Good day and thank you for standing by. Welcome to today's Studsvik Q1 2021 conference call. At this time, all participants are in listen only mode. After the speaker presentation, there will be a Q&A session. Please be advised that today's conference is being recorded. I would now like to hand the conference over to our speaker today, Camilla Hoflund. Thank you. Please go ahead, Cam. Thank you very much. Ladies and gentlemen, welcome to the Studsvik interim report for the first quarter 2021. Let me introduce myself. I'm Camilla Hoflund, the CEO of Studsvik, and together with me today is Claes Engvall, CFO of Studsvik. We will walk you through the Studsvik report for the first quarter 2021. Next slide, please. In summary, the financial numbers for the first quarter have improved compared to last year. Now the highlights in the quarter are, business area Decommissioning & Radiation Protection Services with an operating profit margin of 9%. Now the business area has managed to deliver on the high demand from customers with the outcome of a high utilization throughout the organization. The business area, Fuel and Materials Technology, has reached a milestone, a backlog of about SEK 1 billion. Important to reach this milestone has been the previous already released major agreements signed earlier this quarter with TVEL Russia for about SEK 100 million. The Institute for Energy Technology, IFE, Norway, worth about SEK 130 million. All in all, Decommissioning & Radiation Protection Services and Fuel and Materials Technology have a solid ground established in the beginning of the year. Next page, please. A little bit more on the business area Decommissioning & Radiation Protection Services, which had a strong growth and a strong operating margin. The business area made a great achievement and managed to meet the high demand for decommissioning services from customers, mainly in Germany, which also, as mentioned before, the outcome was a high utilization throughout the business area. If we look into the strategic pillars for this business area, we can see that long-term customer relations is very important to be a reliable partner. Studsvik has a number of large organizations that we have served for many years and still maintain our customers. Studsvik is well-positioned as a proven reliable partner in Germany and Finland. Next important strategic pillar would be the strong market presence throughout Germany. What we mean with that is that this business area have a strong staff presence at customer site throughout the German market. By being on site, our people have direct experience with the operation of these nuclear plants, as well as decommissioning experience from other similar plants. This experience has proven invaluable when the customers of operating units move into the decommissioning phase by helping the customers to reduce risk and costs. The operation is a people business. Our continued development depends on having the right people and growing as individuals. As an example, we are working with innovative ideas for education together with the Mannheim University of Applied Sciences. All in all, a very good quarter and a very good performance from the local management team in Germany. Next page, please. Fuel and Materials Technology, where we achieved the milestone of have increasing backlog and actually meeting the target of SEK 1 billion. Also in the business area, we can see an increased sales quarter-on-quarter impacted by project mix. We also have performed a hot cell maintenance that had an impact of SEK 5 million on the operating profit. The backlog of SEK 1 billion is to be delivered during 2021-2027, with the major part until 2025. A little bit looking into the strategic pillars for the business area, Fuel and Materials Technology. Increasing business with new customers. The breakthrough in Asia last year with customers in China and South Korea opened for increased business in Asia. Studsvik, through its proven track record in fuel qualification for commercial nuclear fuel offers an efficient and independent fuel qualification program employing world-leading technology. Much like any other Studsvik offering, this experience reduces risk and cost for the fuel vendors trying to introduce their new fuel products to the market. The business area is also expanding into new areas such as decommissioning of backends, especially dealing with spent fuel of the decommissioning nuclear facilities. These tasks often focus on addressing a safe and efficient way of handling highly radioactive materials that need to be conditioned before stored for very long periods of time. This task requires customized solutions to very complex problems, which is a part of Studsvik's established brand. One example is the recent signed agreement with IFE, Norwegian Nuclear Decommissioning, NND, for loading equipment, transport, handling equipment, examination, and pretreatment of nuclear fuels from the research reactor JEEP I at Kjeller. Another strategic initiative for expanding into new markets is also expansion beyond nuclear. For example, a new segment Studsvik has expanded into is the medical isotope production field. Through our innovation, the business area have created a unique automated robotic production of isotope encapsulation for Elekta's medical Leksell Gamma Knife device. This is performed in our hot cells in Sweden. Just one example of where experience meets innovation. Studsvik creates something different and valuable for our customers. Another strategic pillar would be, of course, that new orders require increased capacity. With the very strong backlog that we have, we now have to deliver for the future and for the growth. The business area has high focus in the program to increase the capacity in our existing hot cell facilities and to recruit quite many people and create impactful ways to improve the efficiency throughout the facility and operation. Finally, I would like to mention the third strategic pillar, international programs. The business area has a target to increase the number of long-term programs