Alfa Laval AB (publ) (ALFA) Earnings Call Transcript & Summary

So I don't know about you guys, but when we gather by annually our 200 most senior leaders. We do presentations like this. I will do a strategy update, and people will talk and we will have slides. And then we have products. And in my team, that's where the excitement is. A lot can be said, showed, but it's the product that get people going, right? That's the buzz. So I don't know what you feel. Did you like the products? If I ask that question with my team of 200, the sound is a little bit different, but I understand the answer might be similar. So in that sense, I don't want to bother you too long with. So that was what we had to show. So thank you for your attention. But I would like to remind you, a couple of things. The first one is this was an example of what we're doing. We can't calculate exactly the number of product technology centers that we have, but I would say you've seen today, one of five, right? You have one serious one in Lund. You have a very serious one in Kolding, in Denmark. There are other places. And then on top of that, we have a host of small technology start-up things and stuff like that. So I just want to remind you that this was not the broad Alfa Laval technology platform at display. This was specifically, specifically related to the separation technology part. And as such, I hope you liked it. And if you, in your mind, think about this times 5 or 6 or something like that, you get the feel for what we are doing on technology. Talented group management member once called us a cool tech company, and she was right. That's how we feel about it. So I hope you got -- the idea was to show you a little bit the pace and feel for that. Now so I will take you a little bit on a read on a couple of things that I think matters to you when you look at us and how you interpret the world. And let me start on the topic of the global volatility of everything that goes on. And most of you have been with us and with other companies in COVID times, in geopolitical turmoils, in hyperinflation and if it's not one thing, it's the other, right? You would have thought that the world is in a spin. And most of the time from the question that I've been getting through the years, it seems like you think we are in the spin. Now the spin is not as dramatic as you think. So let me just take you through a couple of aspects of that. If we start with the U.S., you can debate U.S. from many point of views, but I wouldn't say volatility is the big name of the game if you look at industrial production in the U.S. It is -- I don't think the current administration will, in a major way, change the trajectory of U.S. industrial production. The opportunities to expand that significantly is a bit overstated, I believe. But with that said, it hasn't been too many years of turmoil. In fact, the last 2 years of the Biden administration was really kind of hot when it came to CapEx decision in our customer base in the U.S. And basically, the issue was not about available capital, it was about the labor force more than anything else. So all the channels were flooded and growth was limited by access to labor more than anything else. I think I've said repeatedly that tariff implementation is not particularly changing the dynamics of competitiveness of most European firms, but it does potentially affect the amount of CapEx decisions that will be taken in U.S. industrial boards. And I think the jury is out. This year has been quite stable. And we'll see where we go next year. I think people have started to interpret U.S. as we -- like abbreviations. So the K has become famous. But after having been in the U.S. a couple of weeks ago, I kind of agreed to the K denomination of the U.S. economy that is I spent time meeting people in data centers, pharmaceuticals and wastewater. And I can tell you, there was not a lot of concerns about CapEx or inflation or tariffs. It's just all hands on deck. But of course, there's a different U.S. economy as well outside of these things. So I think reading the U.S. today is not enough. You need to be sector specific. I think that would hold for the future. Now I'll remind you, U.S. is about 20% of our business. Let's go to 20-plus percent of our business, China. And there's a lot of discussion about China and volatility and COVID and lockdowns and, and, and. But as you can see, China has been throttling along. And all of group management was there just a couple of weeks ago. The dynamics in China is enormous. The development over the last 5 years is enormous. And I think it will have a huge implication for the industrial sector if we look 10 years forward. And the issue is this. Historically, we developed products and solutions with leading customers in U.S. and Europe. And where we are today when it comes to government policy, 5-year plan, predictability of demand, flagship projects, new technologies developing in China. And if you missed it, it happened in batteries, it happened in solar cells, it's kind of happening in EVs. It's kind of happened -- well, if they were not happening first in windmills, at least there were fast followers, and it goes on. So when we look at areas that are important to us, carbon capture, biofuels, sustainable energy solutions, list can go on. That's probably -- and hydrogen. That's probably where the pioneering projects and the scaling up of supply chain is going to happen. And if that's going to happen, it's kind of difficult to be have committed on the Chinese issue. We have since years, the most employees in China, it's about 4,000 out of 23,000. We have more than 20% of our turnover there. It's more than any other market. We have a bigger supply chain in China than in any other market. So we are fully engaged. But if we look at the way we have been distributed in product development, technology development and stuff like that, I think we are starting to make those transition moves now. Are there risks related to Chinese policy down the road? Yes. Is it an almost predetermined failure of market leadership not to engage? I believe so. So we will continue the path in China for years to come. And I think the point of the chart is with all the volatility we've been going through kind of -- as you can see, the numbers are quite stable, right? What about the energy transition as a whole then? Well, as you