Dear ladies and gentlemen, we are happy to introduce Our Second Quarter Results. You will first hear a presentation by Kimmo Alkio, our President and CEO, and Tomi Hyryläinen, our CFO. As usual, a Q&A session will follow the presentation. To ask questions, please dial in to our conference call. My name is Tanja Lounevirta. I'm Head of Financial Communications. On my behalf, I welcome you all. Kimmo, please go ahead. Thank you very much, Tanja, and a very warm welcome to all of you to our Q2 results announcements. Our second quarter is characterized as overall a good quarter and actually favorable development across all the businesses. The main messages regarding the performance itself, we have turned to growth fully according to our year 2021 game plan and continuing to achieve solid profitability. Q2 organic growth of 2% with the adjusted operating margin of 12.2%. The overall group-level performance supported by strong performance in the software businesses, 13% growth in Industry Software and 9% growth in Financial Services solutions. Overall, we have seen favorable development in the contracts and win rates in the marketplace. We have been demonstrating good competitiveness. As an example, the top five contracts making up approximately EUR 300 million for future revenues, and also worth highlighting a strong book-to-bill within our cloud and infrastructure business. Furthermore, given the overall developments, we have actually moved forward favorably also in terms of the leverage of the company, net debt to EBITDA now being below the factor of two. Given the overall dynamics in the marketplace and the kind of evolving pandemic, we believe it's again just good to take a short moment to reflect on the overall market development. Very much according to our own predictions, we have seen in the second quarter healthy activity level in the marketplace, healthy activity level from a standpoint of Tietoevry during the second year of integration. Naturally, the type of internal work that which dominate the company's agenda year 2020, that tends to be also behind us. Overall, we are seeing the business impact of the pandemic, I'd call it normalizing, very clearly reducing and declining any type of a potential negative impact. Overall, the market is very dynamic. On one end, the new digital type of services around cloud data analytics and the B2B industry-specific software moving forward rapidly. On the other hand, anything to do with traditional outsourcing businesses, price competitiveness continues to be high on the agenda. Very much in accordance with our own expectations how the market would be developing. Furthermore, we'd like to also highlight the increasingly dynamic talent market. We have, as Tietoevry, also during the second quarter increased our recruitment capacity to support our growth ambitions and overall visible the talent dynamism in certain talent pools that naturally have to do a lot with the type of cloud native data analytics and actually advanced software engineering. We are also addressing this part to support the growth potential that we clearly do have. Furthermore, important to keep high on the agenda in serving our employees worldwide of being a fantastic place to be and refining our own working practices and engagement models. We have a very interesting and, I believe, successful crowdsourcing exercise taking place internally with actually 48,000 inputs from employees on exactly the preferences for future work. We'll be sharing more of that information during the second half of the year. Overall, as a summary, the pandemic impact reducing market becoming healthy, talent market quite active, and high degree of attention on the future work. I believe we'll be in a good shape in these regards. Furthermore, moving on to the actual developments of the second quarter with the overall wins in the marketplace, looking into the competitiveness of the company as reflected earlier, good order intake, good wins totaling about EUR 300 million for the top five contracts. Overall backlog growth of 3%. I referred earlier briefly to cloud and infra book-to-bill was actually 1.4 being a combination of large renewals and a number of new multi-cloud contracts that have clearly accelerated during the second quarter. Some of the samples we have announced during Q2, DNB extension of a partnership comprising both of infrastructure and Financial Services-specific software services. Second one, Region Skåne in Sweden modern end user and workplace services. Finally, a very interesting one within our Product Development Services signed a contract with a significant industry leader TCV over EUR 30 million approximately over two-year timeframe. The customer's name shall be disclosed during the second half of the year. Overall, positive momentum and really important to continue to actually elevate our growth potential in terms of the won deals overall in the second quarter. Looking into very practically then into the group level performance financially for the second quarter, revenues of EUR 722 million, adjusted EBITDA, the aforementioned 12.2%, EUR 88 million. Actually the growth profile in all businesses moving in the favorable direction from the first quarter. We would like to confirm throughout this year that the impact of the pre-merger lost customer still impacts the group numbers by about 3.5% and naturally impacting during 2021 the top-line development of cloud and infra. Overall profitability improvement continues to be achieved by consistent improvement in efficiency of the company, continued drive for synergy realization, and naturally the positive development in our software businesses. Overall Q2 performance at the group level, very consistent with our own expectations. Furthermore, moving into the highlights per business, Digital Consulting, organic growth 1%, adjusted EBITDA 13.4%. Clearly seeing growth in the new digital domains within Digital Consulting, specifically in the areas of cloud and technology consulting, data, and analytics. Overall, looking at the service practice performance within the DC arena, good