Good afternoon or good morning to those of you listening from further afield, welcome to our GLS business update. I'm John Crosse, Director of Investor Relations, I'm joined by Mick Jeavons, our Group CFO, of course, Martin, who is our GLS CEO, Thorsten, GLS CFO. Before I hand over to Martin and Thorsten to take you through the presentation, I'd just like to draw your attention to the disclaimer on forward-looking statements in the slide deck. This sets out examples of the factors that can cause actual results to differ from any forward-looking statements we may make. A summary of the principal risks and uncertainties which could affect the group was set out in our interim financial report for the half year ending 27th of September 2020 will be updated in the annual report later this year. All of these principal risks and uncertainties have the potential to impact the group's business, results of operations, financial condition, and prospects adversely. Now I'll hand over to Martin and Thorsten. Hello and good afternoon to all of you, and thanks for joining today's update session on GLS. We're excited to share with you interesting insights into our business. My name is Martin Seidenberg, and I'm the CEO of GLS. Also a warm welcome from me. My name is Thorsten Pruin, and I'm the CFO of GLS, and I will update you on our financial performance and aspirations. Let's go. Today I would like to take the opportunity to remind us of what makes GLS the winning business model in the logistics industry now and in the future. Furthermore, we will present you some details on our latest record financial performance. Finally, I will lay out to you how we intend to accelerate our profitable growth and achieve GBP 500 million operating profit and GBP 1 billion accumulated free cash flow by year 2024, 2025. What is GLS about? GLS is a truly international parcel business. Our presence covers almost all European countries, plus quite some ground already in North America. For our customers, we provide a strong network in which we deliver up to 6 million parcels a day. Our own international network connecting our local country operations is a major advantage for our customers and us. Whatever a customer wants, be it a domestic shipment, for example, in France, from Paris to Toulouse, or from France to Austria, we can do this in one network, one quality, and a superb speed because we actively control and manage our own international network with our hubs, gateways, and direct city-to-city overnight connections. Our network is highly flexible and delivers to business as well as private consignees, carrying to date already a majority of to C shipments. GLS has a winning set of strength that has been successful in the past and will contribute to our future success. What are those strengths? We connect Europe. As described, wherever the customer wants to ship, he or she can do this all with us in Europe, completely seamless and hassle-free, and done by our GLS team. The way we manage networks and we operate allows us to be very quick and flexible when situations change, delivering all parcels of our clients as promised. That's also what I mean by GLS is first to act. We can scale our business model as and when needed due to our flexibility in working with numerous delivery partners in our organization. When countries went into lockdown and deliveries to private addresses surged from one day to the next, we scaled up our network in some countries by more than 50% within a few days. That's what makes us stand out in terms of agility, response time, and also continuous delivery of high quality for our customers. Furthermore, we indeed speak the local language. Whilst we serve many countries, GLS is managed and run in a very local and entrepreneurial way. At GLS, we all consider ourselves as business owners, and that's why we take decisions quickly and execute even faster. Each country organization is a company on its own to ensure we are close to the market. Every customer is served with a local touch and also special local services tailored to individual country and customer needs. This is another distinctive advantage of us. We act local whilst we benefit also from our international reach. In some countries, we have, for example, a higher or lower share of B2C customers than in others because that's what the local market is about, and we even provide freight services in selected countries on top of our parcel services. Whatever suits our customers, we offer it. Finally, we have extensive parcel and management expertise in our team with a good mix of industry experts, young talent, and top managers that have been with us since we started the GLS journey 30 years ago. I would like to share with you now some country examples of how we have proven our strength in recent months. In Germany, where we traditionally have had a higher B2B share, we faced a double-digit increase of our B2C share and volume jumps of up to +30% during the pandemic. To cope with these B2C volumes, our German business reacted immediately. Within days, we introduced an additional dedicated B2C wave of delivery tours in major German cities. We right away introduced contactless delivery and even managed to keep most of our parcel shops open. This sounds simple, to amend core processes and to scale a parcel logistics operation significantly that quickly is only possible with the setup that GLS has. Local country teams swiftly adapting our network of delivery partners and our own depot capacities. Despite all these challenges, the team delivered a good margin, even with this B2C volume shift. Another impressive example is from Hungary. Here we are the market leader and experienced a growth of B2C shipments of more than 50% in some weeks. Capacity was the immediate challenge here. How to cope with such a surge of volumes overnight? We extended sorting times to the max immediately, opened 17 new depots in record time, and scaled up the delivery organization. Just to note, we were still able to excite our customers during those busy times, with GLS Hungary achieving an outstanding rating from its customers of 9.3 out of 10. Again, a testimony of our flexibility and agility. The success is not limited to Germany and Hungary. The whole GLS network dealt with the challenges of the pandemic and remained 100% operational during the lockdowns, which makes us clearly stand out in the market. Now I'm happy to hand over to Thorsten, who will show you how this all translates into our financial results. Thank you, Martin. The GLS business model has proven to be successful over many years. In recent years, GLS revenue grew by 13% per annum between 2016, 2017 and 2019, 2020. Excluding the impact of acquisitions made during the period, this represents 9% growth per annum. This was largely driven by higher volumes, which increased by around 6% per annum. We experienced some margin decline during 2018, 2019. Higher prices were not sufficient to compensate for the cost pressure, and performance of acquired businesses in the U.S. and Spain deteriorated. As a result, operating profit grew by only 5% per annum in the three years to 2019, 2020 on an organic basis. Moving on to this financial year, GLS will report record financial performance. As our financial year runs until 31st of March, we will have the final numbers in a couple of weeks' time. We are forecasting revenue growth of around 25% and an increase in operating profit of 64%. Lockdown measures were in place for around eight months of our financial year and led to a large increase in B2C deliveries, which more than offset any adverse impacts within our B2B segment. The network handled higher volumes, GLS benefited from operational leverage effects. We also made good progress in our three focus countries, Spain, France, and the U.S. This will be explained in more detail shortly. Reported operating profit is expected to increase to EUR 390 million. Margin will increase to 8.7%, an improvement of over two percentage points versus the prior year. The COVID outbreak caused a permanent shift in how goods are bought, away from brick and mortar retail, but instead to online purchases. The key question is: how large is the structural impact of what we have seen in 2021? We have analyzed this in detail with our companies from the bottom up, segment by segment, to understand what will remain after lockdown ends. Our best estimate is around 60% of the volume and revenue growth this year can be sustained. This also reflects our volume data from summer 2020. As lockdowns were lifted for a few weeks until the autumn, GLS volume growth began to recede, but it was still around 15% above prior year levels, which represents a step change compared to previous years. The profit impact of the non-recurring revenue is high for a number of reasons. Firstly, early