Good afternoon, and a warm welcome to Nobina's Capital Markets Day 2021. We have been looking forward to this day for quite some time and are very excited to share with you the journey we have ahead. My name is Petra Axelsson, and I'm heading up Sustainability and Strategy at Nobina. The team you will meet today includes the following, Magnus Rosén, Pernilla Walfridsson, our Group CFO, Managing Director Henrik Dagnäs, Tomas Hansson, Managing Director Nobina Care, and John Strand, Managing Director Nobina Mobility. The agenda we have in front of us looks like this. We will start off with introducing Nobina briefly. After that, we will move into a section we call Looking Ahead, which in essence is our strategy for the coming years. After that, we will have Pernilla Walfridsson, and after that Magnus will present our new financial targets and give us some final remarks before we move into Q&A. It will be possible to send questions throughout the presentation in the webcast. We will answer them in the end, but it will be possible to send them throughout the presentation. Without any further ado, I would like to welcome Magnus Rosén, our Group CEO, into the studio. From my part also, welcome to this CMD day hosted by Nobina. Nobina is the largest public transport company in the Nordics. We are present in all four countries. We run more than 100 contracts with 15 PTAs. We have more than 12,000 employees, and we have more than 5,000 vehicles. Out of those, 400 buses are electric. 1 million passengers boards our buses every day. Since the last CMD in October 2018, we have delivered solid performance on our promises. We have acquired four companies in the service traffic area with Samtrans at the focus. We have also acquired two contractual companies, one in Gothenburg and one north of Copenhagen. At the same time, we have sold our express bus traffic three years ago. In 2019, we launched the Travis app, a major initiative within the mobility as a service for Nobina. A year ago, we introduced some group-wide sustainable targets, and the ambition is to be 100% renewable on fuels at the latest, 2030. It has been a special year for the society but also for Nobina. We have shown stable underlying growth in our business. We have been able to expand on add-on businesses and especially Bus4Train in Norway and Sweden. There has been a very nice entrepreneurial job done in the development of the service business, where we have taken the Samtrans business into the social care, and there has been a lot of activities in the COVID-19 area. About that, you will hear more a bit later on. This is also shown in the financial figures. If we compare with the targets that we set at the last CMD, October 2018, we have had a growth of almost 9% per annum since then. We have also overachieved on our EBIT adjusted margin, where we are now for the last 12 months on 7.5%. Our net debt to EBITDA, our leverage targets, is at the moment at 2.4. The annual meeting decided on a dividend in May of 63%, which is slightly below the target that we had three years ago. Thanks a lot, Magnus. That was a brief introduction to Nobina. We will now move into the next section in the agenda, which we call Looking Ahead. In order to kick off this section, let us paint a picture of how Nobina will help society solve some of the greatest challenges we have ahead. Every day in the Nordic region, 9.5 million journeys are made by public transport to work, school, activities, friends, and family. Every day, people with different needs get support to fully participate in society and access health and social care using mobile services. Each day, we try to navigate everyday life using different modes of transport, digital tools or innovations offering new solutions. Meanwhile, society faces huge challenges, especially the climate crisis. The transport sector still accounts for almost one-third of CO2 emissions. One of Sweden's goals is to cut CO2 emissions by 70% between 2010 and 2030, but so far, the reduction is only 19%. Not enough is being done. Another challenge is our aging population, which will increase the demand for health and social care. In the Nordic region, soon one in four people will be 65 or older. We also have a housing shortage, unemployment, and growing inequality. In Sweden, 59,000 new homes need to be built every year until 2030. In the Copenhagen region, more than 9 million hours a year are spent in traffic jams. To solve these challenges, it's clear that investment must and will increase. More public transport and fossil-free travel, smarter ways to solve health and social care needs, enabling hundreds of thousands of new jobs and homes. Nobina works in all these areas every day. We make people's lives easier, connect cities and regions, support jobs, integration, and participation in society, and our journeys cut CO2 emissions by around 230,000 tons every year through fossil-free public transport instead of people using private cars. That makes Nobina part of the solution and key to many developments that are needed over the coming years. Together, we keep society moving every day. Looking ahead, the public transport market is driven by three main macro trends, as you heard in the movie. That's the climate change, the growing and aging population, but also growing cities, and Nobina is a part of this solution. Our strategy is aligned with some of the greatest challenges in society. To capture the opportunities ahead, we have defined three strategic objectives. First one being maximize shareholder value which will be in the financial results, of course. Number two is maximize positive effects on the environment, travelers, and society which will be measured through passenger volumes but also, among other things, through CO2 emissions. The third one being enable our employees to deliver on Nobina's traveler promise with pride, which is our relentless focus on employee engagement. To deliver on these strategic objectives, we have refined our strategy with even more focus on Nobina Bus. We have also added two new business areas, which is Nobina Care and Nobina Mobility. All these three areas will be reported separately from the first quarter 2022. The foundation have also been laid, and the sustainability in everything we do is something that we promise ourself and the society. A strong Nobina heart symbolizes the 12,000 people that we employ and the culture and the values that we drive in the company. Now I would like to hand over to Petra Axelsson, who is our Strategy and Sustainability Director. Thanks a lot, Magnus. Let us start off the deep dives in terms of the strategy section with looking into our sustainability work. It has become a bit of a trend for companies and organizations to talk about sustainability at the core and sustainability as part of organizations' DNA. In Nobina's case, we can proudly conclude that so is the case. Let me explain why. First of all, we are enabling people to leave their personal car behind and instead make a sustainable choice of public transport. CO2 emissions per passenger kilometer in bus is substantially lower than in the car segment. Secondly, we are connecting cities, regions, and are enabling effectively of who they are or what potential special need they have to travel wherever they want every day. Lastly, being an employer of 12,000 employees, we are proud to conclude that we are also contributing to society in that way. This is also seen in our ESG ratings. Here you see, the ratings from MSCI, Sustainalytics, and CICERO. Strong ratings, but we have even higher ambitions going forward. In order to achieve this, we can conclude that the foundation of what we do, our business model, is one part. In addition to that, we are also taking a more systematic approach to CO2 emissions. In order to reduce CO2 emissions even more going forward, we are just in the final stages of, sending in a request to a Science Based Targets initiative for a validation of our targets there. We're also working actively on reducing water consumption in our operations, for example, through recirculation techniques at our depots. Thirdly, we are also taking responsibility in our supply chain in terms of active work with code of conduct, but also relentless