development in all new digital services. Legacy application services naturally continues to be rather on the lower end as one would have expected. Margin improvement has been driven by the merger-related synergies and continuous attention on productivity and efficiency. Here it is worthwhile highlighting that additional recruitment activities have been initiated to address the active talent market, specifically in certain domains, and to support our growth opportunities, specifically in cloud data and the business applications domain. As an example, in the ERP domain, we are seeing high activity level in the marketplace, and these continue to be areas that from a talent and resourcing standpoint, we continue to work on actively. Regarding the anticipation for the third quarter, we'd like to provide, as usual, a bit of a soft view per business for Digital Consulting, adjusted operating margin anticipated to be below Q3 2020 level. Next, moving on to the very interesting and important cloud and infra side, organic growth -10%, adjusted EBITDA improving to 6% level from the first quarter, which was actually 4%. The pre-merger lost customer impact continues to be about 10% on revenues. Very important that our turnaround program is on schedule. We have seen continued uplift in quality through very specific customer feedback included also within the domains of the ex-IBM environments, which were the challenge for the past one and a half year timeframe. During the second half of the year, we expect profit contribution to come directly from capacity reduction in legacy services and increased levels of automation. Importantly, as mentioned some minutes ago, healthy book-to-bill or actually a strong book-to-bill of 1.4 adding to the comfort of sustainable turnaround that we believe we'll be achieving. Anticipation for the third quarter of this year, revenue decline expected to be less than in the second quarter of this year. Adjusted operating margin expected to be above the level of Q2 this year and below the level of Q3 2020. Moving forward to Industry Software, very healthy growth of 13%. Fair to mention that we did have license revenues worth about five percentage points within this business in the second quarter outside also the additional license revenues, very healthy pace. This is at the levels overall that we have been anticipating. Healthy profitability level of 23%. The business continues to be driven forward well through performance in the healthcare and welfare business. We have the same message from a profitability and scale standpoint combination of revenue growth and continuous attention on efficiency improvement, including standard R&D and software release practices. To confirm the oil and gas divestment closed during the second quarter on the June 7th. Regarding the third quarter, we anticipate the adjusted operating margin to be at the level of Q3 last year. Furthermore, on the software solution side in Financial Services, organic growth healthy at 9%, profitability also healthy at 13.7%. The strength of this business in the second quarter, we have more of the software solutions growing, covering core banking payments and the cards businesses. Overall profit development naturally driven by the top-line development and attention on efficiency improvement, including standardized R&D practices. We'd like to remind everybody that the investment level has been maintained to support the delivery of one new business, specifically actually in both cards and the core banking. We believe these are very relevant investments to support the growth ambition and growth outlook for the quarters to follow as well. For the third quarter, we anticipate the adjusted operating margin to be at or above Q3 2020 level. Into product development services, organic growth of 2%, profitability healthy at 10.4% level. During the second quarter, we have seen clear activation improvement in the market activity and actually demand increase in pipelines getting clearly stronger in all key industries within product development services. Within PDS, we have also initiated additional recruitment activities to offset active talent market visible in certain higher-end software engineering skill domains to further support our H2 growth opportunities and growth ambition. To confirm the significant over EUR 30 million contract over two years, as mentioned within the customer references opening page. Very important development to support the growth ambition and opportunity to cross-utilize certain software engineering skills across a number of customer industries. Regarding expectations for the third quarter, we anticipate the adjusted operating margin for PDS to be at the level of Q3 2020. Furthermore, similarly, as we opened up in the first quarter a view into our international operations, this is a business where we continue to capture demand for transformation and future digital services, highly advanced cloud native data analytics, data platforms type of businesses, as well as digitalizing business processes and driving application transformations, very specifically in Western Europe and the U.S. based on the very strong delivery center capabilities we have from couple of our global operation centers. Healthy growth nearly 20%, actually at 19%, but the 20% level bar we are maintaining in that range. Overall favorable development and continues to support our growth ambition and view on expansion possibilities. Furthermore, I would like to provide couple of highlights regarding our sustainability agenda and activities and achievements during the second quarter. Our sustainability agenda has two core categories. The upper side, as visible on the left side, the activities we conduct to impact our customers' agenda and common objectives to actually support the environmental objectives in the societies we live within. Within the domain of impact through customers, we have a couple of core areas that we'll be talking more about in the quarters to come as well. We talk a lot about the solutions to reduce carbon footprint, we talk a lot about sustainability