Good morning everybody, welcome to this Q2 presentation of StrongPoint results. My name is Jacob Tveraabak. I will be presenting the main highlights today as the CEO, with me as always, I have Hilde Horn, our CFO. Before diving into the Q2 figures as such, I want to provide a short intro of StrongPoint to the hopefully satisfaction of both existing, of course, new shareholders. StrongPoint, why on earth are we starting with a slide like this? Well, with the pandemic, there has been and is an unprecedented growth in grocery e-commerce. We are starting to get our fair share of attention, both in Europe and U.K., overseas, as shown in some of these publications that have been out there recently. Why is e-commerce so important for StrongPoint? Well, this is really the reason or the foundation behind what we call the double opportunity. E-commerce is driving, on the one hand side, the margin pressure in the stores as more and more of the sales are going outside stores, leaving an opportunity for StrongPoint to provide the retailers and grocery retailers in particular, with technology to make the store more efficient. That's number one. Number two is that e-commerce in and of itself provides an opportunity for us to provide established players in the grocery retail market with the absolute best in class solutions needed to handle e-commerce efficiently. That is the double opportunity for StrongPoint and why we are so preoccupied with what's happening in the e-commerce space. Our purpose is really ensuring that we get retail technology in every shopping experience, online and offline for a smarter and better life. We are focusing on grocery retail. Why is that? Well, in addition to being the by far largest grocery or sorry, retail segment, it is also one of the most pickiest and difficult segments to serve and we have the solutions for that. There's naturally spillover effects to other retail sectors, but grocery is our focus. If you have been following StrongPoint, you will see that the list of names and logos there is ever increasing quarter by quarter, which we are very, very proud of. Finally, before going into the Q2 figures, I just want to reiterate again StrongPoint's financial ambitions. A revenue of NOK 2.5 billion in 2025 and an EBITDA margin of 13%-15%. This is now as a pure retail technology company after we in this quarter divested our Labels business unit and in Q4 divested our cash security business. We're well on track to deliver on this financial ambitions. What's happened in Q2? Three points as always. I'll be going through the financials of the main figures. We'll talk about customer success and lastly provide a little bit more flesh to the bone on what's happening with achieving the ambitions for 2025. Number one, we have a very solid revenue growth in this quarter. We are growing 13% organic, compared to the same quarter last year. Per technology, which we are basically growing across the board, but it should be pointed out that Norway in particular had a very good quarter, up 30%, compared to same quarter last year and Sweden 17%. We are in the first half growing by 15%, all organic in StrongPoint. It should be said, although we don't talk about the order reserve, just this quarter Norway announced deals worth NOK 300 million+, just this one quarter. We're very proud of that as well and expecting those deliveries to be happening over many, many quarters to come. EBITDA, clearly NOK 12 million is not good enough. This corresponds to a less than 5% EBITDA margin. I think when we talk about the EBITDA, we need to explain why is this happening and it's happening because of one reason and that is Spain. If we had adjusted for Spain, I'll talk a bit more in detail about that, but if we had adjusted for Spain just achieving break even, we would have been at NOK 32 million EBITDA and just south of 13% EBITDA margin. It shows that we absolutely, as a group, have what is needed to get to the profitability levels we want to be at. I need to jump into talking about Spain as all the other markets are doing relatively well. As some of you will remember, we had a new managing director in Spain as of end Q1. As you might expect with a new MD, you want to really understand the details of the business. What we haven't covered is, unfortunately, a discrepancy between the actual inventory and the registered inventory, particularly of Cash Management solutions. This is not something that happened within one quarter. This goes many quarters and years back. What we're really doing here is accounting for that here and now in this quarter, this goes back many quarters. I want to assure you, we feel very confident that this is the one-off write-down that we're doing. There's not going to be any more write-downs in Spain. This is a cleanup of, call it [old fun] or lack of control over many quarters. Operationally, we have a NOK 6 million negative EBIT impact. That constitutes really of two things. One is the Cash Management sales are not at pre-pandemic levels, they are growing. That's good. They're increasingly growing as we're talking, not at the levels where we want it to be yet. The other thing is that we have so many good grocery technology sales that are not just now commencing to be delivered. Commencing now, I'll be talking about Glovo, but also self-checkout solutions, Click & Collect solutions coming into Spain commencing in Q3 and going on. I feel very confident that we will be improving our Spanish operations significantly. Of course, not seeing the one-off come again, but not least also the operations improving as we're moving on the business in Spain to also be a grocery retail technology provider. I need to talk also about the customer success that we've had in this quarter. In Norway, we've had multiple sales orders announced. Coop Norway with a large electronic shelf label contract. NorgesGruppen