focus on risk analysis and audits. Last, but definitely not least, we are also working on a concept that we have named a strong Nobina heart, which basically resembles the values, the working environment, and the engagement of our employees. To make this commitment more formal, also externally, we have decided that from Q1 next fiscal year, we will report on our most important sustainability metrics also externally. You see them here. CO2 emissions, of course. There, as I mentioned, we will have an updated target in the near term, validated through a Science Based Targets initiative. We will also continue to report on renewable fuel and shareable drivers, which in essence is our eco driving initiative. We will also closely monitor growth in traveler volumes. When it comes to employees, we will of course continuously follow up on employee engagement as well as the important area of diversity. That was the sustainability area and the important work we are accelerating there. Now, we will instead deep dive into the largest business area of Nobina Bus. Therefore, I welcome Henrik Dagnäs, Managing Director, Nobina Sweden, into the studio. Thanks a lot, Petra. I will take you through the bus segment in Nobina and also the bus market in the Nordics. To start with, we move the society every day, and that's an absolute truth. We have more than 1 million passengers on a Nobina bus every day. It also shows that public transport is very important for the society. It's a tool to work with the bigger issues in the society. For example, climate change, a growing population, the negative effects of urbanization, and so on. That's why the society has the responsibility for the public transport. We can also see that this is in a growing market, and it grows the most around the capital areas. Therefore, it's very important to be strongly positioned for the future around the capital areas. When we look into our position on the Nordic market, we can see we're market leader in Sweden. We have the number one spot in both Finland and Denmark, around the capital area with Copenhagen and Helsinki, and we are number two in Norway, in Oslo. As I said earlier, this is a tool for the society to solve some issues for the future. Therefore, it's important to work with sustainability in everything we do. For an example, last year, we had 82% of all Nobina buses were on renewable fuel. If we drill down a little bit, we saw that over 99% of all buses in Sweden were on renewable fuel. We have achieved something with, of course, with the bus segment. We have seen a growth with over 3% since 2019, and we have a EBITDA margin of 6.8%. If we look into the Nordic business, we can see that we have the largest business in Sweden. We have a turnover in Sweden with SEK 6.6 billion, and the other three countries are similarly the same with SEK 1 billion each. We have 11,500 employees and over 4,000 buses with 400 e-buses, and it's growing fast. Next year, we will have over 400 e-buses. To look into the market conditions, as I said before, public transport is very important for the society. The responsibility lies on the local government. They set the targets and give the responsibility to drive the public transport to the PTAs. The PTAs are responsible to follow the finance model that the politicians decides on. We finance the public transport with 50% from tax and 50% from ticketing. It's the PTAs who have the risk about the ticketing rev. They tender a contract to the operators and give the operators the responsibility for the daily business. We have two type of contracts, I would say. They are long, between eight and 10 years. There are secured revenues in the business model. We have around 80% of all our contracts are production contracts, and the rest are incentive contracts. On this picture, you can see that the business are growing. Since 2011, the business have grown on the market between 3%-4% every year. The reason for that is, of course, the growing population. We can see that the growths are twice as large than the growing population. That, the explanation for that is, of course, that the society use the public transport to solve other. We have mentioned it earlier, both Magnus and Petra, the climate changes, the growing population, and of course, the growing cities, and the negative effect of the urbanization. We have the target to grow, but not only to grow. We want to grow in a profitability way. Therefore, we have decided on three strategic objectives to work and to get the business growing. Because the markets are based on contract, it's very important to work with an organic growth. We also add our M&A agenda to find new possibilities on new markets and new geographies. To work both with grow and profitability, the add-on business is very important. I will come back to this later. To start with, if we look into the organic growth, we can see that, as I said before, we are very well-positioned for the future in the growing regionals around capital areas and so on. This picture shows that the public transport by bus is largest around the capital areas. To grow in this business, you need to have good processes, of course, in four important areas. To start with, you must have a top-level tender process, and it's also very important to work with the planning process because 50% of all costs in bus traffic are personnel costs. It's also important to deliver the traffic and be efficient in everything you do. You also need to understand that this is a contract business, and you need to be proactive and reactive how you take care of the contract with the society. Even then, on this picture, you can see that the top five operators are strong in every country. There are room for growth. We use the M&A agenda, of course, to build scale, as you can see in the maps, to find new regions. When we look into the targets, we can see that a lot of them have slightly smaller margins than Nobina. When we add our value to this company, we can make them grow, and we can make them improve their profitability. We also have some initiatives on the add-on business. To start with, the replacement traffic. Nobina is market leader both in Sweden and Norway for bus to train. We have a market share with over 65% of this business. We solve a problem for the operators who handle the trains when they are stopped, and the customers really need replacement traffic when that happens. We can also see when we have a contract on the local market, the PTAs need help with other things than only just drive the buses. They need help with facility management, customer hosts, maintenance of bus stops, and so on. It's an absolute possibility to get the local market growing around an existing contract. Despite the COVID-19 situation, commercial B2B on national, regional, and local, and a possibility for us to grow. Not only grow, by using existing buses, we can improve our profitability. We also can see when we are in place on the local market, the municipalities have needs for other type of transports. For example, food transport to schools, transports in health area, and other type of logistics business. As the commercial B2B, the B2C commercial initiative have been really hard hit by the COVID-19. We're always looking into that and to see if it's possibilities to work with interregional traffic and airport traffic. To summarize, I hope you can see that Nobina is well-positioned to grow in a profitability way for the future. We have the tools, we have the solutions to help the society to meet the mega trends for the future. Thank you. Thank you, Henrik. That was a presentation of how we will grow the largest business area, Nobina Bus. Before we move into the next, I would just like to remind you that Q&A will be held in the end, but it's possible to send questions throughout the presentation in the webcast. The next area we will cover is our second business area, Nobina Care, which will be presented by Managing Director of Nobina Care, Tomas Hansson. Thank you very much, Petra. Nobina Care is our newest business segment in Nobina. To quickly explain what it is that we do in Nobina Care, I think it's a good idea to start with a brief movie. For more than 30 years, Samtrans has helped make it possible for people