Good morning, and welcome to the Byggfakta Group Q3 2022 earnings conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing Star, then zero on your telephone keypad. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press Star then one on your telephone keypad. To withdraw your question, please press Star then two. Please note this event is being recorded. I would now like to turn the conference over to Mr. Stefan Lindqvist. Please go ahead. Thank you very much. Welcome all to this Byggfakta presentation of our Q3 report. Me who will present today is myself, Stefan Lindqvist, who are the former CEO of Byggfakta, and we have our CFO, Johnny Engman, and our current, new CEO, Dario Aganovic, who are also presenting today. This will be my last presentation or Q3 presentation. I'm extremely happy to hand over the management to Dario. I know that Dario is a very confident and driven leader, so I'm extremely pleased to have him on board. Please, Dario, go ahead and present and introduce yourself. Thank you very much, Stefan. Hello everybody. My name is Dario Aganovic, and now it's almost one month on my new job as a Group Chief Executive of Byggfakta. My background, just shortly, I'm a mechanical engineer by training, although having spent a lot of time in mechanical engineering. Started my career in the robotics and automation software development, working very much with the manufacturing industry within this phase that's called PLM, product life cycle management. I would say, you know, quite closely related to what we do in Byggfakta, you know, product areas, specification and product information, but for manufacturing industry, obviously spent also couple of years in consulting, working for Accenture, and then after that in general management positions and sales positions within different industries in facility management a couple of years, and then the last couple of years within life science in the pharmaceuticals and medical devices. My latest job is with the Addovation, that's a part of Addnode Group, where I was a CEO, and when I resigned earlier this year. Throughout my career, I've been working internationally, you know, through the last 20 plus years in different international global positions and leading complex businesses, international businesses, lots of post-merger integration situations and driving change. That's basically what my core skills is. Working very much with the private equity owned companies during the last decade. First of all, I'm very happy to be here and very much looking forward the journey ahead. Thanks, Dario. Next page, please. Today's agenda will be a short company overview especially for you who are new in the in this business or listening for the first time. Then we will go through the highlights of the quarter and the financial update, and we'll end up with the summary and the Q&A. Next page, please. If we start with Byggfakta at a glance, as you can see, we are a market leader in most of the areas where we are present for the moment. It's only in three markets where we actually have competition or where we're not the market leader. It's in the U.S. where we are the number three. It's in Australia and U.K. where we have some competition when it comes to the product information. Otherwise, we are the number one player in this area. Why is this so important? Normally, I say that it's extremely difficult for someone else to enter into this market when you once have got this position. Normally, we say that there are extremely high barriers to enter into this market, and that's due to the fact that you need. I normally say that you need three elements to be able to compete with us in this business. First, you need a technical platform that needs to be state-of-the-art. Secondly, you need also this unique and proprietary data that we partly manually collect, and it's difficult to find anywhere else. Third, you also need the customer base. As you can see, we have a very, very huge and diversified customer base. We have more than, more or less 50,000 different clients, meaning also that we are not depending on one or a few single bigger clients. It's very huge and diversified. Another thing for our business is also that it's subscription-based, meaning that we could predict our revenue very far for a very long time, and also we work with extremely good margins. Next page, please. What is it then that we are doing? Normally we say that we are working in four different product areas, where the biggest one is what we call then the Product Information. That's a service where we're collecting information about all planned and ongoing building projects. The good thing with that one is that also gives us the opportunity to also add a number of other services like the product information, the specification information, and the e-tendering solution. Next page, please. If we can then go a little bit deeper into each one of these product areas and start with the product information. Product information, as I said, is a product where we are collecting information about all planned and ongoing building projects. Now you ask yourself, then how do you do that? Then we have a number of different sources to find all this information. Of course, we're scanning the internet or the net to find information in an early stage, and that's important for us. One example of that is that we could find out on the municipality of Gothenburg's homepage that they are planning to explore a piece of land to building industrial buildings. That's an early-stage information from us, meaning that that's also generates a call from our side, meaning that we are calling the town of Gothenburg ask for more information about this project. Hopefully, we get the name of the property owner and continue the