Fortnox AB (publ)

Good morning and welcome to the Fort Knox Investor Forum. My name is Josephine Seder and I will be your host and moderator today. There are two guests with me in the studio today, Fort Knox Acting CEO Roger Hatelius and our former CEO Tommy Eklund. This stream will be maximum an hour long. The first part is dedicated to the quarterly result, which will be presented by today's guests. This will be followed by a question and answer session. Watchers have the option to call in and ask a question. Call 0046 8559 31337 and ask your question live after the presentation. That's phone number 0046 8559 31337. We'll also display the number during the stream in case you missed it. Please be aware that we only have one person manning the phone in the studio, so we appreciate your patience while waiting in line. We will, of course, also read questions from the chat as usual. You can submit your questions there at any point during the stream. Welcome to Fort Knox Investor Forum. The presentation today will, as I said, be divided between our two guests. First off is Roger with the financials, and then Tommy will present after that with the business highlights from the quarter. First off, here's Roger Hatelius with 2024's third quarter financial results.

Thank you, Josefin. So starting to summarize the quarter, it is a stable quarter where all our main KPIs are in line with or better than the same period last year. The customer growth of 13,000 customers is the highest increase of number of customers for a third quarter. The average revenue per customer, where we divide all net sales with the number of customers on a rolling 12 basis, increased by eight Swedish kronor compared to last year's seven. We had a growth of 26% compared to last year's 25%. The operating margin or the EBIT margin amounted to 45%, which is in line with last year. During the quarter, we had some one-off costs connected to the changes in executive management team. And excluding those non-recurring costs, the EBIT margin amounted to 48%. And combined growth and margin, which we call rule of Fort Knox, amounted to 71%, also in line with last year. So on customers, the positive trend remains. The increase of number of customers was in this quarter again higher than the same quarter last year. And at the end of the quarter, we had 585,000 customers. And still challenging to reach the 700,000 that we put up in our business plan towards 2025. But the most important for us is the balance between number of customers and the average revenue per customer. And on the average revenue per customer, the RPC increased with Swedish kronor to 293. And we are still ahead of plan. And that's despite the continued macroeconomic headwind. And with net sales of 523 million kronor and EBIT on 235, we show continuous stable development on both net sales and EBIT. The third quarter has some seasonal effects, most clearly seen in the customer activity and that's affected transaction based revenues mostly. But we also can see it in lower personal costs and both are due to the vacation period here in Sweden. And the rule of Fort Knox that we use to measure how we balance growth and margin. We'll add on 71, which is in line with last year, but exclude those non-recurring costs. And the rule of Fort Knox amounted to 73. So the net sales grew with 26% and the highest growth was in lending, where we increased by 43%. And the product there that had the highest growth is when we offered the customers payment directly upon invoicing. And in total, the growth comes primarily from the existing customers, followed by new customers, and to some extent, the price adjustments. And the price adjustment that was carried out earlier this year represents just above 4% of the net sales growth for the period January to September, and 7% in this quarter net sales growth. So some highlights in the P&L or income statements worth noting is that the non-recurring costs impact the cost of personnel negatively. And worth noting on the balance sheet is that since Oferta is now becoming a part of the new jointly owned company Tom Holding, in which Fortnox has 49% ownership, Oferta's assets liabilities and group surplus values have been moved to assets held for sale and liabilities related to assets held for sale. And then the last slide on the financials worth noting on the cash flow is that the accounts receivable now decreased to a more normal level since the last day of the quarter did not fall on a weekend. And together with the positive trend on profit, we had a record high free cash flow in Q3. So to summarize, it's a stable quarter where all our main KPIs are in line with or better than the same period last year.

Thank you, Roger, for that presentation. And next up, we have this quarter's business highlights. And with that, I give the word to Tommy Eklund.