Thank you. Welcome, everyone, to this audio call of Pricer's Q4 and full year 2020 financial results. As you've probably already seen, there are many records to be very proud of in today's report. Particularly considering the circumstances around us, I can't stress enough the importance of the people within Pricer who made all of this actually come true. Next slide. I'm sure it's also well understood that this is a very exciting time in the ESL industry in general, and of course, within Pricer in particular. Before we dive into the quarterly financials, I would just like to spend a few minutes talking about the fourth quarter more in general, and also about the contract that was recently signed with Carrefour. I'm sure that many of you are particularly interested in this contract, as it is of course, a significant win for Pricer. We have been a supplier to Carrefour in France since 2004. Over the years, we have installed our system in around 200 hypermarkets. During 2019, Carrefour issued an RFP with an intent to select one global ESL partner to support all of their new ESL installations on a global basis. The RFP was based on the intent to install roughly 500 stores. It was always clear from the get-go that there are no minimum commitments in this contract. As part of the selection process, Carrefour conducted an in-store performance testing, where they had us demonstrate a wide range of use cases. This was, of course, the price updating, but also things like pick-to-light for picking up online orders, and the put-to-light for a more efficient replenishment process. Our ability to demonstrate some of our key capabilities, which would be on speed and reliability, made us come out on top in this evaluation. We should also remember that the cloud-based platform, Pricer Plaza, was also an important part of the selection of Pricer as the strategic partner of choice. Within Pricer, we think very highly of the Carrefour team, and that of course makes us even more proud to be their preferred choice for an ESL partner over the coming years. For the fourth quarter, we can also conclude that the lockdowns in some of the mostly European countries, didn't really cause the same delays in installations as we noted during the second quarter. Instead, the greatest challenge during the fourth quarter was to solve transportation between continents. We're also very pleased that we've been able to continue to recruit and strengthen our organization despite all the current circumstances. Next slide. Let's move into a recap of the financials for the fourth quarter. We came into the quarter with a backlog of SEK 754 million, which was a reflection of the many large customer projects that were ongoing in parallel during the fall. The delivery activity during the fourth quarter was consequently very high, and it resulted in, again, a record high net sales for an individual quarter of SEK 680 million. If you compare that with the fourth quarter of 2019, it represents a quarter-on-quarter growth of 186%. There are, as always, several countries that contribute to this record high net sales. The top three contributors were the USA, France, and Canada. Moving to next slide. The order intake remained on a similar level as in the third quarter and amounted to SEK 454 million. Although this is a historically high quarterly figure, it was significantly less than the fourth quarter of 2019, when Best Buy placed an order of SEK 625 million, so those were some very challenging comps. The order intake in the fourth quarter had a customer mix and a good geographic distribution. Besides the generally strong quarter in France, it also included additional orders relating to some of the ongoing customer projects that were also announced in the quarter with Best Buy and PLUS Retail. There was no major contribution, in fact, in order intake of the fourth quarter relating to the new agreement with Carrefour, and that is just something that we would like to highlight. Moving out of 2020, the backlog at the end of December remained on a very high level at SEK 495 million. Moving on to the next slide. The gross margin also remained on a similar level as in Q2 and Q3. It reached 22.5% in the fourth quarter. Of course, as always, it's the contracts and the product mix that impact the gross margin. There were also some headwind from the weakened US dollar against the Swedish krona. In addition, what we have seen during the pandemic is that freight costs have been going through the roof. Of course, this is grounded airplanes and more extensive border control that have caused just a general shortage of transportation opportunities in the market. Although we have shifted as much as possible to sea freight, the pricing levels for sea freight has also increased dramatically during the second half of 2020, which adds additional pressure on the gross margin. Next slide. EBIT operating profit came in at SEK 69 million for the fourth quarter, which corresponds to an EBIT margin of just over 10%. This is in line with the same EBIT margin for the fourth quarter in 2019, but it was a decline compared with the third quarter of 2020. Operating expenses have increased compared with the same period in 2019, and this is primarily relating to higher personnel costs and other operating activities aimed to build the organization for continued growth. There was also an impact of roughly SEK 10 million in the fourth quarter, which primarily relates to a lower level of activation to the balance sheet of R&D expenses. Of course, this has no cash flow impact, but it distorts comparability between quarters. Next slide. When we look at the cash flow from operating activities, it saw somewhat of a catch-up effect during