to travel to school, hospital, work, or leisure activities, and for all important socializing with family and friends. Every day, we undertake around 10,000 individually customized journeys. With care and security, we help to create an inclusive society in which everyone has the right to participate on equal terms and have a functioning daily life. A business that has grown geographically in recent years through the acquisitions of Telepass, Göteborgs Buss, and Ørslev, and developed to encompass new services in social care. Through our knowledge, size, and understanding of society's needs, we have adapted and developed new services. We offer society mobile testing, patient transportation, vaccination, and special vehicles for mobile health services. This work is now continuing through the care segment, where we want to play a part and both develop and solve the social care challenges in society. We are where society needs us. What do we do within Nobina Care? The purpose of Nobina Care is to contribute to a more inclusive society. We do this by making sure that we provide persons with special needs a safe and reliable means of transportation, making sure that they can take part in society just as a person who would travel with public transport would. This is a really important purpose for us, and it's something that we care about and something that we want to be at the heart of what everyone in the company feels as they are working together with us. As you can tell, this is also closely aligned with the sustainability agenda of Nobina, as Petra mentioned earlier in the presentation. Nobina Care consists of four acquired companies that make up the Nobina Care segment. Through these four different companies, we have established a top three position in the Swedish market when it comes to service traffic, and we also have a challenger position in the Danish market, which we will hope to leverage in the future. I'll briefly explain a bit about the four different companies and the operating model that we use in these four companies. Starting off with Samtrans, which is the first acquisition that also Magnus Rosén mentioned in the introduction. This is a company that we acquired in 2018, and it has now achieved a market-leading position, and we have also developed very favorably in terms of profitability and market share gains after the acquisition. We are now delivering market-leading profitability in this company. Also, I should say, excluding any additional COVID business that we're doing at the moment. Second largest company in Nobina Care is Telepass. This is a company that we acquired this past summer. Telepass has a very similar position in the south of Sweden as we do with Samtrans in the Stockholm region. They're the market leader, and they also deliver market-leading profitability in this segment. They do this by providing a very high quality to their customers. If we move on to the third company, we look at Göteborgs Buss. That's a company that we acquired in late 2020, and they provide a strong position in the west market of Sweden. They have developed very favorably after the acquisition. They've improved profitability and are now delivering profitability in line with Nobina's targets and in line with the market for this. Lastly, we have Örslev, which make up our challenger position in the position that we hope to leverage further in the future. In these four different companies, we have slightly different operating models. In Samtrans, we have a model where we use almost exclusively outsourced production, whereas in Telepass and Göteborgs Buss and in Örslev, we use a model where we have almost the majority of the production is done by in-house resources. This is something that we will continue to look at, and we will continue to strive for a balance here. We see this as an opportunity for the future. As you can see, we've kept all of these four companies as separate legal entities, and we think that a key component for us in the future is to make sure we strike the balance between control and a decentralized model of having decisions very close to the local markets. For us, it's important to make sure that we make the most out of the entrepreneurship that is in these companies. As an example of that, we have, for both the acquisitions in Telepass and Göteborgs Buss, made sure to retain the managing directors, that were previously in these companies, and they were previously owners in these companies. I think that unleashes their entrepreneurship. Moving on to give you a bit of background on the service traffic market in Sweden. This is a market that makes up about SEK 10 billion in annual sales. It has a strong fundamental growth of about 3% per year, driven by primarily demographic trends, such as an aging population and an increased focus on care at home. If we break this market up into segments, there are basically four different segments. The first one is mobility services, which is what in Sweden is termed. This is trips that replace public transport for persons with special needs, for example, to work or to social activities and so on. The second segment is school traffic. This is trips to and from school for either children with special needs or children who happen to live far away from school. Third, we have a segment called healthcare trips. This is trips to and from healthcare appointments in Sweden termed. Last, we have social care trips. This is trips to and from, for example, to daily activities and so on. We are in Nobina Care exposed to all of these four segments, but we are slightly underexposed in the mobility services segment, where we focus on persons with the need for mobility assistance, for example, a wheelchair and so on. We do not, or we do to a very small extent, operate normal cars, and we focus on the more advanced services in this segment. Henrik gave you a brief background on the public transport market. I will not go into as much detail on the service traffic market, but I will stop at just concluding on some of the key differences in this market compared to the public transport market. You can tell from this page, one of our most important customers are municipalities. This is a difference compared to public transport, where the majority of the volumes are handled by the public transport authorities. In contrast to public transport, we operate with shorter contracts, normally two to six, as public transport normally operate eight to 10-year-long contracts. I would also say that in terms of tendering capabilities in this market, this market is significantly less mature than what we see in public transport. I think there's some indications that we are sort of 10-20 years behind in terms of maturity when it comes to tendering capabilities. We think this is also an opportunity for improvement. Finally, we obviously also see a different type of competition in this market. Our main competitors are taxi companies and not public transport operators. The last 18 months has been quite a journey and quite a special time for us in Nobina Care. The pandemic has really been a catalyst for changing the way that we operate as a company and as a group of companies. Early on in the pandemic, we said ourselves that we are a stronger company after the pandemic than we were entering the pandemic. It's with that goal and mindset that we have approached the pandemic and tried to serve the needs of society in the best way possible. This has really helped shape and helped develop some of that agility in the organization, and I will briefly mention a couple of it on that topic. For example, in the autumn early one Saturday morning, we received a phone call for a request to help with ambulance transportations in one of the regions in Sweden. On that very same day, we had the first 20 or so vehicles out in operations. We've to this date helped that region with about 100,000 patient transports. I think that's a strong example of how agile and how quickly the organization is able to act on future business opportunities. I think that we've also shown through several examples that we're able to do more than just transportation. We've carried out 10,000 vaccinations in the region of Östergötland. We've sourced and assembled