Uponor pipes deliver the fundamentals of life, water, indoor climate, and infrastructure. While almost always hidden from the eye, now you can see them and how they run through our societies making people's lives simpler, easier, and safer. Almost everyone has been touched by our products today. We at Uponor work with customers in residential and commercial construction, municipalities, utilities, and industry. We work with both renovation and new build, offering solutions for plumbing and water, indoor climate and infrastructure. This is how we deliver on our purpose of unlocking the potential of water to protect the place we call home. Our vision of being the leader in sustainable water solutions is grounded in our sound strategy. We aim to reach our vision through strategy of growth and resilience. We maximize the core, blazing the trail of organic growth. We innovate integrated systems and sustainability solutions. We lead construction to net zero. We put our People First. Our values, connect, build, and inspire, guide our engaged and diverse team of Uponorians. We are supported by strong major megatrends, the need for safe and clean water, the energy transformation, the need for solutions to lower CO2, and construction productivity. We are well set to ride the megatrends and deliver on our strategy. We are organized into three divisions: Building Solutions Europe, Building Solutions North America, and Uponor Infra. Infra also moves heat, electricity, and data. Our sales and delivery are organized through our distributors. Our competitive advantages are why we're so confident in making our vision a reality. These are superior quality, ease of installation, comprehensive offering, expert service, and leading brand. Our competitive advantages are important to our stakeholders who plan, build, and invest in our society. We give you Uponor, the company that moves water through cities, buildings, and homes. Ladies and gentlemen, welcome to Uponor's Q4 and full year 2022 results briefing here in the studio in Helsinki. My name is Franciska Janzon. I'm from Uponor's Investor Relations and Group Communications, I hope you enjoyed watching our renewed Uponor story that we presented to you as an introduction today. Now we will start with the review from our President and CEO on the overall group development and strategy execution. This will be followed by a presentation by our CFO, Markus Melkko, on the financials. After this, we will open up for the Q&A session via the teleconference line. With this, I hand it over to you, Michael. Good afternoon also from my side. I'm Michael Rauterkus, CEO of Uponor. Welcome to our session on Q4 2022 and the full year results. What a year. Before I go to the results and financial results, as always, we start with our program People First, and one of the measurements is LTIF. Again, last year, we could improve this a bit, and the major of the improvement came from our colleagues of the United States. Still, as you see by the numbers, a lot of room to grow, and this is our passion. We continue to improve our measurements on health and safety. It's really core, close to our hearts. Let's go now to 2022. It has been a good year for Uponor. I would say not a great year because remember fourth of November, we were on a path for a record year. Cyber attack happened, but it has been a good year. We look at the numbers, Q4 has been on a like-for-like basis minus 16% for net sales and comparable operating profit minus 58.6%. When you look at the full year results, it is a record year, up 5.6%, almost EUR 1.4 billion, and the OP is the second best results in Uponor's history with EUR 153.7 million. Our highlights are really the following. Successful strategy execution as we announced in the Capital Markets Day back in March. A real success in the Infra project business, a core driver in the Q4 results and throughout the whole year, and really Infra is the star of all the divisions in the year 2022. Strong pricing realization in all the three divisions. I mean, I'm really proud of a strong management of the cyber incident. We have a great team, great leadership team, but we counted almost 200 people who really worked their socks off in Q4 to fix the cyber issues. I come to this a bit in detail in a minute. Because of these results, also the board has a dividend proposal of EUR 0.69, which is EUR 0.02 up versus last year. A bit more specific to Q4. Normally, we don't show really the numbers by month. This shows you a bit the rollercoaster of Q4. On the 4th of November, we celebrated. I took a plane the next morning back to Frankfurt. I got a call from my colleague, Marco, says that, "We have a problem." This journey became a really tough journey for us. Looking back, I think we have really managed this well. You see here on these numbers, October was more or less on last year's level, slightly down 3%, but November, we lost 61% because for three weeks, there was almost no operation. We started, we called it manually with pencil and paper to ship the first products. We had also a record month, both on sales and on OP, because clearly we had a few things really fixed. We fixed our systems pretty fast. We had really teams who were determined to deliver the year. I must say a big thank you to our customers. I got a lot of emails, responses from our customers saying, "Michael, hold the line. We'll help you, support you." I think we almost lost, didn't lose any order. I think this is really a big thank you really to our