Materialise NV

Good day, thank you for standing by, and welcome to the Q3 2021 Materialized Financial Results Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during that session, you will need to press star 1 on your telephone keypad. If you require any further assistance, please press star 0. Thank you. I would now like to hand the conference over to your speaker today, Ms. Harriet Freed of LHA. The floor is yours.

Thank you for joining us today for Materialize's quarterly conference call. With us on the call are Freed von Kron, Founder and Chief Executive Officer of Materialize, Peter Leys, Executive Chairman, and Johan Albrecht, Chief Financial Officer. Today's call and webcast are being accompanied by a slide presentation that reviews Materialize's strategic, financial, and operational performance for the third quarter of 2021. To access the slides, if you've not already done so, please go to the investor relations section of the company's website at www.materialize.com. The earnings release issued earlier this morning can also be found there. Before we get started, I'd like to remind you that management may make forward-looking statements regarding the company's plans, expectations, and growth prospects, among other things. These forward-looking statements are subject to known and unknown certainties and risks that could cause actual results to differ materially from the expectations expressed, including competitive dynamics and industry change. Any forward-looking statements, including those related to the company's future results and activities, represent management's estimates as of today and should not be relied upon as representing their estimates as of any subsequent day. Management disclaims any duty to update or revise any forward-looking statements to reflect future events or changes in expectations. A more detailed description of the risks and uncertainties and other factors that may impact the company's future business or financial results can be found in its most recent annual report on Form 20-F, filed with the SEC. Finally, management will discuss certain non-IFRS measures on today's call. A reconciliation table is contained in the earnings release and at the end of the slide presentation. With that introduction, I'd like to turn the call over to Peter Ley. Go ahead, please, Peter.

Thank you, Harriet. Harriet, before addressing the agenda of today's call, I would like to add Just a small additional paragraph to the safe harbor language that you have, as always, read so eloquently. Frit, Johan, and myself are today just the messengers of the excellent results that we have the honor to report to you today. The true heroes of our third quarter, the only ones responsible for the results, are our 2,200 plus collaborators. And at the risk of spoiling the fun of the rest of this call, we would like to thank and congratulate each and every one of them for the record results, both at the top and at the bottom line, that they have achieved during this quarter. With that little additional message, I would now like to turn to slide three, which as always holds the agenda for today's call. And as a first item, I will summarize with great pleasure the highlights of our financial results for the third quarter. Then I will pass the floor to Fried, who will provide some insights into how we are creating value both for our customers and for our company in materialized manufacturing. After that, Johan will walk you, as always, through our third quarter numbers in much more detail. And finally, I will come back to give you some observations about what we currently believe the rest of 2021 will bring. And when we have completed our prepared remarks, we will then, of course, open the call for any questions that you may have. So let's turn to slide four, the highlights. In the third quarter of 2021, Materialise posted all-time quarterly records. both in terms of revenues and in terms of earnings. Driven by a double-digit growth in each of our segments, our consolidated revenues increased by 28% to a quarterly record of €52,195,000. Each of our segments realized very strong EBITDA margins. As a matter of fact, in the third quarter, Each of our segments met or exceeded their long-term internal EBITDA margin benchmarks. Software realized an EBITDA margin of more than 35%. Medical came close to 28%. And manufacturing posted an EBITDA margin of more than 15%. As a result, our consolidated adjusted EBITDA increased by 62% to a quarterly record, yet again, of €9,739,000, representing almost 19% of total revenues. net profit for the quarter of 2021 was 8 million 652 000 or 15 euro cents per diluted share we believe that these numbers show that our strategy of continuing to invest throughout the covet 19 pandemic in our people in our existing businesses such as the Magix and Mimix software platforms and our 3D printing manufacturing activities, as well as in our growth initiatives, including our MES, CMF, and wearable initiatives, was the right choice and is already paying off in the short term. An activity of Materialise that remained somewhat under the radar during the corona crisis is the continued and very selective search by our materialized manufacturing business developers for applications for which batches of end parts can be produced more effectively through 3D printing, including in metal. I would like to now pass the floor to Frit, who will give you some more insight in some of our recent accomplishments in that particular area. Frit?