interview with the property owner. We are following the project during the whole lifetime, adding on the architect, the technical consultants, the contractors, and the subcontractors. Another source could be that we are scanning the local newspapers, finding out that the school in Sollentuna burned down yesterday. That normally means two new products from our side. First, you need to clean up the old school. Secondly, you hopefully also need to build a new one. That's one source for us. Another source that is also extremely important for us is when we are making all these interviews with all these decision-makers, we always, in the end of the call, ask, "What else are you doing?" That is actually one of the most important source to find information in an early stage. You normally ask yourself, "Why on earth are they then willing to give you all this information? And they are also giving us for free." There is normally two main reasons for that. First of all, it's an excellent opportunity for the property owner to market this project, meaning that they get the best offers, the latest innovation when it comes to product developments and so forth. Secondly, normally, they're also extremely proud of talking about these projects, because even if you are a professional builder, you don't do that many products during your lifetime. It's almost like they are talking about their own kids. The third source that we also are using is we normally see as our safety net, that we're also collecting all such building permits, and that's just to secure that we actually cover 100% of the market, which is also an important effect for us. The building permit as it in itself is a little bit too late information for us, because normally when you search for building permits, a lot of the decisions are already made, meaning that you have already the drawings done. In over 82% of the cases, we have found the projects before that stage. As a safety net, it's important to have the building permits as well. Then, rather than buying this information because someone needs to buy all this information, that's where we're collecting all the data. Here, it's almost every kind of company who could be involved in a construction project who are buying this kind of service. It's everything from banks who would like to finance the project. You have the architects, the technical consultants, the contractors, and the subcontractors looking for more jobs. You have a lot of the manufacturers who would like to sell their products to the project. You also have the kind of service providers like companies renting out cranes or cleaning up the construction site. It's like an extremely diversified customer base in this case. It's also an important source for us to market all the other products that we have in our product portfolio. The second product area that we have is what we call specification. Here we have developed a system for mainly then for architects when they are making the specifications in connection with the drawings. Because when you're making the drawings for a project, you also need to specify it in text. We have actually built a system helping the architects or the specifiers so that they can do the specification directly in connection with the drawings. What we're helping them to do is actually to help them to avoid or actually help them to follow the latest norms, rules, and regulations. Also help them to avoid mistakes that could occur on the drawing. We know that one-third of the mistakes that occur on the construction site could be attributed directly to the drawings. Another thing is also that it also saves a lot of time for the architects. In this case, it's the architects who pay for this service. This is a very good tool for them, and it's also integrated directly with the big CAD system, so that's also important. It's a drag-and-drop functionality with all the big CAD systems. The third product area that we have is what we call then the Product Information. Here we have created a database with all the manufacturers' different products. This is also a tool we've connected with the Specifications because when you're making a drawing, you could either then specify a neutral CAD detail or you can actually use a product-specific or manufacturer-specific CAD details. What we are collecting in this case is all kinds of information that is necessary for the contractors, for the architects, in connection when they are either then making the drawings or procure different building materials. In this case, we have all kind of information, everything from the 2D and 3D CAD details. We have the BIM objects. We have the installation instructions. We have the demolition instructions, and we have all the environmental information, which today is extremely important for especially for the property owners, but also for the contractors, so they can see what kind of footprint this product have on the project. In this case, it's actually the manufacturers pay for this service, so they could be in the eyes of the architect in connection with when they are making the drawings. The last but not least, the fourth product leg that we have is what we call the e-tendering. This is a solution where we're helping both the property owners and the contractors when they are doing e-tendering and procurement. It's not just the public tendering part that we are helping them with. It's actually when they also are tendering for subcontractors and for building material, and help can actually use all the different services that we have. One example could be if you're going to build a swimming pool in a small town, we can actually help them find out which contractors have been building swimming pool in the past and help them who are actually proposing to them