well know, since 5 years back, we banked our strategy on leading that transition based on our technology base. And we also set ourselves some internal targets on that matter. The net zero for us, Scope 1, Scope 2, original 2030 was advanced to 2027. We stay firm by that. We're going to get there. We have no -- we are reading the tealeaves just as well as you are, but we are staying firm on the direction that we have started. And that direction, I remind you, we made with one condition. We're not betting the firm, right? We're not missing the train. We're not betting the firm. So within that, we are robust. We will hold the course. And if you look at the investments, the title says renewables, it's a bit more than that. But if you take the numbers in terms of what capital is going into supporting the energy transition on any one and single dimension that plays a role in this, that number is growing. And you would see a similar picture if you would see our order book in clean energy and clean energy-related areas. And so I think there are two thoughts you need to consider when thinking about the energy transition. The first one was the Paris Agreement was on thin ice from day 1. Anybody who did the backwards calculation from 2030 on any dimension of equipment, of metals, of installers, said this is just a politically made-up number that has no relevance for what's going to happen in the industry. If I would have believed in the Paris Agreement, I would have constructed 20 new factories, right? That was betting the firm, and we wouldn't have been able to hold out. We see a lot of the start-ups failing because the demand is not coming as expected. It's to a degree, a shame, but it also ends up that the responsibility for these solutions is being carried by large industrials at the end of the day. The people with the balance sheet has to hold this together, and we do. If you would take the Paris Agreement and put that chart on, we would be out of scale, right? And so what we are really seeing happening is the reality is confronting the political ambitions into something that is doable for society, for the labor force, for the taxpayer. And so we see a slower transition. So we expect that this trend will continue. That's what we are basing our strategy, our forecast, our 2030 targets on, but we are not expecting that this is going to go through the roof over the next 5 years. The only problem I see with energy transition is we started 20 years too early -- too late, right? Had we started 20 years earlier, we would have a nice gradual. And so we can't redo that with the democratically elected policymakers that we have. And the only ones who can stay the course a little bit more aggressively is China, and they are. And that's their 5-year plan. Read it if you haven't done it. It gives you a little bit the textbook of what we have to follow as a company. So my point with this is it's been an awful lot of turbulence. It's hard to imagine that the next 5 years is going to be more turbulent than the last 5 years. But still, when you look at it, in fact, in reality, the stability in macroeconomics and underlying industrial demand has not been that weak -- has not been that turbulent, right? So I say sometimes you guys are hyperventilating on everything, scrubbers, heat pumps, so continue to do so. I'm also worried. I'm much more worried than I'll let you know. But yes. And to take a hyperventilation issue, I'm sure you're going to bog me with IMO regulatory things. And I will leave to Martijn later on to deep dive into that. But even on the dual fuel or multi-fuel issue, you see a stable trend line. Will that -- this is mainly before the delay of the IMO implementation schedule. But nevertheless, we don't have 50 customers shouting, we made the wrong decision. We'll see a slow and steady increase of multi-fuel solutions for between -- depending on fuels, you're looking at 10%, 20% of the global fleet. I cannot give you the trend line for the next 5 years, let's see. But our sense is that the market did not completely change as a result of the IMO delay. So we see. Maybe Martijn has some further details on that. All right. So what did it mean for us? And I will take you back on a 20-year journey on how the capital sales side order intake developed over these 20 years in a couple of dimensions and what we've done. And what you find is that in the time of the biggest turbulence we have experienced in our careers, we have grown the fastest, right? And most likely, we have outgrown industrial production in general. And I will come back to this. We probably have been a bit lucky in our end market exposures just for historic reasons. But we also made some conscious efforts to get there. But as you can see, we had a rather long time of stagnating organic growth. And for those of you who were with us in 2016, that was the time when the strategy shifted from something to growth. And we felt it was somewhat of a risky decision at the time because you want growth and then the world has its own course and cycles come and go. And so if we were meeting some headwinds in the market, it could have been a nasty journey for all of us. We got some tailwinds instead and things start to take off. So the journey became a bit more comfortable. But as you can see also, and I think we said this when we started the investments in 2016 for future growth, it will take some years before new product comes, before the sales force is trained, before some impact on what we spend our efforts on. So I think the period 2016 to 2020 was energy and hard work and '20 to 2025 was a period when we read the results of our investments. And of course, what we actually did 2025 -- 2020 to 2025 was to build the growth story for 2025 to '30, right? So we will talk a little bit about that. Today, the path to the SEK 100 billion. But this is where we are. I remind you that '23, '24, '25, we have a complete collapse in the heat pump market out the window went a couple of billions. And then we had a fantastic acquisition year of Desmet at SEK 6 billion order intake. We calculated on SEK 3 billion. And of course, that normalized. And so then -- so we had a lot of normalization. So the numbers that looks a bit flattish are anything but it. There are some huge negative deviations in order intake, not invoicing, in order intake that has been largely compensated by pretty good