Thank you so much and welcome everyone to this call. With me in the room, I also have the Business Area President for Product Information, Johan Ekener, and Head of Investor Relations, also Kristina Ekeblad. We have this call with quite short notice, of course, today because of the exciting news that we have published earlier today regarding the internal separation and potential public listing of the Product Information business area. Go to the next slide, please, operator. We have a brief agenda for today's call, just going through the rationale of the decision made by the board of directors. Also comment a bit on the process going forward. Going through a bit regarding Product Information, the business area, and also regarding the Engineering & Digital Services business area, which are the two business areas within the Semcon Group. Next slide, please. Today we press released at 11:00 CET that Semcon investigates public listing of its Product Information business area. The board resolved that we will undertake an internal separation of the Product Information business area and also to explore the possibility for a potential separate public listing of the business area Lex Asea. This is very exciting news, of course, for the organization and a very logic decision made by the board of directors due to the circumstances that we have a very decentralized operation for the both business areas, and also considering the different offerings and the market positions of the two business areas that we have within Semcon. Next slide, please. The clear rationale that we have here is, as I mentioned, separate and attractive offerings. We have a leading position within Product Information with the business and offerings that we have for that business area within after-sales solutions. This has grown over the past few years to be almost 40% of the Semcon Group and has very attractive offerings, and as Johan will go through later on here in the presentation, shown great growth and also fantastic margins. For the Engineering & Digital Services business area, we are mainly a Nordic supplier of services within product development and production optimization, and with digital services connected to that. That is, of course, something that we see where we have a very strong market position and is quite separate from the Product Information business area offerings. We already today have decentralized organizations, so it's quite easy in that sense to separate the two business areas. We are working on quite different markets with different customers within our customers. With the decentralization, we have management teams in place for both business areas already that are working quite decentralized. So it's a logic decision in that way as well. By this, we of course achieve a stronger focus on each operation. We will increase the transparency for each business area. We will also be much more clear on the offerings towards the market. It will be clear for our customers in a much better way going forward and also for our employees and potential employees going forward when we make this separation of the two business units. We will also increase the flexibility with more empowered teams and also simplified structure in each of these two separate operations going forward. That's of course the aim, that's what we see will happen. We do have good profitability levels in both business areas. We have a really strong financial position in the Semcon Group, as you already know, with net cash of SEK 200 million. We also have a positive outlook for growth going forward. We will go through some of the mega trends that we have in the market today that are really favorable to both business areas within the Semcon Group. This, of course, aims to maximize growth and value creation. Going to the next slide, please. Looking at the various perspectives of changing planet, changing business, changing technology, and changing people, we do see that there is an ongoing trend with disruptive and sustainable technological innovation, which is, in all these four dimensions, a really great potential for further growth within both business areas. Sustainability will be one of the main drivers for the Semcon Group and for both our business areas going forward. We do see in the dialogues that we have with our customers in all the markets that the changing business adopting to sustainability topics, but also with regard to investments made in technology is affecting this quite a bit. Also the changing behaviors, partly caused by the COVID pandemic, but the increased use of digital means and digitalization in general is, of course, something that the separation of the two business areas will benefit from. Now, looking into the different market trends, going to the next slide, please. We will achieve, by the separation, a faster adaptation to market trends. We will become a bit smaller in each business area compared to what we are, of course, in the total group, but this enables growth going forward for both. As you will see, we are quite sizable companies separately as well. It will not be small companies, a bit smaller, but much more adaptable to the market trends going forward, which will enable further growth. We see increasing investments in new technology. The speed to market is record high. The digital transformation is accelerating, as you know. Higher strategic focus on the after-sales solutions, which has really boosted the business area Product Information in recent years. The trend of servitization and changing customer behaviors is also evident for us and is impacting our business as well