in the pandemic, we agreed temporary price surcharges in some countries. In addition, we were able to secure strong operational leverage gains, for example, in line haul, where utilization increased. We also had benefits in delivery cost as our last mile productivity improved due to less traffic during the lockdown periods. Stripping out the impact of the non-structural growth effects, this implies an underlying growth in volume of 15%, revenue of 14%, and operating profit of 34%, which represents record financial performance for GLS. I mentioned earlier that our focus countries were a key driver of financial improvement during the year. Five years ago, our Spanish operations were mainly focused on export and had a small domestic footprint. Following the acquisitions of ASM and Redyser, GLS established a leading position in the domestic B2C segment. Unfortunately, the integration of Redyser was more complex than anticipated and resulted in network inefficiencies and one-off costs that impacted profitability. The integration process is now fully completed, and margins have improved sharply this year as volumes increased by more than 50%. Margins are now at mid-single digit levels. We will continue to invest in the region to ensure we have the capacity for future growth. GLS France has been loss-making for many years. A new management team, in place since the end of 2019, is leading the turnaround. They have made significant progress this year and delivered revenue growth of around 20%. Our network in France was resilient in the early weeks of the pandemic. We remained operational and were able to secure new customers. The increase in revenue and scale benefits helped us to reduce our losses in France during the year by more than two-thirds. Our business in the U.S. was established through the acquisitions of GSO, PACS, and Mountain Valley, and today its footprint covers eight U.S. states along the entire West Coast. Financial performance deteriorated in 2018, 2019 as local management refocused the customer base and transitioned the business to an independent contractor model. An improvement in financial performance was already visible last year, and we expect to report further underlying progress in operating performance this year, driven by around 20% revenue growth, excluding the impact of the Mountain Valley acquisition. Looking forwards, the strategic focus of our U.S. business is to enhance the product offering with freight capabilities similar to our Dicom business in Canada. To this end, we acquired Mountain Valley Express in September 2019. The business is performing in line with expectations, and we are already seeing positive integration effects. Thank you, Thorsten. We responded well to the market developments during the pandemic. We're having a record year and our focus countries massively improved. What's next? The market dynamics have changed significantly to the time before the pandemic, and they are here to stay. There has been a step change in our industry. E-commerce and cross-border business have grown quite strongly. Customers are seeing parcel deliveries as a part of their life and are increasingly looking for easy, transparent, and sustainable shipping solutions. We have already tailored our network and services to some extent supporting those trends. However, the pandemic will hopefully be over in the near future, and at GLS, we don't wait for the growth trajectory to change until we react. We take the tailwind that we are currently experiencing into the next years. Thorsten has already outlined there's clearly some uncertainty around how much of the growth in e-commerce and cross-border will really stick. We are confident these market segments will continue to grow. We have already started to execute a new strategy called Accelerate GLS to tailor our business to the world after COVID, to benefit from the significant market potential and deliver superb results to our shareholders. What does Accelerate GLS stand for? GLS is going to focus more strongly on and invest into its core strength more than ever. Our business model already caters to current market demands. We need to develop further and intensify our efforts. This will pay off in terms of customer satisfaction, growth, and financial results. In a nutshell, this is what we are going to do. Firstly, cross-border business will continue to grow. We will invest further to reinforce our top position as a cross-border player. Secondly, B2C business will grow. B2B business will remain relevant. We will invest and strengthen our position in B2C while maintaining our leading B2B footprint. Thirdly, digitalization and sustainability will be key market differentiators. We will continue to focus and accelerate in areas like innovation and sustainability to meet customer needs. Finally, our new focus will allow us to deliver profitable growth with superior financial returns, GBP 500 million operating profit and GBP 1 billion accumulated free cash flow by the year 2024, 2025. Let's take a closer look at some elements of our strategy. Our plan is to outgrow the cross-border market, delivering 16% CAGR against a market that is expected to grow by around 9%. This means, in the future, around a quarter of GLS revenue will be generated from cross-border deliveries. To get there, we have established a clear strategic plan, which we are already executing. We have started to significantly upscale our network capacity and footprint with three new hubs in Italy, Spain, and Denmark in development and further investments to come. We will serve more European cities with point-to-point direct lines, improving our pace of delivery even further and securing profitable margins. New products and services will be added to our international portfolio. Already now, you can ship and return your parcels via our GLS parcel shops network across Europe. We will enhance such services even further. This also includes the plan to attract more international volume. For example, from Asian shippers into Europe, dedicated service offerings around import, customs clearance, and delivery. In summary, a clear focus on further strengthening our international capabilities. A dedicated international team is working on these actions together with our countries and our experts at Royal Mail. What about B2C? What will we do there? We will outgrow the B2C market and deliver a 17% CAGR against a market that is expected to grow by around 10%. Almost two out of three GLS shipments will be delivered to private consignees by the year 2024, 2025. How are we getting there? We need to cater for this growth by investing into our domestic networks. For example, we are developing new depots and extending existing sites in almost every country with a focus on our high B2C growth countries. We have already started with these investments and follow a clear plan for the next years to enlarge our capacity. We are increasing our focus on developing our B2C products and services to improve convenience for our customers. An important example is the expansion of our parcel shop network as an easy pickup and drop-off option. We already have a network of more than 25,000 parcel shops and will increase that by around 20%. We are also looking into options to expand our parcel locker network in certain regions. You will see that we are positioning the GLS brand even stronger as the parcel shipper of choice for B2C, B2B, and cross-border customers. Finally, coming from a B2B history, quality is at our core. We will continue to deliver highest quality and customer satisfaction also throughout peak periods and despite volume volatility. As part of Accelerate GLS, we want to inspire the market and our customers with innovative, digital, and sustainable solutions. They provide the competitive edge for us to achieve our aspirations. Innovation drives a positive customer experience. It's not just about delivering the parcel on time. It's about providing our customers with the right delivery experience. Customers want to see and influence when and where the parcel will be delivered. The delivery needs to be smooth to ensure what we call customer happiness. That's why we focus on developing new, convenient, mainly app-driven solutions for our B2C customers. We increasingly provide services like, for example, live tracking, in-flight rerouting of parcels, and also dedicated B2C evening delivery options. Those deliveries are, by the way, often done in inner cities by bicycle and not by traditional van delivery. Seamless interaction with our customer is key, and that's why we increasingly ask for the immediate feedback of their delivery experience with us. In a nutshell, everything that makes parcel delivery a fun rather than a stressful part of the day is what we focus our digital developments on. We will