stakeholders, to our customers. Otherwise, this result wouldn't have been possible. To the full year, you see here the results. When you now really compare like for like, as I said, the group net sale declined 16%, both in Americas and in Europe. When you see Infra did a bit better, because of their product business. Look at the OP, Infra did even better than a comparable quarter. Of course, Infra is all about product business, so better mixed channel and better product mix as well. Here you see the long-term development from 2018 on. We ended with EUR 1.386 billion of sales, so almost EUR 1.4 billion, which is a record. The OP was EUR 154 million. With 11.1%, to be precise, we lost about a percentage point. In the context of the overall environment and in the context of the competitors, even with, you know, accounting for the cyber effect here, I think, it was a good year. I think overall, company-wise, we took even a bit of share. Here you see the development for all the markets on a full-year scale. Again, the 5.6% group total. You see basically all the markets in growth, with the exception of Norway. Norway had a big Infra project last year, and therefore, this is the reverse effect. What I also find interesting, clearly for you, no new news, U.S. is by far number one. Now you see Germany, but Sweden and Finland is very, very close, which is remarkable when you think about the per capita say we do. Of course, experts would say Sweden, Finland Infra is in there. Yes, that's true. Of course, this is my whole story on maximizing the core. It is another exemplification that we really can do selling more with our existing products across our markets. Look at Sweden, Finland, how well we have done in our core markets, I would say. Here you see basically the development now region by region. We start here with Infra. They grew 9% and really a strong development in the so-called design solutions. A real change in the mix, pricing actions. At Infra, it's very important, not only you can pass on prices, but also you hold the line when raw materials develop a bit better. The Infra team has done a really great job, and they've delivered these numbers despite even a bit of a weakening market conditions in Finland. The OP went up 43%. I think now, you would probably agree with me this is something you wouldn't have probably imagined, a year or two years back. I said from the beginning when I joined, I really like this business. It has a lot of potential. It's core to our brand. Also in times where probably the residential markets is a bit more volatile, this business is much more stable and growing. This is also the business which I would say it had zero impact on cyber. Of course, operationally here, we were a few days late with shipments, but clearly the overall market had no effect. We come to Europe. Also, we showed some growth, but of course, clearly when you take prices out, we had a volume drop here. The Europe, when I compare this to the market, to competition, they did really well. Pricing activities being implemented. They integrated Capricorn, and also they did a lot of really first productivity measurements. They really did well. Also last but not least, this Russia topic is on the agenda all the time, but we are very, very close now to get a tick in the box and have this process completed. U.S. net sales growth 3%, but the U.S. terms were 9%, because it is the PEX-A business in the residential market. This is much more volatile. The U.S. market, as always, is a bit more cyclical, but I think the U.S. team has really done well with strong price realization. Also, how they managed the cyber impact and clearly we saw an impact both on sales and OP, despite all the efforts of the U.S. team. From now countries, divisions to product and to our sustainability agenda, and I think this is really a breakthrough. For years, we have been working on one thing. Can we really recycle PEX? Can we recycle PEX-A? Can we recycle our waste, which is about 4,000-5,000 tons per year of the total company? It's very important because not only is a certain magnitude, because still PEX-A's, the base is fossil fuels. Therefore, it is so important that we find a way for 360 circularity. Now we found a way in cooperation with Wastewise, Neste, and Borealis. We have, for the first time, successfully managed to chemically recycle PEX on an industrial scale, which is very, very important because, I mean, clearly in the laboratory, a lot of things work, but on an industry side, that's very, very different. Now we are really confident and start with our factory in Virsbo that we get, that we really manage this issue, which also was very often seen in the industry a bit of a, let's say, an issue when you compare this to other materials. Now this is a big step, forward for us, but also to be very clear for the whole industry. It's another proof of us being a leader. When you saw the intro video where we really want to be, we want to be a leader in a sustainable innovation. This is clearly an example. I think a great example, and I must say big congratulation to the whole Uponor team who made this really work. This is again, on top of all the activities we have done this year, the PEX blue pipes, both in BS-E but also in infra. We have improved the energy intensity, so we use less energy for the same amount of product being produced. Also our CO2 emissions have been drastically reduced since 2019, more than we have planned over the total cycle, already 83% down, which