growth in most other areas. So the order intake numbers, as I mentioned on the earnings call, is an all-time high in a whole range of areas. All right. So that was the capital side. On the service side, we have a similar situation. And that was by design. We made service one of our three strategic pillars back in 2016. We -- if I want to be a little bit provocative with ourselves, historically, if you didn't succeed in the capital sales business, you might be promoted into service manager, right? Was that right, Nish? And you were not one of them, that's what I meant. But today, we have a very different atmosphere around service. And as you well understand, if you sell equipment like what you've seen downstairs, you may have a deal 1 year and the next capital sales is 10 years from now. And in between that, the only way our company is present, the way we interact with customers, the reputation we have, all of that is our service group. So it's a hyper strategic part of what we've done, and we invested. I'm not going to go into details on the 20 things that are happening in the meantime. But of course, the service side has taken off in a way that -- in a stronger way than we anticipated. So that's sort of what happened on the market side. My point is growth is not just a matter of end markets. They come by design. And I'm not going to go through the entire activities, but you like numbers. So I take those activities that we can actually put into numbers. So we leave talent, dedication, teamwork, all of that. We pretend like that doesn't mean anything, and we look at just numbers. And if you look at the numbers, starting with CapEx, this may be a good or bad number for you. Some people like to have low CapEx. We actually had prior to 2016 financial metrics, which was CapEx in line with depreciation. I had a real hard time to get that to square with a growth strategy, right? And so I actually think it was quite a big item for us to take some of the early CapEx decisions because they broke with the tradition that, well, eventually, we will have a downturn, right? But we had a growth plan. And if we didn't back that up with real capacity, how would we have credibility in an organization to go and hunt, right? Better to stay put. So the early CapEx decisions, they were a little bit risky. We were breaking with tradition. And since then, it has gone on, and we are probably at the record high level as we speak. We've been going through a period that initially was a bit of footprint sorting things out in terms of structure and regions and all of that, to more of a direct capacity-related CapEx thing. And with this facility and a number of other things, I went through the bricks and mortar in San Bonifacio last year, if you remember, so I'm not going to bother with you again. But now we are starting to come to some sort of end of a fairly large coordinated investment plan. And now it's more on an individual basis, what we need to do. And the biggest decision that we made public was the Framo decision in Bergen, and Martijn will speak a little bit about that as well. The other thing that you can put into metrics is the R&D investment. And they've been growing. They've been growing somewhat as a percentage of sales. And of course, it has grown on top of that together with the sales in a ratio so that we are now about 3x R&D spend than we were 10, 15 years ago. And you see part of what we're doing down here. We are a fairly R&D application close to customer type of business. And what you've seen today and what I wanted you to see was that you may think about us as a component supplier, right? We do components that people put, but we are actually system builders. And being system builders or -- builders or whatever you want to call it, means that you need to be close to customers. We become a plug-and-play solution. We need to understand the customers. We are responsible for input and output of those small process steps. So a lot of our development is happening there. I think the multi-fuel example was a good one, but it's by far not the only one. And so this is very important to us. I see -- here, I see no end in sight. As we continue to grow, I think we will continue to reinvest. There's lots of opportunities for us there. Capital allocation. I think you agree with me, if I guess that you would say perhaps our biggest development opportunity is the Energy division because of the transition of all that. And consequently, you would like to see a slightly higher capital allocation towards the Energy side than towards the siblings. And that's, in fact, what you see. So in terms of growth, not so big difference. So in terms of SG&A and people, feet on the street, it's quite balanced because all three divisions have gone through a similar growth journey. So that's not a capital allocation thing. It's just growing up. But if you look at the CapEx side and if you look at the R&D investments, they tend to be somewhat higher. So we are leaving nobody behind. And we are taking everything on its merit. And we are not saying that if you happen to be a non-energy person, you're not going to get any capital allocation, then in that case, we should get out, right? If we're not a good parent to our businesses, we have no role in it. And so we are doing everything. But the demand on the Energy side is higher from many points of views. And I think it will look similar in the years to come. So that's approximately. So history, where is that going to take us? Well, we've said some -- I think it was 2 years ago. I think. We want to get to the SEK 100 billion. And we still do. And it's still our objective. And I think I'm not going to give you the full story because the divisional presidents are coming after me, so don't make me the salesperson for this one. But just to frame it a little bit, so you see where we are and where we are coming from, the current running rate is about SEK 70 billion, right? If you just assume some sort of normal cycle, normal inflation, a 1% industrial growth per year, a little bit percent of price and you plug in a 3% basic growth per year, it takes you from SEK 70 billion to SEK 80 billion by 2030, right? So the delta for the SEK 100 billion is about SEK 20 billion. Now if you think about M&A, and let's just say that the capacity, including earnings up to 2030 for M&A is probably somewhere if we push it up