CAG Group AB (publ)

Hello and welcome to today's broadcast where I am with CAG Group and the company's current CEO Åsa Landén Eriksson and the new CEO Peter Strömberg who will present the company's Q1 report 2026. If you want to ask questions to the company, you can use the form to the right and we will take it up after the broadcast. And with that, I leave the floor to you, Åsa and Peter.

Tack så hemskt mycket och trevligt att ni har valt att lyssna in idag. Det är lite vemodigt, min sista kvartalsrapport här för CAG. Men vi går rakt in och pratar om vad vi har att säga. Så ska jag på slutet presentera Peter Strömberg. Han ska rättare sagt få presentera sig själv. Han och jag byter vaktombyte här i nästa vecka, den 7 maj, då CAG har årsstämma. What you can remember is that we have now completed the acquisition of Clara Financial Consulting, which we announced in February. We are very pleased with this. This means that we now have three fairly even segments, if you can call it that. We have the defense segment, still our largest, bank and finance, which is close to the same size, about a third. And if we call the rest for system development, it is perhaps a little less than a third. So it feels like a very good base for our business. Vi har också fått ett nytt, fint, stort, långt ramavtal med FNV och Försvarsmakten via NESP som vi är delägare i och det gäller potentiellt i hela sju år, tre år är den initiale avtalsdagen. and it is a big deal. But as usual with framework agreements, one should consider it as a hunting license and a very good basis to have as a way of agreement in our businesses with our biggest customers, FNB and the Defence Force, in the future. And another little wonderful thing is that, at least as employers, we have two extra days. Räkenskapsåret jämfört med föregående år och de ligger i nästa kvartal Q2 och Q4. Så det är lite key takeaways. If you look at our development over the past few years, my time at Seager, we have grown by 10% over these years on average. And we have also grown about the same amount in turnover per share, which feels good. And we have, as you can see, had a very stable margin between 8 and 9.2%. So we usually say that we are a panzer crusher and we will continue to be so. We also have an interesting part which is that we have a lot of recurring income from our three-year contract income, which they are most often in our operation and management business primarily, but also other larger occupations, for example for Swedish nuclear fuel management in burned out nuclear fuel, where we operate a system that we manage for them. Tittar man på kvartalet då, januari till mars i år, så var det väl kanske inte vårt allra roligaste eftersom intäkterna går nedåt och det tycker man ju aldrig om. Men hälften av den här nedgången är hemförlig till... The development of our subsidiary through technical tests, you who have listened before, remember we did it in Q1 2025. And the rest is actually due to the fact that we are fewer consultants primarily. Then, as I write in the VD-word, we have also had a little influence of long claim control processes and long processes also when you can see almost unpleasant accusations of good agreements that are already submitted and it takes a very long time in the justice system, which means that we get a stop in the business in some ways and I think that as a citizen of society is also very And as a company leader, you get a little tired. But it is still a quarter where we can show a stable margin of 8.3%. And our adjusted margin in Q1 last year included 3 million that we put aside for the development of this daughter company. So we saw a lower margin this year, 8.3% versus 9.9%, but still, yes, Någorlunda. Man är ju aldrig nöjd som vd. Vi har haft en bra cash conversion, en bra kassaflöde och vinst per aktie ligger stabilt. Och är ni aktieägare som lyssnar så kan man glädjas åt den kommande utdelningen som vår stämma med all sannolikhet rustar för. Vi delar ut 4 av 30 det här året då, vilket är en yield på ungefär 4%. So this is what the quarter looks like, and as we said in the beginning, we have closed the acquisition of Clara Financial Consulting, and that feels really good. It strengthens our banking and finance segment, and it gives us more services within portfolio management, where our company within operations and management also has a more system-technical basis. Klara works more with processes within capital management, processes and systems, but with a lot of focus on Sin Corp Dimension, which is a large portfolio management system now owned by Deutsche Börse. We have many common customers from the old CAG and Klara within the capital management world and portfolio management, both public, such as the APF funds, Alekta and MF, whatever you call them, privata kapitalförvaltare And for this, of course, we have paid money. You see there our initial purchase difference, which also included a part in SEGA shares, 25% of the initial, so to speak. And then we have an additional purchase difference, which is in three annual tranches, with a bit of a backslide. So all parties here have started to cooperate