Hello and welcome to the GARO Year-End Report 2023. My name is Alex and I'll be coordinating the call today. If you'd like to ask a question at the end of the presentation, you can press Start followed by one on your telephone keypad. If you'd like to remove that question, you may press Start followed by two. I'll hand it over to your host, Patrik Andersson, CEO, to begin. Please go ahead. Thank you and welcome everyone to the presentation of GARO's Quarter 4 and Full Year Report for 2023. My name is Patrik Andersson and I'm the CEO of GARO. With me today I have Helena Claesson, our CFO, to present the financial performance. Next slide, please. Let's start with an introduction. GARO is a company founded in 1939 that develops, manufactures, and sells innovative products and systems for electrical installation under its own brand on the European markets. Developing products that are at the forefront has always been a significant aspect of our success. Our focus is on developing user-friendly and safe products with a modern design and long service life. There is a market demand for products and solutions to assist in establishing a fossil-free society in which a growing number of players are becoming conscious of the sustainable impact. This makes the sustainable aspect a crucial factor in the choice of products and services. Next slide, please. We have two business areas: GARO E-Mobility, which consists of the e-mobility product area, and GARO Electrification, which includes the electrical distribution products, project business, and temporary power. We have operations in Sweden, Norway, Ireland, Finland, Poland, the U.K., and Germany, and we also sell in other European countries where we don't have own subsidiaries. We have production facilities in Gnosjö and Hillerstorp in Sweden and in Szczecin in Poland, where we moved into new production and logistics facilities in summer 2023 to meet the European demand for e-mobility products in the coming years. And we are approximately 480 employees in the group. Next slide, please. In the e-mobility product area, we develop and market all types of chargers for rechargeable vehicles. We have products and turnkey solutions for destination charging for various locations, including at home, in public, at working places, and along the highway. To make the e-mobility business even more complete, we are also offering a service agreement to assist our customers with annual service or updates. We believe it's important to make it easy for the user and to make it possible to charge in locations where people live and work. This area accounted for 34% of the total sales in the quarter. Next slide, please. The largest product area in the GARO Electrification business is electrical distribution products, which consist of approximately 3,500 products and turnkey solutions for the electrical installation markets. Examples of products are components, safety switches, meter cabinets, outlet boxes, plugs, and sockets, which are products used daily in different applications such as in new buildings, renovations, marina and camping sites, industry, e-mobility solutions, etc. This area contributed to 41% of the group sales in the quarter. Our product business provides complete and customized solutions for all types of power supply for apartments, single-family homes, industry, e-mobility solutions, and accounted for 22%. The temporary power product area, which is our product portfolio consisting of temporary electricity, lighting, heating, and charging as well as the products used on construction sites and events, accounted for 3%. These four product areas make GARO's offer unique and easy for the customer. An example of this is when the customer requires charging solutions with different chargers and load balancing from e-mobility and also requires power supply from project business as well as safety and installation products for electrical distribution products. This makes it easy, simple, and safe for the customer and end user. Now over to Helena for some financial updates. Next slide, please. Thank you, Patrik. I would like to start by looking at the financial summary for the fourth quarter. Net sales amounted to SEK 311 million, a decrease of 9% or SEK 30 million compared to the same quarter last year. Sales within GARO Electrification decreased by 17% as a result of the weaker economy in the market in general, while GARO E-mobility showed an increase in sales of 17%. The sales towards the end of the year were significantly lower than our expectations as the market was cautious in both business areas. Operating profit for the quarter came in more or less at break-even compared to SEK 9 million in profit for the same quarter last year. The operating profit is explained by the lower sales and gross margin together with an organization built for higher volumes. Also in the quarter, the profit was affected by a non-recurring write-down of SEK 10 million in Q1 last year, as a result of phasing out inventory in connection to the change of technical platforms within GARO E-mobility. But then also the operating profit was affected by a non-recurring revenue for the sales of industrial properties of SEK 18 million. In the