impact analysis, and we talk about services for data-driven sustainability. That is on the upper side of impact with and through customers. In the second quarter, we had a couple of really nice examples on the transparent CO2 reporting through a sustainability dashboard, very specifically with a couple of very significant customers in Sweden, Systembolaget and Swedbank. This type of sustainability dashboard we'll be sharing more information on equally in the quarters to come. Regarding our internal operations, the other half of the very important sustainability agenda regarding the exciting place to work, we have couple of very specific measures. One around diversity and inclusion, and second one being the continuous attention employee experience. Within the diversity agenda of the company during the second quarter, we have already seen a significant shift as we are paying more attention into attracting female talent. We have seen an increase to about 32% level in the overall applicant pool, very significantly from the more traditional level of about 14%. This pilot has been so far really successful, and we continue to work very actively regarding the total sustainability priorities of the company. With this in mind, we've now gone through the highlights of the overarching view of the company, views per business, and brief highlights on sustainability. Now glad to hand it over to Tomi for the CFO view. Thank you, Kimmo, and good morning, everyone. I'm pleased with our Q2 performance overall. We turned into organic growth and delivered 12.2% adjusted operating profit. Our reported profit was strong as well at EUR 139.7 million or 19.4%, supported by continued profit improvement, reduction in one-time item levels, and capital gain from the sale of oil and gas business. We delivered EUR 11 million of operative cash flow and were able to reach our leverage target of net debt EBITDA of below two 18 months ahead of schedule. Synergy contribution to profit was EUR 21 million in Q2. Synergies are not visible fully in the P&L due to temporary profit decline in cloud and infra similar to Q1. One-time items were in line with our estimate and include a positive impact from the oil and gas divestment. We continue to experience FX tailwind primarily from the Swedish and Norwegian currencies. Impact to Q2 revenues was approximately EUR 30 million. Oil and gas divestment, as mentioned, was completed during Q2. We delivered EUR 11 million of operative cash flow. Our operative cash flow was negatively impacted by increase in net working capital of EUR 83.9 million. We have, from time to time, had large changes in our net working capital when many working capital elements move into the same direction simultaneously. That was the case in this quarter as well. There's nothing structural in the change, and the cash generation foundation of the company remains healthy. The working capital change came from increase in receivables of EUR 30 million and a decrease in liabilities of EUR 53 million. Half of the increase in receivables was due to reduced levels of sale of receivables as we're in the process of renewing some of our facilities. In liability side, there were changes in seasonal elements like personal related accruals and advanced payments contributing to EUR 25 million of the change, and periodic fluctuations mainly in VAT liabilities and change in restructuring provisions as expected contributing to some EUR 23 million of the change. Free cash flow was at EUR 116 million, very strong. That was impacted by the oil and gas sales proceeds. We achieved our leverage target of below two net debt EBITDA 18 months ahead of schedule as mentioned, with reported net debt EBITDA of 1.6. When fully adjusting for oil and gas divestment, so taking out the capital gain and the profit contribution for the past 12 months, the net debt EBITDA would be at 1.9. Even as fully adjusted, we reach our target level. Our synergy takeout continues as planned. We confirm that we are on track to reach our synergy target of EUR 100 million. We will be reaching a run rate of EUR 90 million -EUR 95 million at the end of this year. We keep the integration cost estimate of EUR 110 million -EUR 120 million unchanged, with accumulated integration cost at the end of Q2 of EUR 94 million. The remaining synergy takeout relates mainly to procurement and facilities-related efficiencies, with some further process and IT optimization activities. Our Q2 1x items were a EUR 63 million positive, fully as expected, with EUR 9 million of cost and EUR 73 million positive impact from oil and gas divestment. EUR 73 million differs from the capital gain of EUR 71 million, which includes EUR 2 million of M&A costs from Q1. One-time costs from the IBM transition of services are now completed. Cash flow impact from the full-year forecasted 1x items of EUR 47 million-EUR 56 million is some EUR 70 million-EUR 80 million due to back-end loaded cash flow impact, particularly in restructuring, as we have discussed before, and this is also visible in our Q2 working capital change. Oil and gas divestment, it was closed in Q2. However, a minor part of the asset transfers will be finalized in the autumn. When these asset transfers are completed, we will receive an additional EUR 2 million of cash. Capital gain from the divestment amounted to EUR 71 million, and free cash flow was impacted positively by EUR 142.5 million. As the transaction is non-taxable, it will drive a reduction in our effective tax rate for the group by approximately 4%. CapEx for the quarter amounted to EUR 18 million, and we estimate the full-year CapEx to be at or slightly above 2020 level, with some quarterly fluctuations. I'll summarize the Q3 performance drivers. The impact from the pre-merger lost customers in cloud and infra will be lower than in Q2 at approximately 2%. Synergy contribution will continue at similar levels, with a slight increase compared to Q2. cloud and infra profit improvement program is expected to contribute to further profit improvement during H2 2021, and FX tailwind is expected to continue