is very, very good. What do we want to really achieve here? We have a strategy to become the lead in sustainable water solutions. We have also clarified, as you saw in the intro video, what is the purpose? What do we really stand for? What do we want to do in the very long term? This is about unlocking the potential of water to protect the place we call home. Again, there is this whole sustainability theme in, but also I want to really make clear what's the element we are in, which is water, and therefore we also change the tagline. Our vision is to be the lead in sustainable water solutions. Again, I repeat myself, the pillars for success and the strategy, as announced in March, is maximizing the core with the 4C approach, the countries, the channels, the categories and customers, our innovation agenda, our sustainability agenda, and of course, our People First. We have a strong team, which we could prove by managing the cyberattack probably in record time. On top, you see two lines here, because clearly when we presented this to the capital market, the macro was looking totally different. Now we see the macro has changed and of course we act. As we already announced in Q3 last time back in November, we have to adjust our capacity. We want to create a lean and resilient, even more resilient organization. We don't know what the next macro impact might be. We need to be more flexible, more resilient. Therefore we put a lot of focus in the next quarters to become even leaner and more productive. At the same time, also we want to update and harmonize our systems and processes from ERP to upgrade some of the IT systems, which is of course also something we took out of the cyber experience. There's of course a lot we can do in this time here, focus on being lean, at the same time upgrade our processes and ways of working because this goes of course hand in hand. This is basically Uponor on one page, which I like a lot. This is basically a result of more than a year of teamwork, and our teams have worked really hard to really explain what Uponor is about, our purpose, our vision, and what we really stand for. We changed even our tagline, which was before Moving Forward. What are we really doing? When I'm getting asked, "Michael, Uponor, can you explain me the company? What are you doing?" The answer now is we move water, and we move water through cities and the... Our homes, and this is really important. Now we can have a great platform to develop our brand from there. As I explained, we take the time now in the next 18-24 months to get even more lean and really focus also changing our ways of working. This is not a haircut program. This is about changing the way we operate. Why? Because we need to be more flexible, as I explained. We want to be more customer centric, spending more time with our customers and really understand their needs. At the same time, as we announced in March last year, we will invest more in R&D, we will invest more in innovation because in the long run, clearly we also want to change our portfolio to a higher margin portfolio. We maintain our People First mindset, we improve our productivity, we put more flexibility in our cost base, and we simplify our structures. There are many good activities going on. For example, our head of Europe, he is really pushing very hard to get a better SKU productivity. A learning was why did December work so great in Europe was we really focused on the big customers and full trucks and the SKUs which matter. This changed the whole setup. The outcome of the transformation program, as announced this morning, is really a saving of EUR 30 million until end of next year with an estimated cost of about EUR 25 million. My colleague, Markus Melkko, he will explain this in more detail in a minute. Thank you. Good afternoon. My name is Markus Melkko. I'm the CFO of Uponor Corporation. Happy to be here, and thank you, Michael, for the introduction. Before I go actually into the more detailed financials, I will indeed share a bit more background on the transformation program. As a recap to that point, I would like us to in a way take a step back to November 4th, the Q3 2022 report, when we said that we have two buckets of actions, margin management as well as cost and capacity management. Now the transformation program is the next step forward on the topic. All of the elements that we have introduced back in Q3 are now embedded into the transformation program. We have already started to work on many of the elements, for example, on the procurement part, or then in a way, even going into the capacity optimization. Some of you might remember that back in Q4 we, for example, took the difficult but needed decision to close one factory in Denmark to improve our capacity utilization as well as then to drive our productivity. The transformation program that we announced today, like Michael said, it's not a haircut program. It goes deeper and more intelligently into the ways we work. With that we combine driving the strategy growth pillars of maximizing the core as well as the innovation part. We are getting lean, and that means that, okay, we do things in a clever fashion. That then as an outcome helps us to become more of an effective organization. To help to support that, we are harmonizing and upgrading our processes and systems, like Michael noted, to the extent that we're actually using that process and system as a building block in our strategy house, like Michael showed a couple of minutes