in a favorable manner. We do have a need from our customers for industry-specific knowhow and solutions, but also cross-industry knowhow. We can really provide to our customers a really good offering to give them an insight and foresight with regard to several different industries, which is really a strength within both business areas in Semcon. There is a higher sense of urgency related to sustainability matters, as I mentioned before, and this will be, in my view, the main growth driver for our business going forward. We do see an increased product complexity, which is really favorable to us due to the fact that with, especially within the offerings of Product Information, we achieve and provide solutions to our customers and to the end users in order to make complex products and production equipment easy to understand and maintain. That's obviously a trend that therefore is very favorable. Going to the next slide, please. The main growth drivers, I repeat again, is digitalization and sustainability. This plays in for both our business areas and will play a major role when it comes to the mega trend that we're looking at. Going to the next slide, please. We do have the various offerings in our Group that are provided from our two business areas. We have the digital hub for transforming products and services, which is provided by Engineering & Digital Services, of course, but also partly from the Product Information business area. We do have advanced engineering of product and production development, which is something that we have a very strong position in the Nordic region within the Engineering & Digital Services. Strategic design and innovation for sustainable business is also something that is provided from Engineering & Digital Services mainly. Then we have our strong offering from the Product Information business area with solutions for complex products and systems, and that's what we are looking now to separate initially and then see if we can also make that a public listing, and that's our clear ambition. Going to the next slide, please. What happens now? It will be business as usual for the main part of our operations, of course, for all our employees in the company. Strategies remain the same for each business area going forward. We will implement and put in place a project team to focus on executing internal separation. We want that project team to be kept a bit separately from the rest of the operations, because we obviously want to continue our nice performance journey, both when it comes to growth and profitability. This will be an important part of carrying out this project, to have this separate project team to work on the separation of the Product Information business area and also in parallel, look at the listing process. We will explore possibilities for a potential separate public listing of Product Information, Lex Asea, and more information will be provided in connection with the year-end report for 2021, and that will be in February 2022. We will put all the project teams in place for all the different areas that they are responsible for internally to carry out this project. We will give you an update on the time plan and also how this is playing out in February in 2022. We will also, of course, give you a bit more information on the project when we have the Q3 report in October, and just to give you pretty much the same information now that we have started the project and initiated this and looking forward to investigate the listing process as well. There is no guarantee, of course, that a public listing of the Product Information business area will take place. This is, of course, our clear ambition, and in the end, it's a decision that needs to be made by the shareholders at a shareholders meeting, as you know. Now I would like to hand over to my colleague, Johan Ekener, who's the President and has the responsibility for the Product Information business area to give you a bit more insight into that business. Go ahead, Johan. Thank you, Marcus. Yeah, Johan Ekener is my name. I've been with Semcon since 2004, in the present role since 2007. Let me give you some introduction to Product Information and some words about what we're actually doing. The next slide, please. To put it very simple and on a very high level, our offering is aiming to make our customers' complex products and systems as easy to operate and maintain as possible. We usually say that the more complex, the better, because then the need for Product Information is even greater. Also the fact that products are becoming more complex as a trend is supporting our offering. You can also imagine what new software does to Product Information when that is introduced into physical products, making them even more complex. The fact that we want to make it easy to operate and maintain also reveals the fact that we are aiming to a large extent in our offering to the after-sales market, together with our customers. A market segment where many customers make a lot of their profits today and see as a great opportunity to grow. That's also why we believe we are very well-positioned with our offering. Next slide, please. A few words about us as an organization today. As Marcus said, we have developed very positively over a number of years, and today we are present in five countries, in 16 locations. You can see here on the map where we are. With the 800 employees, we're actually one of the top leading service providers within the area of Product Information today, also on a global arena. Part of our success story is the fact that we have shifted our business models constantly