AcadeMedia AB (publ)

Good morning, everybody. I will start. Marcus Strömberg is the CEO here. Stockholm today has fantastic weather and Academiedia has started the new school year in a really good way. We increased the number of children with 8% and that is a result of the efforts and investments that we have done, both international and also in the Swedish education part. So we think that we sum up a very good year and a good quarter with strong demand. We have increased the number of school places, but we have also increased the capacity utilization. The net sales grow with more than 15%, of which around half was organic. And the profitability also increased a lot. And the result of the international development that really has increased the profitability. We have now 50% growth international, and we also see that 40% of Academedia is adult education and international education. And our target, that is 50%, so we are on a good road to reach the target and get a good balance between Swedish education and international education. We have had a lot of efforts on reading skills, vocabulary, early age programs and that has also given us very good quality results this year. We have worked a lot with the grades and equivalents between the national tests and the grades and I would like to say that Academedia is really the leader in the way that we work with our quality development. The board has decided to continue to keep the dividend at the same level as last year and they will also propose a program of share redemption to the annual meeting in November. So with that short introduction, I will hand over to Petter and he will bring you through the numbers and I will gladly answer questions after that.

Thank you, Marcus, and good morning, everyone. So to start with, as Marcus said, we end this year with a very strong quarter. I'm very glad to be part of that in my second quarter's presentation in this company. As Marcus outlined earlier, we achieved a good growth of 15.6%. And that was with contributions from the acquisitions of Tula in Finland and Winford College in the Netherlands. And they amounted to 8.7%. Additionally, our adjusted profit margin increased to 8.5%. compared to last year's 7.9%, which means that we were reaching 415 million in absolute terms, up from 333 million. And we have for long had a stable and profitable Swedish operation. And I'm glad to say that now we manage also to increase the profitability in the national operation, mainly an effect of that Germany and Norway are better compensations for inflational costs. And finally, this increased profit has translated into correspondingly higher free cash flow. Now turn to page four, please. The improved adjusted EBIT are evident across all segments. Apart from the better compensation through annual increases in school vouchers, which now adequately account for inflation, the positive change is most notable in the preschool and international segments. where in addition to better school voucher compensation, the acquisitions ought or has contributed an additional 30 million. As we mentioned in previous quarters, the increase in group overhead costs is a natural outcome of our growth. Some of our staff functions are adding extra resources to accommodate our expanding operations. Let's look at the quarter's development within each segment. And we start with the preschool segment at page seven. The number of children increased by an impressive 33%, with growth witnessed across all countries except Sweden. And in Sweden, we had six preschools that were closed in the past 12 months, which are affecting the year-over-the-year numbers. Our growth was primarily driven by the acquisitions of Windford in the Netherlands and Tula in Finland, along with new preschool openings in Germany. As Marcus mentioned, the international operations now account for a little bit more than 30% of the growth total sales this quarter. Net sales increased by 35% compared to last quarter, with organic growth at 8.3%. Adjusted EBIT and margin improved compared to the previous year's quarter. This quarter margin reached 8% up from last year's 6.8% and the operating profit was 151 million compared to last year's 95. These improvements are attributed to better compensation for inflational costs through annual school voucher increases in Germany and Norway and the contributions from acquisitions. Moving on to compulsory school on page eight, we note a 1.6% increase in the student numbers. Net sales rose by 6%, driven by increased number of students and the positive impact of the annual school voucher revision in January of 5.5%. Adjusted EBIT and margin improved compared to the previous period. This quarter's margin reached 9.1% up from last year's 8.6% and the operating profit was 99 million compared to last year's 88. These improvements attributed to better compensation through the school voucher revision, now better compensating for inflation costs. Now turn to upper secondary school on the next page. We observe a 2.9% increase in student numbers The sales growth of 5.9% were driven by more students, as well as the annual school voucher revision of 3.8%. Although it's worth noting that this revision hasn't been sufficient to offset inflation cost increases. Even so, the adjusted margin increased this quarter 12.2% compared to last year's period of 11.6%. due to higher capacity utilization and lower energy costs. Moving to adult education, we see a 6.5% increase in sales driven by a higher number of students in higher vocational education and the acquisitions of Bergs. In the municipality business, our implemented capacity adjustments and cost-cutting measures from last year's continued to yield positive effects. Adjusted EBIT increased to 23 million from previous quarter's 20, with a margin of 5.4% compared to 5.0 last year. For the fiscal year, the profitability was 9.4% compared to last year's 7.7%. Continue to the next page, free cash flow and investments. Free cash flow for the year was 332 million higher than last year, attributed to higher profits. and a more faithful network in capital development. Maintainance capex as a percentage of sale has slightly declined to 1.56%. The significant increase in other expansion capex is associated with the acquisitions of Winford and Tula. Proceeding to page 13, the financial position. Net debt excluding IFRS 16 increased by 1 billion compared to last year, with a leverage ratio excluding IFRS 16 at 0.6, which is well below the financial target of less than 3. Including property-related lease liabilities, net debt was higher due to growth, the acquisitions of Tula, and the share redemption program. And Let's continue to next page 14. I will now summarize the financial year in total. Number of students grow 6.2%, mainly through the 30 newly established preschools in Germany and the acquisitions of Winford in Netherlands and Tula in Finland. In other words, this was an effect of the planned international expansion, according to our strategy. Net sales increased by 11.5% compared to last year, with organic growth at 7.3%. Adjusted EBIT and margin improved compared to the previous year. This year's margin reached 6.3%, which is up from last year's 6.2%, and the operating profit was 1,097,000,000 compared to last year's 964,000,000. These improvements are attributed, as reflected in the quarter, to better compensation for inflation costs through annual school voucher increases in Germany and Norway, and contributions from acquisitions, but reduced by the lower compensation in upper secondary schools that not fully compensate for inflation costs. If we move on to slide 15. And looking at the increase of EBIT over the years, we see that it's obvious that preschool and international just as in the quarter isolated contributed most to this year's profit increase.

Let's move on to the financial targets and financial performance.