towards the SEK 30 billion or so, certainly SEK 20 billion without pushing the envelope. And let's just say that typically to buy profitable, well-run business, right now, we're looking at a multiple of about 3x sales, perhaps something like that. That's where we are as Alfa Laval, it means we would acquire SEK 10 billion potentially. So let's call that SEK 5 billion to SEK 10 billion, so it takes us to SEK 85-ish billion. And then we have the three divisional strategies. And you will see them in just a little while. And as you notice from these pictures, there is something that you don't quite recognize. The Marine division has become the Ocean division as of January 1 and the Food & Water division, as you've seen today, for good reason, is being renamed to the Food & Pharma, reflecting the strategic priorities in that division. So -- and Energy division remains the same. So if you look at -- without being exhaustive about the areas of special growth that goes above and beyond the normal sort of industrial growth paradigm, in the Energy division, we are in an early stage on data centers, obviously, for us. As I said before, we are a bit later in the contracting cycle than many others. So we are still ramping according to the frame agreements that are coming into place. We've been going through an awful period of HVAC, including heat pumps, but also other applications. So that coming back to some sense of normality, a couple of billions. And we are doing our largest, as you know, R&D project in our history for hydrogen. And I think invoicing rate right now is about SEK 100,000, which is test orders to customers, right? So we see where that goes. But we believe that will be a hydrogen market in Europe and the rest of the world. So those are three sort of outside the normal growth areas that we are banking on. In the Food & Pharma division, obviously, the Pharma side, you will see some further details on that later. It is going to be important. We have some opportunities in industrial flow with existing product ranges that we believe we can do something with. And then we have the whole protein sector that is going to be special in terms of new sources of protein and so forth. So a number of areas there of interest. And if you look at the Ocean division, you see in the multi-fuel side today. That was, by the way, for a small module. The large modules are substantially larger than that. So these are big beasts. We have the whole Cryo implementation. Certainly, you will see that on the Energy division, too, which hosts the Cryo acquisition, but the Cryo fuel pumps and the whole applications is a clear opportunity for the Ocean division. The offshoring in terms of the offshore business, offshore service business looks very strong going forward in the next few years. And the aquaculture, we worked with for a number of years, as you know, is running in the hundreds of millions right now, but potentially, we have a bigger number coming there. So these are just a way to portray there's a couple of structural pillars that we will see how we evolve over the next 5 years, but they give us confidence that we can continue to have a growth pace that is somewhat higher than perhaps the industrial growth in general will be. Our end market exposure and the positions that we have put ourselves in looks viable to us. That will take us -- you may feel that it doesn't take us to the SEK 100 billion, but that wasn't a typical Alfa Laval conservative issue. It -- we actually does it. It takes us all the way up. All right. So now four slides that we don't have to talk so much about. But we have talked about the three buckets of growth earlier and we to update you at every Capital Markets Day. This may be the last time we do this, but I didn't just want to take it off the table and pretend like it didn't exist. I'll show you these numbers possibly for the last time because I think we will talk about the SEK 100 billion target more than the buckets going forward. So -- but just so you remember, we had the Evolve thing, which was Alfa Laval classic. We had the bucket of Expand, which was supported by an energy transition and structural drivers. And then we had the whole bucket of crazy ideas that we thought could get us to SEK 10 billion, right? So you remember that we did it in Søborg the first time, I think. And so this will be the third and possibly the last update. Here we go. So what does the number look like for Evolve, which is a stable, steady business. Since 2022, we are almost 30% up in order intake, and we are 31% up in terms of growth. So for -- so this is our traditional bread and butter business, quite good. The Expand is supposed to go faster, and we were until last year. And this year, we are, but only on the invoicing. We have -- the heat pump business was in there and the biofuel, which also crashed, by the way, is also in there. So we are flattish on order intake. Looking forward, those things remain in my book as expand areas. So when you look at our numbers overall, remember, we are not running at full speed on some of the very important applications for us. We've actually been taking that hit last year, partly this year, and we see the end of the -- the light in the end of the tunnel on those ones. So -- but in terms of the invoicing and a solid order book, it's still reasonable numbers. Okay. And then we have the Explore bucket. It's still very early times. But of course, the growth numbers are higher, especially on the order intake side, where we're up about 250%. So we are at 1/4 of the way where we want to get to the SEK 10 billion. In that bucket, I'm not going to go through all 10 projects, but to just take 3, the single-use CultureOne that you've seen downstairs is now in -- still in a fairly early launch phase. So it's up and running. We are putting out the systems. And I think we are -- we have a clear path to where we want to be on that application specifically. Oceanbird, which we put in there is mounting its first rig on car carrier ship right now as we speak. It will actually sail for the first time in Q1, aided by wind propulsion. So we'll see where that one goes, but it's commercializing according to plan. And then lastly, the hydrogen project, which is one of the big bets for us really is currently and should be currently at pretty much 0 revenue. We are now running sort of test orders to customers. So