Dynavox Group Ab

Okay, good morning everyone and welcome to this earnings call. We will cover the first quarter 2024, summarizing our business in January, February and March. So I'm Fredrik Rubin, I'm the CEO of Tobii Dynabox.

Hello, I'm Linda Thyring, the CFO of Tobii Dynabox and I will cover the financials.

So for those of you who have participated in these calls before, you will be familiar that we will start by a quick recap about what Tobii Dynabox does. And then we will summarize the main takeaways from the quarter. We will dive deeper into the financials. And thereafter, we will open up for a Q&A session. And you can submit your questions during the live session in the chat function here in Teams. But we, of course, always welcome offline questions sent by email to Linda's email address, linda.tybling at tobydynavox.com. Okey-dokey. So a brief overview of Tobii Dynavox, the company. First and foremost, it's super important to reiterate our mission and vision, which I know is very dear not to only our 700 plus colleagues around the world, but also to our ecosystems of partners and investors. and our vision is the world where everyone can communicate and we contribute to this via focusing on our mission which reads to empower people with disabilities to do what they once did or never thought possible and this also summarizes two of our main user stories the first one is the do what you once did that may refer to the person who led a normal life until diagnosed with something such as ALS, which rendered her then unable to control the body or communicate like before. The other, the never thought possible can refer to the child that's diagnosed at an early age with a condition such as autism or cerebral palsy, where thanks to our solutions, he can do much more than the world around him ever thought possible. And on the picture here, you see Brock, He's from Louisiana, USA. He's one of those amazing young users, and he's diagnosed with nonverbal autism, and he's a great example of exactly this. The market that Toby Dynavok serves is hugely underserved. Some 50 million people have a condition so grave they simply cannot communicate unless they have a solution such as ours. Every year, about 2 million people are being diagnosed, and yet we estimate that only 2% of those are actually being helped, and the rest, they remain silent. The main reason for this spells lack of awareness, also among the professionals and the prescribers tasked to assist these users, combined with a poor healthcare reimbursement system. Tobii Dynavox, we operate with a global footprint. Some three quarters of our business today stems out of the US, and that's largely because a reasonably well-functioning funding system, which was established some 20, 30 years ago. Our products are sold in about 65 markets around the world, of which the US, Canada, UK, Ireland, Denmark and Sweden and Norway are markets where we sell directly, while the other are served by a network of some 100 plus reseller partners. Our staff is distributed in a similar way as the revenue, meaning that some 70 plus percent of our staff are based in North America with our US headquarters in Pittsburgh, Pennsylvania, Our second largest office is our headquarter here in Stockholm, but we have branch offices in several European countries as well as in Suju, China. And as of today, we are a little bit north of 700 employees in total. In September of last year, we added a new division to our team via the acquisition of ReHadapt, which also means that we welcomed some 50 new colleagues, mainly based in ReHadapt's headquarters in Kassel in Germany. With prior acquisitions, we have also then established or increased our presence specifically in Belgium, France, Ireland and Denmark. We provide a comprehensive portfolio of solutions, and that ranges from the content such as the world's leading symbol library, its symbol communication symbols called PCS and a solution for the off the shelf or custom made voices that are of the highest quality in diversity of languages. ages, ethnicities. We have highly sophisticated communication software tailored to the type of user, which of course can vary greatly based on the needs. We develop and design devices with cutting edge technology and medically certified durability, including communication aids controlled via eye tracking and accessories such as the ReHadapt mounts. We have a services portfolio to help our users through the complexity of obtaining and getting funding for solutions. And then last but not least, we're there to help our users, the therapist and the caregivers through our global teams of support resources. And we operate this model globally. Hence, it's important to note that each piece of the picture here is critically important, but also a significant differentiator for us, making us absolutely unique. Our go to market model is predominantly as prescribed aids, hence some 90% of our revenue comes from either public or private insurance providers. But this also means that we have solid paying customers. We have always historically been resilient towards changes in the overall economic climate. Great. So now we'll come back to the main topic of today, focusing on the earnings report for the first quarter of 2024. And if I summarize and look at the highlights, we had another very solid quarter when it comes to revenue growth. The growth compared to the same quarter previous year sums up to 28%, both before and after adjusting for currency effects. This basically continues the trend that we've seen for the past eight quarters. The first quarter is normally also our seasonally weakest quarter. During the first quarter, we continue to report good growth across the board, meaning in all geographies, across all products and user groups. We benefit from a market leading an up to date product portfolio, which we continuously improve with new products and features. Our work to improve awareness and competence continues specifically among prescribers and professionals. The North American market continues to show strong growth. It is by far the largest and most influential market, both for us and for our industry. But we continue to have equally good growth rates also in Europe and other countries. The strong momentum among the younger user base continues, and that includes children with autism, for example, that rely on our symbol communication solutions and in particular a software called TD Snap. Our OPEX levels increase, but we are a consequence of investments to secure the future growth and building the foundation for a much bigger company in the future. Hence, we continue to invest in our staff, mainly within sales and marketing, but also in backend systems and tools. We also continue to improve our profitability at an even faster pace. So our operating profits increased by more than 50% in the quarter and our earnings per share increased by some 45% compared to the same quarter 2023. But over to you, Linda, to dig a little bit deeper into the financials.