and working day impact will be neutral. Back to you, Kim. Thank you, Tomi. Moving forward and recapping the growth agenda of the company and then towards the conclusions of the Q2 report. We confirm our growth dynamics and growth agenda for the year. We have gone through the favorable development and the direction for all the businesses. Currently, we have seen in the first half of the year, and especially towards the summertime period, the growth agenda has been materializing according to our plans and turning the corner to growth of 2% during Q2. We do anticipate for the second half, according to the color coding here, that all service lines except cloud and infra to be positively contributing to our growth ambition. Overall, quite a good continuation into the second half. As a summary, entering the second half, market sentiment is fine. We anticipate the pandemic impact to continue to diminish and market being active and normalizing. We have high degree of attention, have had since the beginning of the year on the growth agenda for the company. Very important from a total performance and profitability standpoint to ensure the cloud and infra turnaround will continue. Overall, the efficiency, productivity, and financial foundation for the company continues to be at a healthy level. Overall, as we close the first half, we have good momentum in the company and a clear agenda moving forward. With this in mind, this would be good time for the Q&A. Yes. Thank you, Kimmo and Tomi. We are ready to proceed to the Q&A and take questions from the conference call. Moderator, please go ahead. Thank you. Ladies and gentlemen, if you do wish to ask a question, press zero, one on your telephone keypad now. That is zero, one to register for a question. I have a question from the line of George Webb from Morgan Stanley. Please go ahead. Morning, Kimmo and Tomi. Thanks for taking my questions. A couple around the cloud and infrastructure business, please. You mentioned the good order intake in the quarter on a book-to-bill of 1.4. Can you talk through how your expectations for that business line are moving as you go into the end of this year and 2022 and as those previous lost contract headwinds fall out? I guess we have the CMD expectations that you think that that business can grow 0% - 2% into 2023. As you look at today, is that what you see as you look into next year or are the current dynamics implying anything differently? Secondly, just thinking about the profitability of cloud and infra in the second half. Can you give us a sense of the scale of the cost benefit you're expecting to come directly from the headcount restructuring measures you previously announced once it reaches a full run rate basis? Thank you. Sure. Thank you very much. Couple of reflections. As you notice, I'm going to try to stay away from giving quarterly forecast on the business, but I will of course comment your question. This year we are trying to be super open consistently on what type of improvement levels, the consistent improvement both on top line and profitability, but this is a turnaround year. We do expect to fully maintain the view what we shared at the Capital Markets Day. With this turnaround behind us at the end of 2021, we expect to be getting towards much more normalized figures in 2022. Maybe that's where I probably need to leave that without giving quarterly guidance forward. Regarding the profit improvement overall, the contributing factors are clear on the cost-based reduction for the second half of the year, both in terms of personnel and capacity reductions. We are relatively comfortable with the direction that is being undertaken. Okay, thank you. Maybe [one last I can] on salary inflation. Can you maybe just give a bit of color around how you're seeing that market dynamic change, perhaps how it feels to you versus previous cycles of cost inflation, and labor market tightness? Sure. Clearly in the last couple of quarters, and I believe this is very much, and I would anticipate you all have heard the same thing, very much a global phenomenon on the active talent market. Yes, we are seeing that it relates to very specific type of skill domains where it is more visible, as I reflected in my summary as well. We are identifying certain locations in the world where the talent market is a bit hotter. We have actually acted upon this part already some months ago, adding to our HR teams and recruitment capacity. I want to be very frank. Yes, we are seeing it. We have already addressed it. Yes, we are commenting openly. The salary inflation will rather be in the 2%-3% range than 2% level and relates very much to certain hotter pockets and all these are actually accounted for in our plans moving forward. Perfect. Thank you. Our next question comes from the line of Christoffer Wang Bjørnsen from DNB. Please go ahead. Good morning, thanks for taking my question. I guess, the first one again on cloud and infra. You're saying that the growth or the decline in revenues in the third quarter will be lower than the second quarter. Maybe you could give some more granularity on that just to kind of help us understand the headwinds in Q3. Furthermore on the cloud and infra, talking about the strong book-to-bill, maybe you could talk a bit about what's going on there in terms of is there any changes in the business mix or service mix in terms of what you're winning on now compared to what you were winning on a year ago? My third question is on the international business and the significant growth there. Maybe talk a bit more about the dynamics there. What is driving that growth and kind of how sustainable is it for maybe the medium term? That would be very helpful. Thank you. Sure. Okay. Indeed, cloud and infra and then the international. When we look at the overall logic and expectation on the top-line development for the year, and I hope everybody has been able to follow our commentary that the impact of the pre-merger lost customers will diminish quarter after quarter during this year. That's a very important factor. We expect that to be an element. We