Sensys Gatso Group AB (publ)

Welcome to the Census GOTSO Group Q3 2025 report presentation. For the first part of the presentation, participants will be in listen-only mode. During the questions and answers session, participants are able to ask questions by dialing pound key 5 on their telephone keypad. If you are listening to the presentation via webcast, you can ask written questions using the form below. Now, I will hand the conference over to speakers CEO Lewis Miller and CFO Simon Mulder. Please go ahead.

Good morning, and welcome to the presentation of Census GATSO Group's Q3 2025 Interim Report. My name is Lewis Miller, Group Chief Executive Officer, and joining me this morning is Simon Mulder, our Group Chief Financial Officer. I'll be speaking briefly on our strategy moving forward, and then provide an overview of our excellent Q3 results. I'll then turn the presentation over to Simon to review the group's results and segment reporting in greater detail before addressing our financial outlook for the remainder of the year. In our Q2 market presentation, I highlighted a plan to assess the company over my first 100 days with the goal of defining how we will deliver profitable growth moving forward. Having completed this assessment, we will move forward centered around three strategic pillars designed to drive growth, efficiency and service. The first pillar focuses on strategic market and customer engagement. Key to this pillar is concentrating on our four core markets, Asia Pacific, Europe, the Middle East and North America, while increasing our share of recurring revenue. The second pillar involves advancing technology and go-to-market strategies. We must better leverage our global solutions and development spend across our core geographies while highlighting our market-leading technologies. Third, we will continuously work to optimize our organization through operational efficiencies and recruiting, retaining, and rewarding top talent and performance. With that said, let's take a look at our Q3 performance. Starting first with order intake, we saw strong bookings in Q3. Specifically, Q3 intake landed at 331 million Swedish krona, up significantly from 54 million in Q2 of this year. Australia and the U.S. were key drivers highlighted by a first-time sale of fixed systems to a new state, South Australia, as well as provision of speed trailer technology for use in the state of Victoria. Recurring revenue made up 86% of the intake with a healthy mix of renewals, existing customer expansions, and new customers. Turning next to revenue, we continued to see year over year improvement. Revenue for the quarter landed at 165 million Swedish Krona, a 17% increase over the same period in 2024. This included strong system sales from our core Swedish and Dutch projects, a full quarter of Saudi maintenance revenue and good performance in the US managed services business. the U.S. business is fully recovered and growing over the impact of legislative changes in Iowa last year. While the weakened U.S. dollar did impact our results, our underlying year-over-year growth rate in local U.S. currency is 17%. Now looking at margin, in our Q2 report, I noted that our 15.4% EBITDA margin better reflected our underlying operational strength moving into the second half of the year. Q3 results validated this statement with EBITDA margin increasing to 17.7%, significantly up from 9.9% in Q3 2024. This continued our positive trend in rolling 12-month EBITDA with year-to-date performance now sitting at 13.8%. Our Q3 margin results were driven by economies of scale in Sweden and operational efficiencies in the U.S. With that, I'd like to turn the presentation over to Simon for a closer look at our results and segment reporting.

Thank you, Louis. As always, I will take you through our group's financial performance, the segments, and our cash position. starting off with group financial performance. Our Q3 revenue increased 17% year over year to 165 million. A large contribution came from system sales, which increased by 60% year over year, with recurring revenue remaining stable despite currency fluctuation challenges. Our gross margin for Q3 was 42% compared to 37% last year, The gross margin has improved due to continued deliveries on the Dutch and the Swedish projects. We've seen a strong EBITDA performance in Q3, with 29 million Swedish kroners, up from 14 million from Q3 2024. The EBITDA margin landed at 17.7% compared to 9.9%. For the quarter, we've seen a positive cash flow from operations amounting to 38 million. And for the year to date, 18 million Swedish kronors. Now diving into the segments and starting with the segment managed services, we can see that year over year, all key metrics have improved. Our order intake is up to 104 million from 25 million last year. This is driven by renewals with a total value of 58 million and expansions and new customers totaling 46 million. Our revenue came in at 45 million Swedish kronors, up 7%. The increase in US dollars, as Lou already mentioned, is 17% year over year. During the quarter, we've seen a negative currency impact to the amount of 4 million Swedish kronor. Ariba DA is up to 6 million for the segment managed services with an EBITDA margin of 13% compared to 5% in Q3 2024. This is driven by improved operational efficiencies in the US. Turning to our segment system sales, we can also see that year over year all key metrics have improved. Order intake is up to 227 million from 70 million in Q3 2024. This is mainly driven by Australian order intake to the amount of 196 million in the quarter and smaller repeat orders in the EU. Revenue for the segment came in at 120 million, up by 21%, driven by the Dutch and the Swedish projects, but also notable the first full quarter of Saudi maintenance contribution this year. EBITDA came in at 23 million, up 92%, driven by economies of scale in Sweden and an important contribution from the Saudi maintenance activities. Both of our segments manage services and system sales have recurring revenue. Recurring revenue is predictable. Our underlying recurring revenue amounts to approximately 100 million per quarter and is based on long-term contracts with customers with a high retention rate. Part of the order intake during the quarter was incremental order intake and will grow our recurring revenue base in the future. As recurring revenue is in both segments, we also see a good geographical mix with contributions from each of our core markets globally. The US market taking approximately 50% of recurring revenue. Going to our cash position. Available cash was stable at 133 million. Year to date, we had positive funds from operating activities of 38 million, funding our working capital needs of 33 million year to date. Investments in fixed assets and operations and software platforms is financed through the bond proceeds. Our interest bearing debt has increased to 292 million, mainly due to usage of funds for our investments. Main movements are increased lease liabilities due to prolongation of lease of our headquarters in Jönköping, 18 million, translation effects on the Euro-nominated bond, 12 million, and usage of credit facility by 90 million, and closing our cash on bank to 160 million. And with that, I'd like to hand it over to Lou.