Welcome to the VBG Group Q2 Report 2026 presentation. During the Q&A session, participants are able to ask questions by dialing pound key five on their telephone keypad. I will hand the conference over to the speakers, CEO Anders Erkén and CFO Fredrik Jignéus. Please go ahead. Good morning, everyone. Welcome to the VBG Group presentation of Q2 2026. It's me, I will give you a summary of quarter two. Fredrik will give you all the details. Then we will make a short discussion about the future. It's been another volatile quarter with new tariffs and new political tension, especially in the Middle East. Revenue increased by 8.7% compared to the second quarter of 2025. Adjusted for currency and acquired volumes, sales increased by 8.3%. 75% of the growth was related to volume, and 25% was related to price adjustments. All divisions showed growth together with all three geographic markets, North America, Europe, rest of the world. In summary, the third- best quarter revenue-wise. Interesting is that the side-by-side segment within Mobile Thermal Solutions increased with 19%. The defense segment within Truck & Trailer Equipment with 60% compared to the second quarter last year. Ringfeder Power Transmission, our third division, showed growth in all industrial verticals. We see a clear trend that the European truck OEMs increased their volumes. We also see a limited impact revenue-wise due to the tension in the Middle East. It's mainly the sales related to the semi-trailers segment that is affected. Very important for us is that the order intake increased with 11% in the quarter compared to Q2 2025, which indicates good demand in the coming quarter. The group delivered an EBITA margin of 10%. It's worth to comment that the new tariffs and commodity price increases in Mobile Thermal Solutions had a negative effect on the operating result in the second quarter. As mentioned in a press release in the end of April, we reserved SEK 19.3 million for restructuring costs in the division Ringfeder Power Transmission. Now to the details, Fredrik, please go ahead. Thank you, Anders. I will change the picture. The second quarter was characterized by a continued strong demand across the group. Organic growth reached 8.3%, and all divisions contributed positively to sales development. Overall sales increased by 8.7% to SEK 1.48 billion. EBITA amounted to SEK 149 million, and the EBITA margin declined to 10%. The lower margin was mainly driven by three factors: restructuring provision relating to the consolidation in Germany, higher raw material costs, and the impact from changing U.S. tariffs that temporarily outpaced our price adjustments. Excluding the restructuring provision, the underlying profitability would have been stronger, of course. Cash flow was lower than last year due to the higher working capital requirements, mainly inventory and receivables, driven by growth in sales and preparations for the move of the Toronto facility. Let's go through one of the three divisions, starting with Truck & Trailer Equipment. Truck & Trailer Equipment delivered another very strong quarter. Organic growth was 3.1%, despite a relatively tough comparison quarter that included larger one-off orders in both U.S. and China. Demand remained strong in the Nordic markets and in Australia, while European trailer markets showed signs of recovery. The defense segment continued to grow rapidly, increasing by approximately 60% during the quarter. EBITA increased to SEK 82 million, and the EBITA margin reached 20%, demonstrating the strength of the business model and the operational leverage. Going over to Mobile Thermal Solutions. Mobile Thermal Solutions reported strong demand and a double-digit organic growth of 10.2%. Sales increased to SEK 783 million, and growth was particularly strong in the side-by-side segment, which continued to perform very well. Profitability was impacted by rising raw material prices and the new updated implementation of U.S. tariffs during the quarter. We have implemented price increases, there are temporary timing lag before the full effect is reflected in earnings. This is really tough when the environment keeps changing all the time. We saw encouraging signs towards the end of the quarter as pricing actions started to take effect. Ringfeder Power Transmission. Ringfeder delivered its strongest sales quarter ever. Sales increased by 23.5% to SEK 285 million, with an organic growth of 11.1%. Demand was particularly strong within automation, aerospace, and defense-related applications, while Malmedie continued to develop according to plan. EBITA was impacted by SEK 19.3 million in restructuring provision relating to the consolidation of production into Dobřany in Czechia. Excluding this item, profitability would have been stronger, of course. Product mix during the quarter also negatively affected margins. Importantly, the consolidation supports future efficiency improvements and strengthens the division's long-term competitiveness. Could you please change the picture, Anders? Done. Okay. One of VBG Group's key strengths remains our geographical diversification. North America represents approximately 50% of the sales, Europe 36%, and the rest of the world 14%. This balanced exposure reduces dependency on any single market and creates resilience in a volatile environment. Another important stabilizing factor is our after-market business, which accounts for roughly one-quarter of the group revenues and contributes recurring demand throughout business cycles. Cash flow before investments or CapEx was weaker than last year due to increasing working capital requirements. Higher sales levels drove receivables, while inventory increased as part of the preparation for the Toronto facility move. During the first half-year, we continued to invest in our long-term growth agenda. The Toronto facility is progressing according to plan and represents the majority of the group's capital expenditure. Even after these investments and three acquisitions completed during the last year, we maintain a strong financial position with significant financial flexibility for future growth initiatives. ROIC declined to 26.6%, mainly due to the increased capital employed relating to the Toronto project. The facility has not yet contributed to earnings but will support future capacity and efficiency improvements once fully operational during the fourth quarter 2026. To summarize, we delivered another quarter with strong organic growth across all divisions, increasing order intake, and continued strategic progress in both Toronto and Dobřany. While profitability was impacted by temporary factors during the quarter, we continued to invest for the future from a position of financial strength. With that, I hand it back to you, Anders. Thank you very much, Fredrik. Looking ahead, I do anticipate continued market volatility and new political tension. We have an organization that is agile and responsive to