we are in line with starting ramping next year. I have no hesitation that we will -- I don't often say this, but I have no hesitation that our solution is going to be absolutely the best in the world. And so my question is not whether we're going to get customers. My question is how much orders will our customers get for electrolyzers. And so I'm sure we will have reason to return to that question. So that's where we are. We are still hopeful for the SEK 10 billion, 5, 6 years from now. So let's see. So that's the buckets. And if you don't insist ahead of next Capital Markets Day, I will skip these not because the numbers change, but we will talk about other things. All right. Another thing we talked about last year was if you think about the SEK 100 billion, it means pretty much that the group size 2016 is going to be mirrored by each division 2030. And we already started to feel with acquisitions and with new start-ups and with technology that we were getting back some of the slow decision pace and complexities and all of that, that we got rid of in 2016. Nine years had passed was time to take a step back, look at what we were doing, see how we could optimize. And we are modifying a lot of things. I will not go into a lot of the details on the internal clock work of the company. I just want you to know that sort of we've been through that process in some details, and I will share a few things about it. And let's just start with the team. Now not that the previous team was a blocker for growth by any means, but each has its path, and we are partly a new team now. So you will meet Julien as Head of the Global Sales Organization for the first time. Thomas Møller, you know Sammy is almost new in this context in running the Food & Pharma division. And Martijn is recently promoted into succeeding Sammy in the Ocean division. And so you will -- that changes a little bit what goes on in the company. And there are some updates on the divisional level in terms of strategy and direction. So certainly, we will look forward to that. And this is what we look like when we try to look really nice. All right. Okay. Okay. I'll let that on too long. I know. Okay. Let's move on. Then we have, for a number of years, worked through a little bit the guiding documents and principle of how we operate as a company. And I can assure you that just keeping a company, we take everything for granted. It works, right? Everybody knows what they're doing. We are compliant. We do everything work. It's not like that in reality. It's keeping a ship steady is a constant work of a lot of people and functional specialists to actually handle this thing. And we needed to rework that structure a little bit. And you see a lot of the pioneer and the positive impact, which sort of states our purpose for us in a good way. And to some degree, you get exposed to the transition leader strategy, right? That's a little bit what you see when you meet us. The rest you don't meet. But internally, we meet it a lot. That is how do we deal with our values, especially in these times and our business principle for our conduct and all of these things that are hyper important for us, not least in a period where sanctions and other things makes it extremely expensive to potentially make a mistake. And so we are quite on our toes in order to deal with some of that. So that pyramid for us is rather real, updated, adjusted to the current situation. It's a non-bureaucratic way of working, but it is a diligent work -- way of working. So we are happy with that. We have in our operating model weighed back and forth how do we deal with the geographical dimension versus our business unit dimension. And it has been 360 degrees full year sort of weighing pros and cons and what we're going to do. You can say the summary of that is we think the balance between a global sales organization, a global service organization covering all difficult and easy markets around the world in a very global business portfolio and the interplay with the business unit as the main strategic drivers and P&L consolidation unit, that balance wasn't that all off. But it certainly offered us some consolidation opportunities. And so we have compared to the cluster organization we had before, which was rather formal, Julien is forming somewhat stronger sales regions with the opportunity to, within those regions, be a bit more hands-on operationally in consolidation and whatnot. And so we are going in that direction. And on the divisional side, and I just want to give you a strawman view on it because the divisional presidents will talk about this in just a minute. But in principle, you could say, if you want to run a global technology business, you need to be somewhere with a local presence of actually guiding your business in 20, 30 markets around the world, you need a turnover of about SEK 10 billion, or you take SEK 100 billion and you divide it into 10 and you get 10 units. And in reality, we have smaller units, too. So we are on a path to consolidate the business unit structure, the basic pillar of our operating model into 9, right? And they are not all 10 at the moment. They are a little bit less or a little bit more, but we are at around on the path towards that number as we consolidate our structure. So it's -- so if you look at my cockpit, it's 9 P&Ls that mainly are deciding capital allocation, profitability, development investments, all of that. And that's doable, very much so, I think. There are some -- and the implication of being a business unit is that you are basically operating within our global sales company operating model, right? So from the future landscape of systems of legal structures and whatnot are gradually being shaped by this operating model, if you like. So that's how we will do it. Not all businesses fit into that. Now I have absolutely no intention of bringing Oceanbird into an operating model with hands checks with 20 sales company managers and why should I do that? We just sold one rig, right? Now if you think it's a good idea to take the hydrogen business into the operating model. Well, right now, we are sending test orders to about 8 very, very important potential large customers. There may be a day when we feel it's right to bring it into an operating model and have sales companies involved. But right now, customers want to talk to the technology center, not to a