are more and more active, as we have seen, in winning contracts, winning new footprint, winning public cloud services or multi-cloud services. I want to be very frank and, of course, that also from a top-line standpoint, it is also a turnaround year. That's what we have tried to guide everybody, and hopefully very consistently. Profitability improvement, we expect that to be also consistent given the fact that, as we have commented, we have ended the era of duplicate investments due to IBM-related challenges. These have ended fully on schedule at the end of second quarter and related activities on cost optimization and actually driving the transformation from legacy environments to shared environments, we are able to activate this even further. With this industrial logic in mind, I think we have a healthy opportunity and probability of continuing the turnaround favorably. It will take this year. Regarding the consideration on international, our reflection here would be exactly the same as in the first quarter. We are driving the reason we brought it to the table into the quarterly reports as well as of Q1. We've seen several quarters of successful business penetration in the new digital domains, cloud native development, cloud and analytics cloud platforms, as well as driving application modernizations from legacy to cloud environments, and reflected upon earlier. This relates to our international operations and global operations centers from places such as India and Ukraine towards Western Europe and the U.S. markets. The reason we very much like and see the further potential, because this is all in the new digital domains where the market growth potential is clearly attractive. Nothing really else or new to share on international potential is good. All right. Thank you. Just one final quick one. We've seen a couple of examples where, especially in the public sector, some tenders are put out where there is increasing focus on environmental factors, where even in some cases, the weight is more on those kind of KPIs than on pricing and qualities. I'm just trying to understand, are you seeing that as well? Is that a way where you can compete in terms of being more environmentally friendly, basically, than some of your competitors? Is that the way you can win? How do you do that? Yeah. Thank you for that. I would have two comments on that important point. We are very comfortable with the multi-year development in our sustainability agenda. Our sustainability team has for several years played a very active role in the bid propositions given that we've seen this becoming more and more critical now for several years already. I wanted to mention at a very practical level, at the bid level, we have a very good ESG agenda. I never want to be overly optimistic until we deliver better performance. This is potentially a factor that gives us a kind of competitiveness the more ESG becomes important because we have very granular agenda and these examples that we have this time shared on the services for data-driven sustainability of co-measuring the impact with our customers. I think we have a very interesting and great opportunity to be rather as a thought leader and prove the point on how the tech sector can actually impact the environment and very specifically with our customers. It will continue to be big on our agenda. Thank you. I'll jump in the back of the queue. Our next question comes from the line of Gautam Pillai from Goldman Sachs. Please go ahead. Great. Thanks so much for taking my question and congratulations on a good set of results. Firstly, can you provide some color on the pipeline for the Industry Software and Financial Services segment? Very impressive growth in the quarter but can you provide some soft indication how that should progress into the second half of 2021 and beyond? Is this [level of pricing will be] double-digit growth sustainable or were there any kind of unusually large contracts in the software segment this quarter? Sure. Let me indeed address those separately although the message will be quite consistent. First of all, within the Industry Software, our view on the market, our competitiveness and the pipeline has remained consistent, meaning consistently quite good. Just want to confirm as we were very open about that in Q2, we had some contribution from Q2 specific license revenues. Nevertheless, the growth rates healthy. On IS, we are fully within the trajectory we have been expecting and planning. That's all consistent in terms of pipeline, in terms of revenue development, in terms of quality of operations and profitability. Regarding FS, our message would be quite the same. Our attractiveness and competitiveness in the market is good. The overall pipeline development consistently fine. In terms of the relevance of the investments we have in place, is naturally all there to support our ambition to deliver even better performance, fully as reflected and shared at the CMD. In that sense, nothing dramatically new, exactly in the right direction regarding IS and FS. Got it. Secondly, on the cloud and infra segment. In early May, one of your competitors announced a large contract win with the Finnish public sector, eight-year agreement worth EUR 384 million. Is this a contract that will ramp down your infra business? If yes, what impact will this have, when should we start modeling this? Does this specific issue create any risk to your cloud and infra targets for 2023? Yeah. Thank you. Maybe three considerations regarding that as it was touched upon also in the Q1 report. Indeed, that frame agreement was won by a competitor. We believe we had very solid grounds for taking it for court appeal, which is the type of the public procurement processes work in certain ways. Some of you may have seen that one of the larger constituents and parts of the frame agreement, an entity called Valtori, actually last week did announce that they are prolonging their contract with Tietoevry over multitude of years at the value of EUR 98 million. This was announced by Valtori. They also said that it is expected to be