changing conditions. Overall, while changing tariffs remains a challenge, the largest impact was, as Fredrik mentioned, the commodity price increases for Mobile Thermal Solutions, especially copper, aluminum, and plastics. We are committed to offsetting these cost increases with price adjustments and cost takeouts, and as Fredrik mentioned, we see progress in the end of the quarter. Coming into detail, it was the adjustment of the tariff, Section 232, on the 6th of April, which meant that products with a higher volume than 15% of steel and aluminum got a tariff of 25%. It was changed on the 1st of June down to 15%, but still had an impact. On the other hand, we are committed to capitalizing the strong order book going forward, and as mentioned, the order intake increased by 11% during the quarter. We will also finalize the building in Toronto during Q3, where we see that we have the keys to the building in the middle of October. As we announced in April, we will consolidate Ringfeder Power Transmission's production facilities and build a new building in Dobřany, Czech Republic, not far away from the existing building that we have. Dobřany, Czech Republic. This is part of our strategy to be more efficient, to increase capacity and strengthen our long-term competitive edge. With our financial strength and our decentralized organization, we are prepared for what lies ahead. Through our cash-generating divisions, we are committed to complementary acquisitions as well as investing in organic growth. This will lead to continued sustainable profitability. By that, we end the presentation, and we are open for questions. If you wish to ask a question, please dial pound key five on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial pound key six on your telephone keypad. The next question comes from Gustav Berneblad from Nordea. Please go ahead. Good morning. It is Gustav here from Nordea. Morning, Gustav. Good morning. I thought maybe just to start, on the order intake here, you commented 11% year-over-year. Can you just give us a bit more color on whether it is equally split between the different segments, or if it is more tilted towards any of them? Good morning, Gustav. First of all, as you all know, the currency effect is much smaller compared to quarter four 2025 and quarter one, but still, the 11% is not currency. It is not taking care of the currencies, so to say. When it comes to the order intake, it's, I would say, evenly distributed, a little bit more on the Ringfeder Power Transmission side from a percentage point of view. Yeah, okay. That's very clear. If we just jump into Mobile Thermal Solutions here, and then the margin. As you say, you implemented price increases. You announced it in Q4. It is gradually coming here into effect. You could see the end of the quarter here. Should we expect to see you compensating fully for the increased cost in Q4, or is that too early, would you say? I would say it like this. First of all, it's like going to the amusement park, and hit the frogs. You bang one frog, but later it pops up on another place, and it's literally the same when it comes to the tariffs here. We were surprised that it was changed during the quarter when we had a good trend, and then the impact. We continue, as mentioned, with price adjustments and cost take- outs, and we saw good progress in the end of the quarter. We see that it will take another quarter before we have covered the lag. Practically, if nothing else happens during quarter three and quarter four, we see that we have good progress into quarter four. That's very clear. Are you implementing further price increases now in Q2, or? Absolutely. They will have an effect in quarter three when you increase prices, the order book will gradually implement these price changes. That's perfect. I was just wondering if it's possible for you to say, assuming a similar mix in Mobile Thermal Solutions that we're seeing today, but then see that you are compensating fully for the increased cost here. Do you expect that to be enough for you to come back to double-digit margins in Mobile Thermal Solutions? We see that we will come back to double-digit margins with the same product mix that we have today, and the price adjustment and cost take- outs that we have. That's very clear. If we take a view on the longer-term margin here for Mobile Thermal Solutions, and also, I guess, including also the new Toronto facility, what type of margins can this business potentially run with? If just ballpark or if you can just reason a bit about it or anything. Our long-term view on this division, that is to come back to an EBITA margin of 15%. Of course, it will not happen from this quarter or next, but the long-term view is a 15% EBIT margin on this division. Okay, perfect. If we just jump to Truck & Trailer Equipment here. I think very impressive margin. Just looking at the organic growth, 3% year-over-year, still you raise the margin by 270 basis points. Can you just help us dissect a bit what is driving the margin and just how sustainable is it going forward? If we look at Truck & Trailer Equipment, it's for sure the drawbar coupling range that is driving the profitability now and the growth. Of course, we can see good signs when it comes to the order intake and generally the demand on the OEM side in Europe when it comes to the truck business. It's overall good cost control, and good delivery performance, and a stable market going forward. As Fredrik mentioned, we also, had the comparable figures from last year was kind of tough because we had two spot orders to China and U.S., which amounted to $25 million. Okay, it sounds like it's good cost control, also a good mixed effect here if we look just year-over-year. Correct. Correct. Great. Just one last question, sorry. On the defense sales here, you say it's growing 60% year-over-year. Yes. Is this related to more one-off orders, or is this basically reflecting the underlying market for your specific niche? It's definitely an underlying good market, and it's not related to any project orders or one-off things. It's an underlying growth, and that we can see that the defense sector is plus double digits now in revenue for the division Truck & Trailer Equipment. Oh, that's very interesting. Is it possible to say more specifically what double digits? Could be quite a big variation there. It's a little bit more than double digits, Gustav. More than double digits? No, it's- It's like- Somewhere between 11%-12%, to be more exact. Yeah. Oh, that's perfect. That's great. Thank you very much for taking my questions. Thank you, Gustav. Thank you. There are no more questions at this time. I hand the conference back to the speakers for any closing comments. By that, we thank you very much for the attention. We wish everyone on the northern hemisphere a great summer. Enjoy the summertime, and we will come back in October with our quarter three report. Thank you very much. Thank you.