where they should send the tender document to. Or if they would like to tender for specific construction material, we can use our Product Information service to help them find out which one of the manufacturers there are on the market who can actually fulfill the requirement. That's the four different product areas that we have. Next page, please. If we're moving on to the highlights of the quarter, which is a record quarter from our side. Next page, please. If you look at the financial part, our third quarter is a record quarter. For the first time, we passed. Our EBITDA is above 200 million SEK, which is a milestone for the company, which I think is a fantastic figure from our side. We also continue to grow both in ARR and in revenue. Another thing is that we've secured a new credit facility to ensure that we continue our M&A journey, which also is important for the company. We still have plenty of acquisition targets out there that we could approach, and now we've secured the opportunity to continue that journey. From an operational point of view, we have completed one acquisition from U.S., which is extremely important for us. It strengthens our further position in U.S. It's a good complementary to our current business in U.S., which also helps us in increasing the market in U.S. It also gives us a number of different cross-selling opportunities in U.S. We've also been able to grow our ARR, which is mainly then driven by a very strong renewal rate. That also really proves that the company's strength in the current market, which I think really shows how strong this business is, even in a challenging market. If we're now moving over to the market highlights, we can see clear stabilization for prices of building materials, which creates a more predictable situation for our clients or our customers. That's good for us, because then they have the time to actually focus on selling more, and that's where we are coming in. We can also see a clear decline when it comes to starts of new projects in the market. That also normally means that the demand for our services and products are increasing because in a downturn, that's actually what's happening, that we can see that our customers are actually using our service even more in this market. Next page, please. If we're then moving over to the financial highlights, we can see that the net sales have increased with 45%. If you compare that with the same quarter last year, it's a huge improvement. If you can compare with the last quarter in Q2, which you see it's slightly less revenue this quarter. That's normal because we have the summer months where we have no direct sales. That's normally what's happening. You can also see it in Q2 compared to Q3 in 2021. Our gross net sales continue to grow. It's even better than last quarter. Our ARR, as you can see, have been increasing quite nicely over time. It's now even higher than our organic net sales. That's also good. It's a good number. Our adjusted EBITDA, as I said before, it's for the first time ever above SEK 200 million, which I think is fantastic number for our business. If you look at our margin, it's 36.6%. You can say, okay, you're slightly below for the same period last year. That's due to the fact that the businesses that we have been acquiring is normally have a lower EBITDA margin than we have. That's actually diluting us in this case. If you look separately on the different mature, more old markets that we have been working, you can see also improvement in all markets. It's a good improvement in this case. Cash flow-wise, we are continuing to deliver good cash flow. Our net debt is going in the right direction. You see it's lower and lower for each quarter, even if we've been acquiring companies. Next page, please. If we now look at operational highlights. One of the big things is that I'm leaving the company now or stepping down as the CEO. I'm not leaving the company because hopefully I will also be part of the board in the future. This is my baby, so it's a very important company for myself. We have appointed Dario Aganovic as the new CEO, which I think is a fantastic thing. We have done one strategic acquisition in U.S., which is important for us. We strengthen our footprint in U.S. We continue to look at the synergies that we have with the integration in Australia, meaning that we are merging BCI's Australian business into our BCI business in Australia, which will generate cost synergies of around SEK 10 million. If you look at the size part of it where we actually could also then hopefully increase those, say process. Ladies and gentlemen, we have temporarily lost connection with the speaker line. Please continue to hold and the conference will recommence shortly. Ladies and gentlemen, apologies for the delay. You're now reconnected. Please go ahead. Okay, good. Welcome back. Hopefully, we were back on track. We had a bit of connection problems here on our side. We were starting with the financial highlights on page 13. I'll restart that page. You might have heard it the first time, but again, we will get going from there. But as you can see, we were trending nicely on reported revenue. You can see from the graph that we acquired a lot of companies in Q4 last year with the big Australia and APAC US business. CPI came in and also the five smaller acquisitions we did in Europe. That's why we have a jump in the numbers in Q4 last year, and then we're growing nicely from there. Organically, we are delivering 7.4% reported sales in the quarter versus Q3 on a comparable level last year. It's increasing the momentum in the business from the Q2 period this year. Also, it's nice to see that we are making a good progress on ARR, which is the leading indicator in this business, our subscription