the fourth quarter and reached a record high level for an individual quarter of SEK 203 million. This is the result, of course, of the ongoing work to improve working capital, but also in combination with a temporary effect from favorable payment terms relating to some of the larger customer projects. As always, we recommend analyzing the cash flow over time and not for quarter by quarter. The cash position at the end of the year was SEK 262 million, and the board proposes a dividend of one krona per share, which is a 25% increase compared with last year. The dividend is to be payable in two equal installments. Next slide. Moving on to the financial results for the full year of 2020. Here I'm particularly proud to report a top-line growth of 75% year-over-year. This kind of growth figure is not uncommon for startup companies, but they're certainly not so frequent for 30-year-old technology companies. It also shows that although there is some lumpiness in our figures, the growth over time has been significant. In average, we have grown more than 20% per year over the past five years. Profitability has also increased, which is of course a good sign of health. It also demonstrates that we are in this for the long run, which is why we never, for a moment, divert from our strategy to deliver high-quality products and services that generate real value for our customers. Being successful in business is all about piling satisfied customers on top of one another, and this is of course our goal and what motivates us as a team. Next slide, please. Looking at some of the key figures, we can conclude that 2020 was a very good year for Pricer. Despite all the challenges caused by the pandemic in terms of lockdowns, remote working, significantly reduced traveling, and so on, we managed a record high year in terms of sales and profitability. Considering the large order from Best Buy of SEK 625 million in December 2019, as well as the weakening of the Swedish krona versus the U.S. dollar, it makes the comparison figure from 2019 challenging, but we still managed to grow the order intake by 5%. The growth is spread across multiple geographies and customers, where the U.S., the Netherlands, Norway, Canada have contributed the most. Despite the transition to mostly digital interactions, we added many new customer names to the list during 2020, and we're of course equally proud to be working with all of them. The operating margin is somewhat lower than last year. It's primarily a result of the decrease in gross margin, but also combined with higher operating expenses. It's also worth mentioning that we have not received any COVID-19 related government funding, but instead, we have continued to build the organization for continued growth and success. Next slide, please. Although I'm very pleased, but not so surprised about our development in 2020, first of all, Pricer has the best performing solution of all ESL suppliers. As the requirement for an ESL system extends beyond price updating, then our differentiation becomes increasingly valuable. Of course, secondly, the penetration rate of digital price labels is still on a very low digit. As the world's becoming increasingly digital, it's quite natural that the analog paper label, which remains our largest competitor, will be replaced over time. Of course, this generates the great opportunity in this market that is still ahead of us. With the explosion of online shopping following the pandemic, the need for retailers to engage with shoppers in a unified way across all their sales channels has become increasingly important. Also the aim to replicate some of the advantages with online shopping in the physical store environment is a trend that has been noted for some time, and where the digital shelf label can be an important part to ensure accurate information to the customer in the store. In the end, it's about improving the customer experience by building trust and loyalty. The dramatically increased demand for online shopping has also resulted in a drastic increase of in-store picking. This is a new process for many physical stores, and there's a strong demand for system support to make this process as efficient and accurate as possible. The Pricer ESL system is particularly suitable to support this process, as it can provide guidance for route optimization and speed up the picking process by utilizing the system's real-time capacity for pick-to-light. In addition, the pandemic has exposed a vulnerability to many retailers with regards to the dependency on the staff. With sick rates that have been much higher than normal, it has become just increasingly challenging to operate the physical store. Driving automation and simplifying processes is a way to improve the flexibility when it comes to staffing and allocation of labor in the store, as well, of course, as to optimize the process efficiency itself. In the end, it's about being able to do more with less. The next slide. On a more general note, we continue our geographical expansion to meet this increased demand in the market. As previously mentioned, we established presence in Taiwan and the Netherlands during 2020, most recently we also added dedicated resources in the U.K. In 2020, we also launched our cloud-based platform called Pricer Plaza. At the end of 2020, we had more than 500 stores connected to Pricer Plaza. Although we continue to deliver and support both the on-premise and the hosted cloud-based solution to manage our system, we are pleased to see how Pricer Plaza is gaining traction in the market. Of course, besides improving the speed and simplicity of the system integration, Pricer Plaza also enables our customers to quickly, and with quite little