Welcome to our webcast, where we will present Goodtech's results for the third quarter of 2026. I am joined today by our CFO, Anders Engelsen, who will provide a more detailed review of the quarter's financial performance and key developments. My name is Margrethe Hauge, and I am the CEO of Goodtech. Over the past years, Goodtech has strengthened its market position through focused execution, increased recurring revenue, and a disciplined approach to profitability and capital allocation. In the third quarter, we continued to deliver growth in our value-added engineering and service activities while investing in future growth capacity and maintaining a strong financial position. We will also share our perspectives on market developments, recent contract awards, and key opportunities ahead. Thank you for taking the time to join us today. Let me start with the key highlights for the third quarter. We delivered net operating revenue after external project cost of NOK 121.6 million, representing a 4% growth year-on-year. The growth was driven by continued strong activity within engineering, service, life cycle offerings, despite lower procurement-intense project deliveries. EBITA amounted to NOK 8.5 million, corresponding to a margin of 7%. Profitability remains solid despite increased investments in strategic recruitment, regional expansion, and other growth initiatives. The organization continues to develop positively. Headcount increased to 318 employees, and we successfully established our new office in Kristiansand, strengthening our regional presence. With this new local presence, we also experience new customer relationships developing. Order intake amounted to NOK 131 million, and the order backlog ended at NOK 281 million. The Nussir contract was signed after quarter end and will significantly strengthen our backlog visibility entering into 2027. Finally, the extraordinary general meeting approved the supplemental dividend of NOK 2.00 per share in October, completing the previously announced NOK 60 million shareholder distribution while maintaining a strong financial position. Thank you, Margrethe. At first glance, the quarter appears mixed, with total revenue down 9% compared to the same quarter last year. However, the reduction in total revenue primarily reflects a lower share of procurement-intensive projects and the fact that several larger projects are approaching completion. As a result, external project costs declined significantly from NOK 51.4 million to NOK 31.9 million. This led to net operating revenue after external project costs increasing 4% to NOK 121.6 million, which we believe is a more relevant measure of underlying activity and value creation. A particularly encouraging development was a continued strong growth in after-sales and service revenue, which increased 48% year-on-year to NOK 39.8 million. This supports our strategy of increasing recurring revenue streams and strengthening the long-term customer relationships. EBITA ended at NOK 8.5 million, with a margin of 7%. Profitability was impacted by investments in future growth, including recruitment, salary adjustments, and regional expansion. At the same time, cost discipline remained strong, with other operational expenses reduced by NOK 2.6 million. Overall, the quarter demonstrates the continued transformation of Goodtech's revenue mix. While procurement-intensive project activity fluctuates between quarters, we are seeing increasing contributions from after-sales and service activities. This supports a more resilient earnings profile and provides a solid foundation for sustainable long-term growth. Order intake for the quarter amounted to NOK 131 million compared to NOK 140 million in the same period last year. Order backlog ended at NOK 281 million. The development in backlog should be viewed in the context of project timing. During the year, several larger projects have progressed significantly and moved into completion phases. While this reduces reported backlog, it also reflects successful project execution and revenue generation. After quarter end, Goodtech was awarded the Nussir project, which will be included in order intake and backlog in Q4 and significantly strengthens backlog visibility. The Nussir project highlights the increasing demand for integrated EIC and digital infrastructure solutions, areas where Goodtech has developed strong competence and a differentiated market position. We continue to experience longer decision-making processes for some larger procurement-intensive projects. However, the Nussir award demonstrates that strategically important industrial investments continue to move forward and convert into project awards. Overall, we remain positive regarding the underlying opportunity pipeline. The contracts announced during the quarter demonstrate both the breadth of Goodtech's market exposure and the relevance of our competence across multiple industries. The agreement with World Wide Wind positions Goodtech as a key technology and systems integration partner for the CRAFT floating wind demonstrator. The project combines automation, power systems, digitalization, and cybersecurity, all areas where Goodtech has developed significant expertise. The second highlighted project is a digital upgrade contract with a leading international aquafeed producer. Through delivery of SCADA, PLC, and MES solutions, Goodtech will help modernize the customer's production platform and establish a foundation for future digitalization initiatives. Together, these projects illustrate how customers increasingly rely on Goodtech not only for automation, but also for industrial IT, cybersecurity, and digital transformation. Let me conclude the financial review with a balance