with payment solutions. Cash wasn't dead in Norway after all. Just after this quarter, we also announced a similar type of deal with REMA 1000. Very happy to see our Norwegian customers being very happy with the solutions we provide. Our marketing team has done a tremendous job in getting the attention of, in particular, our e-commerce solutions out there. We're still growing the number of pilots in the U.K. and U.S. We have recently in this quarter also announced that føtex in Denmark, part of Salling Group, put up their first Click & Collect locker. Just a couple of weeks later, Coop Denmark did exactly the same. It's gearing up for a battle for their e-commerce customers in Denmark as well. Finally, I should say, because we talked about Glovo in Q1. Finally, we are now seeing integrations with the end customers, POSs happening and couldn't be more thrilled than to announce that Glovo has struck a deal with Carrefour using our picking solution to ensure that Carrefour's customers get the groceries as fast as only Glovo can deliver. With that, of course, there is a lot of attention, in particular in Spain, but also outside Spain, as Glovo is such a technology unicorn providing or choosing StrongPoint's picking solutions. All the reasons to be very thrilled about the recent customer success stories announced and what's to come. Final page for me before leaving the word to Hilde Horn Gilen. How are we doing on the strategic ambitions? Well, we have said for a long time, and now we really are a pure retail technology company. We will be posting a financial gain on the transaction. That's not to say what the price is, but I can assure you that we achieve a price which we are very happy about, and we're very happy for Labels to have found a good industrial partner to grow it. For StrongPoint, this means we have a lot of power. We have a very strong balance sheet to do the right things also going forward. We are on the path to achieving the NOK 2.5 billion, 13%-15% EBITDA margin. We're doing that with also a number of investments and recruitments in the areas where we are going to grow. We have been growing our retail technology team with 30 people over the last year in sales, in marketing, in IT security. We are continuing to expense all the investments that we are doing. There's no hidden gems in the balance sheet of investments awaiting to be depleted over time. We're costing it all this point in time. I'm just very happy about the direction we're going in. We have the megatrends with us, and we are ready to capture and capitalize on those. With that, Hilde. Thank you, Jacob. As always, we will be presenting some of the figures. With the latest slide presented by Jacob, the divestment will, as done before, influence the figures historically. I have included this slide so that you understand the development of the Retail Tech and how it looks now that we have divested both Cash Security, and Labels. Due to the IFRS, Labels is also excluded in our profit and loss figures. In our balance sheet, historically, they are included. Be aware of that when you read our figures. The yellow column here on the revenue side shows that the rolling 12 are above NOK 1 billion, and it is a steady growth from 2018. We can by that underline Jacob's expression about the growth that we are seeing for our solutions. If you look at the EBITDA, it is also a positive trend. Although the rolling 12 end of June is obviously impacted by the Spanish write-down of inventory. We will continue to show these figures, and hopefully, we will have improved Spanish operations going forward. If we look further down in the profit and loss statement, you will find that we do have some positive currency effects and accounting for NOK 3 million in the year-to-date figures and NOK 2 million in the quarter. If you look at the Q2 figures for the earnings per share, you see that we are slightly above last year, which then had a negative effect of currency. You need to understand that. Still a good earnings per share, both adjusted and the normal one in the quarter. This leads to an increase of the rolling 12 earnings per share as you find to the right in the slide. Almost NOK 1 adjusted for in the past 12 months. Looking at the cash balance. We started the year with NOK 75 million in the cash balance. We add the EBITDA for the continued operations of NOK 26 million, and we also add the EBITDA of the discontinued operations. That is Labels for the first half, and it's shown as discontinued operations, and that's the way we will continue to report it through 2021. Small change of working capital. The largest deviations between the cash position at year-end last year and now end of Q2 are the repayment of loan that we did in Q1 and also the payment of dividend that we did in Q2. We have a credit facility of NOK 100 million, so that disposable funds is NOK 124 million. Obviously, we have a cut-off situation. As of the 30th of June, we have removed the Labels business, but the payment for the first part of the transaction will come in 1st of July. There's a cut-off there. This leads to an increase of our net interest-bearing debt from Q1- Q2. Now, this is only temporary as we received and have already received the first payment of the divestment of Labels. 0.74 is the net leverage multiple. This will be minus from Q3 and onwards. Still, it's a fantastic, good financial position to fund the growth and M&A activities. That's actually the presentation of Q2. You will find much more information in our report. Please reach out if you have questions or comments. We will try to answer that as good as possible. We will meet up again in Q3 report, 21st of October. With this very nice picture of our locker from a summer place in Norway, Helgeroa, I wish you all a fantastic summer holiday. Thank you.
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