Qt Group Oyj

Good afternoon and welcome to QD Group's Q4 2025 results presentation. My name is Heli Jäämsä, I am the lead and with me today are CEO Juha Varelius and Interim CFO Ann Setterpääri to present the results. After the presentations, we will have Q&A first in the room and if there's time left, move on to the questions from the lines. Without further ado, please Juha, the floor is yours.

Thank you, thank you. Good afternoon everyone. And we have the same agenda as always. I go a bit through what happened on Q4, and then Anne is going to go through the numbers in more detail. I'll talk a bit about the future outlook, and then questions. So, the Q4, we had a growth of... 12.6 or 18.6 comparable currencies. And of course, IAR acquisition, which we contributed in this development. And IAR was 8.1 million on Q4, and our organic growth was 6.1%. So it was a... compared to the very difficult year we had last year, it was a decent quarter, and we were happy on that. Our EBITDA margin was 35.6 and the 27.5 million, and there is a decrease compared to last year, but we did have a one-off cost on the acquisition that we're burdening that. I'm going to talk more about the overall market environment. But of course, even the year changed, the market environment hasn't changed that much. So we had quite a bit of challenges last year, which affected our customers in a way that we had tariffs and whatnot uncertainties. So the selling developer licenses last year was slow, if put it on one word. So the On the whole year, we ended up on 216.3 million, which is an increase of 6.6% on comparable currencies. So we went pretty much in the middle of our guidance. The distribution license revenue grew very well last year. There were a lot of new things coming into the market, new programs started, which ended up on the 26.4% growth. And of course, the main growth drivers industries for distribution licenses is the automotive, medical and industrial manufacturing. The whole year EBITDA was 51.8% and there was a decrease. EBITDA margin was at 24%. Our personal increased end of the year to 1,100, out of which 215 are IAR employees. But we did continue our own hiring as well. The one-off costs for IAR acquisition, 5.8 million. We're going to talk that also a bit later, but of course, we all know that the IAR profitability has been less than the acute, so that affects the overall profitability of the group growing forward this year. We haven't disclosed the ARR before, and on the ARR, we had a growth of 8.3%. And there on the small print is that it is Qt and the QA developer license base. And it does not include the IAR licenses and distribution licenses. So that ARR is the Qt and QA business. We plan to give that ARR number now in the future also in the half a year sequence. So you can see that because one of the questions affecting our revenue has always been the shift from one to three year licenses. Of course, last year we did see the cautiousness in our customers. So it was slowness in sales, but it was also people shifting from three year to one year. So now presenting this ARR, you don't have to worry about the shift from one three-year to one year because we can follow the ARR. And our plan is to give that number now next time after second quarter and so on. Obviously, it's a number that doesn't change that much. We might even go on a quarterly basis if that's needed. But like I said, it's a much slower moving. slower moving measurement. Well, here are some of the product related things we did in 2025. There are always questions about AI. Is AI going to eat our lunch in a way that the you know that there are a lot of predictions on AI that the no developers are needed and AI is going to do all the code. Well, at least as of now, we don't see that development. We do see that there are a lot of AI assistants being used like we are offering them in Qt and our design studios and on Squish. So on writing test scripts, for example, you can use AI and then Squish does the actual testing. So they help on that. But do we see that specifically on embedded world, that the AI would become and replace the developers, that kind of a development we don't see as of yet? At the same time, of course, it's good to realize that I think that the U.S. companies are planning to invest five, six hundred billion next year. So obviously they are expecting to get something out of it. But I don't see that developers would be going away next year or even in the coming years in that sense. On the partnering side, On Axivion we do have our partnerships with Nvidia CUDA, so when you're doing CUDA code or using CUDA, you can use Axivion. On the R&D, on the defense sector, we did have the FACE certifications and working with Infineon over there. on the AI consumer power devices. And then we are expanding our ecosystem through the Qt bridges, which will enable more languages over there basically. These are just some of the highlights that we are working on the product development. So in general, all our products have always been very good. We get a very good feedback. So this is just to show a few examples that we do. continue our R&D. And we are on the forefront of product development all the time, making sure that all the Qt products are very competitive in the market. And that seems to be the case on all the customer surveys from our users. With this, Anne, please.

Good, thank you.