really well and feel excited, so I'm super happy with this. If you look at the business flow, I mentioned the framework agreement that we have with FNV and the Defence Force Nya Nesp, which we are very happy about. It is about system services and life cycle support for the technical system of the Defence Force. And as I said, it will be a very good platform for us to take business forward. But as I said, it was no order, this is more of a framework agreement that gives a hunting license. We have received it, I was about to say, our usual flow of new assignments from the customers who follow here within Svar primarily FNB, Saab, Berge, Hägglunds and Björvik. In banking and finance, we have received several new applications at Finansinspektionen and Swedbank in insurance and mortgages. And in our operations and administration, we have also received a major increase on a large insurance company and also on a provider of education services. A bit more secretive on that side. But also other customers in various industries such as Terracom, NCC and Atlas Copco. So there is a business flow even if the market is not yet the most competitive market I have seen during my career. But as I said, we at CAG have a very nice distribution of our segments. You see there, the defense segment continues to grow. So with industry, defense industry and defense authorities, we are up 38% in this quarter. The general public sector has been good at 16% and banking and finance, as I said, next quarter will be close to a third of our revenues. And then we have this recurring revenue component is also a strength for CAG. I think, maybe you have noticed that you have seen this customer weapon, but I usually say that you become as happy every time you see it. They are fantastically fine customers, stable both in defense and banking and finance and in e-commerce and system development. And the public sector also has many, many fine customers. No mentioned, no forgotten. So that's good. So not only do we have a very good reputation and a nice customer base, but we also continue to have a very good financial position. We have a good cash register here at the end of March. You see 128 million. We have a net cash register at almost 100. And now we have taken up a new credit here, an acquisition credit for the acquisition of Klara at 50 million. But when we add that to the balance sheet, we have almost zero in existing loans, so to speak. So we have continued to be in a very good financial position to be able to continue to do acquisitions, both with the cash and with debt, if we want. We hope and believe that the year-end is also the 7th of March with a 10% discount on outstanding shares to be able to make acquisitions. And I think it feels good that during my time here that we have grown in profit per share as much as nominal, that is, we have made good value-making acquisitions. So that feels good. So with that, let's get to the end. This is a reprise of what I said in the beginning, and maybe it will be a little more exciting, new forward-looking here, when Peter Strömberg will present himself. So we'll change a little setting, then I'll come back and say goodbye. But welcome, Peter. Thank you.

Super good, thank you so much. It's fun to be here, really. There's a lot of excitement about this too. And it's fun to meet you all who are listening in one way or another. I'm sure we will meet both digitally and maybe even physically in some context. I hope so. Good, thank you so much Åsa. So who am I? I'm going to start on the 7th of May and release Åsa after all the years at CG. I can start by saying that my background is quite cut and cut for maybe working in this business. I have both finance and tech background. to education and a lot of other things, which is of course very exciting. I didn't know that at that time when I took a master's degree at Stockholm University or via Stockholm University in IT and tech and finance. As the art director of the school and I am also part of the home team today and will also join the Aurora exercise that takes place for full during these weeks and until a long time to come. I will explain why it is interesting when you are in a company like CIG. Then I have been in the construction of stock exchange systems around the world for global stock exchanges on the derivative side, on the share side, within wealth management and so on. That is to say, I was part of the global financial infrastructure to move society towards democracy, even within the financial part. Within Nasdaq Tech and OM Technology and OM as it once was. And I ran and had mainly eight or nine of the largest stock exchanges in Asia and Europe as my customers. And it was a highly transaction-intensive system. We call it fintech today. Plus, it was also very, very much about cyber security, protecting data, building environments that were incredibly resilient, both in terms of introspection, but also, of course, for the transactions and how important they were, every nano and mil. Because that's how you calculate it. Then I moved from the softwares side to operations, which was a pretty exciting step to