quarter, we have sold out our production facility in Poland for SEK 45 million as well as another smaller industrial property in Gnosjö for SEK 12 million. And these two together are the capital gains totaling SEK 80 million, and the investments have reduced the interest-bearing net debt by SEK 57 million. And now back to you, Patrik. Next slide, please. Thank you, Helena. We'll go further on with operational highlights. Let's start with GARO E-Mobility. The prevailing market situation with macroeconomic uncertainty has noticeable impact on purchasing patterns and investment decisions. As a result, market development in the business area is currently difficult to visualize with rapid changes in the demand. The delivery start of GARO Entity Compact signaled the completion of the development project of a new platform for destination charging. A number of new versions of the GARO Connect app were released from mid-November, further simplifying the installation process for installation engineers and the management of operations for facilities owners. GARO will continue to maintain the development for further features to meet the market expectations and maintains GARO Entity's uniqueness in the markets. In the market for home charging, which is currently price-sensitive, high sales volumes in a broader market are required to achieve economic scale and profitability. This is especially the case for GARO with our product program in a large part directed toward premium segments to meet the regulation and new features for rechargeable vehicles. We go further with GARO Electrification. As everyone is aware of, the number of construction starts for single-family homes and apartments has declined substantially in Sweden and in the Nordic region as a result of a weaker economy with rising interest rates. Therefore, the demand for products related to house manufacturing was down sharply, and the forecast shows that it will continue to impact the production rates of houses for a period ahead. In the market where GARO is active, there is a considerable underlying need for new housing and apartments, and the long-term assessment in this market will gain new momentum in the coming years when the financial situation has stabilized. In the public sector, we note that a continued demand for commercial properties, industries, and the market connected to the green transition is also assessed to be stable, which is driving sales in certain product groups. However, this volume will not fully compensate for lower volumes in the new construction in the short term. In addition, the market for road and transport infrastructure development is growing, contributing to good demand for temporary electricity. With our two business areas completing one another, we are meeting an increasing demand for a complete solution for charging, installation, and even for more complex projects from power supply and connected charging stations. Growth and profitability. In September, an action and efficiency program was launched primarily in GARO Electrification. This program was carried out during the quarter. The efficiency program is expected to cut personnel expenses by SEK 30 million and also include several measures to strengthen the gross margin. In addition, we have continued to focus considerably on cost control. At the end of January, GARO announced that it was to adapt its organization in light of the prevailing market conditions and carry out an additional action and efficiency program resulting in the reduction of about 50 employees. The action and efficiency program will prevail concerning the GARO E-mobility area and is expected to reduce personnel expenses by SEK 25 million annually. This program is expected to begin to yield effect in the second quarter. We are also carrying out cost-saving measures, and we have continued to focus considerably on cost control within the entire group. And now over to Helena. Next slide, please. Yes. I will then continue with the two business areas separately, and we start with GARO E-Mobility. Net sales amounted to SEK 94 million in the quarter, giving us a growth, as I said, of 17% compared to the last year. As I said before, this is lower than our expectations. The lower sales towards the end of the year in the business area is a result of a cautious market primarily in Sweden. The private market has been cautious as a result of higher interest rates, the economic climate, and the removal of the climate bonus. For GARO, it is primarily right now the demand for public charging that drives the growth in the business area, where our sales to contract customers now take place at a slower pace than at the start of 2023. EBIT amounted to - SEK 33 million in the quarter, where low sales, a weaker gross margin, and an organization built for higher volumes explain the negative operating results. Also, the operating result has been negatively affected by SEK 10 million as a non-recurring cost for the write-down in inventory. Next slide, please. And then we move over to GARO Electrification. Net sales declined by 17% and amounted to SEK 217 million compared to SEK 261 million in the same quarter last year. Sales growth in the European markets