and distributed over 3 million test kits on a national scale. These are both examples of how we can do more for society than just transportation. Last, but definitely not least, is the operation that we have in 13 of Sweden's 21 regions to operate COVID-19 testing for the regions. This is a mission that we've been running now for a little over a year. It's a mission that to this day, through our own employees and through the employees of our partners, employs over 1,000 people. This is a strong example of how we're able to scale a business in a big way and on a national scale. These are all abilities that we will take with us going forward. Looking ahead, we'll split this into three different priorities. The first one is to strengthen position in Sweden. The second one is to expand geographically outside of Sweden, and the third one is to grow into new services. We'll cover them each in a separate page. To strengthen the position in Sweden, we think that there is opportunity both for growth also to improve profitability even further. In terms of growth, we will aim to raise the quality requirements in tender further. There could, for example, be about increasing requirements in terms of punctuality, increasing requirements in terms of digitalization, and so on. We think that these types of sort of maturing requirements in tenders will help professionalize this type of market, and it will also improve our ability to serve our customers and improve our competitive advantage. We also think that there's room to grow organically in the metropolitan regions where we're already active, Skåne, Västra Götaland, and Stockholm. In addition to that, we see opportunities to grow in adjacent regions as well. We continue also to look at M&A as a potential method of addressing the white spaces on this map, and that's part of our ongoing and continuous work to evaluate and address opportunities to acquire additional growth and profitability. In terms of profitability then, I think this list could be a lot longer than what we have here, but to focus on two areas. As I mentioned before, we have different operating models in the Nobina Care companies. We will, for the future, evaluate what balance between in-house resources and outsourced resources is the right one to both provide a quality service, but also provide an efficient service that could potentially improve profitability in the future. We will also continue to invest in digital solutions to improve efficiency, especially in terms of our planning capabilities. This will potentially also lead both to improved profitability, but also to reduce the CO2 emissions coming back to the sustainability agenda that we have. Looking outside of Sweden, looking at the other Nordic markets primarily, all of these three markets are of interest to us going forward. I'll highlight here in particular the Danish market, as it is a prioritized market for us. Why is it a prioritized market for us? I would mention three aspects of that. First and foremost, it's a market which resembles the Swedish market in many ways. We see the same type of tender requirements, we see the same type of compensation models, and so on. It is a market that we are quite familiar with. Secondly, it's a market that is quite fragmented. We see a lot of small players in this market, and we see that there is room for doing something here. Third, it's a market where the service traffic part of the market is quite separated from the taxi part of the market. That makes it, of course, slightly less appealing for us given our position in Sweden. Also, Norway and Finland are interesting markets for us going forward. We continue to monitor especially the impact of the taxi deregulation in these markets and how that will impact the service traffic market in those countries. We think that there will be opportunities in both of those markets in the future. The third strategic priority for Nobina Care, as I gave you a few examples prior to this, we have established a lot of new services in light of the pandemic. We will continue to build on those capabilities and abilities as we continue to move forward. Three separate areas that are all of high interest to us going forward. I will start with services that are adjacent to our transportation services that we provide today. We've seen a strong growth in app taxi and in e-commerce during the pandemic, and these are areas that we would like to explore further, and these are also areas where we have established existing partnerships with companies such as Bolt and such as Bring. We think there is room. Secondly, we have adjacent markets within care. Already today, we are a piece of the puzzle for a lot of our patients and travelers who use our services and also use other services within the healthcare system. We will continue to explore and evaluate what other attractive positions there are for us in these markets going forward. Finally, we have the combination of, basically the combination of the first two, the combination of mobility and the combination of care. As we've seen, there's been a strong growth among digital caregivers during the pandemic. We believe that this is a trend that will continue. We also believe that there is a greater need for society to innovate around mobile healthcare solutions in the future. We will strive to be a part of that solution for the future, and we will continue to innovate in the same way that we've done during the pandemic. I will end where I started this section. The purpose of Nobina Care is to contribute to a more inclusive society. In the past, we have done this primarily by focusing on transportation of persons with special needs. The pandemic has really given us the reason and the abilities to challenge ourselves to do that in a broader way in the future. Our ambition is that we will contribute to a more inclusive society in many more ways than we have done in the past as well. Thank you. Thank you, Tomas. That was a presentation of Nobina Care, but also an introduction to the growth journey we see ahead of us in this business area. We will now cover the third business area, Nobina Mobility, and I therefore welcome John Strand, Managing Director, Nobina Mobility, into the studio. Welcome, John. Thank you so much. Should we perhaps start with briefly presenting what Nobina Mobility is? Yes. Nobina Mobility revolves around the idea of being an everyday travel partner to the society and to all our customers, gathering all mobility in one app. One called Travis, which was launched over two years ago. Right now we have more than 10 partners, especially in the Stockholm area, where we are a digital reseller to SL Tickets. We can book, search, and pay for your mobility. Also, we have had in the Nobina Group for quite some time, over eight to nine years, an app called Res i STHLM, still with more than 400,000 active users. What we're trying to do here is be part of the revolution of mobility as a service, often called MaaS, and the vision behind MaaS is to make the private car ownership obsolete. You don't need a private car. We will help the citizen, the customer, to cope without a private car, but by giving them so much mobility that they don't need a private car. I also think that this corresponds very well to Nobina's sustainability ambitions, helping the private, the public transport, and also to offer society more sustainable mobility. Sounds very interesting, but also fairly new. What is the situation with the so-called MaaS market? Yeah. In the Nordics? Yes, it's new and it's evolving, it's developing. So far we've mainly seen single offerings that you have a digital interface and you sell tickets to the customer. We're starting to see multimodal offerings. For instance, you combine micro mobility to app taxi. What Travis is doing right now is that we're moving into the MaaS era, bundling different services together, and we are actually the first mover here. At least in the Swedish market. There are some competitors in Finland, but if you look at the Nordic market, we are more or less the first mover. For us, public transport is always the foundation, but making the public transport more attractive by adding more mobility to connect it. It could at least at a