sales guy out in the U.S., right? So we are calling them PUs. That's why you have a PU here. We will have a number of PUs, including some multi-brands and others that are not integrated into our operating model, but will be kept as either a multi-brand, competing brand type of activity or as a development activity that eventually 5 years from now, 10 years from now, we will move into the operating model. That way, we have a much better clarity as to how we operate in the company, what's what, what we are calling what and all that. That was as much as -- so what I want you to take away with this is, okay, we clarified what you may look as a somewhat of a complex company. We get it, and we figured it out, and we made it super easy and don't worry about it. That's -- that's my point. And if you're still not convinced, I think maybe it's better that instead of me talking about it, we invite the divisional presidents on stage, and they will take you through each of their stories. And I think we will start with the host in a way for this event because this is largely a Food & Pharma unit. And Sammy is, in that sense, the host, and I will shortly ask him on stage. So thank you.

Good afternoon, ladies and gentlemen. The Food & Pharma division. We have been, if you look at over the last 9 months, did a detailed strategy review on about our business, where is our markets heading to, what are the transformations that are happening in the food and pharma industries, looking at what kind of position we can and should take going forward, and look at what kind of growth potential do we have in the division by 2030. So my intention for today is to give you an overview of our strategy review, some of the key points that you can take with you to better understand the direction we are taking. But if we start with our market, the market, what is our market? Well, it's you, and 8 billion more people, right? So it's the 8 billion people on our planet. And that is our market, what we are acting in. And our market is structurally growing for the next 35 years. According to the UN statistics, by 2060, we will be 2 billion people more on our planet. And that will be a peak at that point of time, the expectation is it will flatten out. So the next 35 years, we will need more food production without a doubt, growing. So -- and that is, of course, one aspect, but what the statistics also show that in that same time frame of 35 years, the elderly people will more than double. And if you question yourself, if you belong to that category, is 65, above 65 is the elderly people. Most of you will be there in 35 years from now. So what this will mean for our society is that the demand for medicine will substantially grow. And another aspect of our world is that the people will live more in cities. And that is a trend that has been going on for many years. And as you can see on the slide, by 2050, 70% of the population will live in cities. And what does that do? Well, that does two things. It's more convenience food. Prepared food demand will grow quite a lot, so more food production again. But at the same time, also much more water treatment systems needed to deal with the wastewater from cities. So this is clearly -- we are operating in that way in a structurally growing market for the next 35 years. And if you look a little bit more in detail on the three segments we are in, first, food. You could say food, of course, is -- if you look at our food business, we have what we call the hygienic food and the industrial foods. Industrial foods is things like fats and oils, sugar, starch, food sources. And when you look at the hygienic food, it's more like dairy, it's beverages, brewery belongs to that category and so on. And we have a quite broad spectrum of applications in the food sector. And you could say that maybe some markets could maybe like brewery is not growing because you see a clear shift in consumer preferences from shifting away from alcoholic drinks. But on the other hand, we see the beverages growing much faster. So all in all, if you look at the mix of the different food markets, we see a clear structural growth, not very high growth every year, but somewhere between 2% to 3% growth going forward. And what you can see also that for us, with the portfolio of products that we have in our company, we have an addressable market of SEK 152 billion, and we hold a market share of about 12%. Within our product categories, we belong to the top 3 in the market. So this is a market structurally growing, but it also -- we have an opportunity to take market share on the way forward. If you look at the next market we are in is the water sector. And here, of course, the water market is growing somewhat faster than the food market and at a rate of somewhere between 3% to 4% every year. And of course, the population growth and urbanization is driving it, but it's also pushed up by the climate change. Water security becomes a bigger agenda topic for many countries with the droughts, with the storms that is causing a lot of damage. So a lot of investments are happening extra in securing water availability, water security for cities and for countries. If you look at our addressable market with our portfolio, we have a portfolio that is rather limited. You could say we have separation technology dealing with sludge handling, sludge dewatering of wastewater, both for municipal but also for industrial wastewater. What is still an attractive market, as you can see, is SEK 21 billion, and we hold a market share of around 7%. Also here within the technology of dewatering, we are clearly in the top 3 worldwide. Then last but certainly not least is our pharma market. And this is a market that is growing the fastest of the three subsegments in our division. This market is growing at a rate of 5% to 6% every year. And of course, the population growth and the elderly population are the main drivers making this happen. And with our current portfolio of products, we have an addressable market share of SEK 37 billion, but we have a very low market share. And that I will come back later to because this is a fantastic opportunity for us to grow because we have a great portfolio, but we don't have a great market share position. And here, we are definitely not in the top 3 if you look at the total. So this has been, of course, the basis for developing our strategy, our