go a step further. We have set up a dedicated innovation lab with what we call tech entrepreneurs to develop new services, to think outside the box, and to understand what the customer of tomorrow needs. Once a prototype is developed, we test it and then quickly scale it up. With this approach, we significantly shorten our time to market with new services and products. Speed and ease of use is what our customers like and how we deliver customer happiness. Another important focus area for us is sustainability. We are committed to provide sustainable solutions, and we have already made some good progress. We have started our green flagship depot program to ensure that all countries progress on electric vehicles, charging infrastructure, and city logistics concepts like inner city carbon-free delivery. Already today, we serve more than 60 inner cities with e-bikes, e-vans, and e-scooters. We will steadily increase our fleet of electric vehicles and city depots across Europe. We've also laid out the cornerstone for our next generation of facilities with the EuropeanEcoHub located in Germany, which is largely independent from external energy and water provision and features e-vans and electric bicycles for inner city deliveries. In the Netherlands and Germany, for example, we have been very successful with the Climate Protect program in which all CO2 emissions across the whole logistics value chain are compensated through certified projects. Every parcel we ship there is already fully carbon neutral. Customer response has been very positive. We will continue to surprise them. Far about some main components of our Accelerate GLS strategy. Our country organizations have already started to work on shaping their actions and projects accordingly. Each country tailored to its focus markets and current positioning. This program is already reality and in execution. For further details on the financial ambitions going forward, I now hand over to Thorsten. Our Accelerate strategy has ambitious financial targets. Profits are expected to more than double from 2019, 2020 levels to EUR 500 million in 2024, 2025. We expect to generate an operating profit margin of 8%, well ahead of the previous guidance at the Capital Markets Day in May 2019 of 6%-7%. We are also targeting EUR 1 billion free cash flow for the period. This is more than double that achieved during the five-year period to 2019, 2020. To deliver this, our strategic focus will be on international and B2C services, driving strong volume growth of 11% per annum to 2024, 2025. B2C will increase to nearly two-thirds, 63%. Revenue is expected to increase by 12% per annum and operating profit by 16% per annum. We are planning a margin of around 8% over the period. We expect scale effects and productivity gains from our Accelerate initiatives to offset margin pressure that will inevitably come from the economic recovery and the impact of increasing competition as we are targeting to grow above market in B2C and international. Our volume and operating profit growth targets easily outstrip historic GLS performance. 2021 has clearly been an important milestone along this journey. The Accelerate program was launched in autumn 2020, and we are already starting to see positive effects. However, the program is still at an early stage, and our ambition is for further step changes during the journey to 2024, 2025. Over the next four years, we are targeting volume and operating profit growth of around double that achieved in the three-year periods leading up to 2019, 2020. We expect this to be delivered through stable incremental development each year. Our plan is based on steady progression. In terms of geography, every company will contribute to our growth. We expect profit improvements in all markets. We see a strong potential in our high-growth markets in Eastern Europe and Denmark, where we have leading market positions and a high exposure to B2C. There's also scope to drive improved performance in more mature markets such as Germany and Italy. We are committed to further improve performance in our focus countries and ensure that we deliver the expected benefits from recent acquisitions in the U.S. and Canada. Investments will focus on delivering capacity and technology innovation. Capital expenditure will remain within the corridor of 3%-4% of revenue each year. GLS generally operates an asset-light model with subcontracted collection, delivery, and line haul operations. Investment will focus on network infrastructure, i.e., hubs and depots, to scale up capacity, including increased use of small parcel sorters that will improve our B2C capability, and technology innovation for our Accelerate initiatives. We expect to see higher investments over the next two years as a result of lead times to develop our sites or digital solutions. As mentioned earlier, during 2021, 2022, we will start work on new hubs in Denmark and Spain, as well as extending our main hubs in the Czech Republic and Slovakia. This reflects our approach to capital allocation that prioritizes high-growth markets where there is greater pressure on capacity. Now back to Martin again. I hope we have been able to provide exciting insights into GLS and our future ambitions. To wrap up, I would invite you to take with you three things GLS has delivered superb performance this fiscal year. The company has all it takes to be even more successful in the future. Our strategic plan, Accelerate GLS, targets strong and profitable growth in the coming years. Finally, I am convinced that GLS will deliver its promise. Thank you. Now I will hand over to Mick. Thanks, Martin. In a minute, we will be opening up the lines for questions about the GLS business and the strategy you have just heard about. Before we do that, I will just quickly mention a couple of other items that we included in our release earlier this morning. Firstly, we reconfirmed our profit outlook for 2020, 2021. With adjusted group operating profit expected to be around GBP 700 million. Trading has been broadly in line with our expectations from a few weeks ago. Secondly, we also announced this morning that the board proposes to pay a final dividend for 2020, 2021 of GBP 0.10 per share. This recognizes that performance has been ahead of expectations over the last nine months or so. Obviously, significant uncertainty still remains, and the board is continuing to review outlook and priorities for next year. As such, I'll say more about a forward-looking dividend policy and our capital allocation approach at our full-year results announcement on May 20th. At that presentation, there'll also be a business update on Royal Mail in the U.K. from Simon Thompson, our new CEO of that business. With that, Haley, I'll hand over to you so that we can open up the session for any questions people have, either for Martin and Thorsten or for John and I here in London. If you wish to ask a question please press star and number one on your telephone keypad. If you change your mind and wish to remove your question, please press star followed by two. When preparing to ask your question, please ensure that your phone is unmuted. To confirm that star followed by one to ask a question. The first question comes from the line of Daniel Roeska of Bernstein Research. Please go ahead. Hi, Daniel. You unmuted yourself. Please unmute your line. No. Okay. Let's try the next one. I think Andy's up next. The next question is from the line of Andy Chu of DB. Please go ahead. Yes. Good afternoon. Three questions from me, please. First one is on the cumulative free cash flow guidance. I presume you're going to start reporting that separately, so that we can track where you are on that target. Is it possible to give us a sort of flavor of what free cash flow is? Versus your sort of EUR 390 million of operating profit expected for March 2021, what level of free cash does that translate to, please? Secondly, on M&A, maybe I missed it, but I didn't hear any sort of concrete sort of view on M&A. Are you likely to do any M&A? Are you sort of leaving the door open on M&A? The last question is around sort of pricing and on your sort of five-year targets. It looks as though they're only showing the best part of 1% on price mix, which maybe it feels quite conservative, certainly in the context of other sort of postal and parcel operators in Europe. Just wondered how you came to that sort of 1% sort of price mix, CAGR on your five-year view? Thank you. Okay. Thank you for the question. This is Martin. Let me take the M&A question maybe first before Thorsten comments on the free cash flow question. As you know probably, GLS itself is built on the bolt-on acquisition path, so to say, and that's how we developed our European network and which we're usually successful with. In the U.S., as you've seen, we've