sales, which is now organically growing at 8.2% in the quarter. It is in evidence that we can perform well in a turbulent market. Some of you are worried about the construction market moving down slightly, which is actually good for us. We see an increased demand from our clients to find new business opportunities using our products and services. Profit-wise, we have a good quarter. The margin is strong at 36.6%, which is up 8% versus Q2. A really good number. Of course, we always have a slightly stronger Q3 margin due to the vacation effects when we release some of the sellers we have. Also this year, I'll start on vacation for a month, and that has a positive effect on the margin. Also the underlying margin is stronger than we had in the second quarter. It's not just the vacation effect impacting this margin. Of course, that has also an effect on our direct revenue in the quarter. That's why you always see a Q3 revenue being slightly lower than the other quarters. You see the same effect in 2021, and you also see the same effect this year. That impacts the organic numbers. Cash flow-wise, it is a good quarter. We always have a slightly lower cash flow in Q2 and Q3 due to the seasonal pattern of our subscriptions, and the cash flow is always strongest in Q4 and Q1. This is also seen this year, so it is a good cash flow quarter according to the expectation, but it's not the strongest quarter during the year due to this season. Reported leverage is 3.3 x, and that is not a pro forma EBITDA, that is a reported EBITDA, and we don't report pro forma EBITDA anymore, so the actual pro forma leverage is lower than this reported number. You need to remember we acquired and paid for the Quest acquisition in the US at the end of the quarter, roughly a bit over SEK 250 million in cash payment for the acquisition. That of course drives leverage on a reported basis because we don't pro forma in the full EBITDA of the Quest business. We move forward to page 14, which is showing you the ARR development during the quarter, on a rolling twelve basis. As you can see, we are keeping a higher new sales level than returning, contributing SEK 100 million to the ARR base in the company. This is a good factor for our organic growth. You see the acquisition impact being big. The company's coming in during this period, especially on the BCI business, the whole segment, APAC US. We still are seeing a positive FX on the ARR base of SEK 77 million. This all in all leads to an organic growth level of 8.2%, which is a higher level than we reported in Q2 this year. Subscription, and this covers 85% of our revenue in the company. 15% direct revenue and 85% subscription-based. Moving to the KPIs on page 15. A big uptake we would see is on the retention level. It is a very strong retention quarter now in Q4. We're up on a reported basis to 87%, which is a 6% uptake versus the Q1 and Q2 during this year. We also show you the like-for-like retention, which shows the same trend, but it's a slightly smaller number. The like-for-like includes then all acquired businesses, especially the APAC, US segment. This is driven by a good retention level in a number of clients, but also that we're starting to take some price adjustments in the market, especially in Continental Europe, segment. We have pushed through some price increases on the existing client base, which then comes into the net retention numbers of the company. This again is particularly strong, but again, the underlying trend is good on a retention level. Moving into the segments on page 16. If we start off again in our home market, the historic core of the group, the Nordic region, we are trending nicely, especially on reported revenue, which is 9% organic growth in the segment. We are helped by a bit of direct revenue, but also some of the smaller businesses are having a very good quarter in the tender B2B, B2C business in healthcare, for example, which is resulting in a very strong reported sales number. While the organic ARR is slightly lower, it is an improvement versus what we saw in the Q2 period, and accelerating, but we are not back to the 10% historic numbers we had previously, but it is trending in the right direction. Profit delivery is very strong in the Nordic segment. We are reporting SEK 77 million in the quarter, which is a margin of 45% versus previous year 43, which is a good 2 percentage points underlying margin. Again, this is evidencing when we are strong in the local markets, we are delivering a very good margin above the group target with a nice 5 percentage points. If we turn to the next segment, the UK market, it's also a good quarter. We are growing reported sales of 8.5%, which is slightly lower than in Q4. There are a few one-off impacts where we had a few ones bouncing in the right direction in Q2. Now we had a few ones we were bouncing to the other quarter. The reported sales is slightly lower in the quarter. Should come back to the 10% level, while the underlying trend on subscription business is continuing above 10%. A good 10.6% on subscription organic development in the quarter. Margin is also good. We're reporting 43% margin in the quarter, which results in a SEK 68 million EBITDA level in this segment. We have again, as you know, invested a bit in the UK businesses to accelerate growth, which is paying off on the ARR development, but it's also causing a slightly higher cost base versus previous year. Some of you have followed us for a while and maybe remember that last year we did the headquarters allocation in Q4 for the full-year, which then had an impact on Q4 margins, as you see in the graph below. This year, we're allocating the headquarters costs on a quarterly basis. We need to adjust for that if you wanna compare. The margin on a quarter