Autostore Hldgs Reg S

Good morning and welcome to AutoStore's fourth quarter 2025 presentation. My name is Siva Florskjær and I'm the Investor Relations Officer at AutoStore. I'll be moderating today's session. I'm joined by our CEO Mats Hovland-Vikse and our CFO Paul Harrison, and they're standing ready to walk you through this quarter and answer your questions. As usual, we would like to remind you of our disclaimer with regards to forward looking statements. It can be read here at your own convenience. Moving on to the agenda. Maths will begin with an overview of our operational performance and strategic progress. Paul will then walk you through the financial results in more detail. will follow with a live Q&A session. So you can submit your question via the webcast player, or you can raise your hand in the Microsoft Teams to ask your questions directly. The link is available in the Teams meeting. That was the invitation that was sent a couple of weeks ago. So after the Q&A, Mats will round off with some final remarks. And as a reminder, All our figures are stated in US dollars. So with that, Mats, over to you.

Thank you, Hiva. So fourth quarter marked a strong finish to the year. Look, we can all agree that 2025 has been a volatile year, but it is now clear that the actions that we have taken are starting to show through in our results. In Q4, revenues grew 29% sequentially and 9% year-over-year to 180 million. Order intake increased 27% sequentially and 35% year-over-year to 194 million. Moving to profitability, we maintained our strong gross margins at 74% and our EBITDA margin ended at 43%. If we look at it through a full year lens, revenues ended at 539 million, down 10% compared to 2024. And as we stand here today, we still observe a market that holds a lot of the same characteristics as we've seen for a while. What we see, though, is that certain customers are now investing in automation and building that intelligent fulfillment platform that is needed to operate in a world where changes just happen at a pace and frequency like never before. The customers we sign in Q4 are a mix between those that we've worked with for a long time and new ones that has come in with higher velocity. In the quarter, we saw continued strength from industrials and other B2B segments, and we're also seeing some traction in retail. I'm also pleased to see that us constituted more than 30% of our order intake and, in addition, we had several high throughput projects converted a period. As we've talked about before, these are key growth areas for us and the US was one of the areas where we re allocated investment towards during 2025. Taking a step back, 2025 has been a year where we've made significant change and progress in the company. The market environment was very difficult at the start of the year, as also reflected in our results. Following that, we took decisive actions and focused on what we can control. First, we have improved our ability to win, getting closer to our customers, reallocating resources and making sure that we're focused on the right sets of opportunities. We've added 150 new customers in 2025. And what is interesting, though, is that still existing customers accounted for about 60% of our revenues. And this, to me, talks about the potential of our land and expand model and the importance of deepened customer relationships. Second is that we're taking steps to improve the quality of our revenue. We have continued to invest in and monetize our software products, such as the essential package that we released earlier in 25. Additionally, we've launched new business models with Autos for Asset Service to better align with certain customer segments. And as an example, earlier this year, we won and shipped projects worth 34 million. And all of this has now gone live and started generating revenues for us. And third is that we continue to expand our leadership position to an improved pace of innovation. In 2025, we released 11 new products, including AutoCase, Carousel AI, and Flexpins. And so far, we've seen strong commercial traction with very positive customer feedback. And we've now gotten involved in several projects that we otherwise would not have been able to do without these sets of capabilities. And we do not stand still. Our next product announcement is coming up already in March, and I'm looking forward to showing you the progress that we've made. But altogether, these three pillars are setting us up for growth. As mentioned, there is still uncertainty in the market. And even though we see good momentum on several fronts, it's still too early to call how 2026 will evolve. But what we do know is that we are entering 2026 in a stronger position as a company than ever before. And that is partly as a result of the strong foundation that this strategy is built upon. The scale we have with nearly 2000 systems across 65 countries gives us a true global presence. We've achieved that through a model that gives us industry leading distribution with a strong partner network and a broad customer base of 1300 customers. We do all this with a superior financial profile. We're set up for growth, high margins and high cash conversions. And look, we can achieve this scale with such a financial profile because we have a standardized, modular, and flexible solution that works across a wide range of end markets. There's two takeaways I want you to take home from this page. First, we have a diversified customer base with customers using our solution for many different strategies, B2B, B2C, e-com, store fulfillment, and much more. Second, our solution is trusted by world-class brands. And even with those that have started implementing AutoStore, it is still early days in terms of adoption. And I always like to end with a customer story. And this time we want to show our customer Polaris, who is a global supplier of outdoor and off-road vehicles. They have seen great benefit of incorporating AutoStore into their operations. So before Paul takes us through the financials of the quarter, please have a look at this.

Polaris has been helping people discover the joy of being outdoors since 1954. We manufacture a wide variety of all-terrain vehicles, military and commercial vehicles, slingshots, snowmobiles and boats. In our division, PG&A, we have a robust portfolio of parts, garments, and accessories. We deliver to nearly 100 countries across the globe.