done some M&A and we are pleased that it's performing well currently. I would say in principle, there's no reason for us not to pursue a strategy of further synergetic acquisitions. To date, there's nothing I can announce or no target that we're currently investigating in further detail or depth. Going forward, I would obviously not rule it out because it is also part of our business model and how we've done our expansion for the next expansion in the past. That about the M&A, and then maybe Thorsten on the free cash flow question. Okay. On the free cash flow. First of all, I would like to point out that the guidance we have given, GBP 1 billion of free cash flow is after IFRS 16 payments, and that refers to the plan period 2021 to 2024, 2025. If we compare to prior years, and I have mentioned that in my explanation, it is more than double what was achieved over the five-year period to 2019, 2020. That gives you some guidance on how ambitious our target is in terms of cash flow. In terms of the price that you mentioned, we are growing massively on the top line, obviously, and that then transfers into an absolute higher EBIT figure. Of course, we will gain market share. We see a limited headroom to increase our prices, increasing above massively going forward because our strategy is really about playing our strength in the market with regards to gaining market share also from competition and convincing the customers with the quality that we produce, rather than playing on the premium you've mentioned strategy. Andy, it's Mick as well. Just to come back on the free cash flow. We'll absolutely be reporting now the cash flow for GLS in line with the targets that we communicate. Okay. Great. Thank you very much. We go back to the line of Daniel Roeska of Bernstein Research. Please go ahead. Hi, gentlemen. Sorry for the confusion earlier. In the past, GLS often highlighted the focus on B2B as a superior business model. Could you summarize for us what has changed in the fundamentals of the business, essentially, so that it seems the profitability between B2C and B2B seems to be fairly equal, looking at your margin progression? Secondly, on competition, you're not the only one targeting B2C growth in Europe, for that matter. Could you discuss the impact that market consolidation around you may have? I think there are three areas here. One, retailers building their own capabilities, regional link-ups like the sale of Hermes and FedEx and UPS pushing into this as well. Thirdly, for Mick maybe, what makes Royal Mail the best owner of GLS at this particular point in time? Okay. Let me take maybe then the first two questions. With regards to B2B, you're right. You're spot on. B2B, we are traditionally coming from the B2B sector. Over the years, we have already bought into our portfolio a couple of companies and countries that have already a very high B2C share. We are really a mixed bag, so to say, of companies in different countries. As you rightly point out, B2B has been in our core, but we have to face the reality. The reality is that the B2B growth rates are rather low and the B2C growth rates, because the markets have changed dramatically during the pandemic, especially, the B2C growth rates are much higher and also looking forward, will remain higher. What we are doing is we are actually transforming the B2B base, which we have, more into a B2C base, because what is happening, most of our B2B customers are becoming or have become, at least during the last 12 months, what we call mixed senders. They are offering B2B shipments, but all shipments directly to the end consumer. We benefit from that. What we see is on the one side, we still have a B2B base and it will remain there and we will continue to serve with our focus on high quality. Those B2B customers are increasingly moving into the mixed senders profile. That's another advantage for us because we do have those customers already, and now we can serve both segments for them. For us, this market shift is, and that's why we're doing it, is actually not a threat, but it's a huge opportunity because of the way we are positioned. I think that's kind of our rationale behind that. Then to your second question on the market consolidation. Well, we will have to see what happens in the market, and no one knows, and neither do I. The only thing I probably would like to comment is that I'm not afraid of it, because the way we are traditionally positioned in terms of our customer portfolio, and we remain, is that none of our customers has more than a 1% revenue share of our total revenue. That makes us quite independent from any other models. I think that is quite a strong business proposition, which we have in the market, there's not pretty much more I can say on the market consolidation than that. Over to Mick. We get this question every few months, and we're used to answering it. I think we have an increasingly positive answer in this. I think we've said previously that it's really important for this group to remain intact and to be coherent and successful. It needs two successful arms to it, not just GLS, but also a thriving U.K. business that is far from being a drain on resources in the group, contributes to the broader group. Of course, on the Royal Mail side of the house, things have got increasingly bright across the year in terms of financial performance. There's plenty still to do on the Royal Mail side. We still need to do quite a lot of the operational transformation and automation. We still need to enact the union deal to drive efficiency and to work with the union to grow the U.K. business to be sustainably successful and cash generative. Things do look an awful lot brighter on that side of the house. We've heard from GLS this afternoon, record performance this year, a new and more ambitious Accelerate plan that the group feels able and confident to invest behind that plan. It's also worth noting that the future opportunities outlined by Martin and Thorsten this afternoon on e-commerce and B2C parcel growth, and the opportunities on international cross-border, they're also opportunities for Royal Mail and of course, that's an area of growth that we'll maybe talk about with respect to Royal Mail in six weeks or so, and which is really important when you think about what future potential synergies might lie with the group if we're able to have two successful parts to it. It's a work in progress to demonstrate to ourselves and to our investors and to everyone else that this group deserves to remain intact. We're really positive that it's the right course of action, and we're increasingly positive that the U.K. business has started to turn the corner. Mick, if I could follow up on that. No disagreement that there's been a really successful story also for the U.K. Royal Mail business within the group. No question that you would rather own an equity with two good parts in them as opposed to the opposite. It's more around, is there any strategic rationale? I get the two parts bit, but I didn't hear why the group needs to own GLS. Well, look, we're in an industry that is growing. We have, at the moment, two successful businesses in an industry that's growing. We've already mentioned, I think earlier, that as you are asking one of your questions about the prospects of consolidation at some point. We want to play a role in that future in our industry. With a cross-European footprint, we stand a much better chance to play a role in that future than we do as a residual domestic U.K. business or a business that's just focused around continental Europe. We recognize it's a work in progress, but we think, at the moment, it's going far better than it was 12 months ago. Thanks for that. Okay. Thanks, Daniel. Glad you got through in the end. Sorry about the problems. Can we go to the next question, please? The next question is Muneeba Kayani of Bank of America. Please go ahead. Good afternoon. I just wanted to follow up on the previous question on competition. If you could talk a little bit more on what you're seeing from your competition. Really, who do you think are your key competitors in your major markets for the GLS business, please? Secondly, the B2B e-commerce business that you just talked about, what percent of the volumes are coming from that, and where do you see that going? On your margins, I think it looks like it's about an 8% EBIT margin in five years. Could that be too conservative given the volume growth? What are the levers there, up or down? Okay. I will take your last question on the 8% margin. We believe that 8% is a very good margin in our competitive environment. When you look back in 2019, 2020, we had an operating profit of GBP 238 million and a margin of 6.6%. We also indicated in our previous guidance at the Capital Markets Day in May 2019, a