glance seem to be a bit far away from Nobina's normal operations. Yeah. In terms of public transport, so could you elaborate a bit on that? Yes, it is. It is quite far away from what we'd normally do, but then again, we have the tradition, we've been operating the app Res i STHLM for a long time now. Also Nobina being the market leader in the public transport operating sector, it is the natural position for us to take and strive for. I will also say that we have the technical resources, we have the know-how in-house, and I also think that the results that we can show so far proves that. We also have an understanding of the industry being in a lot of areas, and also the credibility to be a serious actor in this field. That makes you curious, of course. Does the business model look like here? The business model is that we're operating on a B2C market at a time. It's a commission-based business model, which means that we get a commission for every distributed journey. The commissions vary between 2% and 10%. We're trying to be brand agnostic in our app and also offering as much suitable mobility as possible for the customer, first and last mile, a seamless travel, you name it. In maybe three to four years' time, we see this as a potentially very good contributor to Nobina EBITDA. You mentioned selling tickets in Stockholm and SL. Yeah. It seems like the Stockholm region is currently the core of your offering. What is really the current momentum? The momentum is good. We have a unique ticket for SL traffic right now, a 10:30 ticket, as it's called. Right now we're pacing maybe 20-25,000 downloaded apps per month. We have had an increase in sales with 25% per month. Looks pretty good right now, and we're set for launches in other market areas. Interesting. Maybe we should also cover, you mentioned, another app, Res i STHLM. Maybe we should just clarify, the main app is Travis, but what's the role of Res i STHLM? Res i STHLM is a travel planning app with a very loyal user base of 400,000 users and was resilient also during the pandemic. This is a great tool for customer acquisition that we could market more enhanced mobility solutions in Travis through Res i STHLM. It's a great tool for us to have. Understand. In terms of the journey ahead and scale-up of this basically, when can we expect more financial results in regards to this, and how will you achieve that? Yeah. I see there's three major areas that we have to work with. First of all, the market development, moving into new markets, new interesting markets in firstly Sweden, in the major areas, Skåne, West, and around Mälardalen. Also being a very attractive partner to our mobility partners, by offering the best solutions there are in the market. Also, as said in that case, we need to further develop the product with more integrated services, truly offering a first and last mile solution. I would say that we, in that case, could be interesting to B2B market as well, for companies to offer this to their employees. We need to work with the customer acquisition, getting customers to see the app and also to start using the app. Create stickiness in the app, you would say, and capitalize on our first mover position that we have right now. Sounds like great opportunities ahead, for sure. I think so, yeah. Yeah. Before we conclude this part, do you have any final remarks you would like to share with us? Yes, I do. I would say that I would like and urge everyone to download Travis because it's a great app, and start your journey on a more mobility in the future. I 100% agree. Thank you. Thank you, John. With that, we conclude the strategy section of the agenda. We will instead move into a financial section where we, together with our Group CFO, Pernilla Walfridsson, will look into what has driven our financial results over the last years. Thank you, Petra. If we take a look at the financial performance during the last 10 years, we see that Nobina has had an average sales growth of 6%. The profitability has improved over the years, and we are now market leading in terms of profitability. 10 years ago, we had a significantly higher net debt EBITDA ratio, but that has come down over the years. Our debt, investment in buses, and we only have a very small amount of other debt. Starting from the IPO in 2015, we have distributed a significant amount of our result to our shareholders. If we then look at the sales development since the last capital market day in 2018, the largest change is that we have acquired all the companies within the new business area Care, starting with Samtrans 2018, Örslev 2019, and Telepass and Göteborgs Buss the last 12 months. In addition to this, the COVID-19 Samtrans test station business has contributed significantly to growth. If we then zoom into our bus business, we had an average sales growth of 3%, and the main driver to that has been an increased number of buses, positive index effect, additional business, mainly replacement traffic, and that we have acquired a small company called KE's Bussar that we now have 8 months of revenue in our figures. In the number for the bus business, we also have a negative effect from COVID-19, and that is due to that we in Sweden have agreement where revenue are based on number of passenger. That was then a negative effect of the COVID-19, but now we're, that is partly offset due to that we have a temporary pandemic agreement in place. If we then look into our new business area, Care, we see that the sales development for the core business has declined during this period, and that is due to that we have a lower amount of traffic as a consequence from the pandemic. Instead, the Samtrans COVID-19 test station business has contributed significantly to our growth and been a very good hedge to the decline in the core business. We have also made acquisitions that we have not yet seen the full effect in the numbers. Göteborgs Buss we have in the numbers from February 2021, and Telepass we have included in the numbers from July 2021. What has driven Nobina's profitability the last three years? We see on an overall level that we have positive trend, both when it comes to the numbers and to the margin. The main driver to that has been the Samtrans COVID-19 test station business in combination with the stable development of our core business. We have also made some impairment and revaluation of buses that has had a negative effect on our result. If we zoom to the bus business, we see that we have had a stable development with an EBITDA margin around 7%. We have a small decrease 2021 as a consequence of the pandemic. Looking at the last 12 months, we see that the EBITDA margin are back on the same level as 2019-2020. The main reason to that is both that we have positive index effect, additional traffic, and that we have temporary pandemic agreement in place. The care business, we see a very strong development of EBITDA over this year. The main reason for that is the Samtrans COVID-19 test station business. We also have the recent acquisition that has contributed to profit. Meanwhile, the core business has declined in the beginning but are now recovering. As you can see in the diagram, on 2019-2020, the core business has a margin, EBITDA margin of 10%-11%, and that has also been the case the last two years. We have also in this material included an appendix, and there you can find both the sales and the EBITDA figures on quarterly basis and also for our new segment structure. There you will also find guidelines regarding tax. If we then move on to the balance sheet and look at the graph to the left, you see the development of net debt EBITDA, and you see that has come down below our target of 3-4x. The main reason for that is the strong development of EBITDA in combination with a strong cash generation. The main reason for that is the Samtrans COVID-19 test station business. When it comes to our debt profile, the majority of debt are investments in buses that are running under contract, and we are long-term financing mainly at 10-year duration. Our strong ESG profile give us good opportunity to green financing with attractive margins. The current lower leverage ratio in combination with our historical high equity ratio give us a good base for funding