towards more and more managed service deliveries and solution-based deliveries, amounting to more than 75% today. When we have these managed service partnerships, it means sometimes that we have very long relations with our customers. I think the longest one is with Volvo Cars, who we've been working with more than 20 years, and we have the exclusive opportunity to deliver Product Information in that type of setups, for instance. Another important contributing factor is that we've also, over the years, implemented a multi-site delivery strategy using skill centers, meaning that, for instance, we can use our employees in Budapest, for instance, to support in deliveries for customers in Sweden, or we can use our skill center related to graphics and illustrations in the U.K. to support deliveries in Germany or in Sweden. By doing so, we can get synergies of scale and also provide very cost-efficient deliveries to our customers. To the right, you can see the latest numbers in terms of rolling 12 for the business area in the present group structure. Next slide, please. More about what we're actually doing. If we look at the after-sales arena, there are a number of different user groups to whom we provide deliverables in terms of Product Information, and you can see some of them here. All the way from the service engineers and the installation engineers to the left, who need up-to-date and sophisticated information to be able to provide efficient and accurate services. To the right, where you have the operators and the end users who need to get the most functionality in the best way possible out of the different products or systems that our customers are providing. In between, you have a number of other different user groups that also need product information. Product information is a diversity of different deliverables in reality. Just let me say a few words about the training user group, because normally or historically, sorry, training was something that you did in a classroom setup. You invited all the service engineers to a setup where you introduced them to new products and things like that. In the future, that will look completely different. We spotted that trend early on, I would like to say. One and a half years ago, we acquired a company here in Sweden called Xtractor. The next slide, please. Together with Xtractor, we have now developed an offering on the Swedish market primarily, where we've become the largest digital training provider in Scandinavia, developing e-learning. Many companies are now, in this area of pandemic, also shifting a lot of their traditional classroom training to e-learning and things like that. This is something that we spotted and has been very well-received in the market, and we are growing this today, 80+ employees continuing to grow and looking for other opportunities to grow also outside of Sweden. Just to set parentheses to what we're doing here. The next slide. Marcus mentioned digitalization being one of the most important trends in the market. That is, of course, also relevant for us working with Product Information. With the digitalization, we see the different user groups that I talked about to the left now having completely new expectations and behaviors as well when it comes to consuming Product Information. Just to mention a few, they want it to be personalized. Personalized in the sense that the Product Information that they need to be adapted to their skill level or to their geographical location and other dimensions that are important for the end users. You can also imagine that with the speed of new products and changes going on the products, the information needs to be up to date all the time. With the digitalization, this can be easily done to the end users if you have the right setup. Another very interesting trend here is the VIN-specific content, which actually means that if, for instance, you're a service technician and standing in front of the complex product, you can get the exact parts catalog for that specific product, which can differ in a number of dimensions from the similar product in another site. Then you would have exactly the information that you need. In order to provide this, you need skilled information architectures that support our customers in creating new setups in how to develop their information. You need sophisticated product production systems called content management systems, which is also something that we within Semcon develop and provide in the managed services, for instance, when we support our customers. When the information is produced with all these metadata links and everything, it needs to be distributed to the different digital devices to the right. We provide the system or the digital distribution platform for customers if they want. We also develop the online portals, the apps, and everything that is needed for digital consumption of this new information. This gives you a good flavor of what we're doing. Finally, a few words about what we're doing for [uncertain] customers. The next slide, please. As I mentioned, for instance, Volvo Cars to the left is one of our oldest partners in working in a managed service setup where Semcon today is developing all of their owners' information and the digital distribution platform to the vehicles. Some of you may have a Volvo and have downloaded the app where you can read the owner's info and search digitally and so on. Another very interesting example is the AGCO customer that has been with us only for a couple of years, where we help them centralize a globally distributed setup to develop their information into a