outside the Nordic increased with 9% for the full year of 2023. Within the product group project, an increased sale of distribution centers, cable cabinets, and switchgear that supplies power to different types of properties, E-mobility solutions, and conversions for energy efficiency was noticed in the quarter. EBIT amounted to SEK 33 million compared with SEK 30 million in the same quarter last year. This gives us an EBIT margin of 15%, up from 11% in the same quarter last year. However, the operating profit has been positively affected by the SEK 18 million as a non-recurring revenue from capital gain for the sales of the two industrial properties in the quarter. Excluding these SEK 18 million, I would still say that the business area has a good profitability given the current economic situation. Next slide, please. Now looking into cash flow and the balance a little bit. Despite a weaker quarter in terms of profitability, we have generated good cash flow from operating activities amounting to SEK 35 million compared to 13% in the same quarter last year. This is mainly explained by the changes within customer receivables and payables. GARO has made a deposit with suppliers for placed but not yet called orders for materials. The deposit amounts to SEK 39 million, of which 19% was placed during the fourth quarter. And as said before, in the quarter, we have divested a production facility in Poland of SEK 45 million and also a smaller industrial property in Gnosjö for SEK 12 million. The capital gains total SEK 18 million. The total investment for the quarter amounted to SEK 18 million, of which SEK 11 million were related to product development. Our net debt position amounted to SEK 222 million compared to SEK 144 million last year. Compared with the third quarter of this year, net debt has declined with SEK 70 million. During the quarter, the second dividend payment of SEK 20 million was distributed to the shareholders, totaling SEK 40 million as a dividend for the operational year 2022. We had an equity-asset ratio of 50.9% and available liquidity, including overdraft facilities, of SEK 164 million by the end of 2023. And now back to you, Patrick. Next slide, please. Thank you, Helena. We'll go further on with Outlook. The current economic situation and high interest rates have significantly impacted customer purchasing behavior and companies' willingness to invest for both business areas. Despite this, the transition to fossil-free fuels and as well as energy efficiency systems and services is crucial to achieve the sustainable development goals, which benefits GARO since its offering is adapted to these current needs. Ahead of 2024, a cautioned market is expected in the GARO E-Mobility business area, which is projected to return to a period of substantial growth in 2025. The demand for charging stations for larger projects in locations such as commercial properties, public places, and tenant-owned associations is believed to be stable. The current market situation for new construction of single homes and apartments is expected to persist at least for the entire 2024 in Sweden and the Nordic region. But as I mentioned before, there is a considerable underlying need for new housing and apartments and will gain in the coming years when the financial situation has stabilized. And the demand for new building in the public sector, commercial properties, and for industry is still healthy. So all in all, we have a positive view on the long-term market condition, mainly driven by growth in the charging infrastructure and its requirements for power supply. Next slide, please. So thank you for listening. And me and Helena are ready for questions. Thank you. As a reminder, if you'd like to ask a question, you can press star followed by one on your telephone keypad. If you'd like to remove your question, you may press star followed by two. Please ensure you're unmuted locally when asking your question. Our first question for today comes from Sofia Sörling from Carnegie. Your line is now open. Please go ahead. Thank you. Thank you for your presentation, Sofia. Serving here from Carnegie. Can you hear me? Yes, we can hear you. Great. Thank you. So my first question is related to the e-mobility segment. Could you give some more details around the development in e-mobility in each country for this segment? Yeah, we can see. Sorry? No, sorry. Go ahead. Yeah. Yeah. We can say we saw in the end of the quarter, quarter four, we saw a slowdown in mostly all of the countries, but of course, mostly in Sweden and the Nordic countries. We saw good growth in Ireland and also in the U.K. But mostly in Sweden, in the Nordics, we saw a slowdown at the end of the quarter. So that was the reason for lower volumes that we have expected in the mobility area. Okay. And is it in any way related to the product offering in each country, or would you say that it's mainly related to the market condition? I would say it's mostly to the market condition. Now, as we mentioned in the presentation here, we have finalized our new platform. We released the Entity Pro in quarter two 2023, and then in quarter three, the GARO Entity Compact. So now we have a full range, and we have