earlier. What do we want to achieve? It's a stronger foundation to really deliver on our strategy and also on the promises that we made in the Capital Markets Day in March 2022. It gives us then flexibility in the market down and up turns. I mean, we operate in construction industry, and construction industry per se is a cyclical industry. What we're looking for is more flexibility, call it, and resilience over the cycle. It will help us to be more focused on growth as well as to serving the customers. Like Michael noted, one of the key elements is to simplify and adapt a bit more new ways of working, driving productivity and effectiveness. This journey has started, and this will now go forward for the next 18 to 24 months, and we will keep you posted then in the quarterly updates how things are progressing. Moving to the financials of 2022. The traditional slide bridge with the net sales as well as the operating profit bridge here. Like Michael Rauterkus noted, from a net sales perspective, it was a good year. It was actually the highest net sales recorded for Uponor in the history. The divisional highlights Michael Rauterkus already shared, but then a bit more color on the operating profit margin. Like Michael Rauterkus noted, unfortunately the Q4 cyber impact did then in a way influence our net sales development and through that also unfortunately the operating profit side as well. It is a bit difficult situation when you lose your top line overnight, but you don't have the ability to manage the cost. It then it unfortunately hits the margins as well. On the lower left-hand side, chart where we have the OP bridge, you see the impact over the year of the input costs and then the EUR 55 million blue bar there indicating a proxy of the impact of the price increases as well as then our previous operating excellence program savings. The other part also unfortunately highlighting the fact that the cost base, in a way outside the input costs, is going up. On the gross profit side, this is a topic that we've discussed in all of the quarterly meetings, and now unfortunately in Q4 we see a declining trend. This is driven by the cyber incident-related volume loss, and it is also causing us to see a dip, especially on the rolling four quarter gross profit margin. The trend over the past quarters over the year 2022 has also been a bit difficult. We started off the year with a good increase quarter to quarter, from Q4 2021 to Q1 2022, and it's been relatively stable. Thanks to our price increases, we've been able to hold the line on gross profit margin. However, then I think we sort of still have room to improve then in a way while driving the gross profit margins upwards. Good price execution, but unfortunately the impact of the cyber volume loss was too high that then we took a hit in the Q4 gross margin increase, gross margin percentages. Moving forward to the cash flow part. The story of year 2022 has been that the net working capital has been driven by the higher input prices, meaning that actually the net working capital change has been driving the decrease in the cash flow. This trend starts to stabilize a bit, but still obviously there's a big difference year-on-year with the cash flow from operations, as you can see. From the other parts of the cash flow, no dramatic change year on year, with the exception if you're looking at the 2021 numbers, we actually did repay some of the earlier financing arrangements during 2021, this year or 2022. No real change on the financing position has taken place. The investments during the last quarter of the year were similar to the investments done in the previous quarters during 2022, mainly focused on maintenance and efficiency improvements, as well as then some capacity expansions, especially in the North American division, to drive for a future expansion. From the financial position perspective, the chart gives us the indication of the quarterly net interest-bearing liability development, the orange line giving us a view on the gearing. Our long-term financial target for gearing is to maintain it in a corridor of 40%-80%. The year-end number of 9% is obviously clearly below the long-term financial target. The net interest-bearing debt liabilities came down during the year, and the reasons of the higher net interest-bearing debt year-on-year are exactly related to the net working capital that we discussed in the cash flow part. From the Group's external funding, loan funding perspective, no change during the quarter has taken place. To the topic of dividend. Our board of directors is proposing to the annual general meeting, which takes place on March 17th, that the dividend per share would be EUR 0.69 per share, and that would be paid out in two installments, one in March and then one in September, 2023. This is now an increase of EUR 0.02 from the dividend a year ago. Altogether, you see there the time series, this is actually now the ninth consecutive year that Uponor is able to increase the dividends. It's a great trend, and hopefully the annual general meeting then agrees to the proposal of the board. Finally, a recap on our long-term financial targets. As we mentioned, and announced in our CMD, back in March 2022, we've deliberately set our financial targets in two phases. Right now we're living the middle part, the phase of phase one, the from year 2022 to 2024, and the transformation program is now in the heart of the whole story here. We are funding our future. While we are actually going