sheet and capital position. Goodtech continues to maintain a very strong balance sheet. At the end of the quarter, the group held an equity ratio of 60% while remaining free of interest-bearing bank debt. Cash and cash equivalents amounted to NOK 92.6 million, despite continued investments in growth initiatives throughout the quarter. The approval of the supplemental dividend of NOK 2 per share concludes the previously announced communicated NOK 60 million shareholder distribution. Even after the distribution, Goodtech is expected to maintain a solid balance sheet, strong liquidity, and financial flexibility. In addition, the group has NOK 80 million of undrawn credit facilities, providing additional capacity should working capital requirements increase as larger projects move into execution. Importantly, the company is entering a period where project opportunities are increasing in size and complexity. The Nussir project demonstrates the importance of financial strength and execution credibility when competing for larger industrial projects. Our capital position provides the flexibility to pursue these opportunities while continuing to invest in capability development, digitalization, and selective growth initiatives. Overall, we believe Goodtech has the right balance between shareholder returns and financial strength. Following the supplemental dividend, the group will continue to maintain a robust capital structure capable of supporting organic growth, selective M&A, and the execution of larger industrial projects. Artificial intelligence remains an exciting growth opportunity in Goodtech and for Goodtech. In the previous quarter, we described how we see Goodtech as the missing link between industrial operations and AI. During the last quarter, we moved from concept to execution by confirming our first pilot customers for our industrial data and AI platform. What differentiates our approach is that we combine deep process knowledge and automation expertise with modern AI technology. Rather than asking customers to replace existing infrastructure, our platform connects to the historian systems and industrial data sources that they already use. We have now confirmed three pilot customers within the food and marine ingredients industries. Installation is ongoing, and we expect the first pilot-related revenues during the fourth quarter. The platform is designed to address practical operational challenges, including anomaly detection, energy optimization, virtual sensors, quality improvements, and future compliance reporting. These are use cases that can deliver measurable operational and substantial financial value for our customers. The business model is exactly how we like it. It combines engineering services with recurring software and service revenues. Over time, we believe that this creates an attractive opportunity to build scalable and higher-margin digital offerings alongside our traditional engineering business. While still in an early phase, we are encouraged by this development and the customer reception, and we believe Goodtech is well-positioned to take a leading role in industrial AI and digitalization. After quarter end, Goodtech was awarded the EPC contract for the Nussir copper project. This is one of the most important contract awards for Goodtech in the recent years, and it represents a major milestone for the company. Beyond its financial value, the project confirms Goodtech's position as a trusted partner for large-scale industrial projects that require integrated delivery across multiple engineering disciplines. The award represents an important reference project within mining and electrification and strengthens our visibility in future project opportunities. This award also demonstrates our ability to win and execute large and complex contracts where the customer require integrated solutions across multiple disciplines. Importantly, the award strengthens our backlog heading into 2027, and it provides increased visibility regarding future activity levels. The engineering is already underway, followed by equipment supply and installation. We expect to complete our scope by Q2 2028. The contract is procurement-heavy, meaning a large share of the value is equipment and materials. This limits the strain on our engineering capacity relatively to contract size. Revenue will be recognized over the execution period, and local partners in Finnmark support execution close to site. Having delivered another solid quarter, we remain focused on operational excellence, disciplined execution, and selective growth investments. The continued growth in service and aftermarket and lifecycle activities supports a more resilient earning profile and strengthens the proportion of recurring revenues in the business. At the same time, we continue to see attractive market opportunities across industrial digitalization, automation, electrification, energy transition, and infrastructure. While larger investment decisions can still be characterized by longer lead times, underlying customer activity remains healthy, and our opportunity pipeline remains encouraging. The Nussir contract significantly improves backlog visibility and represents an important milestone for Goodtech. Combined with our growing service business and expanding digital offerings, as well as geographic expansion, we believe this provides a strong platform for future growth. In summary, Goodtech enters the final quarter of 2026 with a robust balance sheet, solid profitability, a strengthened project portfolio, and increasing digital capabilities. Thank you for following this webcast. For more information, please visit our webpage, goodtech.no.
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