range of 6%-7% of our operating margin. Our new guidance of 8% margin is a true step change. Also in the light that we expect to grow by more than 70% in terms of revenue from 2019, 2020 to 2024, 2025, this is a high ambition. We have set ourselves ambitious targets and we believe that the 8% margin is a high ambition. Thank you, Thorsten. With regards to the competition, I think it is fair to say that, of course, also competitors and the obvious one, we have local incumbents as competitors, and then we have more European players or more international players like a DHL or DPD. There's numerous ones. Every country has basically different competitors in each country. They are, of course, also understanding what is happening in the market, i.e., that e-commerce is growing, that the growth outlook for B2B is not that massive. They see also that the market as such has taken a step change. Of course, we see them also investing into capacities and also trying to benefit from that growth. The million-dollar question is, and that is why I'm so convinced that our Accelerate strategy is exactly the right one, is how do you capture that growth? We are really very well equipped and positioned to capture that growth because as I outlined earlier, we're coming from the B2B base, but we also have quite a number of companies already in the portfolio with a strong B2C share from which we learn, in the other countries. It's quite a balanced portfolio, and we are currently transforming B2B shippers into additionally to C shippers. It's kind of a portfolio where we really grow from where we come from. Because we have this unique set of combination of local businesses into an international network, that makes us stand out because we manage the whole network ourself. We can decide where we invest and how we move the parcels from country A to country B and what services do we offer. This is seamless. For the shipper, it is important that the shipper, if he ships a parcel, let's say, from Spain to Poland, has the same shipping experience within one network than if he would ship it domestically in one country. That is something we offer. For competitors to build something like this up, that is not an easy one. This is where we are advanced, and that is the strength which we are obviously further investing into and which we're building on, and which forms a major part of our Accelerate strategy. That's why I'm very excited about the strategy, and I believe we're exactly going in the right direction to take the market share from competition as we've outlined before. You did have also a question on the B2C e-commerce business. I'm not sure whether I answered that in one go or whether you have further questions on that one. Yeah, actually. DHL this morning did a presentation talking about the growing B2B e-commerce business for them. I was wondering kind of how big that is for GLS currently and how you see that kind of growing over this five-year period? Yeah. I will only be able to answer that qualitatively. I guess what you refer to, if it's the B2B customers, indeed, what I mentioned earlier with the mixed senders. We have managed to accompany a lot of our B2B customers in the past 12 months during the pandemic, for them to move a part of their business and further grow their business into the B2C area. That is an ongoing trend. To be honest, the transformation has almost already happened with those customers in the last 12 months because they were also, to some extent, forced to rethink their business model. If you have a shipper at hand like us, who serves both market segments, that's of course convenient, and we basically provide a seamless experience for both of those segments. I see that segment as a very important one going forward. Since we come from a very strong base, I see us, as GLS, perfectly positioned to lead in that segment, in that also mixed shift. Thank you. The next question comes from the line of Mark McVicar of Barclays. Please go ahead. Yes. Good afternoon, all. I wonder if you can just help me. I'll ask a question on your slide 11. This is the one called "Record strong performance in 2021." Yeah? If I'm reading this correctly, you're showing that there were 65 million parcels, GBP 400 million in revenues and GBP 70 million of operating profit that were essentially, you've estimated that were the effects of lockdown. Yeah? Obviously the marginal revenue, the GBP 70 million over the GBP 400 million, is a 17% margin, which is more than double the underlying. My question is, when we're thinking about our 2022 and out to our 2025 numbers, obviously we know that 2025 is around GBP 500 million, should we be thinking of growing those numbers from the GBP 320 million or the GBP 390 million? This looks to me as if we're assuming the world is unlocked for most of FY 2022. Really we should be starting with GBP 320 million and growing to GBP 500 million, not GBP 390 million growing to GBP 500 million. Does that make sense? And can you sort of clarify the thinking behind that? Yes, you're absolutely right. The GBP 320 million is the base for future growth. Let me explain it in a bit more detail. GBP 90 million is our headline profit number and, in terms of revenue, GBP 4.5 billion. As I have mentioned in my speech, we were benefiting from volumes, which we gained during the lockdowns. We did an analysis with our companies. Looking individually to the different segments to find out how much of the volume increase will remain after the pandemic is over, after the lockdowns end. What came out from that analysis is that we believe that 60% of the revenue growth and volume growth this year can be sustained and will be sticky. I also pointed out that the profit impact of the non-recurring revenue is relatively high because, first of all, we had some temporary price surcharges in some countries early in the pandemic. Also we benefited during the lockdown from higher last mile productivity as there was less traffic on the roads, as you can imagine. We had a much higher productivity. Therefore, the margin is higher, as you correctly pointed out. That explains why the margin is high. Going forward, it's absolutely correct to assume that the GBP 320 million operating profit is a starting base for the next four years, to the GBP 500 million. Okay. GBP 320 million to GBP 500 million is GBP 180 million, which is GBP 45 million a year. That argues that your reported 2022 number will probably be a little bit below the 2021 number. Am I reading that absolutely correctly, or have I completely misread that? I'm not giving you guidance for next financial year. I think I've pointed out what the building blocks are. I explained what the basis for the growth is, and I also explained what the target is, and I also explained that we expect steady incremental growth and that our plan is not back-end loaded. Yeah, sure. Your logic is. We're talking about growth from EUR 320 million to EUR 500 million, not EUR 390 million to EUR 500 million. Yeah. Mark, your logic is sensible. Yep. Okay. That's great. Thank you very much. Okay. Cheers, Mark. Just pause because there's a question come in via the webcast from Iver Kelly, and I am just going to read that out. Two parts to it, really. I think the first one is for Martin and Thorsten. I think the first part we have actually just answered, which is your structural EBIT margin is lower than the reported margin. Where would you expect the revenues and EBIT to end in FY 2022? I think we have probably just covered that with Mark. The second part of the question is, what gives you confidence that you won't return to 6%-6.5% margin seen historically? I think one for Mick. What factors contributed to the DPS of GBP 0.10? Profitability, balance sheet strength, and free cash flow seem to be supportive of a higher dividend. What are the annual cash outflows linked to the lease payments, and how will they evolve? I don't know, Martin and Thorsten, do you want to go first on the confidence we won't go back to 6%-6.5% margin? On the 8% margin. Yeah. Well, I'm very confident that we stick with those 8% because it's a shift change that we've seen in the market, but it's also a change that we're seeing with GLS. The GLS you see now, and the GLS you will see in four years' time, is a different one than that you have seen going into the pandemic with the different margins. In a way, we benefited from our, and we are benefiting from our agile business model. If markets disrupt or if markets take a, let's say, unforeseen change, that's when business models like the one from GLS really flourish and really work. That has proven in the pandemic, as you see the numbers that Thorsten has shown. Because we are not sitting still, but because we're using that tailwind to further move the parts of our company that are not there yet