through the ways we work, and in a way finding ways of becoming more productive and effective, we also invest into our future through R&D and innovation. Then from 2025 onwards, we will then update the growth ambition as well as then the OP margin ambition for the years to come. You see there on the left-hand side, the light gray column there, the 2022 outcomes. The organic growth, all together, at 3.6% below our 4% target, mainly also obviously impacted also by the Q4 volume loss. The comparable operating profit at 11.1%. Like Michael said, it's a good result. It's not a great result. And again, there's an impact from Q4. The gearing, well below the target corridor as well as then dividend as the target is to grow the dividend. This proposed EUR 0.69 is well in line with the financial targets set ourselves for the dividends. With this, I would like to invite Michael back to the stage and discuss the outlook for the year 2023. Okay. Thanks, thanks, Markus. What is the outlook for the year? Basically two focus areas. One is really strengthen resilience, and the other part is winning share. With everything we do, and we should really be more resilient because this is the experience of the last three years. There's always something around the corner we need to manage and which is not in our control. Cost, of course, is in our control. Of course, what we're really aiming for and what we achieved last year, that we do better than the market, and I think that's really important. What does this really mean? We think here we have our biggest headwinds and tailwinds here on this chart. Let's start with the headwinds. You know, a few disappeared. I think there's no impact anymore from COVID, but the biggest issue we have or this market has, is really rising interest rates. Let me correct. It's the speed how the interest rates go up, and this, of course, is causing uncertainty. The uncertainty for this market is really bad, as you know. This is something really we watch every day because clearly as soon as these markets calms, or let's say it's this development calms down, then of course the market will be back pretty fast, I'm sure. Rising interest rate is of course high on the agenda. The bad news is there's nothing we can do about this. I mean, we can pass on raw material prices. We can manage cyber. We can do a lot of things. We can't influence really the interest rates. We also assume there will be not major geopolitical uncertainties more than we have already. Some stability in the instability situation, we assume it doesn't get really worse. Of course, what we have in our mind is the general cost inflation because we really need to manage our cost, not just the cost base we have, but also making sure that, you know, all our suppliers, I said, don't take the advantage of the current situation and increase their costs over the top. This is really operational excellence. The good news is there are a lot of tailwinds also. The demand for safe water supply is unstoppable. This is what human really needs, and we have the perfect product assortment to really apply for this megatrend. There is a demand for more energy efficient systems. I mean, small example, heat pumps really don't work with radiators so efficiently. There are also, when you look at how the market is really developing, always some categories, solutions who can really outpace the market. This is why we really need to go with our innovation power into the right segments and be really clever about this. There will be always growth in certain segments. You have heard this now from me at least five or six times, max the core. It's max the core, and I repeat myself, maximizing the core is the biggest opportunity of this company. If I can do EUR 146 million in Sweden with 8 million inhabitants or EUR 145 million in Finland with 5.5 million inhabitants. Compare this to bigger markets, here we are. The markets are not that different. Believe it or not, the biggest potential is still in the area of doing better with the stuff we have. I always say, "Sell more of the same stuff more often at higher prices." That is what maximizing the core is all about. In terms of the guidance statement for this year, this is how we see this year with all the, let's say, all the data we could really put into our estimates. It will be a sales in a range of EUR 1.3 billion-EUR 1.4 billion, with an OP, a comparable, operating margin, to be above 10%, which is, I think, a very good statement covering the current uncertainties. With that, we are very happy to take any questions. Thank you. If you wish to ask a question, please dial star five on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial star five again on your telephone keypad. The next question comes from Mika Karppinen from Danske Bank. Please go ahead. Yeah, hi. This is Mika from Danske. Could you comment on sort of the Infra business a bit more? It has been a very positive surprise in recent quarters, not just in Q4, especially in terms of margins, what kind of opportunity, growth opportunity, but in sales growth terms, but also in margin terms you see. Then how big part of the sort of this Infra business is this design solutions? Yeah. We have, we have really structured the Infra business in five different categories. Of course, the Infra had always this view, okay, we do, you know, commodity pipes, three and a half meters diameter, low margin. Actually this is, I think, just about 20% of the business. The more attractive business is this design