growth strategy. And the division will, of course, contribute to the journey Alfa Laval is on to the SEK 100 billion. Today, we are SEK 25 billion. We aim to grow by 2030 at a rate of about 7% organically. So as you see, above the market trends. And we have some clear profitable growth drivers defined for that to make that happen. As we already mentioned, pharma and protein will be two industries where we are going to put very specific attention to. And then last but not least, industrial flow. I will come back to these three buckets in a few minutes. But before I go there, I want to say a few words about our innovation capabilities. And I think today, you have seen here, one of our areas, which is the high-speed separation center. And you have seen quite some innovations today. And if you look at our budget that we are being made available up till now was around 2.4% of our net invoicing. And during this strategy period, we plan to push it up to 3%. And that will allow us to continue the great work we have been doing on product innovations. And I think we can be really proud if I look back over the last years in our division, we have really developed a lot of very interesting technologies. We have really taken some technology leaps, not only in high speeds, but in many of our product portfolios that we have. And we will continue to do that. But the extra R&D spending will allow us also to focus a bit more on other areas. One is service innovation. We want to put more focus on innovating service offerings. This is about making sure customers can expand or extend the lifetime of their equipment, but they also will support them with certain upgrades that they can have a better performance in their current processes with less energy, less water consumption and with the higher yields. So that's one bucket. Then the other bucket is around application innovation. This is around the process, the products sitting in the process and how we can look at opportunities to optimize the performance of our customers' processes. And that is why we're building these application innovation centers. Here in Flemingsberg will be the application innovation center for pharma. And maybe you have seen in January, we have announced an application center in Copenhagen, Søborg for our food applications. So we're really going to invest quite a lot in that area as well of developing application technology leaps. And then last but not least is around the digital solutions. And you have seen one today. The intelligent separator is one of those areas that we are working on. This is about bringing new things, digital solutions, which is basically collecting data, software solutions around it to optimize and provide new services to our customers and optimize the performance. I think the intelligent separator will be a groundbreaking technology. It's not on the market yet, but it's getting very close to it. So this is one of those examples. And also in this strategy period, we will put more focus on that type of innovations, not only within high speed, but they're across our complete portfolio in the Food & Pharma division. So something to continue on about creating technology leaps going forward. So let me now come back to the growth area, which are the profitable growth drivers. And during this strategy review, we have looked at all possible opportunities to say, which are the best areas to grow in a way to grow profitable, but also in a sustainable way. And we have, on top of our organic growth, identified 16 different growth initiatives across all our BUs. And you see three examples here of those out of the 16. And the first one is coming back to what I just mentioned, digital innovation, digital service innovations. Digital tanks is what's something we're working on. It's not on the market yet. It will -- the plan is to be in 1.5 years from now to have it ready. But this is about our -- helping our customers to design process tanks. Process tanks in the food and the pharma industry is a very crucial piece of equipment. It's a very complex thing because in a tank, you mix, you blend, you bring ingredients together. Basically, many times, you make the end products in that. And so there is a lot of know-how needed. There is about the process, but there's also a lot of know-how needed around how do you equip a tank. The tank is not just a tank. There's a lot of equipment inside, things like cleaning, sensors, it's mixing, agitation and you have to fill it and empty it in a good way. So it's a lot of complexity that comes with it. And what you in average see that a system builder and a customer, it takes sometimes weeks to design a tank for a given application. With this digital tool, we will try to bring this down to a matter of hours or maximum a day. But it will also come with a digital twin, meaning that you can simulate. You can simulate behavior of the process also when you change the ingredients for your end product. So this is going to be a quite interesting element where we continue to sell the stainless steel infrastructure because we have a complete portfolio of tank equipment, but we'll also start to sell data and process know-how with it. That will be the new currency. So digital tank is one example. In the middle part is a palm oil extraction solution. This is what we could say under the innovations of application innovation. Here, we have worked together with a spin-off of a German university on a technology, which we call Pulsed Electric Fields. And we're sending small electrical signals through to palm oil fruits. And by doing that, we break the cell membrane, we punch small holes in it. And by doing so, we can extract the oil much better with much higher yields. And we are, as we speak, doing tests in industrial fields, and I can say that the customers are really excited about it. And not only they see a bigger yield or higher extraction of oil, they also see a better oil quality on top of it. So this is a very interesting area, and I'm expecting orders already in next year on this technology. This is an example of application innovation. And then last but not least is a product that has been now put on the market now a couple of years. You have seen it here today in Flemingsberg, the single-use separator. This is, of course, stepping into one of the transformations that the pharma industry is undergoing. Traditionally, pharma