of our strategic objectives and our increased focus on growth. We see that we have room both for accelerated organic growth. As you see in the diagram here, we are planning for traffic start that will require investment of approximately SEK 2 billion next fiscal year. We also see that we have room for value-adding acquisitions. This investment drive future organic growth and improved operating cash flow, which enable us to stay committed to our leverage target and maintain an attractive dividend policy. Just to summarize and take a step back regarding our financial model and access to financing. The underlying business has a very strong fundamentals in that the revenue are stable, non-cyclical without credit losses. The contracts are long, and the cost inflation are protected by index clauses. When it comes to fixed assets, mainly investment in buses used in contract, these assets are long-term, mainly a 10-year duration. Further to this, we have an historical track record and put a lot of effort into incremental improving our efficiency. We have a strong ESG profile, which give us the opportunity to finance ourselves with attractive margins, and we have a stable and strong. The updated strategy calls for an update of our segment reporting. Today, we have four segment, one for each country. With the focus on three business area, we have decided to lift all the businesses connected to the service traffic to an own segment that we called Nobina Care. If we then look at each of these segments, starting with Nobina Bus Sweden, this contains the public transportation in Sweden. As you can see from the figures, that is by far the largest segment. Moving on to Nobina Bus Norway and Nobina Bus Finland, we have not made any changes to those segments and they stand for approximately 10% of the group's net sales each. Regarding Nobina Bus Denmark, that will contain the public transportation in Denmark. Örslev mainly contains service traffic that we have moved to Nobina Care. Also the service traffic within Sweden, we have also moved to Nobina Care. Nobina Care will be approximately 10% of the group's net sales. We have excluded the COVID-19 Samtrans business and also make a pro forma regarding our acquired companies. If we then look at Nobina Mobility, that will continue to be reported as part of the central functions as it's still in an early phase. We will start to share KPIs regarding that segment. This new share will be effective from next fiscal year. Thank you, Pernilla. I noticed that Pernilla mentioned the material and the appendix. Just to clarify, the material will be possible to download from the Nobina website later this afternoon. Now we will move into the last section of this presentation, which will be to present our new financial targets, and we will also get some final remarks by our Group CEO, Magnus Rosén. Thank you very much, Petra. When it comes to our group financial targets, we are keeping the metrics, but we are adjusting on two of the targets, the growth target and the dividend policy. Talking about the growth, the group target is to have an average annual net sales growth of 7%, which is 2 percentage points higher than before. The reason for this is that we have good growth opportunities in both care and the bus segment, and we have an underlying growth of 3%-4% per year. We also see possibilities and opportunities in the add-on business with bus, that we've talked about, and of course also in the related areas of service traffic to care. In both areas, we will have a continued focus on the structured M&A process. Profitability-wise, Nobina's target is to achieve an EBITA margin of 6.5%. We see a stable profitability in the underlying core business, and we see add-on businesses and related services in the different areas. A strong organic position when it comes also to profitability. Resource efficiency we will continue with in the programs that we are performing at the moment. There is always more to do, and it will also be more efficient going forward, the whole group. As I said, there will be a continued focus on M&A. We, as we believe that we are the most profitable company in the market, we also believe that when we acquire companies, we are able to increase the profitability. Leverage target will remain the same. That is 3-4x net debt to EBITDA. It mirrors and reflects Nobina's long-term contracts, stable customer base, strong cash flow, and the good bus financing model. Lastly, the dividend policy, where we expect to pay a dividend of at least 60% of net profit. This, of course, gives possibilities when we have a stable core business. At the same time, we are giving out or handing out the highest dividend policy levels on the Nasdaq Stockholm exchange, or at least among the highest. It also gives us a possibility to accelerate the growth that we have been talking about and gives us headroom to grow both organically and through acquisitions. In summary, a set of clear strategic objectives for the coming years. Maximized shareholder value will be measured through the financial targets and the financial results. Maximize positive effect on environment and enable our employees to deliver will be measured quarterly in ESG reporting starting the first quarter of 2022. We are quite sure that this will enable us to grow profitable and sustainable. Summary of investment highlights and the reason why I own shares and why I think that you should buy shares or expand on your portfolio. We have strong market fundamentals with structural market growth of 3%-4%. We have an attractive growth aspect within all business areas. We have an active acquisition agenda that we will follow in a structured way. We also are a clear ESG case with a sustainable business model in its core. By that, we mean that the more people that enters on our buses, the less cars on the roads, the better environment. Lastly, we have an attractive dividend policy with among the highest levels on the public stock exchange in Stockholm. Magnus. That actually concludes the presentation for today through Q&A. As I've said a few times already, it is possible to send questions. Super. Now we will move into the Q&A, as I mentioned, and no time to wait, so let's start straight away. Magnus, a question is, how much of the growth do you expect to come from organic? We haven't really separated the parts here when it comes to organic and acquisition growth. What we say is that we will grow 7% per annum. Understand. Henrik, next one is for you. Mm. We talk about growing in the Nordic region, and someone wonders what is the success factors that will enable us to do so? As I said in the presentation, 50% of the total cost in the bus segment is personnel cost. Of course, the planning process and the tools for planning, but also first-line, top-level tender process and operational efficiency is efficient, and to understand that you are in a contract market. A proactive and reactive contract management. Tomas, next one is for you. It handles the lack of personnel in your market. Someone is wondering, how will this affect your business? Also elaborate, because we didn't cover that in the presentation. Maybe what is this all about, and then you answer the question. Sure. Yes, I think the lack of drivers especially has been a factor after the pandemic. It's something that we experience as well in our business, but I think that we are in a strong position in the sense that a lot of our competitors operate more in taxi, and they have a stronger challenge or bigger challenge in terms of recruiting here after the pandemic, because they've been hit harder by the pandemic. With that being said, I think the market in the next year or two. I think that we see right now an undercapacity in the market, and I think that this will impact prices, and it will impact the competitiveness in the future tenders that we see in the next year. I think this will impact the market, yes, but I think that we are in a good position to come out stronger out of this situation as well. Good. Now we have some questions regarding contracts. Someone is wondering, it was mentioned different contract types, and I guess this refers to your presentation, Henrik. Are you able to elaborate a bit on the differences