solution. Design solution is about the same size, but growing. The interesting part here is really the margin is on a much higher level because you really add value. This is of course, long-term project business. This is not shipping stuff to the wholesalers. This is hard work over years. I have been... I must say I've been really impressed how the Infra team has not only won some project, but also built a pipeline of projects and these industry applications is much more attractive for Uponor. I mean, this is basically the result and I think Infra is really on a good path and of course, we want to strengthen even, not only from a product solution side, but also from, let's say from a sales force side, the investment in this sector. Because of course you need to have people who really understand this project business. I think that's a good transformation. It's a complete change of the mix, product mix, but also the mix of the channel. Good. Thank you. The next question comes from Peter Testa from One Investments. Please go ahead. Hi. Thank you for taking the question. Maybe if I just go one at a time to make it easier. If you look at the cost program, can you just give a bit more understanding as to how it might follow on from, say, the decisions you made in Denmark last year or other sort of site-based or whether there are other factors we should understand behind the main steps on this cost program and maybe something on timing? Yeah. Very good. The first one. Markus? Yeah. All right. Thank you, Peter, for your question. Indeed, some of the actions already we've taken and we have already actions in the pipeline during Q1. What we will do is actually that it's a global program. That's a bit of a change to the earlier programs that Uponor has run where the focus has been more regional and especially focused on possibly even one division or group functions per se. This one goes across all the regions. And the sequence of actions is that there is now a pipeline of things that can be taken either to manage a bit the capacity with the existing resources, and then the work now continues, especially with the part that was highlighted today as well, going deeper into the ways we operate. For example, looking at the SKU structures, you know, how does that then in a way trickle down to where we operate and how do we run our processes. Now the sort of, I would call it the heavy lifting and the planning part really starts, and that is why it takes a bit of time because this is not a haircut that we just take a plug out and we sort of see the cost savings We as a leadership team, we don't really believe in that because if you do a haircut, you typically then in two years' time you see that then the cost is back. This time around we do it in a bit more sequenced fashion. There's more to follow on the actions. I will not start speculating in a way, what's the next thing because everything obviously needs to be then taken together with our local teams and planned to the right level. If you think about this in terms of managing general inflation and labor inflation, you see, which you highlighted in the report, do you think this basically offsets the accelerated labor inflation much more than that? I mean, how do you see that in ambition versus, you know, just general inflation experience? From the inflation perspective, I think there are sort of also other tools that we can use to manage that, I mean, inflation also drives our production costs, and then we obviously have the pricing tool in our use as well. I mean, we tend to always think that, okay, putting EUR 1 million of extra price trickles down to the bottom line, and it's what's possibly easier to implement than doing EUR 1 million of cost cuts. In a nutshell, obviously, we aim to at least offset the inflation part. Yeah. Okay. Then the other question I have is, you obviously highlight with clear eyes the, you know, current market circumstance. I was wondering if you could give us some understanding of how what sort of momentum you think you're carrying in market share terms into this phase, and maybe how that's reflecting in what you see in to the extent you can, project tender visibility, conversion speed, these sorts of things? What we see is, of course, a dynamic I mean, we were not surprised how, let's say, this industry really reacted to this interest rate development. Of course, U.S. first signs, we could clearly see, this market reacts first. This program we have announced today, I mean, we were already started to plan mid of last year. From a market perspective, we saw the first indicators, Europe then a bit slower, but also at the same rate. We basically look at the order intake rate for months, not so much on the sales side. I just look in what's coming in, how strong is the order book, and is the order book developing. Remarkably, the Infra business has not been affected at all, one thing. The other thing, what we saw, and that's, that gives a good feeling, we didn't see so much of project cancellations in the market, which is very different to the 2008, 2009 financial crisis, where everything was either canceled or pushed out, et cetera. The interesting thing is here, this is while this situation is overall challenging, at the same time also there could be a bounce back very fast, and we are in a total different labor markets too. We don't want to be in the same situation as the airlines were in summer, where all of a sudden the demand is back and then, and we don't, we don't