ADDvise Group AB (publ)

compared to the same quarter last year. In terms of geography, approximately 42% of our sales in the quarter came from Europe, and second largest market is North America, and the third is South America. Looking at our sales by product category, the top three for the year are laboratory equipment, 41%, followed by medical consumables of 33% and medical equipment of 21%. High activity in laboratory equipment and also in clinical trials US. On the topic of tariffs, the direct impact at level one, referring to products manufactured outside US and imported for sales into US is relatively limited. We have stated before, and it's the same at this stage, it's 30 to 40 million SEK. Most of our US-based companies both manufacture and sell their products domestically within the US market. That said, we do rely on certain components sourced internationally for our US production. The positive aspect is that our products are essential in nature, designed to extend, improve or even save lives. which provides a certain degree of resilience regardless of the broader trade dynamics or geographical tensions splitting advice group into healthcare and lab and looking at healthcare our sales came in at 235 million sec in the quarter An organic growth of 1% effect adjusted and minus 8% non-adjusted. Looking at the first six months, we saw an organic growth of 1% and 6% effect adjusted. The lab segment reported sales of 161 million SEK for the quarter. Organic sales came in at 3% and 8% effect adjusted. Looking at profit margins, healthcare came in at 15% EBITDA margin and lab came in at 21%. Lab delivered a strong margin, and I would say healthcare came in at a stable level. Looking at net sales by geographic, for the healthcare segment, North America continued to be the key market with roughly 51% of sales. And we don't see any big changes going forward. Having said that, Europe has a good development. In the lab segment, Europe is the largest market, followed by the US. We remain focused on profitable growth, stable returns and maintaining well-balanced debt level, all underpinned by the execution of our acquisition strategy. A strong emphasis is placed on EBITDA growth and return on capital employed as our key financial performance indicators. EBITDA growth will be driven by a combination of organic expansions and strategic acquisitions. Our long-term target is to double EBITDA every five years. A dividend remains part of our long term financial framework, but distribution will be considered once all other long term financial goals are at satisfactory levels. We are committed to maintain a maximum of net debt level to EBITDA, a ratio of three times. While a dividend remains part I mean the dividend will come into play when all the others of our long-term financial goals are met at the sustainable and appropriate level. I'm now handing over to Johan to take you through the group's financial performance.

Thank you Staffan and good afternoon all. I'm happy to be here today and take you through the numbers for the second quarter of 2025. EBITDA, which is Edvise's main key metric for measuring profit, gives a fair view of the financial performance of our companies. EBITDA is defined as operating profit before amortization, impairment expenses and revaluation related to acquisitions as well as non-recurring items. EBITDA is our key metric from this year and figures in this graph have been historically adjusted for the new definition. EBITDA in the second quarter amounted to 61 million, which corresponds to a margin of 16% or 15.5. Both EBITDA and EBITDA margin are in line with the same quarter last year. As we have pointed out in earlier quarterly reports, 2024 faced tough comparables from 2023. However, the individual quarters of 2024 should be considered normal level of profits, which means that from Q4, we are now on a normalized level of sales and profitability on a rolling 12-month basis, which is confirmed by this quarter as well. And for the last 12 months, EBITDA amounts to 267 million, which corresponds to a margin of 16%. Moving on to cash flow and capital efficiency. On this slide, when we talk about cash generation, we look at the underlying cash flow generated by our companies with deductions from changes in working capital, as well as depreciation and investments in our asset base, including lease payments. And in the second quarter, we see a moderate working capital build of 4.8 million. And working capital efficiency and optimization is and will always be a key focus area for us and our companies. Depreciations include depreciation on fixed assets, as well as depreciation on right of use assets related to leases. And the net between depreciation, leases and investments is 2 million, indicating higher new investments than depreciations on existing assets, mainly driven by production efficiency investments in our South American business. Total cash generation from operations in the quarter was 54 million. Relative to an EBITDA of 61 million, we consider this a solid level of cash generation in the quarter. Return on capital employed, which measures profitability and how efficient we use our capital, was 12% in the quarter. And from this year, this metric is one of advice long-term financial targets where the long-term goal is 15% return on capital employed. Moving over to financial position. Here our long-term net leverage target is three times net debt over EBITDA. And in the quarter net leverage was 3.0 EBITDA. And the right issue was finalized in April and added 457 million before transaction cost to the company. It also included a warrant that could potentially add an additional 172 million in Q1 2026 if fully exercised. As Safa mentioned earlier, the new capital structure with bank financing and bonds at better terms will reduce our yearly interest expenses by around 56 million SEK compared to the old financing structure. Available liquidity is good. Cash at the end of the quarter was 140 million with an additional 111 million available in unused credit facilities. And that was all from me. I will now hand over to Staffan for some closing remarks.

Thank you, Johan. I will summarize and give you our takeaways from Q2 before we open up for questions. Organic sales, minus 4% and plus 4% if we adjust for FX for the quarter. EBITDA on a stable level despite FX headwind. production and operational expenses in the same currency as revenue so so this has a good effect for us cash flow solid cash generation new financing is done bond refinancing at better terms and bank facility all in all better flexibility and lower financial costs On the acquisition side, we continue to work on a couple of interesting opportunities. As said before, it has to be right. We are not stressed, meaning that we look for very good quality to a reasonable price tag. With that said, we open up for questions.