signed here in the early part of the third quarter. We have not brought it into our report until that continuation of that agreement is actually formally signed. These would be the three factors and the overarching loop that we commented in Q1. The frame agreements at the end are subject to how many entities within the public sector actually wish to apply that frame agreement. Got it. Finally, can I please check on the recent Kaseya ransomware attack? In the press release, you highlight that the impact to affected customers' business could be serious. Can you provide an update here? Is the attack contained? Also, is there any liability directly to Tieto? Sure. Naturally, I would like to maybe reflect a bit even one level higher, and of course I will comment your very fair point. The world of cybersecurity continues to evolve and being very important also in terms of our value to society, our value to customers in helping when extraordinary things happen in cybersecurity. I believe we have highly advanced capabilities within the total cybersecurity domain. It has been proven with a couple of cyber-attacks in the first half of the year, one in Norway and one, this Kaseya, impacting specifically Sweden, where we have served our customers and I believe increasing the trust level, how quickly we had deployed in the range of 100 people to work 24/7 supporting getting all systems back online ASAP. That's a backgrounder. Regarding Kaseya, we had quite minor impacts regarding our customers. In Sweden, this related to few customers in the rather small and medium business segment. From a societal standpoint, not severe. Some of the other ones outside of Tietoevry's domain were quite disruptive to the society. We believe the implications to us are minor, and we do not see, based on these couple so far, any significant exposure. Precautionary measures including insurance arrangements we naturally do have in place. Of course. Thank you so much, and all the best for the second half. Our next question comes from the line of Panu Laitinmäki from Danske Bank. Please go ahead. Thank you. I have two questions left. Firstly, on the margin outlook in the consulting business. You are now expecting the Q3 margin to be lower than a year ago. The question is that where is this coming from? Is this reflecting the higher salary inflation, more new recruits, or just abnormally low costs a year ago? The second question is on the guidance, actually. The organic growth improving in Q2, and now you have only five months left in the year. Why didn't you specify the organic growth guidance for the full year? It's still quite wide for the group. Thanks. Okay. Thank you, Panu. A couple of considerations. A good point also on the Digital Consulting side. Yes, we have activated our additional recruitments and because we do see the growth potential, and naturally when you'd recruit people, we do not get into immediate billability. That element in your list of items indeed are a contributor. Also the activity level with customers is increasing, thus yes, we believe the cost base in Q3 last year due to the pandemic was also somewhat lower than usual. Nothing structurally that I see currently concerning. It is more the optimization of the growth agenda regarding Digital Consulting. Regarding guidance, we believe that it is appropriate to just maintain the total guidance level we have and no reason currently to start to change it. Thank you. Can I just ask a follow-up on the Digital Consulting? How should we think about this? Is it so that when you have the new recruits in and you have the revenue growth continuing, you should expect further increase in the margins, or is it so that the margins have actually peaked because they were a bit exceptionally good during the pandemic? I think in terms of the Digital Consulting, naturally, I may do two comments. Right or wrong, there are normal quarterly fluctuations. What we see very important both for DC and other businesses, that we have the margin trajectory heading sustainably in the right direction, and I believe that is the case also for Digital Consulting. The growth agenda, attention on efficiency, productivity, billability, and continuing to head in the right direction, as mentioned in profit as well. I think that's the important overarching financial view also for DC. All right. Thank you. Our next question comes from the line of Michael Briest from UBS. Please go ahead. Yeah, good morning. A couple from me as well. Just digging in a little bit more onto the attrition and salary trends that have come up. Attrition went from 9.9% - 11.7%, and that's a rolling 12-month figure. In the June quarter, it's gone up quite a lot. Can you maybe talk about where you would expect it to end the year? I think historically, at least in the last couple of years, the high point's been just under 13%. Do you think that's where we might get to? For an aggregate headcount level, I know there's restructuring going on. Do you think that headcount will grow this year? Is that the plan in order to obviously sustain growth into next year? Then, Kimmo, just on COVID. I think the guidance sort of makes some comments about assuming that pandemic restrictions have gone by Q3. Well, we're in Q3 now, and there are still some in many countries. Can you just talk about what your underlying assumptions are for the drag effects of COVID through the balance of the year? Then just finally, on the international business, you've called that out now 2 x on the most recent quarterly calls. Can you just talk about your ambitions for exogenous or acquired growth? Is it more on the services side that you might make acquisitions or historically, I think software's been seen as the way to lead into new countries. Can you just give us a little information on that? Because it sounds as though you're actively looking at things. Thanks. Okay. Thank you. Very good point. First on the attrition. It is a bit dynamic market. Our current perspective and view would be as follows. First of all, this relates to which I was trying to be relatively open certain locations