headline on it, Michael. Yeah. Perfect. Yeah, yeah. Let's, let's look a little bit in maybe into what you mentioned, you know, looking at it, it's, it's a large negative number. You still guide, guide a large negative number, but can you confirm that with your new model, the guided ARR year-end is going to be very close to what you will realize in revenue next year? There will be not that this big... Then we have your cost base, you know, that will be of course, on a little bit inflationary, but we can take your cost base from this year and then deduct around the DKK 20 million. Going, if we take those two numbers, I know the numbers look very negative this year, actually that, that is what you are bridging to be potentially profitable next year on a, EBITDA level. Is that correct? Yeah. I think most, the mostly important thing is to get confirmed that with your new model, that the guided ARR year-ends will also turn into something like that in, in the revenue next year. Is that correct? Yeah. I think there's, there's two things. One, you're, you're, you're spot on. The, the fact that we are growing our ARR, and, and that will be coming to recognize revenue. Like, for instance, if we take on a new customer with DKK 120,000, and that is invoiced, that is DKK 120,000 more in ARR, but then we can recognize DKK 10,000 every month. Yes. So that's why it takes time from ARR to EBITDA, before it has the full impact, and that's why that ARR growth will deliver a significant improvement in the EBITDA for 2024. You are spot on and absolutely correct in that one. The other part that's actually very important as well, since the vast majority of our business is paid upfront, 12 month, the ARR is giving you an indication on the cash generation, right? Which is, which is higher than the recognized revenue. The cash generation is actually higher... Higher ... than the recognized revenue. That's actually also important to, to understand that we are an enterprise SaaS business, where the majority of our customers pay us upfront, for 12 months. Perfect. Then we have a very broad one, question. We are, we are looking a little bit beyond Q2 and Q3. Where do you see MapsPeople from a long-term perspective? Maybe it's, it's a good question to get through now that you are starting to see some of the things you are fighting for, realizing, say 5 to 10 years. Where, where, where is MapsPeople placed then, in, maybe in the surrounding world? I'm not asking you to give what revenue it's, it's landing on, but where do you see MapsPeople placed in, in, in, in, in this ecosystem of, of indoor mapping? Yeah. I, that is a very long, that is a very long five to 10 years from now. I don't think I want to answer that specifically in the context, 'cause I can't. I can, I'm still like, I'm still, like, fighting to look into next year, right? 'Cause we are really working hard to make, like, the day-to-day improvement of our business because we know that that will make next year better. However, what I can say about this one is, we are a global leader in indoor mapping and creating those digital twins to smart buildings, and we absolutely intend to be at least a, but preferably the global leader in what we do. Well, we will close it with that. The next one: What are the main challenges and, and risk you see going forward? Now, we maybe can go down to this one year, where, where you are still saying things, but what are the main challenges and, and risk you're seeing? Is it the macro viewpoint, macro environment? Is it other, is it competitiveness, you, you are looking at the risk, you know? I, I saw in your, your report that you mentioned that there has been hesitance in buying, but it looks like it's picking a little bit up as the macro picture is getting better. The two, the two main risks, let's keep it at two. Yeah. I, I honestly think, the reverse of a risk. The most important thing for us is to keep focus on what we're doing and making sure that we don't make our business more complicated than it should be, right? Let's keep our business simple. Let's keep ourselves focused on what's important. That is to make sure that we sign up new partners, that they are successful signing up new customers, that we generate this ARR, which will be recognized revenue and cash, and thereby into the earnings. Then we can decide to invest that into the business. It's about keeping focus on these things. I am one quarter ago and two quarters, when the world looked like a horrible place, high inflation rates, war, interest rates going up, companies are reducing spending. It took a long time to sell something, right? I am a lot less concerned about this right now. I think the general economy looks better. I think inflation is going down. Companies seems to be doing great in general. I do absolutely see that there is a movement in both our own pipeline, but actually also in our partners' pipelines. We see certain partners in some verticals, but more and more verticals, starting to actually really grow very fast, and specifically in some of those verticals who was, like, on hold during COVID, are absolutely coming back. We see all these new verticals continue full steam ahead. I'm less concerned about the economics, which is why I said what's important for us is that we absolutely keep focus on the right things. That is making sure that we sign up customers, that these partners are happy, and they get a lot of end customers on. Then things will be okay. It's a message that we hear from more and more SaaS companies, that it's still not easy, but it's, it's easing up a little bit on the investment decision, or they can't postpone it anymore. Maybe the next question or the final question goes a little bit into that. How does it affect you that more people are coming to the office, regarding this corporate office segment? Are there more push to it? I just saw Goldman now saying, "No longer three days, now it's five days." It's probably going to be six days soon to in the office by them. I guess they also work on a Saturday in this bank. Mm. You know, there really seems to be a push that, that now we are going back to offices. Are you seeing anything from that? Can it actually disturb you that it's happening a little bit too fast, or is it supporting your business? No, it's a good thing, 'cause then they need to use the application to book their desk, right? They need to book a desk in the right building. They need to book the desk next to their colleagues that they're working on a project with, and they need to pick the, the, the right building. This is just one of the verticals we're talking about, right? Yeah. Yeah, yeah. It also means if there's more people, then some of the more advanced solution, where you actually look at the density of people, like, "Don't go to the cafeteria right now for lunch 'cause it's fully booked." You can actually see things like that, and it just expands the number of use cases that you have within the smart building that goes beyond the employee engagement, and desk booking, and meeting room booking, that we're also benefiting from. You know, the digital twin is a piece of infrastructure where you can have- Yeah ... multiple use cases on top. So, you know, we're actually just happy if the buildings are being used, because the buildings are becoming smarter and smarter. We are seeing technology, software, and hardware being used to optimize, the usage and utilizations of the buildings, and that's exactly what is driving the demand for, for, for our indoor maps and the digital twins. Maybe software can also make it to a nicer place to be. Maybe we should know, not just force people back, but actually entice them to get back to the offices. That was all the question I had. Thank you to you, Morten and Jesper, for, for taking this call and taking us through the questions and, and your results. Thank you for the audience for listening in. Thank you, Michael. Thank you.