basis versus Q3 last year. That is roughly 3, a bit over 3 million SEK per quarter, which is the headquarters component in the UK EBITDA. But overall, a good delivery also in UK. If we move to page 17, and looking at the two other construction segments, starting off with Continental Europe, here you see what we talked about. It is a very good acceleration in the ARR growth, especially we are now for the quarter doing above the 10% level. It's 11.5% organic development in the segment on ARR. It's coming from two main factors. It's Switzerland, they're kind of accelerating a little bit. You know, Switzerland, we have talked about being a weaker market for us. We see some improvements in Switzerland helping the total segment. The main contribution is from a strong delivery in Portugal, Spain, and we are taking the opportunity to adjust prices, which then helps the retention levels and then ARR for the total segment. Again, this takes some time before it moves into reported sales. The organic is 7.4% on reported revenue. Again, the scalability of the business model is kicking in, so the margin in the quarter is 32.4% versus 26% last year. You can see where we grow stronger, that the margin follows, with an increased business size in the different markets. The fourth segment then, APAC and then US, here, you will not see the comparative numbers for the quarter. You will start seeing that in Q4 because we had this business only in Q4 in 2021. That's the first time you will see comparative growth numbers. It is a good delivery or decent delivery, I would actually say, in this quarter. It is a mixed picture. The US part of the business here is continuing to trend very nicely. We are seeing growth rates in the 20%-30% level, which we have also commented on in previous quarters. While the market in Australia in particular is trending weaker. We are not seeing the pickup in the Australian business as we were hopeful. We're taking some action to increase momentum in Australia while Asia markets are doing okay. This is probably a slightly weaker component in the group for this quarter. Still, it's growing and it's also delivering a decent margin. As you can see, it's only 18% margin in the quarter. When you look at the total group, this is of course reducing the total group margin for Q2 versus Q3 on the total group. Page 18 is showing our what we called previously the Other segment. We're now calling Healthcare Media. Again, it's a decent quarter. It's growing 5% organically on the quarter revenue. The ARR has slowed a little bit and that is now flat. Overall it is trending as we are expecting. If we move to page 19, looking into the working capital and investment levels, we are keeping our negative working capital position around SEK 600 million in the quarter. It is actually slightly less negative in Q3. It is coming from the fact that the business volume in the segment is slightly lower than other quarters, which you also saw on the reported revenue, resulting in a slightly lower deferred revenue position. We don't have the normal help from a cash impact from the working capital position. This is the same trend as previous years, but that's the reason why the cash flow is slightly weaker for the quarter. If we look at the CapEx level for the quarter, we would normally look at the red part of the bar chart on the bottom. We are continuing to invest roughly SEK 30 million per quarter behind our IT platforms, which is the level we have been cruising at in the previous three quarters. From Q4 2021, this is the investment level behind the IT platforms and software solutions we're doing. What is picking up in this quarter, we have previously told you we are building a new office building in Stockholm for roughly 200 staff. There's a staff base we have up there. We are starting to pay for that construction project. In total it is a budget around SEK 65 million, which we have communicated previously. That is where you see the CapEx level picking up in the quarter slightly. That will continue for a few quarters until the building is finished in the late autumn next year. Of course, once we move into that, the rent level from the old office will be reduced, and we move into the new office in Stockholm. Page 20, our financial leverage. We are reporting, as we said, a 3.3 x reported EBITDA and a debt level, which is then reducing quarter-on-quarter. We need to remember that we paid for the Quest acquisition in the quarter, and that pushed leverage up in September. Of course, if you pay slightly more than SEK 250 million in cash, then you get one month of EBITDA and revenue from that business. It impacts the reported leverage position. We are pleased that we have signed a new credit facility with Swedish Export Credit Corporation, a state-owned bank, you can say, in Sweden, of EUR 50 million or SEK 500 million. Which we now have available for further acquisitions because we see a strong M&A pipeline going forward, and we want to take the market opportunity to continue to consolidate our segments in the market. Together with the ongoing funds we have on the older credit facilities and the cash position, we have close to SEK 1 billion of available financing capacity for further consolidation. Of course, plus the capital we generate month-on-month. We are well-funded to continue with the strategy we have in front of us. You probably asked about interest rates, and as you know, in mid-spring, we hedged half of the interest exposure of the company, which is now also paying off. The value of those hedges are increasing quarter-on-quarter as the base rate moves up. That is a hedge we have and a good timing for us to enter into that in the spring, given the interest environment in the world. For new listeners, we have on