between the production contract and an incentive contract? To start with, it's important to understand that when we bid on a contract, we always put in the price to cover all the production costs plus margin. Then a couple of contracts are, after one year, we took out between 20 or 40% of the turnover and shift them to driving forces together with the society. If they want to increase the level of travelers with targets to reach that goal together. I would say it's basically the same, but when you have an incentive contract, you work a lot together with the society to help each other reach the goals. The criteria is, more often than traveler volumes as I hear it, or could it also be other things? It can be quality, of course, or sustainability targets, but the most common one is travel incentives. Henrik, we will continue with you, I think, because there are quite a few questions here in regards of the contracts on the bus side. You mentioned in your presentation the split between incentive and production contracts. Mm-hmm. Someone is wondering if there is a trend now in the recent contracts of whether we are moving towards production contracts or incentive contracts or if it's the same as it has been. I would say that the PTAs in the capital areas they continue to tender incentive contracts. Overall, it's more common or the production contract and in, I mean, Denmark, it's basically always production contract. Good. It's also great because that was actually also a specific question. Now you covered two in one go. That's great. Talking about contracts, Tomas, there is also a question around one of your contracts, the one related to COVID-19 testing. The question is basically if we will renew this contract and what the status is with it. Yes. So, we do have a contract in terms of COVID-19 testing. That contract is having four options, one per quarter next year. We have renewed it until the end of the first quarter next year. I think it's as difficult for me to speculate on what the volumes will be and sort of the extension of that. It ties in very much with how the pandemic will evolve. I think there are better persons suited to speculate and forecast on how the pandemic will evolve than me. We will continue to serve any needs that the society has in that sense, and continue to do what we have been contracted to do for as long as it's required. Good. John, question about the Travis app. Yes. Someone is wondering if we are looking into the Danish market, and also what our current position is there at the moment. Yeah, that's a very good question. The Danish market, and especially the one around the greater Copenhagen area, and in that case, obviously Skåne, is a really interesting market. It's the biggest mobility market in the Nordics. The whole region suffers a bit from lack of internal mobility right now. An app like Travis could really fulfill the need of more connected mobility, more first and last mile solution in that area. We're working very actively in that area to launch. We'll probably not be able to launch for the whole of greater Copenhagen from the start, but to start launching maybe in Skåne, then moving into the Danish side further on. It's a very interesting market. Good. Contracts and tenders is of course a core part of our business, and there are naturally a few questions in that area. Someone is saying you now win around 35% of the contracts you bid for, from an average around 23%, very specific into 2020. Is this your new normal? I guess Magnus is best suited perhaps to start off the answer here. We look upon contracts as individual contracts normally. There are very few, shouldn't abandon the word strategic contracts, so every contract needs to stand for itself, but to call it, and that's the centers of the largest cities in the Nordics. Whether we win more or not, that's impossible to say because, as I said, more or less every contract needs to stand by itself, and we need to be profitable. I think that we have a clear and good knowledge about what is profitable or not. Sometimes we definitely win, and we might have some synergies, and we of course are using synergies. Other times we are not winning, but not feeling too much stress about that. I think about these things is more or less impossible also, I would say. Someone is also curious about the average contract age. You are now at 5.4 years, total then of 8.8. Someone has really done their homework. That's good. Mm-hmm. How will we defend the margins? Hmm. When as contracts. Hmm. Are they becoming higher? That's perhaps also you, Magnus. The higher number there is the average contract length of all our contracts put together. The lower number is the time that we have been driving the contracts. If you divide these two numbers, then you get the maturity, and that's partly what we have in the financial target when it comes to profitability also with a 50% maturity, meaning that if the contracts are more mature, then it's easier for us to deliver on profitability compared to if age is lower because then we have more migration cost. At the present time, the contract maturity is, I think, 60% or maybe 61%. In that sense, it should be slightly easier for us to deliver on the profitability. Makes sense. Another question in regards of incentive contracts, and someone is wondering whether generally more or less profitable compared to a production contract. Who is keen? Should Henrik start? I think Henrik. If we drive the contract in a good way, I would say that the incentive contract has a bigger potential to be good. I would say if we put in the price regarding the total cost, I would say it's not a huge difference. If we together with the society put in our effort to increase number of travelers, that's of course have a positive effect on the incentive. Someone is also interested in investments, so I think, Pernilla, this is a question for you. Mm-hmm. Mm-hmm. We guided a bit on the CapEx for the coming year. Mm-hmm. In the presentation, someone is then wondering what it will look like going forward. Mm-hmm. Beyond the next year. I mean, we have visibility mostly 1 year ahead because we don't know the result of which contract we will win, if you add another year. I think we stay with the guidelines for coming year. Yes. Henrik, many questions for you here. That's okay. It relates to what we call add-on business. Mm-hmm. the B2C segment Mm-hmm. where someone is interested in understanding, we exited or divested Swebus a few years ago. What makes us considering the B2C segment, anyway? Maybe we should elaborate a bit on how we think about the B2C segment. First of all, I would say we see it as an add-on business. First of all, we have contracts both in care and in bus. When we had Swebus, it was a standalone, and it was built on very long trips, maybe 300 km. We understand that the business is strong when we take the trips down to 100 km and so on. I think there's room for more interregional commercial bus traffic on the market. We continue on the contract and tender team, this time in regards to Nobina Care. Someone is wondering if we could elaborate a bit on the renewal rate, or the win rate in Nobina Care, as well as elaborate a bit on the competition and the competitive situation. Sure. I don't think we report in detail on the renewal rate in terms of care at this point at least. I think that on a general level, as I mentioned also in the presentation, we have gained market share, and I think that's a strong indication of that we are performing well in the market, even with the competition that we're having. I think if you look forward in the future, as I mentioned earlier here in the Q&A, I think we have a good position to be competing with some of our competitors that are focused on taxi, just based on the way that the pandemic has played out. I think that's something that we should build on to make sure we make the most out of that situation. We have a question in regards of Nobina Mobility, but this time a bit more in regards of financials. I'm not sure the one who is eager to answer will start. But the question goes, what are current revenues and results for Nobina Mobility? How many FTEs do we have? What investment levels are we talking about? I mean, we