in the world where attrition is higher. I don't want to go into sites or detail due to competitive reasons on that one, but we have a good feel for which locations in the world. Towards the end of Q2, we did see a certain stabilization, initial signs of stabilization on attrition. I don't want to be overly optimistic that it's going to get easier very fast because we need to put the main attention on having the resources fast enough for the healthy growth opportunities in many solution areas that we do see. To be fair, I don't have attrition forecast so to say systematically, but I think we need to assume that the attrition level continues to be at this a bit higher level until it is resolved. We have been able to increase net recruitment in certain hot service practices in the critical locations during the second quarter. We need to keep working hard, smart and assuming attrition levels can be and likely shall be at this slightly higher level. If I talk about the headcount. If I reflect the dynamics of the different businesses for the year, that likely gives the best answer. In the light of cloud and infra capacity reduction, that will drive the headcount decrease for the remaining of the year. There are growth areas such as in the cloud area, but overall the capacity reduction will impact negatively the FTEs in cloud and infra. With the consulting businesses and software businesses, that will likely mirror more or less the growth ambition of the company, i.e., FTEs is being increased while we grow the businesses. Those would be the dynamics for the remaining of the year that you should be expecting. On the pandemic. Our assumption currently indeed that it is becoming "normal," but I start to call it nowadays the new normal. It ain't the same as one and a half years ago. What we are seeing, the activity level in the kind of new digital domains, the B2B software activity level is high. It might be even higher than one and a half years ago. Given that our customers want to digitalize their channels to their customers even more actively, and this is driving our industry growth. The other side of the kind of polarization is that the price competitiveness drive for efficiency in outsourcing services becomes higher and higher, which we are used to. Overall, we feel that it's really tangible, the market activity level. The pandemic impact, we do not feel the need to highlight that it would be a hindrance for executing our growth strategy. That's why we are being very open that we do not expect pandemic to be a negative factor. Naturally, the considerations on the ways of working, we need to be very mindful that the third wave might come exactly how to support our operations in the core Nordic countries. We have nearshore operations, we have offshore operations, and depending on the evolution of the pandemic, that we can continue to maintain high service levels to our customers, which so far throughout the pandemic we have done really well on in terms of adjusting to the remote ways of working. Maybe finally on the international, overall we like the whole notion of organic growth. That's very important to prove that we are tangibly penetrating the market and winning business and scaling the businesses. I don't have any new type of an update I would like to share currently on the M&A strategy. I think the only point to mention that it is naturally fully, as we shared in the CMD one component in our toolbox and within the next couple of year timeframe naturally an essential part of our future, but nothing to really speculate on. Okay, thanks, Kimmo. I remind you that if you want to ask a question, you will have to press the number one on your telephone keypad now. We have a question from the line of Matti Riikonen from Carnegie. Please go ahead. Good morning. It's Matti Riikonen, Carnegie. Two questions related to the EUR 300 million new contracts that you mentioned in the report and in the presentation. I was wondering how much net new business does this mean? Are these contracts that are totally to new customers with net new business, or is there some existing customers that you are already charging? What is the kind of net new element there? Secondly, what is the average duration of the contracts? Is three years, for instance, a good proxy for that? Thank you. Yes. Thank you, Matti. Overall, couple of factors behind why we brought forward very specifically this EUR 300 million. Important business is being won. To answer your question, majority of this sample set of the EUR 300 million, vast majority is actually renewals. Also in the earlier commentary, I did want to highlight significant number of multi-cloud new contracts. We are also winning footprint, which do not have similar pre-commitments in the new world of multi-cloud but opening up really interesting growth avenues whereby the kind of order intake of that shall follow as the volumes materialize. Hopefully I wanted to be clear, of the EUR 300 million, significant part is actually renewals. Also there is also new footprint within the EUR 300 million and outside the EUR 300 million. Okay. The average duration roughly is three years. Yeah, of the larger renewal contracts, it tends to be in the three-year, can be three plus two. three- to five-year window typically. Right. Okay. If I simplify to a great extent, if I assume that there would be, let's say, EUR 100 million net new business divided to three years, that would be roughly, right? Yeah. I don't want to give a mathematical formula because our bookings are much more than EUR 300 million. Okay. That's fair enough. Thank you. Our next question comes from the line of Jaakko Tyrväinen from SEB. Please go ahead. Yes, thank you for taking up my questions, and good morning. Most of the questions have already been asked. A bit more general one on the international operations. I understand that you're mainly growing within the Digital Consulting domain there. Could you remind us your plans in terms of Financial Services solutions internationally, and what is the current situation with that segment's international