also announced a good range for the German market with some Eichrecht-approved products. And we also have approved products for the U.K. market. So we have today a strong and good range. So I would say it wasn't an downturn in the market was the most reason for that. All right. And what would you say ahead then to actually turn around this profitability within the e-mobility? What needs to happen? In the e-mobility, as we mentioned, we have now an efficiency program to adjust the organization. But of course, now it's to have volumes because we still have an organization to growth, and we have a good belief in this market that it will grow. We will see a transition to fossil-free cars. But of course, it has not increased in that pace that we thought, but it's still a good market. So we just have to make this efficiency program and then focus on sales. And we know that we have a very strong and good program for destination charging. So we can call it a bump in the road that we have to adjust, and the volumes will come, but it's a bit delayed, so to say. Okay. And this -SEK 10 million due to the impairment of the inventory of these residual components in GARO E-mobility, how do you view the risk ahead that you need to make further impairments related to components? And maybe if you can give some details on the reason why you needed to actually make impairments on components. We did the same exercise last year in 2022. We are switching from one, so to say, platform to another. And in conjunction with that, we have some, you could call it, technical windows, how long some components can be used in the new platform. And then when we balance the volumes we have with our sales forecasts, we are being cautious. And we rather do a write-down now than having the. Right now, it looks like the technical window will not be sufficient, so to say. But as of today, we do not foresee any other actions similar to that going forward. Okay. But it's not the case that you could actually use these components in products that you are continuing to sell like you previously? We could. Yes. We could. We are. We are using them. Yeah. We are using them in other as well. But still. Okay. All right. You said a caution point here. Yeah. Us being cautious and yeah. Okay. Thank you. And see, I have a couple of final questions here on your financial situation. So net working capital was quite positive in the quarter. What was that mainly related to? Customer receivables, I would say. Inventory not continuing to increase that it has done the last quarters in 2020. Yes. All right. And then my final question was, you mentioned this deposit for suppliers. Could you elaborate on that? What does that mean? Did you make a deposit, or did your suppliers make a deposit? We have done the deposit with one of our main suppliers. This is just an action based on the contract, and we have the supplier, you could say, to help them do the investments they need to do in order to. Secure material. Secure the material we would like them to have. Okay. All right. That was all for me. Thank you for your answers. Thank you. Thank you. As a reminder, if you'd like to ask a question, that's star one on your telephone keypad. Our next question comes from Anton Lund from Kepler Cheuvreux. Your line is now open. Please go ahead. Hi, Patrik and Helena. Thanks for taking my questions. I'm wondering a bit about the budgeted CapEx for a new business system, and how do you see the investment impacting your margin? You mean our investments for 2024 and going forward? Yep. Yeah. Well, I would say that GARO, the last two years, have done quite large investments, both in a new platform called the GARO Entity and also the production facility in Poland. So I would say you would see a much lower pace the coming one, two, two years, even if I still need to say we will continue to invest in product development, but not at this high pace as we've done before. So maybe what could it be? SEK 50 million-SEK 60 million on a yearly basis going forward? All right. Thanks. Regarding the most current efficiency program, do you expect sequential cost reductions, or do you see it all happening at once in Q3? I would say we will notice the first effects in Q2 and then full effect in more or less in Q3, I would say. A little bit depending on. Okay. Thank you. Then how does the current situation impact your intentions or time plan in Germany? It doesn't really affect us at all. We started the business there last year, and we're taking our first. We are now ramping up the business, both in volumes and in organization. As we have mentioned before, Germany is a very interesting country. And as also mentioned on the question before here, that we also have the product now, Eichrecht approval, some of them. So yeah, it's an interesting continuity. And that is not affecting us for the German expansion. No. Perfect. Thanks. That's all for me. Thank you. Thank you. At this time, we currently have no further questions. So I'll hand back to Patrik Andersson for any further remarks. Thank you, everyone, for listening for our report, and I wish you a good day. Thank you. Thank you for joining today's call. You may now disconnect your lines.