CTEK Ab

Thank you, Operator, and a warm welcome to all of you to today's Q1 presentation for 2025 for CTEK. The presenters today is myself, Henrik Fregenius, and our CFO, Tom Mathisen. And as always, I start with a short recap of CTEK. CTEK was founded more than 25 years ago by Bengt Wahlqvist, the happy guy on the picture. And he invented the first ever smart charger with pulse technology. We are delivering, we are developing and testing and designing everything in Sweden. And we have production mainly in Asia and China, but also in Malaysia. We have more than 50 premium brands that are choosing CTEK as their charger and I'm very proud to show the Lamborghini that is actually co-branded with CTEK which is extraordinary and says a lot about our quality. CTEK has mainly two different technologies. We have the EVS technology where we are focusing on destination charging and then we have our low voltage where we are present in different segments as consumer, professional, workshop, client, brand and integrated solutions. You will find CTEK in a vast area of different usage alternatives for the electrical vehicles and plug-in hybrids. We can sell our EV chargers of course, but also our 12V chargers and our workshop chargers. the combustion engines we have our 12 volt chargers and our workshop chargers and for rv and leisure like motorcycle camper vans etc we have our low voltage and also our integrated solutions and for industrial we have integrated solutions We are distributing in mainly two divisions. We have a professional division that is focusing on business to business. They have the OEM car brands and also big parking operators and short point operators. And then we have a consumer division which are selling into retail and e-tail. So then over to the first quarter of 2025. We were growing for the fourth consecutive quarter and the sales or revenue came in at 213 million SEK, which is an organic growth of 5%. Gross margin ended up at 56.4%, very strong, due to a good product mix. EBITDA, 19 million SEK, impacted by non-realized FX impacts. And cash flow, 8 million SEK, and we came in on a net debt ratio of 1.9, so very stable financial situation. If we look a little bit more deeper into the figures, we have consumer division, which was actually growing for the seventh consecutive quarter, strong sales in North America, strong online sales. And so our efforts there is paying off. I'm very happy to say that the professional division showed a positive EBITDA for the first quarter since we started that division. And that was due to growth in the client brand, where we had good sales to Europe's biggest motorcycle manufacturer. And we also see better margins on our newly introduced CC3 EV charger. So with this, I think we are very good placed for soon entering into our third phase. And we would talk more about that in our Capital Market Day, the 22nd of May. So with that, I leave the word to you, Tom.

Yes, thank you, Henrik. So some more words around the financials and I go a step down to the divisions. And as you can see, the consumer division, On the graph on the upper side right, you can see that stands for more than two-thirds or around two-thirds of the turnover of the company. Here we have grown again organically. We have 7% with a stable and good EBITDA modeling of around 35%. So continuous good performance in the consumer division. Coming over to the professional division, which stands for one third of the turnover of the company. We are happy to say that we have the first profitable quarter since we started the new organization in end of 2023 with a positive EBITDA of around 6%. That comes, as Henrik mentioned, both from the strong low voltage sales to the OE customers, but also from improved margins on the EVSE side of the business. Around cash flow and capex, which is quite important areas, of course, for a company like CTEK. uh we continue to have a positive cash flow from operating activities a bit less than last quarter one last year but that is mainly reflecting some bigger payments in and out at this periodical impact of that so as we mentioned a little bit later in in this in the fourth bullet we see a long-term positive cash flow trend That also means that we did an extra monetization of our loan with 25 million euro per period. CapEx, as we have said before, it's now coming back on the more normal levels, around 8% so far this year of the turnover. And we, over time, see that being somewhere in the area of 6 to 8%. Net debt ratio, also an improvement versus quarter one last year from down to 1.9 from 2.2 at the end of quarter one last year. So by that, I hand it over to you again. Thank you, Tom.

So to summarize the quarter, moving back to our strategic plan that we put together a little bit more than one and a half year ago, and we put it into three phases where the first phase was to create stability and cost control. We left that phase a year ago and we are now well into phase two. which is profitability and focus on organic growth we have now showed four quarters of organic growth and we are getting ready to talk about a more accelerated growth which we will present at our capital market day the 22nd of may so most welcome and i hope to see you all there Going into the quarter again, as I mentioned, fourth quarter of consecutive growth for the group and seventh quarter of consecutive growth for consumer division. First ever quarter with positive EBITDA in professional division. And that relates to high sales of client brand and also a better gross margin for our newly introduced CC3 EV charger. so uh we have a very stable financial situation and net debt rate you well below our financial targets so we are ready for our next phase which we will present on our capital market day the 22nd of may and with that i open up for questions