page 21 our financial targets, which are unchanged. We are aiming to grow organically at 10% and complement that with 5%-15% through acquisition. In order to hit 10 + 10 for the new listeners. We are aiming to get the margin for the total group up to 40%. As you can see, we are showing that margin level in the segments where we are the strongest. Both the UK segment and the Nordic segment are cruising above this target level while we still have some work to do in the newer segments, Continental Europe, but also APAC, US in particular. Capital structure, we want to keep the level around 3.0 or at that target, which we are very close to. If we would do a pro forma EBITDA, we would actually be more or less on that level. We have the mandate from our owners to not pay dividends in the short term, but use our cash flow to continue investing behind the business, but the IT platform could also look for more acquisition targets going forward. Thank you. That was the end of the formal presentation, and we are ready to open up for Q&A. Thank you. We will now begin the question and answer session. To ask a question, you may press star then one on your telephone keypad. If you are using a speakerphone, please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star then two. Your first question comes from Nick Dempsey from Barclays. Please go ahead. Yeah, good morning, guys. I've got three questions, please. So the first one, can you explain a bit more about why the Australian business is more hesitant, as you put it? Are they still seeing the kind of volatility and uncertainty in the underlying market that you were experiencing in Europe in previous quarters, or is it something else? The second question, there's a remeasurement of contingent earn-outs in the items affecting comparability. Which of your acquired businesses has driven that change in thinking about earn-outs, please? The third question, when I'm thinking about Q4, first of all, is there any reason why the kind of organic growth momentum we saw in Q3 shouldn't persist into Q4? adjusted EBITDA margin, of course, you got a seasonal boost in Q3, but for Q4, should we be thinking broadly about the first half 2022 level as a benchmark? Let's start with Australia. Now, if you look at Australia, I think they were suffering more from the COVID situation in the longer period of time. It's actually a lack of sales people that has driven that it has actually been quite slow. What we have been able to do now is to recruit. The staffing is in place, but it takes some time until you see the effect of the new people coming in. That has been the case in Australia. I'm not worried in the long term that we not will be back on track even in Australia. To the other questions. The earn-out, we had an earn-out for the property or construction business in Sweden we bought, which we have released 10 million SEK because we're seeing that it's slightly below the acquisition estimate for the earn-out. The business is doing well, but again, it's more of the fact that we're coming to the end of that earn-out. It will expire in December, and we're not hitting a threshold level. That's why we're releasing 10 million SEK from that earn-out component. It is a bit of event-related businesses in that. In the early year, we had also COVID on the event side. It's giving awards and stuff like that. It is a smaller business, and the underlying performance is well, but we're not hitting a trigger threshold with the earn-out calculation. Q4, we said that the margin now in Q3 is driven by partly the seasonal effect, but it's also an underlying improvement in the margin in the different segments, which comes from our internal work. The underlying component should be sticky and go into the coming quarters, while the seasonal effect around the 2 percentage points will be normally revert back to the normal trend line. You see the pickup in Q3, and then you will see that seasonal effect coming back down, like for like. The last question was? Something about. What was the last question? Well, my third question was about whether organic momentum from Q3 might continue into Q4. I think you answered my question about the margin in Q4, but not necessarily the organic growth. No, but you see the ARR growth and that is of course what will impact reported sales going forward. We commented on the market in the beginning of the presentation that we see that the prices are now being stable. It's also the availability of material has improved. If you read some of our clients' Q3 reports, they are commenting also on these items. We believe the market conditions are better in this quarter than Q2. We've been seeing a good momentum in the business and in the quarter, which you see on our financial delivery. We see no reason for that it would be going in the other direction, at least. Understood. Should actually be very good. Yep. Thank you. The next question is from Charlie Brennan from Jefferies. Please go ahead. Great. Good morning, guys. Just a few questions from me as well. First, you're talking about normalization of market conditions more broadly, and yet organic growth and ARR, while it's improving, it's still below your 10% target. What needs to happen to get us back to 10%? Is it on the net sales side that needs to accelerate, or is it the churn that needs to come down to get us back onto double-digit growth? Are you brave enough to think that given the normalization of market conditions, double-digit growth is achievable for next year? Then on a separate unrelated matter, Dario, I think in your opening comments you talked about the opportunity to extract more synergies across the organization. Are you in a position to talk about whether you think that's more on the go-to-market side or whether