in terms of where the market is goin. I'm very confident that we can move more and more parts of the company into that margin direction that then on average, gives us the 8% margin. We have a benefit because we are a portfolio of businesses. In some areas, we have a higher margin than the 8%, in some we have lower one. That kind of gives us a good and stable base to always having the 8%. The other thing is that Thorsten has talked about the focus countries, and they have turned in the right direction. If we continue that trajectory, they will be also contributing quite well to further improving our margin. Thorsten, maybe you want to comment? Yeah, maybe I can add to this. Our plan factors in some cost pressure, obviously, as economies recover from the pandemic. We think that there's an increase in labor cost and ultimately also in subcontractor costs. You have also seen in our plan that we have just limited price increase plans over that period, as we expect that there will be some pressure as we are targeting to grow above market in B2C and international. I think we have many actions that will compensate the cost pressure. First of all, as Martin pointed out. We are expecting a continued recovery of our focus country, and that will benefit group margin, obviously. We also have a number of Accelerate initiatives designed to make our operations more efficient. For example, we have a higher use of automation such as small parcel sorters, which are important, especially as we're targeting to take higher share in B2C. Implementation of route optimization software to offset cost pressure in delivery costs, in last mile costs. Obviously also operational leverage effects coming from increased scale. We are pretty confident that we can offset the cost pressures with these initiatives and that we can keep the margin at 8% during the plan period. Maybe last but not least to add, as I've outlined, we are focusing quite a bit on innovation and digitalization. We're doing that to, of course, make sure that we meet the customer demands and make the customer happy, as I said. It's also, of course, for us to enable us to charge an adequate price and a service premium for what we offer. Despite, let's say, the cost increases, which we will no doubt see, I think that is an adequate means to also kind of secure that we can continue to deliver the profit margin that we have laid out in this presentation. Maybe move on to the dividend and the GBP 0.10. I think the GBP 0.10 that we've announced today is a recognition to shareholders that our performance has been better than we expected when the dividend was canceled a year or so ago. Times obviously remain really very uncertain. Nobody really knows what's going to happen next with COVID. The future prospects for the economies in the U.K. and around the geographies covered by GLS are still really quite uncertain. The board are going to be taking into account lots of factors over the next month or so with regard to its future policy on dividends. We're doing an awful lot of work at the moment on capital structure and allocation, of course, including incorporating Martin's plan from this afternoon, also the plan that you'll hear more about on the U.K. business from Simon in May. I'll say more on capital structure, future dividend policy in May. I think with the backdrop that we still have with COVID, you can be sure that that will include a fairly conservative approach with regard to the balance sheet. More to come in May, and we'll say as much as we can at that point. Okay. Thank you very much, everyone. Shall we go back to the phones now? I think Achal is next from HSBC. The next question is from the line of Achal Kumar of HSBC. Please go ahead. Hi, gentlemen. Thanks for taking my questions. First of all, I wanted to understand, this question is more for Mick. What kind of currency risk you foresee given that euro has been weakening against British pound? What kind of currency risk you see for the group? That is first question. Secondly, also, you spoke about the competitive landscape. What I wanted to understand, if you could please talk a little bit on how the competitors are adding capacity, given that, of course, the parcel volumes are growing rapidly, and you are accelerating your investments. Why can't the competitors do that? If they do that, do you see pressure on the pricing? These are two questions if you could please talk about. So can you- I was going to say, Achal, sorry. We didn't quite get the first question. It was about currency. Can you just ask them again? Sorry. Yeah, exactly. The first question was about the currency risk, given that euro has been weakening against British pound. What kind of currency risk you see for the group? Second question about the competitors' capacity. Look, on currency, we have an approach in our central treasury function where we have a hedging approach to currency, where obviously we have the GLS business predominantly in euros. We also obviously buy quite a lot of fuel and so on. We have a broader hedging approach at the group level, and risk is managed from the group center. We're not traders in currency, but we seek wherever we can to hedge our approaches, either within the group structure or more actively in the markets. That's about as much as I can say on that now. Maybe just hand over to Martin for the other question. Yes. Thank you, Mick. Yeah, on the competitive landscape, that's a good question. Yes, competitors have added capacity into the markets, and they are also continuing to do so. The big question is twofold. One is what will the markets indeed do compared to what we expect the market to do. We still expect the market to grow as such, and that means there needs to be more capacity as such in the market to at least cope with the growing need for parcel transportation capacity. In general, it is as such not a bad thing that also others are putting capacity in the market because the market as such is growing. However, then the second thing is, then the question is where and how do you add capacity? Which strategy do you follow there? For us, it is clear that on the one hand, we focus our investment on the domestic businesses to really make sure that for the individual volume growth that we see per country, we are best positioned not to want any bottlenecks in the network. We've seen in the past peak, and as I said today, we have remained 100% operational throughout the whole network. Why have we done so? We have managed to put our dollars or euros and investments in the right places, in the right bricks and mortar, so to say. We have seen that we have been outstanding in the market with that. It's about where you invest domestically to make sure that we really can continue on the same level of quality. If it's peak or whether it's non-peak, just to be able to deliver what you promised to the customer. That's what we focus on. The second thing is, we are investing, as I also said, we are building three more international hubs, and we will heavily further invest in that one because, an international network, as connected as it is and as we do have it, is not really easy to copy, even if you invest as such. Because the way we've knitted together our countries works very well and the way we do the direct lines from country to country, that is a strong competitive advantage. That's where we invest our capacity on top of the domestic investments. That distinguishes us from competition and will continue to distinguish us even further. That's why I say investment into capacity doesn't equal investment into capacity, if you like. On the pricing, yeah, it depends. If the market then would really go further, growth would really slow down dramatically, there might be coming pressure on price. Our strategy is not a pricing-driven strategy. Our strategy is on quality, on long-term customer relationship, and on service. That's why also one part of Accelerate is that we invest in digitalization into new services for our customers, where we increase their convenience on the one hand, but of course, on the other hand, we ask for a commercially sound model, and make sure that we also get paid for the service we provide. Our business model is not playing on price, it's on playing on quality, digitalization, and service. If you plug that together with the investments, in terms of capacity and investment in terms of digitalization, I think then really, it comes together and that's what makes our strategy going forward into the next five years so sound, also compared to market competitors. Right. Sorry, Martin, last question. Could you please talk a bit more about, in terms of the B2B and B2C segments? I know you have spoken about it, but historically, it has been the case that the B2C parcels business had low margin because the cost