effort, apply new functionality and new applications that become available in the system, making this solution future-proof. Being able to deliver an integrated solution of products and services, we gradually transition into becoming a strategic partner to our customer on the digitization journey. It changes our business model from a product sell towards a solution sell, and it also enables an ongoing dialogue with our customers that generates new ideas and lots of input on ways in which we can provide additional value. When we think about future-proof, we're also moving forward with our battery-powered shelf-mounted camera and the ShelfVision application. The idea here is to insert eyes in the store to offer retailers real-time insight of the status in the store. Collecting data in the stores to better understand customer behavior is the first step towards aligning the in-store analytics with the algorithms that successfully drive the digital sales channels. This new application opens up for a different dialogue with existing as well as new customers. Although the application works well without the Pricer ESL system, there are significant values to gain for customers that combine the two solutions. Some of the use cases in the ShelfVision application include gap detection, to show if products are sold out or missing on the shelf. It includes planogram compliance, and also ensuring accurate management of promotions in the store. These are some of the use cases that are currently being tested in stores, and as this application matures, of course, more capabilities will be added. Next slide. To conclude this presentation before moving into questions, I'd just like to express my gratitude to all Pricer colleagues who have gone really above and beyond to make 2020 a fantastic year. It was certainly not without obstacles along the way, but everyone joined forces and came together to make this happen. Thank you everyone who has contributed to these fantastic results. Let's move on with questions. Thank you. Our first question comes from the line of Simon Granath at ABG. Please go ahead. Hi, Helena, and congrats on the strong results at the end of 2020 here. As a first question, you say that you're taking steps from the role as just a product supplier towards instead becoming a strategic partner for store digitalization. Could you explain to us what these initiatives involve? Well, it's more about the dialogues that we engage with the customers, that the Pricer Plaza also enable us to have a very continuous dialogue with different levels of people within our customer. Of course that puts us very well in front of the people we need to dialogue with in order to improve and secure our system and the solutions. So this, let's say, joint dialogue in how we can add more value in our system, that is a very valuable input for our product development. Of course, as we add more value to the system for the customer, of course, that is just a very good iterative process to remain with the customer for a longer period of time, rather than at the initial time of installation. We stay with the customer for a much more extended period, and that is a very interesting position for us. I see. Thank you. You also mentioned that Pricer Plaza allows customers to add more solutions on top of a platform. Could you provide some examples regarding these add-on solutions that customers are allowed to add? Yeah. If we look at many of the software solutions that are available for retailers, they are primarily located somewhere in the cloud. Of course, having then a cloud-based platform where you can open up APIs to integrate solutions, that is a much faster and easier way than to having a local server in the store, let's say, where you need to do all these integrations on a store-by-store basis. It's also on the scalability. That could be, for example, on the waste management side. Pricer has no offering of our own, we have partners that we work with, we can provide a joint, let's say, pre-integrated solution. That is a cloud-based, pre-integrated solution. Thank you for that. I know that Pricer has gained quite strong traction in the U.S. market in recent years. Could you explain to us what has happened in recent years? Why has the U.S. market taken off if you compare it to the last decade or so? Yes. We have been going through this a bit over the years, of course, there have been some, let's say, significant steps. First of all, having an additional color in the ePaper. When red as a color became available in the digital label, that was a very important step for the U.S. market. We shouldn't forget that in the U.S., retailers utilize the shelf edge for a lot of communication. In order to replicate this communication and remove the paper label and put the digital label, there are some requirements, on the color side is one of them. There are some prerequisites. Of course, the competition from e-com players like Amazon and so on is very intense in the U.S. The drive for automation and availability of labor and cost of labor and all of these driving forces are starting to move the market. Great. Crystal clear. Thank you for having my questions. Thanks, Simon. Thank you. I remind you that if you would like to ask a question, please press 01 on your telephone keypad. There will now be a brief pause while questions are being registered. There are currently no questions, I'll now hand back to the speaker. Okay. Thank you very much, everyone, for listening in. If you do come up with questions, you're always welcome to email them to us at info@pricer.com. Otherwise, I look forward to speaking with you again in a quarter from now.
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