it's more on a deep technology integration side? How do we think about the costs of achieving that synergy opportunity? Thank you. If I start with the first question about the opportunity to get to the double-digit growth. Well, again, I think if you look at the situation right now, I think we can say that the renewal rate or the churn is one area where we actually have been improving. Where we are still slightly behind is what we call new sales, which always is a little bit difficult to predict. But there are no reason why we shouldn't be able to come back to the same level. If it's already the beginning of next year or if it takes in the end of next year, it's difficult to judge. But it's actually the new sales part that we need to improve in this case. I think when it comes to renewal rates, you can see in the numbers that they have been improving. I think that's also proven that the business is a very resilient, especially in these kind of market conditions. I'll answer the second question or not answer the second question because you know one month in a job and obviously I'm still in a phase of forming my hypothesis and learning about the business. You know, but what I can say the opportunities are, you know, wide-ranging and there is a broad agreement within the management and in the organization that there are opportunities in several different areas. You know, I will get back to that once I've learned enough to be able to make conclusions and priorities. Anyway, thank you for your question. Perfect. Thank you. Thank you. The next question is from Dennis Berggren from Carnegie. Please go ahead. Morning. A sort of question on the market development. Would it be possible for you to comment on the month-by-month development during the quarter? Also some general thoughts on the market development for next year. I mean, I get your point on sales tools becoming increasingly important in tougher times with lower volumes. I mean, do you expect this to hold for all of your product offerings and deals? What's the historical support for this? Secondly, how should we think regarding the sort of deviation on organic and sales growth in the Nordics? There are organic growth now at 4.6% compared to 4.7% in Q3, despite positive comments regarding improving market trends. Thank you. We don't give you details, Dennis, on the monthly performance during the quarter. I think if you look at how we position it, where we see the stabilization coming into effect during the quarter and we've been coming out of Q2, where we saw that being quite a volatile quarter. Given now that we've been seeing the market trend, the conditions are improving, especially on clients' availability. When they're not concerned about the volatile market prices or availability of materials, it's easier to speak to our clients, and we see that gradually improving during the quarter. The new sales wasn't fantastic in the quarter as Stefan said. It's retention being very strong, but also a decent new sales performance. There is more to pick up on the new sales side going into the next year, when we see if it's being fully back on track. That goes for the 10% question we had previously as well. Yeah. If you look at even the new sales, if you compare Q2 to Q3, we can see an improvement in Q3, even in new sales. I would expect that to continue to improve over time. Then you asked about the different segments in the downturn in the market. Normally we see a clear uptick in especially the lead services, like the product information and in the tender service. That's something that is very sticky when it comes to when they're in a downturn in the market. We can also see that the number of logins is improving and so forth because the need of information and the services are improving. When it comes to the specification platform, you could think that it should have some kind of impact due to the fact that number of products is actually going down. But on the other hand, in this case, when we are selling subscriptions, it's something that they need to have. It's a really need to have service. They don't really call for the license for the service just in case because the market is turning down. I would rather see that they probably would like to look into how they can improve their own processes within the company. I don't see that we should have a major problem even in those areas. We can see that normally when it's coming to this kind of market conditions, the need for the lead services are actually improving. That's the historical situation at least. Your last question on the Nordic report, the net sales versus the ARR, here we need to get a bit technical. I think there is two effects. The first one is last year within comparator we had some one-off items and an adjustment kicking into the week two, three in 2021, and then now we don't have those effects in this year. That helps the reported number. Then as I said, some of our smaller business units are having a good quarter, still subscription business. But for technical reasons, if you read the notes on how we measure ARR, we were not presenting that in the ARR number due to data quality issues. It will come in eventually once we have gotten that fully onto the system. It's a healthier business which helps reported sales, but it's not included in the ARR component. It is a subscription business, but we're not measuring it due to the data so that it will come in, but that would have shown a higher ARR number as well if we would have included that base in the ARR measurement. Sorry for the technical answer, but that's the impact. Very clear, though. Thank you. Just this final one from my side. Would it be possible to quantify the organic ARR growth impact from the price increases? I mean, how much