of delivery, cost of parcel handling was high. Now how are you making sure, given that B2C parcel business volumes are rising, how are you making sure that you keep your costs under control and you manage your profitability better? Linked to that, what kind of change are you looking in terms of B2B and B2C? Do you think when it comes to B2C, the customers are more focused on the quality of delivery and all? When it comes to B2C, is it more about negotiating annual contracts or what kind of changes are you foresee in B2B and B2C segment? These are two questions, could you please speak a bit more about? Okay. I will take the first part of your question, and if I understand correctly, what you are asking is whether we see margin dilution with such a strong focus in B2C now. Let me answer that. Growing in B2C does not necessarily mean that our margin is diluted. First of all, the profitability of B2C varies from country to country. We have markets already today and in previous years where we have a high B2C share and where we generate above group average margin. That means growing in B2C in these markets has a positive impact on the group average margin. We are also pleased with the margin development in markets where we were strong in B2B, in the past, like in Germany or in Belgium. B2C is surely more expensive in the last mile operation. We have, in line haul and collection, lower unit costs as B2C parcels are smaller and have a lower weight than B2B parcels. There are also positive effects, and we gain efficiency in sortation costs as we can run more parcels through automated sorters. That's offsetting some of the pressure on the last mile. Lastly, we also benefit from operational leverage effects. With the strong B2C growth, our revenue is growing stronger than our overhead costs. That gives us also benefits. That's why we are confident that we can keep the margin stable at 8%. That probably answers your first part of the question. Then maybe to the second part, in terms of what's this all about to see and what are those customers asking for going forward? I would say it's probably no surprise that those customers are, of course, asking for more transparency, convenience of delivery, as you probably know from your experience as well, what we call it customer intimacy. Really understanding the customer, and that's what we also focus our developments on. I mentioned earlier our innovation lab, where we really try to understand what is the request of the customer going forward. Maybe just adding one thing there is, the customers have not been really very mobile in the last 12 months. We expect that the mobility will come back quite quickly once the pandemic is over. Then to an extent that is even more than ever. Therefore, we're trying to understand really what does that mean for the parcel, because the parcel needs to go where the customer, where the receiver is. The receiver is today in place X and in place Y tomorrow. That's why we have already established, and we will proceed in pushing that forward, a service that wherever you are in Europe, you can order your parcel wherever you go into one of our parcel shop networks, which is called the ShopDeliveryService service. Then you just pick it up there, and you have your goods wherever you are. It's about the topic of mobility. We're also thinking about currently something like working with more like geocoding of addresses, because a normal street address going forward might not be the norm anymore, and we need to be more efficient in finding where you really are, whether it's got a normal address or not. Those are the sort of things that we are thinking about, let's say, two years ahead, because we believe that those make the distinctive difference to, let's say, being a normal, in quotation marks, parcel service provider. We need to differentiate, and we will do so. With Accelerate, we are moving exactly into that direction. Okay. Thanks, Martin and Thorsten. Thanks a bunch. Conscious we did got four people on the phone who've been waiting patiently, we'll try and get through everyone. Arthur's up next. If you could limit yourself to two questions, if we could, going forward. Arthur, I think you're next. Thanks very much. Arthur Truslove from Credit Suisse. You mentioned earlier that over time, you sort of expect subcontractor costs to go up, perhaps due to pressure on driver costs, et cetera. I just wondered, what have you seen on that since the start of the pandemic? If driver costs do accelerate by more than you anticipate, and that drives subcontractor costs up, then what levers do you have to pull in order to maintain margins? My second question was just in terms of read across to Royal Mail in the U.K. You've obviously talked about sort of 15% structural growth, in GLS from a volume perspective. How does that compare with the U.K. business? Yeah. If I may take maybe then the first question. With regards to subcontractor costs, this is, of course, an important part of our cost base. In the past couple of months, we have seen them not go down. We've seen them rather stable with a slight uptake, I would say, depending on the market, obviously, because not every market is similar. It is a constantly important topic, let me put it this way. What we have seen in the past couple of months, though, is we have seen a good productivity of the subcontractors because, in some times of the pandemic, the streets were quite empty. The people were or are at home. Every delivery effort, so to say, was a success. Those times are over, I'm afraid. That is kind of what has made it, let's say, a good mixture between cost and productivity. Going forward, we do expect, as the economies recover, a stronger increase indeed of the subcontractor and of the delivery costs. That's why we already have now strengthened our efforts to see where we have operational leverage to improve our efficiency. That is in intelligent routing software, which we're deploying across the patch. This is also in terms of delivering our parcels in different waves, so to make it more efficient. In the past, we had traditionally a mixed wave, B2B and B2C parcels on a van. That led to, for example, to some diseconomies. In some urban areas, we have started to deliver in different waves. The first wave being more prone to B2B delivery that has certain, let's say, parameters to it. If you make it a clearer cut B2B delivery, the economics around it are more beneficial, more preferential, then followed by B2C delivery. Then again, those economics around that are more preferential than if you have a mixed bag of deliveries. That sort of thing. Thorsten also mentioned earlier that we are investing more into small parcel sources and automation. There are a couple of levers, and to be honest, we're pulling all of them because we need to avoid at all costs that basically the cost increases will abide us and will challenge us. I'm very hopeful that we have started the right measures, and we are implementing them. Okay. Look, in terms of the structural change in any read across the Royal Mail, I'm afraid you are going to have to wait till May to hear our views on that. We're doing an awful lot of work on that. There are really good reasons why it's not a straight read across. GLS is an average position across all of the countries and markets that GLS operates in, whereas the U.K. is a very specific market. Also, in the U.K. we have a different mix of to C and to B, so we've been a predominantly to C business in the U.K. for many years, and plan to remain that way. We also, of course, have the added dimension of letters to consider in the U.K. business, where we expect an acceleration in the structural decline of letters, just as much as we expect an acceleration in the structural increase in the number of parcels. It's a more complex algorithm for the U.K. than just taking a straight read across. The dimensions of the thought process are the same. Okay. Thanks a lot. Thanks, Arthur. I think Sam is next from JP Morgan. Hi, everybody. It's Sam here. I'm just going back to this slide 11, where you've got the 64% operating profit growth, of which 34 is structural. If you think about FY 2022 forecasts and you start growing from the 320 level, I guess that sort of implies that the world is back to normal in two days' time, particularly in Europe. It probably isn't going to be. Where there's this sort of potential step down in profitability that happens at some point because this sort of one-off boost unwinds, does it necessarily all happen in FY 2022? Could that be sort of smoothed over whatever it is, a couple of years? Thanks. That's it. Okay. I take that question. Obviously, nobody really knows how the next year will evolve. Our assumption is that we will have further lockdowns until end of June, and that we then