with customers representing the global nuclear industry. These programs are collaborative networks of world-leading specialists that support industry with new technology and high-value results that drive both efficiency and safety. I think the business area is on a good pattern moving forward into the growth phase. Next page, please. Scandpower, our business area that is well-positioned on a global market. Patterns have between the years showed extension of license fees at EPRs that has a smaller impact on safe and operating topics. The business area's position on the domestic market, U.S., is strong, the customers are interested in Studsvik's core monitoring software, SLM. I'm very pleased to welcome Robert Ritchie as the new president for Scandpower business area. Robert has a software background with more than 30 years of international business development and innovation experience. He also has a significant experience with growing revenue, which is what we have been looking for in this position. Robert's assignment is to grow our world-leading software business. However, we need to be realistic that this will take some time. Looking into the strategic pillars for the business area Scandpower, new geographical markets. We can summarize that some of the key drivers are the reactor and fuel vendor independence. The purpose is to gain high competition. Also the Studsvik brand, our years of global software experience that reduces the risk. The business area target customers in Eastern Europe and new emerging nuclear countries. For example, it's recently announced that Barakah Unit 1 in UAE is in commercial operation as the first nuclear power plant in the region. The other strategic pillar is support new reactor technology. The key driver would be fuel vendor independence again. Most new reactor vendors do not have their own fuel management software and do not want to use fuel vendors or competitor software systems. Studsvik has a proven track record of developing and managing complex software systems to support reactor safety and efficiency, and new reactor technology, such as small modular reactors, SMRs. We are very excited to see what this can bring into the future. Next page, please. Business area Waste Management Technology, where we are heading towards efficient waste transformation. The business area continues with high focus to break through for our first customer, Studsvik's innovation in waste management, called inDRUM technology. inDRUM is an innovative technology that can treat waste locally on-site, reducing risks associated with transport and significantly reducing the volume. The business area has commercial discussions with customers in Europe and North America. There is a time component with long lead times and decision processes. The strategic pillars for the business area. Technology supporting global need to handle waste. I think we've heard it many times, that one financial uncertainty and risk for the nuclear industry is treat and store radioactive waste. This is the same regardless of existing nuclear facility or planned new nuclear technology, such as small modular reactors or molten salt reactors. There is a growing demand to deal with the legacy waste, which has accumulated for various reasons on nuclear sites for many years. The second strategic pillar is environmental safe and cost-efficient technology. Nuclear waste storage is high volume. Studsvik innovation technology reduces waste as much as 90%, translating directly into reduced waste storage costs that the waste owner otherwise would have to pay. There is also requirements for the waste to be stored in an environmentally safe manner. One of the distinguished features of Studsvik technology focus on stabilizing the waste, and that support a safe transport and long-term storage. Next page, please. The group had a stable start of the year. Growth is 6.5%, some of you might be aware that we have a group target of 10%. The operating profit margin is about 5% compared to the strategic group target of 8%. The group continued to generate positive free cash flow of almost about SEK 10 million. The investments within the group are mainly within the business area of Fuel and Materials Technology, and to increase the capacity of the facilities. Next page, please. The outlook, for the business area. For the full year 2021, Studsvik sees strong order book in Decommissioning & Radiation Protection Services. Fuel and Materials Technology will restart the medical isotope production Elekta and deliver in the new agreement. Furthermore, Scandpower is pursuing new market opportunities in Eastern Europe and Middle East. While Waste and Material, Waste Management Technology is deploying new innovation in inDRUM technology as the main business driver. Next page, please. This summarizes Q1 for Studsvik. Thank you very much for listening in to our interim report. Now over to the operator and Q&A session, please. Thank you. As a reminder, if you wish to ask a question, please press star and one on your telephone, and please wait for your name to be announced. If you wish to cancel your request, you may press the hash key. We have here first question from the line of Stefan Knutsson. Your line is now open. Hi, Camilla. Thank you for the presentation. First up on Fuel and Materials, you mentioned that you require increased capacity to handle the new orders. Can you talk a little bit more about that? Is it a substantial investment that is needed? It's not a substantial investment, and it's within our existing facilities. Okay, perfect. Additionally, we saw in the news about the waste in Forsmark, and that you need to bring back Studsvik. What implications will that have and, yeah, can you elaborate on it? In principle, we have no more news than that we had within the press release. We are taking the same statement that we had in the press release. Okay. Finally, if we look a bit on the decommissioning area, you mentioned that the order book is well covered for 2021. If we look a bit broader, where would you say that Germany and Switzerland are in the