initiatives? Sure. Thank you for the question. Just to confirm, the international business of Financial Services is reported within Financial Services. That opportunity continues to be there. We have certain footprint on the payment side over the last five to eight-year timeframe being penetrating certain international markets. We have been, in the past year, announcing significant wins in the Nordic countries. We think we have market share gains in the Nordics markets we know well. Yes, we will be considering the further international expansion in due time when the technology solution portfolio readiness is at the right level. Nothing new, if I may, nothing new to report in that side at this point. Okay. Thank you. I mixed up a bit Tomi's discussion around working capital. Tomi, could you repeat the statement in terms of the highly negative working capital? Was it basically still within the normal fluctuation and just all the items were going into wrong direction this quarter? Is there anything new that we should think going forward in terms of WC items? Exactly. I would rather put this in the context of a potential upside in the future. All components basically moved into the same direction, which this quarter was negative. EUR 30 million as I reflected in the receivables, half of that through the sale of receivable facilities which we're renewing, that will bounce back in Q3. In the liability side, half of the EUR 50 million seasonal elements like salary-related accruals, half fluctuations in VAT and provisions. Very much normal fluctuation elements. Okay. Thank you very much. That's all from my side. Our next question comes from the line of Felix Henriksson from Nordea Markets. Please go ahead. Hi, Kimmo. It's Felix from Nordea Markets. Couple of questions still left for me. First, on the salary inflation, could you please provide a bit more regional color on this? Where do you see it being more severe than in others? Secondly, on the M&A, you touched on it a little bit, but how should we think about your readiness for acquisitions given that you're already below your leverage target? How should we interpret this, and how does your pipeline look like currently? Okay. Thank you for the consideration. I'll try to pick the right level on the inflation. Please imagine a matrix. We have couple of locations in the world where it's more and less active. More active, I call it now nearshore. I don't wish to call out the countries or the locations. Regarding India and to lesser extent, in the Nordic countries. In the matrix, one could consider certain professional capabilities such as cloud-native development, data and analytics, software engineering. Certain pockets are warmer in more locations. I think the overall clarity on where talent market is hotter, locations for us very clear and even few levels down in detail exactly which type of professional domains we have good control of, whereby we are targeting our additional recruitment capacity. The point on M&A, to be fair, as always there's nothing else to say on M&A. We have demonstrated over the last five to six-year timeframe of considering ways to speed up growth, speed up execution capability and the like. I wouldn't make any link with the deleverage and sudden urgency, rather the systematic nature of how we develop the company. Maybe nothing else on the M&A. Okay. Thanks a lot. That's all from me. We have a question from the line of Daniel Djurberg from Handelsbanken. Please go ahead. Thank you, operator. Thank you for squeezing me in and good morning. Congratulations to a stellar report, I think. My question has really been answered. I could ask you a little bit about the cybersecurity. You have your own offering there. I was thinking if you could comment on the growth potential and the recruitment possibilities and so on. Also, on the threats that you see towards your operations and application services and so on. That would be great if you could give some color on it. Thanks. Yes. Thank you. Overall, the cybersecurity landscape is very broad in the industry at large, and it's very important all technology companies are selective on the domains of cybersecurity where you target to specialize. In our case, we have three very important factors in our cybersecurity strategy as a company. One is that we secure all deliveries to our customers, whether it is the software assets we deliver, whether we deliver cloud-native development, whether we deliver private cloud services. It is very important to verify the security maturity of everything that is delivered to our customers. Second very important domain is everything about our infrastructure, data centers, all operating environments, that they are operating a secure, professional, patched, and preferably in an environment utilizing machine learning on predictive analytics on security. There is a third factor, which naturally has to do with our internal system. We have a full security strategy, three important domains, and we do believe we have quite a, never perfect, it is so fast-moving, cybersecurity. I think we have an opportunity to create further trust to our customers by being in the forefront of supporting how to develop our customer security operations and every day being on top of the cybersecurity world in this sense. I do not wish to give a simple answer because it is a highly multi-factored domain. Very important we have a clear focus, clear agenda. Thank you very much, I agree, thanks for the call, good luck in Q3, have a great summer. There are no further questions at this time, so I hand back to the speakers for any closing remarks. Thank you. Before Kimmo's closing words, I would like to thank you for active dialogue and wish you a great day. Yes. Thank you very much for joining and for the fantastic questions and commentary. We have today announced a good quarter and favorable development across all the businesses, and mid-point of 2021, we are in a quite a fine shape, and naturally, the ambition goes up every quarter. Thank you very much for joining and looking forward to connecting then after Q3. Thank you.