see lifting of restrictions. We think at the same time, once restrictions are lifted, that also consumer behavior may change and that we will see a higher share of spending diverted to leisure activities, travel, entertainment, restaurants. That may impact our business. It's likely to be a year of two different halves. One half where we continue to grow, where we still have probably some non-structural effects, and then a second half where we then probably see lower level of volumes. Really difficult to forecast how the next 12 months will evolve. I suppose, is saying that it's a year of two halves sort of imply that this one-off boost might unwind over two years rather than one year? You're still going to get the benefit from the boost in the first half of FY 2022. We probably only know in two years' time or three years' time how the whole thing evolves. As I explained, our current assumption is indeed, yeah, that the first half will be rather good and that we see in the second half then lower level of activity. You're right. Okay. Understood. Thank you. Thanks, Sam. Satish next from Citi. Hi. I'll probably limit myself to two questions, actually. Firstly, on the deal of profitability. Obviously, in the past, France and U.S. have been more of a problem child, right? They have not reached the breakeven levels. If you could just comment on what are you seeing, especially in France today, and what is the roadmap for margin expansion by countries, and how does the margin actually vary by different market as of today? Secondly, around the capital allocation, especially from the free cash flow that will be generated through GLS, what will be the purpose of that free cash flow? Do you have any inorganic growth factor in your 2025 targets? Thank you. Okay. I will start with the first part of your question. On France, we are very pleased with the development that we have seen this year. We made significant progress. We have a great management team, which is leading the turnaround, and they have delivered revenue growth of around 20%, and this has helped us to reduce our losses during the year by around two-thirds. We are committed to drive performance and improve further in France. That's clear. The profit improvement will be a key part of our plan to get to GBP 500 million operating profit in 2024, 2025. That's on France. Also in Spain, the other focus country, we did a significant improvement in profitability, also driven by strong revenue increases. Also the U.S. performed well. In all three focus countries, we made progress and this is part also in the coming years of our operating profit improvement plan. Just, if I can quickly follow up there. In terms of France, Spain, and then the U.S. Sorry about that. Obviously you got about 8% margin target. How much of that is actually going to come from those countries, and where do you see their margin directionally be at in 2025? Look, I think we laid out in our presentation that we have basically three buckets of profit improvements or three groups of country. One, we call the high growth countries, then we have the mature market, and then we have the focus country and recent acquisition. France, U.S., and Canada, and Spain belong to the last group. I think you also see that they contribute to a similar extent as the other two buckets to our overall profit targets. I think that gives you a good flavor of our level of ambition in the focus country and our investments in Canada. I think that's as much as we can say about that one currently. Maybe about the second question, the capital allocation and the M&A. As I said previously, I'm not ruling out M&A going forward. GLS has a business model that is successful in bolt-on acquisition, in synergetic acquisitions. Of course, if we want to go further with a successful business model, why shouldn't we be doing so? Nothing currently in the pipeline, as I also said. On the numbers, the numbers you're seeing currently, the Accelerate target is not incorporating any inorganic growth. Okay. That's very helpful. Thank you. Thanks, Prateek. I think you're needed somewhere else. Okay, thanks. Then Alex. Alex Paterson from Peel Hunt. Hi, Alex. Hi, afternoon, everybody. If I can just ask, just very quickly to clarify. On the international growth, is this coming from existing customers who are just going to grow faster, or is it coming from mixed customers who were domestic and they were going to go international, or does this require you to win lots of new customers as well? Can I just ask, you haven't mentioned Express, unless I've missed it. Do you think Express will grow in line with the group, faster, slower? Is that a product that you still need or would you consider not doing that? Then if I could just ask very briefly on the margin side. At the start of the year, how much of your cost would you say you have fixed for the year and how much is flexible, i.e., if volumes are a lot better or going to be worse, how much can you actually change things and therefore, just to give us confidence in the 8% margin, how late can you make those sort of decisions to defend that? In fact, could it end up being higher if you find that volume growth is going to be quicker? Thank you. Yeah. Super. Thank you. On the international growth, it's all of the above, so to say. We do see a large chunk of our customers that have traditionally been dealing domestically, that it's increasingly easy for them to also go beyond across borders in trading. We've seen that trend already before the pandemic, but it just got really accelerated during the pandemic. That is to do with pure B2B and as well as with mixed senders and obviously, but as before, also the pure B2C players. That's why I'm saying it's all of the above. That's actually really playing into our hands because for us, to be honest, on a continental European base, borders don't really count too much anymore from an operational perspective because we have our own seamless international network, and that's the advantage which we are playing on. That's why customers as well from existing customers stick with us and grow. We grow with the customer beyond borders. While we also are currently winning quite nice new customers because we offer that value proposition. With regards to your express question, we are mainly a deferred parcel business provider. Only in Denmark and Germany we have a small express niche services that we provide. We have no further plans currently on expanding that significantly further or in beyond other markets. Okay. I will comment on the last part of your question regarding the cost base. As you know, a large part, we are using subcontractors for collection, line haul, and last mile delivery, and that represents a large part of our cost base. Even so, these are flexible costs. They are semi-variable. They are not fully flexible. Why is that? Because we need minimum line hauls to run the network. We cannot fully flex costs up and down as volume fluctuate. The same is also true on delivery. We need to have a coverage throughout the whole country, and that also means that we need to go into certain areas, rural area, independent how much volume we have. It is not fully flexible. It is semi-flexible, I would say, our cost base. Great. Okay. Thank you very much. Thanks, Alex. Thank you, everyone. There was just one final on the web. I was just going to address the questions that have come through there. I know Alexia from Barclays, you sent one asking about if we could elaborate on some of the digitalization initiatives, and I think Martin's covered some of that in his existing answers earlier on in the session. From Summit, Zog Jen was asking, given our outperformance targets, I think in terms of growth, outperforming the market, which countries in the portfolio do you see as leading the charge and what drives such strong outperformance expectations? Given that, how do you keep subcontractor costs under control? I think we probably covered all of that in the answers we've already given as well. Thank you for those questions on the web. Thanks for the questions on the phone as well. Obviously, if there's any other questions, I'm here, John, and Anna is here as well, and Dinah is part of the IR team. Please do get in touch with us. Other than that, I don't know if I hand it back to Mick just to close. Yeah. Thanks, John. Just like to say thank you to Martin and Thorsten for joining us this afternoon. Lot of work went into that presentation, so thanks for being here answering the questions as well. Thanks for everyone for joining on the phone. As John said, investor relations always available on the phone to take questions, and I'm always happy to talk whenever you need a conversation. Thanks very much for joining this afternoon and speak soon. Yep. Thanks very much, everybody.