have come through here in Q3, and how large effects do you think remains to be captured? You know, it is always a component in the net retention. We've been running with good price increases across all segments. But what is sticking out in this quarter then is the additional price adjustments we have done in continental Europe, which you see on the ARR growth in that segment and also the retention level in that segment, which is increasing significantly in the third quarter. The increase is mainly coming from price, all of it. Got it. Thank you. In that segment. Thank you. The next question is from Joachim Gunell from DNB Markets. Please go ahead. Thank you, and good morning. I think we've touched upon these topics, but can you say anything about what you're hearing from different customer group across your various segment and what is driving incremental spending on your platform despite so to say cloudier construction markets? No, but if we talk to the client situation or customer situation, it's still, for the moment, they're not suffering yet. We can see that they are worrying about the future because you can see that the number of construction starts is actually going down. That's in all our markets. That's actually going down, especially when it comes to building flats. I mean, that's the first step where you can see that it's been going down quite dramatically. They are preparing for times where it will be slightly tougher, and that's where we are coming in. They need us even more in those tougher times. I think that's the background to it. From a profit situation right now, they are fully occupied because there are still a huge number of ongoing projects in the market. Number of new started projects is actually going down quite dramatically. I would assume that that will continue for one or two quarters, but the underlying needs in the market is still there. I think it will be kicking up in the beginning or during the spring next year. That's my estimation. If you hear from some of the clients, of course, they're looking at their booking pipeline when it comes to projects that are expecting to start in the coming quarters. There we are hearing they're seeing a weakening of their pipeline. That means they need to look for more safe opportunities. We can measure that on incoming leads and discussions we're having. We see that effect starting to kick through, that the interest in our services are actually increasing out there in the market now when it slows down. Understood. When it comes to a quite well sizable share of your OpEx base stemming from employee expenses, how well positioned are you to mitigate cost inflation into next year? Of course, if we see the cost inflation, we need to take that on board for 2023. We will see. Again, you have seen some of the demands from the unions and workers from Sweden, for example, who are coming out with their first request. That is not fully. We might see a slight increase in salary inflation going into next year. With our pricing power and the strength of our products, we should be able to compensate on price to keep the margin or improve the margin over the next year. So far, not a massive push. Thank you. Finally, just if you can give some sort of update on the M&A pipeline and your main priorities and where you see the biggest opportunities for Byggfakta right now. As you saw, we are gearing up because we see a good M&A opportunities going forward. I think price levels are keeping stable and probably coming down a bit on expectations from the sellers. That's why we also arranged the additional credit facility, so we have the available capital to continue on the M&A journey. The targets are where we normally see them. It's both in Europe and also US. We're starting to see an increased availability of potential mid-size or smaller targets which would fit nicely into the business. The pipeline is good going forward. Perfect. That's all for me. Thank you. The next question is from Victor Höglund from Danske Bank. Please go ahead. Good morning. A question for Dario. Just historically with your experience and Mm-hmm In the few weeks you've been with the company, just your philosophy on M&A versus organic growth, especially in 2023, given the uncertainties in the market. Wouldn't you think it would make more sense to just focus fully on organic growth, get that right? Maybe do we get the valuation with you and acquisitions would make even more sense from a financial point of view. What's your thought on that? You know, the way I see it, M&A is a part of growth strategy. This is the work that we are continuously doing. Historically, in all businesses where I've been, you take a look at what strategically makes sense to do. You know, you have organic opportunities. You have opportunities to M&A. You put up a roadmap of work with that. Of course, you know, it is very much driven by the availability of targets. It is a mix that I see going forward. Yeah. Again, you know, it is, I know, still too little about the business to be more specific about how we at Byggfakta Group see what you're asking for. You know, what you're asking for. You know, my philosophy is that, you know, M&A is a component in a growth strategy that we will definitely continue to pursue. I'm very happy that we have financial muscles to do that. Okay. Thank you. Thank you. There are no further questions at this time. I'll now hand back for closing remarks. Dario, would you like to? Yes. Thank you all for joining this call. Thank you very much, Stefan, handing over a fantastic company for me to take over leadership and guys, see you all on the Q4. Thank you very much. Thank you. Thank you. That does conclude our conference for today. Thank you for participating. You may now disconnect.