get it over-delivered in terms of softwares to operations. And also move large development environments to data centers and cloud services, which was the era then. It gave us an amazing opportunity to be part of an exciting phase in Avanza's history. During the time I joined in 2014, we had maybe 275,000 customers and I left many years later on an exciting journey as responsible for all tech. And 8-9 years later, there were 1.8 million customers with 20% of the French population. And I know that Avanza still sees it that way. And I really did that. I thought I could help so many people to a better saving and placement. Which I thought felt like an incredible privilege. And I learned super, super much in leading tech organizations in the next phase. Then I stepped further into something else that is about physical deliveries and big digital transformations. In Foxway, where I now also left for just a few weeks ago. As a digital boss. And that is exactly what we are also doing and helping many customers with in CRG in several industries, almost regardless of which industry or vertical we are talking about. Which I am completely convinced will also be exciting dialogues with many of the CRG companies in the future, how we can best help many of our customers regardless of segment in moving digitalization in many ways. From old digitalization to modern digitalization or other parts. Between Avanza and Foxways, I've also been a board member and worked as an advisor in tech startups and scale-ups. Quite a lot to increase The steep part of my learning in terms of building companies today. How do you build tech companies today? It is incredibly important when you have been in such big roles as I have done, or rather organizations. This has happened so much and we also notice that at CAG, no matter what type of customer we meet. the talent transfer that needs to take place within the era we are in, and much much more. So it has been incredibly exciting to meet that. I have also worked in tech due diligence with both Backing Minds and Nordic Capital and many other exciting investors. They have also had the privilege, or I have had the privilege, of being a part of it. And then, of course, for quite a long time, together with Åsa, I have sat in the board since 2020. Känns otroligt häftigt att vara med i den resan tillsammans med ÅSA. Jag är otroligt imponerad av både jobbet som ÅSA har gjort och byggt tillsammans med hela CIG-organisationen, varenda person som jag har fått förmån att träffa under de här åren. Ibland har jag bara varit styrelseledamot och ibland har jag gått in och haft möjligheten att vara mer i taktiska projekt eller andra delar eller bara bollat idéer med olika personer inom CIG inklusive ÅSA. So that I really think was super fun. We can... On top of that, if you look at the future without making it too long, my role as CEO in the future will of course be to focus on ensuring the continuity and long-term customer value that CIG and ÅSA have built for a very, very long time. It is super important that we make sure that we keep that. It is a very well-managed company, incredibly strong customer relations with socially critical regulated environments. The area I'm familiar with, but now I need to put it in a deeper way, which is also very important. And the fact is that it will also be super exciting, I think, to work in the talent transfer that takes place in the business world and in society, actually. And maybe the most exciting era, someone might think, when it comes to that. It is a continuous talent transfer, both for CAG as a company, because we need to be further ahead than everyone else to also be involved and help in that talent transfer in all technology development. But also the fact that my personal view is that it always starts with the people. It will always start with the people. There may be technology and then business. And we will continue to do that. Then it is as usual when you start such a role, even if I have never had a leadership role in that way. But I will focus until the summer on, of course, performance. Prioritize and understand where I need the most. Where CIG creates the highest value. And above all, to get to know the organization in a new way. Which I have great respect for. That I need to do. I need to support both people within CIG, our subsidiaries and colleagues. And find my way to lead that. After Åsa's fine work. I can't stop saying that I see CIG's decentralized model as an incredible strength. I think we see it over and over again. My role is to continue to enable cooperation and pace, where it really creates customer benefit. Not to mention what also creates benefit for us, the competence we have within CIG that we would like to continue to develop and deliver. In short, I see great opportunities for C&G, both what I can do and help with, together with many here, but also opportunities that have already been built before me, which I think is incredibly fun. And in a way, it always starts with the customer. Och sen ser jag verkligen fram emot att ta det här vidare, leda CG med otroligt duktiga kollegor på en spännande resa framåt.