have capacity. We are on these KPIs on a daily, weekly basis, as you can imagine. Yeah. Yeah. Okay. Thank you very much for the answers. As a reminder, if you wish to ask a question, please dial star five on your telephone keypad. The next question comes from Svante Krokfors from Nordea Markets. Please go ahead. Svante Krokfors from Nordea. Hi. Just to go back to Q4, I think your performance in Q4, both when it comes to sales and results were better than you guided. Could you give some color on was that a quicker recovery from the cyberattack, or was there any change in the underlying business? Yeah. When we gave the guidance, we were in the November phase of three weeks where we didn't ship, we didn't invoice, we couldn't pay, we couldn't pay our employees, and we couldn't pay our suppliers. Of course, in this phase, it was absolutely, you know, impossible to give a more exact guidance, and this is why we said, "Okay, it might be at breakeven from a profit point of view." Going back a bit to what really happened, on the fifth, we got known we have this cyberattack, and it took us exactly three or four days, but actually I think it was the Infra business. They started without a proper system in place to produce. After 10 days, we saw movements of, let's say, all the divisions. After, you know, two weeks we say, "Okay, we will get this going, but December will be very tough." You saw the, let's say, the December was not a recovery, was by far the strongest December in the history of the company. Of course our order book was stronger than what we could deliver in December, which gives you a bit of an indication. Despite all the efforts, and you know some of the customers, they closed their warehouses mid of December, et cetera. I think we have performed better than we expected in December. And again, I think we didn't lose so much orders from our customers. I have no indication. Actually, it was probably the other way around. Mm-hmm. Okay. Thank you. That's, that's very helpful. Perhaps regarding North America, you have expanded the capacity pretty much there, Obviously it's quite uncertain now, but what are your kind of possibility to adjust volumes upwards and downwards depending on market development? It's a good point. Mm-hmm. Number one, as you know, we are not operating in all the channels in Americas. The question is where and how can we expand? The team is really working on this. It is a model, as you know, it's packs going through wholesale. It is packs A and that's it, and it's most residential. I'm over making the point a bit, but this team is really in the process of getting us the on more than one feet, and this is really developing well. Their commercial business is growing pretty fast with their own factory sales force. Also, they have adopted some of the innovation we have created in Europe. They have done some own also developments, specific products for the commercial channel we don't have in Europe. At the moment, the process is going on that we really look into the needs of these, all of these channels and customers to broaden our experience. You are absolutely right. Capacity expansion, this was a bit the theme of the company, adding more capacity. Now having Thomas Fuhr on board, he has a bit of a different philosophy, which I really like, is focusing more on productivity first rather adding capacity. I think that's a bit of a new theme, and productivity means a better use of the capacity also, really looking at the cost. Can give you example. They have looked really on, you know. You mentioned this on sourcing. They have looked at the product portfolio. There are certain products we source from three different suppliers at different costs, and this will change. There's a lot of good added value to this company of this new structure. I'm really confident. Thank you. A question about the transformation program and the gains that you will get from there. Should we assume that it's a linear line to EUR 30 million until the end of 2024 on the savings side and the same for cost side, or will there be higher cost this year? It's a great question. It's not going to be linear per se. I think there are some actions that we have already in the pipeline, so there might be in a way a bit of a start and then in a way a bit of a sort of a preparation period and then in a way yet another acceleration towards the sort of end of this year, early next year. That's the current working hypothesis that we see. Then in a way that would kind of in a way follow in line with the with the restructuring costs as well. I mean, what we can say is the Americas, they have started. Yep. And of course the Americas impact will be in the numbers pretty soon. Yeah. Thank you. The last question. Your balance sheet continues to be very strong. What are your plans for M&A going forward? That's a fantastic question, I would say. Not even a great question. That's a fantastic question. It's an agenda topic that we introduced in our CMD last year and I think we're making sort of good progress. I think one of the biggest elements for us has been so far to really get our sort of internal sort of minds around it. It's not been a traditional way for us to grow. It requires a bit of sort of internal, say, alignment and preparation also to sort of in a way make sure that we are driving it with the right foot. That also then boils down to perhaps revisiting some of the earlier criteria that we've had for the sort of target search. I think that's also a space that