centralized one from our U.K. office, and now supporting AGCO on a global basis with all of their operators and service information. Just to mention a few, and what you see here as well is the fact that we're working in a number of different industries that makes it possible also to learn from one industry, take the best practice, and introduce to another one, and so on and so forth. A quick introduction to what we're doing, and I believe back to Marcus. Thank you, Johan. I think this is really one of the logics behind making this separation, and making this decision that has been made by the board of directors today, that we do have the experience from looking at Semcon as a company from an outside-in perspective. You do see a lot of the product development and production optimization services that we provide to the market. We do see, and what I've seen also when I have the contacts with the capital markets, that this is a bit of a hidden gem in our operations, the Product Information business area. That's why we want to make this even more visible now for the markets as well to create more shareholder value. We do see that standalone, this will have even better opportunities to grow further with great profitability going forward. Going to the next slide, please. The other part of Semcon, I think that you are well familiar with, but just to run through a bit what we do in the Engineering & Digital Services business area. Going to the next slide, please. Our unique selling point really is that we are experts in combining the physical and the digital worlds. We combine the digital excellence and advanced engineering skills in this business area for our customers. There are many in the market that can do this separately. We have quite a few competitors that are really good in the physical domain, and we have quite a few IT companies and consultancy companies within IT competencies that can provide the digital perspective. Very few can unite these two worlds in the way that we do, and that's our unique position. We do have a strong Nordic Footprint within this business area with an international presence. We are today in Sweden, which is the main part of the operations. Going to the next slide, please. Sweden, we are in Norway with presence there. We are in the U.K. and we are in Brazil. We have net sales of a bit more than 1 billion SEK. We also have an EBIT margin in the current group structure of 9%, rolling 12. If you look at the Engineering & Digital Services business area isolated, the footprint that we have in the Nordic is very, very strong, and our focus is to increase that footprint even more and grow in the fields of product development, production optimization, and digital services connected with those two domains. Going to the next slide, please. In our offering, we provide strategic design and innovation in very early phases together with our customers. As you can expect now, when we have quite a few of our customers putting in place targets for their sustainability journey, which are supposed to be science-based targets, of course, then when we look at the roadmap to reach those targets, we see that a lot of our customers need assistance in creating that roadmap. In the strategic design and innovation part, we provide workshops that we do together with the customers, but we can also then combine that with our advanced engineering competence that we have in the business area. We also provide production optimization, which also is something where we see a lot of investments being made by the manufacturing industry customers that we have. Of course, digital services running across all these different areas that we provide. On top, we provide advisory services relating to this and project and quality management. As you can see, the credibility that we have in the market when we talk to customers about the product development, the production optimization, coming from the physical side, that we have provided product development for many years for these customers and production optimization services. Now in recent years, adding the digital services on top of that to make sure that you actually can extract all the value that is possible from production plants and automatization processes and so forth. Also to connect the products that we have developed over the years and make those digital and make them connected is also something that is, of course, very attractive for our customers that we work with and have worked with for the past 14 years, actually. Going to the next slide, please. In this slide, you see a few examples of what we provide, and the need for sustainable innovation will be the significant growth driver going forward. It's fantastic to be part of a company where we have a lot of the solutions when it comes to sustainable innovation and helping the customers that see that they have a lot of topics that they need to resolve to be able to become even more sustainable, both when it comes to business models, but also choosing the materials for the design of the products and production. You saw Brazil there on the map. One of the fantastic partnerships that we have within the automotive industry in Brazil is the new electric delivery truck, where we are the only one within Engineering & Digital Services providing consultancy services into that consortium with Volkswagen and Bosch, among a few others. You also see the proactive cleaning of ships, the Jotun case that we have worked with to create this hull scraper that moves across the hull of the ship to clean the ship. You also, due to that, get the healthier oceans and a much more