don't reveal that. We report it as a part of our central functions. I mean, it's still in an early phase. Maybe you can... Yeah, sure. It's still in an early phase, and right now the whole business is focusing on downloads, more active users. As soon as we get the business up and going a bit more, we will be more transparent in the reporting as well. Mm-hmm. Maybe you can comment on the number of people. Yes. We are right now a team of four or five employees. Right now, we have 12 developers hired into the organization. Yes. Good. Magnus, we'll come back to the targets again. Mm-hmm. where someone is wondering whether we could break down the growth and the profitability targets in regards of the business areas. Nobina Bus, Nobina Care. That will be done from Q1 next year. That's when we're starting that reporting with business areas. We are trying to get it as transparent as possible, as we have delivered quite a few numbers on Samtrans and the COVID business and so on, so that we will have comparables for next year. I think we'll wait with the total pictures of dividing things until Q1 next year. That's in regard to the reporting. In regard to dividing or splitting the targets, the growth target, the profitability targets, will we do that on segment level, or will we keep them on group level? No, we haven't. We won't reveal how in between the bus or in the business segments what growth targets we have and what profitability targets we have. That needs to be seen on the total. There is another question in regards of our contract. A lot of questions around the contract, which is great because that's the core of what we do. I think we've already answered this, but I will anyways see if we have more to add. Someone is wondering if the PTA agreements typically differ in a meaningful way in the different Nordic countries. Then Henrik, you already mentioned the production versus incentive contract difference. Are there other differences we should mention that is meaningful in this forum? We can say that the PTAs on the Swedish market is more cooperative. We work more together with them. Mm-hmm. Of course, we have a lot to add to the PTAs in the other countries, of course. That's one thing we will work with for the future to grow the business in the other countries, to take the Swedish recipe to the other countries. More questions about contracts. This one, related to our Södertörn contract in Sweden. First of all, it says here, which is an important contract for you, that will expire in 2023. Clarify when that contract expires. Yes, that's correct. SL have already told us that they will prolong the contract with maximum time to 2025. Good. We have clarified that. Now back to the question. The question relates to whether we are worried that our competitors will be even tougher in the tender for this specific contract, given that we won those two other major contracts in Stockholm recently. I would say that the same answer that Magnus gave, every contract is up for bid, and we have our processes, and we must take care of our own business. What the competitors do, that's, we can't control it, of course, but we also do our best to both defend contract, but we need to have focus on our process. Makes a lot of sense. Someone is also wondering a bit about the market. I guess we can here both cover the care market and the bus market. Given that you have answered so many things now already, Henrik, we will start with Tomas. The underlying market has grown with 3%-4%, at least in the bus segment, and somewhere around there as well in the care segment historically. The pandemic must have had effects on the growth. What do we expect going forward? Should we start with the care segment, and then we will move into the bus? Yeah. In terms of growth and volumes during the pandemic, we've had quite a resilient traveler volumes during the pandemic. I think at the very bottom, we were at about 70% in terms of traveler volumes. We have quickly regained the largest share of that, and we're operating right now at about 95, at least 95% in terms of traveler volumes, and it's steadily growing. We expect to be back at sort of pre-pandemic levels very, very soon. I think the way we look at the pandemic, this is a temporary sort of dip in the curve, and we are coming back to the same levels that we were before the pandemic. I think we will see the same sort of growth patterns for the future for that. I think for us, this is really driven by fundamental trends in demographics and in traveler patterns. Once we exit the pandemic, we already now see the numbers that we will be very much in line with where we were before and continuing on that growth. Thank you, Tomas. Henrik, bus? Yeah. I basically would answer the same as Tomas did. We can see that the travel numbers is above 80% now, and I think this winter will help us to increase even more. We can see that the PTAs are not cutting down the traffic volumes. We have a few spots have done that, but in Finland and in Skåne, but the PTAs are holding on. I think as Tomas said, it's a hiccup in- The curve. In the short term. This is also relating. I guess we could see it both in terms of care and bus, but mainly bus perhaps. It relates to the Swedish general election next. Someone is asking us whether we could As we've said, we're looking both in the bus segment and in the. Care. Care, segment. Normally the acquisitions are a bit larger in the bus segment, of course, because the companies are larger. If we look at the larger acquisitions, I think that we are also prepared to do one or two of those, a little bit depending. Obviously the Swedish market, where we are performing on high turnover levels, it might not add as much as it would in the other countries. That's at least some hints to what we are doing and what we are looking for. Thank you. Someone is also wondering a bit about the buses, and also surprisingly in regards of contracts. Longer than for diesel buses are higher. Basically is the contracts longer or not? Should Magnus start, or would you like to hand over? No, I think the contract isn't longer, but the demands are longer. The PTAs accept older buses when they are tendering for e-buses. Good. We will finish off with one last question to you, Tomas, and also then related to the care segment. It refers back to the related business segments you talked about in your presentation, where app taxi and e-commerce were exemplified. Someone then wonders whether you could elaborate a bit on how this fits into your business model and how it will increase profitability going forward. Basically elaborate a bit on that. Yes. I think these are two examples of markets that are adjacent to our market that are growing, and we always want to explore opportunities in these markets. I think these should be seen as examples. In these examples then, we currently have quite a big production capacity with a different level of utilization in this fleet. These are really services that really complement our own business in a good way. These types of services, if done the right way, can improve our utilization. As with any business with a lot of fixed assets, increased utilization in the long term leads to improved efficiency and improved profitability. That's very much the case in these services as well. Thank you. With that, we will conclude the Q&A. Questions that we didn't cover now in the Q&A will be answered individually afterwards. Let's now also conclude this Capital Markets Day for Nobina. We are excited to take you with us on the journey we have ahead. We have presented a strategy which is centered around maximizing our business, but also the planet, society, and our people. We will focus even more on profitable growth going forward through our three business areas Nobina Bus, Nobina Care, and Nobina Mobility, as you've heard. This will happen through both organic initiatives and acquired growth, and a clearer focus on sustainability going forward, as you've also heard. Lastly, now, I would like to thank the team, and I would also like to thank you who watched. Also give you a friendly reminder to make a sustainable choice and go by public transport. Also, download the Travis app, and together we keep society moving every day.