we continue to focus on, especially during this year. Hopefully there's something in a way that materializes. Unfortunately in cases like that, the M&A cases, it always takes two to tango. I mean, even the Capricorn acquisition that we took in 2021, I wasn't here, but I've been told that it took two, three years to prepare and finally get kind of over the finishing line. Yeah. We will put a structure in place for M&A, so if you have any good advice, send us a note. No we... Because once you have a structure in place with the specific support then we can also build a pipeline. It's also important to make these right choices, because easily, I mean, there are... We have been looking at hundreds and hundreds of targets, but we need to look for the right acquisition, the right size, the right technology, and that's... This counts. The one thing is really clear, the opportunities in the current phase are much better than two years ago where the valuation was very, very different. It's the, it's the right question at the right time. Thank you. Okay. Thank you, Michael and Markus, for the presentation and Q&A. That's all from me. The next question comes from Peter Testa from One Investments. Please go ahead. Thanks for taking another question. I was wondering if you could just help us a bit on maybe the one thing you just said on that last question about revisiting the criteria for the target search. Can you just maybe explain what you mean by that? Yeah. I mean, at the end of the day, this is, it's very simple. When you can either go for, let's say, expansion and geographical and say, "Okay, we go in this market. We currently looking at one market we are currently not in. Do we start this with a joint venture partner? Do we invest there?" One example. This is adding a lot to the top line. The other, of course, focus will be technology, where I will look at our head of R&D and technology and say, "Do we do this in-house? How long does it take?" Because what I learned in this industry, the cycle to get a new product really implemented with all the testing takes a lot of time. Therefore, it will be interesting to look at the financial model and say, "Okay, do we really get this on board? Can we do this ourself or is this better to acquire?" This is the conversation we currently have on our innovation agenda. Okay. Yeah. That's helpful. Thank you. Yeah. The other question I had was just if you could just talk a bit about pricing and pricing environment. I mean, the input costs, as you noted, have sort of stabilized, in some cases even I guess in info you're getting a bit of a benefit. If you could talk a bit about pricing environment and maybe how that feeds into how you manage wholesaler channel and inventory. Uponor is a strong brand, and we need to be able to pass on prices. While maybe the organization might get even a bit tired, and our customers too, we need to be able to pass on prices. I think there's no other way. Of course, you know, this will be not in the range of the price increases we have seen, you know, compensating raw material. Also, we need to be really balanced, also better informed in terms of with all the price increases, we still need to be competitive. There's always a fine balance. That's really good. It is a very good brand, and this brand can ask for a premium. Of course there's always a bit of a, what I call sweet spot, the sweet spot of the right price. That's, that's not only mathematics, that's also a bit of art. We are looking into this. We need to find a way to compensate for the inflation. Okay. Again, can you talk a bit about how that relates in the manage a wholesaler inventory, what you're trying to do? What do you mean in terms of wholesaler inventory? Well, just in terms of, if you have a pricing policy, you have to communicate that to your channel. You want to manage, you know, how they flow and how that works through. You need some visibility in some of the relationships you'll have from, you know, your maybe your past job, et cetera, to be able to try to understand how you can manage the pricing phase when, you know, it's not lifting because of material costs, it's lifting because of inflation or in some cases, if material costs really change, you've got to communicate with your wholesaler. You know, that kind of, you know, dynamic. No, my experience with, you know, with wholesalers, I mean, as long as you stick to a process and, you know, announcing this early enough, et cetera, at the end, the wholesalers are pro price increases, not against. Mm-hmm. You know, if the-- but of course, we need to make sure that, let's say the end consumer, whoever the end consumer is not overstretched. This is of course, is the other consideration. This is a bit the drama of this whole industry at the moment. Interest rates go up and also construction prices go up. We have also an interest first to get more lean operation and really push back on price increases rather than just pass on. It's a bit of finding the right balance, if this helps, right? Yeah. Yep. No, that helps. Thank you very much. Yeah. There are no more questions at this time. I hand the conference back to the speakers for any closing comments. Thank you very much for your questions and your participation. Again, 2022 was a good year, and I really thank all the stakeholders. I also thank you for your question, your insight, and I hope to see you soon. Thank you very much. Have a good day. Thank you. Thanks from Helsinki. Thank you. Thank you. Bye-bye.