sustainable and cleaner product. We provide services within renewable solar energy, as you can see, we also have, for example, the green fuel cells that you see in there as well, where we have an exclusive partnership for that. We also provide apps, for example, for the Swedish Rescue Mission. We are in many different industries, as you can see, providing services with a lot of competencies relating to product development and production optimization and the digitalization on top of that. Going to the next slide, please. To boost our growth, as you've seen earlier this year, we also released the news about the acquisition of the company Squeed, which complements and strengthens our existing digital offering. It also moves us into new domains when it comes to the industry verticals, where we provide services now through Squeed to the retail industry and digitalization connected to that, and also to the finance industry. Industries that we from Engineering & Digital Services and Semcon has not been present in previously, but is of course adding some extra excitement into the offerings and to our organization. With this, we added approximately 100 new colleagues with expertise in software development and agile change management, which is an excellent complement to where we're coming from. We are aiming to continue this journey to boost our digital competence within Semcon going forward. We also, as I mentioned, added new customers in industry. Full year 2020, they had a net sales of SEK 105 million. This is really a part of our growth journey, very exciting, and we're looking forward to go ahead to hopefully achieve more of these kind of acquisitions in the near future. Just to give you an update also when it comes to Semcon's financial calendar, 2021 and 2022. The next happening is the interim report, January to September 2021, and that's due on October 19, and we will release that 8:00 A.M. CET. We have the year-end report for 2021, and that will be released on February 9th. We are now on that slide, operator, with the Semcon financial calendar. That will be in 2022, of course, at 8:00 A.M. CET as well. That's also when we're going to give an update more on the project of separating the business area Product Information, and also how we are moving along with the process of possible listing of that business area. Next slide, please. Now, operator, we are at the end of the presentation, and we now have a segment for Q&A. If you have any questions for us, you're more than welcome. Thank you. If you do wish to ask a question, please press zero one on your telephone keypad. If you wish to withdraw your question, you may do so by pressing zero two to cancel. We have a question from the line of Stefan Knutsson from ABG. Please go ahead. Thank you, and thank you for the presentation, Marcus and Johan. My question is regarding, have you seen any conflict of interest between your two business areas that has caused this decision? Or is it just that you need to have a faster adaption to your market trends, that is the main argument for the separation? No, we don't. Hi, Stefan, by the way. It's a very easy answer to that question. There is no conflict at all that is the basis for this decision. As I mentioned, the basis for this decision is really to increase the focus for both business areas, increase the clarity towards the market with regard to the offerings, also to achieve a more simple organization in where we see a growth potential in both these business areas, which is very attractive. That in turn should generate, in my mind and in the minds of the board of directors as well, an increased shareholder value. Perfect. My second question is for Johan. You mentioned that you have a high degree of managed service and solution-based deliveries. Can you just give further intel into how recurring the solution-based deliveries are in terms of recurring customers? Sorry, your question was the recurring level of business within solution-based deliveries? Yeah, exactly. For example, how long do a customer generally have a contract with you with that setup? Well, our definition of solution-based business is basically that it's project based. It's a start and an end. The size and the length of the project can vary dramatically. There can be projects within digital learning, for instance, lasting only for a couple of months. Then you have large projects for the rail industry in Germany, worth hundreds of thousands of EUR, lasting over years, basically. It's very different in the setup. I don't know if there is a single answer to your question, really. That's how that kind of business is set up when I'm referring to solution based. Okay. Let me just ask in a different way. Out of your recurring revenues or recurring customers, how long is usually the typical contract? You mentioned that you have some contracts that have lasted for 20 years, for example. Well, not necessarily 20 years per contract, they have been renewed over the years. If you have a managed service contract, for instance, where you can compare it to functional outsourcing or similarly, that's normally a multi-year contract with the option for both parties, obviously, to prolong. Normally, you see the prolongation because our services add value to the customers and decrease their costs. We also have managed service contracts with no end to it, basically, that just continues year by year. If that's what you mean by with recurring revenues, that's the definition of how we measure the managed services. Okay, thank you very much. My last question is regarding this project team that you mentioned that will