Systemair AB (publ)

Thank you very much. Hello everyone and very welcome to the presentation of our first quarter report for the year 2025-2026. Roland and myself are today in Skinskatteberg for our annual general meeting and we expect a fairly well visited event. We will now kick off with a rather short presentation of the Q1 report and then open up for questions. Presentation is available on our investor relations website, as usual. And by that, I hand over to Roland to start off the presentation.

Thank you, Anders. And yes, hello, everyone. Roland Kasper, the CEO. So nice to be able to present this report to you. I'll start directly with our second slide with the agenda. So we will first have a short systematic brief. Then we look at the first quarter summary and then we look into the quarter one financials and some highlights on sustainability, projects and products. And after that, of course, we will conclude this presentation and open up for Q&A's and go on directly into slide number three system area in brief. We are operating based on our core values of simplicity and reliability. Our business concept is to develop, manufacture and market energy efficient, high quality ventilation products. With our customers in focus, we are determined to meet their expectations on delivery reliability, availability, sustainability and of course, quality. As you all know, the company was established in Skinskatteberg in 1974 by our chairman and founder, Mr. Gerald Engström. In our last fiscal year, we achieved a total annual turnover of around about 1.1 billion euros. Systemair was listed on the Nasdaq Nordic Stock Exchange Market in October 2007, and today we proudly operate our own sales companies in 51 countries, together with 26 factories in 19 countries. and without about 6 900 employees in system air we are present and sell to more than 135 countries around the world and by that going directly into slide number four a short strategic update of our first quarter We recorded a further positive growth trend in all markets except Eastern Europe. And this despite the challenging market environments we see around us today. In the quarter, we also made a nice acquisition of the company Nadi in India, a leading producer of industrial fans. I will come back to that later in this presentation. We also acquired a new manufacturing facility in the Kingdom of Saudi Arabia to meet the capacity demands that we see in that region. Some other recent highlights in the quarter. At the recently concluded Eurovent Middle East meeting, Systemair public affairs representatives were invited to join and share its expertise in the roundtable discussions. As you know, Systemair as a group is proud to be a driving force in shaping the future of ventilation. actively contributing to more than 50 industry associations worldwide. Every quarter, we also proudly present some of the product launches that we bring to the markets. Here in our first quarter, we successfully launched a major product, which is our new fire dampers and backdrop dampers from our system at Slovakia factory to the European markets. For us, the serviceability, ease of installation and certified performances are top level in these fire safety products. And then going into the next slide, slide number five and looking into the markets. So let's have a look at the markets in the quarter. As you know, we have a global and diversified customer base, which provides us with a solid foundation for this profitable growth. Looking at the different regions, starting with the Nordic region, which represents 14% of our total turnover in the quarter, same as the same quarter last year. Western Europe has 45% share and is thereby compared to the same quarter last year, an increase from 45% to 46% share of our total turnover. Eastern Europe is stable at 13% share and North America shows a smaller decline from 13% to 12%. Other markets, which, as you know, incorporates North Africa, Turkey, Middle East and Asia, is continuing its growth path and shows a stable 15% share of our total share in the quarter. By that, we continue with a closer look at the financial outcome in the quarter and I hand over to Anders.

Thank you, Roland. First of all, the net sales amounted to 3.094 billion compared to 3.111 billion last year. This corresponds to a decline in sales of minus 0.6%. The decline, however, relates mainly or only to currency conversion effects. Organic growth was positive with 5.7%. We can conclude that the fourth quarter in a row, we are reporting organic growth in a relatively slow but recovering market. Slide number seven. To give a bit more details behind the net sales development, we saw organic growth in all regions except for Eastern Europe. In this quarter, there are no acquisitions affecting the growth figures, and the acquisition of Nadi in India will be consolidated starting from the next quarter, our Q2 report. And then finally, currency effects. The strengthened Swedish krona resulted in negative effects on sales by minus 6.3%. Our main currency exposure is towards Euro and Canadian and US dollars. Going into slide number eight, we come then to the geographic breakdown, and I will focus on the organic growth rates for each region then. Starting off with the Nordics, where we saw a growth and a positive development also in this quarter in Sweden, Finland, and Norway. The Danish sales declined slightly in the quarter. All in all, a continued positive organic growth in this region of 6.4%. In Western Europe, we saw organic growth of 5.8% for the quarter. Within the region, we experienced a positive development in Netherlands, Italy and Spain, while the German market is still not on track, along with countries such as UK and France. We are although happy to see yet another quarter with positive organic growth in Western Europe. In Eastern Europe we experienced a weaker quarter with organic growth of minus 0.7%. Sales increased in Czech Republic, Slovenia and Estonia while Azerbaijan, Lithuania and Poland declined. Last year we did some project deliveries in Azerbaijan and sales in that region tend to be quite volatile from quarter to quarter due to the high share of project driven sales. Going then into North America, the organic growth rate was 1.4%. We saw good growth in U.S. while Canadian sales contracted. There's a stable demand in North America on our commercial and residential products, while school ventilation is currently on a lower level than one year ago. The ongoing tariff discussion is creating a more volatile market. As described earlier, we have a regional production strategy with factories both in US and in Canada. And if needed for economic reasons, there are possibilities to transfer production volumes from Canada into US to mitigate these effects. At the moment, we are only affected by minor effects from the tariffs. In Middle East, Asia, Australia and Africa, we had an organic growth of 14.3%. This increase was mainly driven by increased sales in India, Saudi Arabia and Turkey. In India, we had in last quarter some delivery constraints while moving the production in Hyderabad. But that is now all sold and we are back to normal delivery capacity. All in all then, the total organic growth amounted to 5.7%. Then slide number nine. Our gross margin for the quarter was again strong and amounted to 36.4% compared to 36.0% in previous year. We are really happy to see this continued positive development. This is due to the contribution from implemented restructurings, cost reductions, but also favorable product mix, despite also the negative effects from currency, especially in our Swedish operations. Our adjusted operating profit amounted to 288 million or an operating profit margin of 9.3% compared to 9.8 in last year Q1. The adjustment for the quarter relates to capital loss in an associated company of 5.7 million and costs related to the replacement and hiring of a new CEO of 14.6 million. Selling and admin expenses in comparable units increased by 28.5 million. Going on to slide number 10, profit after tax amounted to 193 million compared to 210 last year. Net financial items for the quarter were negative by 2.7 million compared to minus 16.8 last year. Currency effects on bank balances and loans were positive and amounted to 12.4 million. Interest expenses amounted to minus 12.4 compared to 15.6 one year ago. Tax rate for the period amounted to 27.3%, which is more or less in line with last year. with a cost for the tax of 72.4 million. And then slide number 11. This would be my last slide and a positive cash flow development for the quarter. Despite an increase in the working capital of 91.6 million, we see the free cash flow of 108.4 million compared to 91 million same quarter last year. Within the working capital, the increase in inventory and trade receivables was less than last year. Net investments in the quarter amounted to 109.7 million, mainly relating to investments in our factories in Saudi Arabia, Sweden and Norway. Looking at the debt situation, we continue to decrease our loans and it amounts to 830 million currently compared to 1 billion 56 million one year ago. Our adjusted net debt to EBITDA amounts to the very low 0.52. And we have plenty of headroom for strategic M&A and further investments going forward. And by that, I hand back to you, Roland.