decommissioning phase, if you look at the whole market? Can you clarify the question a little bit, Stefan? Yeah. We know that Germany, for example, has a plan to close down a lot of their nuclear facilities. Just wondering if you could specify a bit where you see that, how far the company has come in terms of the decommissioning process? I think there are a lot of decommissioning activities ongoing already. As you know, it's very soon all the reactors will be closed down in Germany. I think for our positioning, we are well-positioned and we have a good mix of things that we are doing that is for decommissioning already and some things that we are doing for the very few reactors that still are in operation. Okay. Thank you. That was all from me. Thank you very much. Thank you. Your next question comes from the line of Paul Jarvis. Your line is now open. Thank you. This is Paul Jarvis. Speaking. I have a question. In Q4, Waste Management Technology reported, let's say, exceptionally high sales revenue, and then was explained in the investors call that there was a, let's say, corresponding provision in the sales and marketing cost, I believe, that was driving that item. More or less neutral in Q4. Do you have any comments as to how that has developed for Q1 this year? Yes. Thank you for the question, Paul Jarvis. We have no updated information at this point in time. It's the same as we had last time. No progress at this point in time. Okay. Thank you. Thank you. Once again, if you wish to ask a question, please press four and one. Should you wish to cancel your request, you may press the hash key. We have your next question from the line of Anders Steen. Your line is now open. Sir, your line is now open. Mr. Steen. Mr. Anders Steen, your line is now open. Please check if you're unmute. Hello. Sorry for the technical problems. My name is Anders Steen, and I have some questions for you. The first one is with respect to what was said in the Q4 presentation, that revenue recognition from new license agreements have been postponed into 2021 due to COVID-19. Has that been recognized now in Q1, and in what amounts? I'm not really sure if you're referring to the same question as Paul Jarvis just posed. If that is the case, the answer is as Camilla Hoflund said, that we have no further information as the situation is the same. Okay. No delayed revenue, so to speak, from Q4 have been recognized in this quarter? That's correct. Okay. Next question is with respect to your M&A agenda. Do you have an M&A agenda, or are you actively pursuing M&A activities, add-on acquisitions? Thank you for the question, but unfortunately, this is not something that we can share any information about at this point in time. Okay. The question was not if you have anything in your pipeline yet. I have been listening to these calls now for a couple of quarters, and M&A is not mentioned as one of your strategic initiatives. My question was really more if M&A is on your agenda, generally speaking. Unfortunately, I have the same answer, but I cannot comment any further on this. Okay. Just a question about the maintenance stop in Q1. Is that type of maintenance stop done annually, or is it biannually, or what's the frequency? That kind of stop is maybe on average every third or fourth year, about. Okay. Thank you very much. No further questions from me. Thank you. Thank you. Your next question comes from the line of Peter Gyllenhammar. Your line is now open. Okay. Hello, it's Peter Gyllenhammar here. Hello. Hi there. We just heard, Camilla Hoflund, also read in the annual report that your financial objectives are, among others, to achieve an 8% return on sales. When you look at the numbers for the respective businesses, your order book, etc., it seems that your objective is to lower your return on sales, actually. I'm quite stunned that when manufacturing and distribution companies generate double-digit return on sales without having much technology, a superb high-tech and growth business like Studsvik, where you can already see important parts of it generating double-digit return on sales, has an 8% return. To me, it looks like a failure. You need to lower your return on sales in order to reach your objective. What is your comment to this? I think before you answer it, I think it's a very important thing for you to consider that this is a guidance to the stock market, to the financial market, to your owners and shareholders, et cetera. My question is your financial objective really an 8% return on sales? Thank you, Peter, for your comment, and of course, you may have your comment. I can tell you that my focus is, of course, to deliver a profitable growth for the company. Of course, that's not going to stop at any point of time. That's really the main target. When it comes to reviewing any financial target, that's a process, and when we have something, new information, we will inform you about that together to the rest of the market, of course. Shall we read this as your current view is that an 8% return on sales is a satisfactory objective for your company? Unfortunately, Peter, I have no further comment on this. This is very important because this is a statement you stand. This is your opportunity to communicate with the stock market and your shareholders. If you present the guidance, which is not what we really believe is achievable, I think you are misleading the stock market and shareholders. With your SEK 1 billion order book, which relates to your most profitable division, where you obviously can make 15% return on sales if you look at your historical performance, I find it flabbergasting that you present an 8% guidance to the market. The order book, which you know, Peter, is of course, to be delivered over many years. It's not happening in the first years. This is the information we have at the moment, and we have no further information to share. Okay. I find this, of course, could be interesting. Thank you very much. Thank you. Thank you. There are no further questions at this time. Once again, it's star one if you wish to ask a question.