focus on executing the internal separation. Should we expect any major cost increase from that team, or how do you view that? It's very early days when it comes to the project. Now we are in a phase to identify all the things that needs to be done in the separation process and in parallel the investigation of the listing process. We will come back with that as well, we will of course have a breakout those costs, so it's easy for you to see what costs are related to this very specific project. That will be very transparent for you. Okay, perfect. Thank you very much for your presentation. Okay. Thank you, Stefan. Thank you. Just as a final reminder, if you do wish to ask a question, please press zero one on your telephone keypad now. We have another question from the line of Peter Tertzakian, who's a private investor. Please go ahead. Hello. Yeah. Great to see the move that you are spinning off the Product Information. Maybe a question to you on, how do you see growth going ahead? Is it growing in current markets, trying to consolidate or grow by winning outsourcing deals, or you see it as a geographical expansion going ahead? I believe that with the markets that we're focusing on right now, there is still substantial growth potential for us. Not to spread us thin, we will continue to focus for the next couple of years, at least, on the existing markets. I certainly do believe that you will see the growth coming from more of these managed service contracts in the future. We can also see that we have the opportunity to increase our share of revenue within the existing managed service contracts we have due to the trends that we were talking about, i.e., that our customers introduce more technology, more functionality, more complexity into their existing products, which drives the need for more product information as well. Okay, thank you. Could you maybe just take a few words on how you look at competition if you take your three main markets, Sweden, U.K. and Germany? In Sweden today, Semcon Product Information is the largest service provider of product information definitely. We also spread amongst industries quite interestingly in Sweden. The risk level is not that high. If you look at Germany, we are not that large, obviously. You saw the number of employees. There are also a number of competitors, but of the same size or even smaller. There are not that many very large service providers in Germany, which of course opens up for structural moves. In the U.K. it's a little bit of a different industry structure, but there we will be looking into moving into new industries where we can see some competitors, but we do believe our knowledge and our offering from automotive and agriculture, for instance, can be very interesting in moving into these industries with new solutions. A very quick answer to your question. Thank you. As there are no further questions, I'll hand it back to the speakers for any closing remarks. Okay. Thank you. We also have a couple of questions coming in by email. I'm just going to repeat those questions. The first one, a transaction may trigger withholding tax for non-Swedish shareholders if the spin-off is structured as a dividend. The question is: will you take potential tax impact into consideration when structuring the demerger? Okay. What is mentioned in the press release and also by me earlier, we are doing what we call a Lex Asea, which is Swedish tax legislation that in certain cases offers tax exemption for the distribution of shares and subsidiaries. At this stage, I don't want to comment any more on that, but this is a Lex Asea situation, and that's what we're of course, aiming for, and we will have to look into the details during this project of course, but we will take it into consideration, definitely. Thank you. Our next question is The Product Information segment specifically can be regarded as significantly undervalued and neglected when looking at EBIT multiples and growth of similar companies. The question is this potential demerger driven by outside interest to invest solely in the Product Information area? It's not driven by outside interests. It's driven by achieving a higher focus in both business areas and enabling good growth, which in turn, in our opinion, should generate an increased shareholder value. Of course, with a clear offering and two separate companies that are focusing on one hand production and product development services with the digitalization as well, and the other company focusing on after-sales solutions and digitalization and connected to that. Of course, there will be a larger clarity when it comes to the investment case as well, which makes it much clearer, and that's something that has been part of obviously the decision taken by the board of directors today. Okay. Thank you, Marcus. As we have no further questions, I leave you to close the call. Yeah. Thank you very much everyone for attending the call today. It's been a very exciting day and as you know when these decisions are made by the board of directors, we need to distribute this information to the markets directly. That's why I'm very pleased that you were able to make the call even though it was short notice. I'm, as always, available for questions, and you know that you can reach me over email or by phone, and we can have more discussions regarding this. Looking forward to keeping in touch. This is very exciting news, and we are excited within Semcon as well to carry out this project. We're looking at positive times ahead. Thank you very much for attending, everyone.
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