was produced in fully stainless steel infrastructures, but the industry is moving into single-use based production facilities. You have heard the team talk about. It has a lot of benefits. And this was an innovation that the industry was really waiting for. And the good thing about this is not the sales of the separator itself, it's the inserts, because whenever you run a batch of pharma products, you need a new insert. So this has become a consumable market, a recurrent, very attractive consumable market for us. So these are just three examples of out of the 16 carefully selected profitable growth drivers that we will drive in the years to come towards 2030, within our business unit structure. These are initiatives and owned by the business units. Then, of course, what you -- and the strength of being a business unit is that you focus. You focus on the technology, you focus on a market and you are very strong in being close to that market around that technology. But what this also does is that you don't always see the full picture. Sometimes you don't see the full process when you're focused on one product. And that is one other dimension of our new strategy is that we are going to develop cross-BU industry strategies. And when you take an industry strategies, you see the market in its totality. You see where you have gaps from coverage, but you also see where you have gaps -- on product portfolio gaps. And we have decided to start with these two prioritized industry strategies for two reasons. First of all, it's a fantastic growth opportunity. But secondly, there's also quite some transformations happening in these industries. And to give you a bit of a feeling around protein, when we talk about protein, you can see we are planning to double our current business towards 2030. And then we are not -- we are talking basically two types of proteins. The traditional protein production, meaning proteins you produce from meat and fish sources. Here, we have a fantastic portfolio of products and systems for this industry, and we want to make sure that we grow our market share in that. But it also has what we call the new proteins or the next-generation proteins. It's a trend that has started already a couple of years ago, where we are looking at producing protein first and foremost, from plants, plant-based proteins. That market is already in full swing. We are very well positioned on that one. We are just, as we speak, commissioning one of the largest plant-based factories here in Sweden for yellow pea production, producing proteins from yellow peas. Fantastic sustainability agenda that is behind it. But it's not only plant-based proteins. The next thing what is happening right now is fermentation-based proteins, where you ferment in a reactor proteins. This is accelerating rather quickly, and we have a perfect portfolio to support that industry, both in the process, but also the special technologies you need like separators is one of the fundamental elements to separate fermented proteins. Then also a third one is what we call cultured meat. And that's a bit of a, I would say, a bit more futuristic. That's where you basically grow meat in a laboratory. It's happening in lab scale. We are there. We have the technology to support. When and how this will come, it's a bit early to say. But for sure, we are in there in the innovation of the process together with a lot of innovative companies that are working on it daily. So this is a protein plan that we have with our industry strategy. And then when I look at the pharma, here, we plan to add SEK 2 billion -- more than SEK 2 billion on our current level of pharma. And how are we going to do that? Well, it's I would say -- I wouldn't say it's simple, but the good thing is that we have a very good portfolio already today. So it is about driving our current portfolio in the market. But Alfa Laval as our division, we have had very limited focus on the pharma industry. And to be successful in the pharma industry, you need salespeople, feet on the street that truly understand the language of the pharma customer. And this is not just about stainless steel. This is a lot about validation, quality control, all the aspects that is crucial for producing safe medicine. So one of the things that we have decided is that we're going to invest in people to make sure we push our portfolio out into the market in all its dimensions. So this is -- and you can see, we have already a quite broad portfolio. It's not only the separators. We have a wide range of flow equipment. We have a wide range of heat exchangers. We have membrane solutions and so on. So we are not starting from scratch. It's right here. It's about making it happen going forward. Then in addition, we will also take a bigger position in single-use. You have seen the single-use separator. We are working now on a single-use pump. Same principle. It's a recurrent consumable business where you have a base in structure. And every time you run a batch, you need a new pump head. And we will continue to build a full complete portfolio of single-use flow equipment in addition to our separators. So this is one other area where we will support the growth. Then water. Also water in pharma is quite crucial, not only to treat the effluence, but there is a big demand in pharma with pharma customers to reuse the water. Water is quite crucial in the pharma. It has to be what we call water for injection. Water has to be as pure that you can use it for injecting at your body. That is a very expensive water. And when we can reuse that after the fermenters, pharma customers are saving a lot, not only in money but also in time. And we have a solution. We have now a solution developed based on our membrane solutions, and we are having already two orders in and with leading pharma customers who really see this as a fantastic step forward in helping them to reuse process water. And then last but not least, this is a little bit more fetched out that we also want to take a broader position in what we call process solutions in the pharma. Today, we are mainly selling single-unit operations, separators, pumps, valves and so on, membrane systems. You can see this as a unit operation. But we're also looking at taking a broader position in the pharma and especially around the bioreactor. So we are looking at what we can do with the bioreactor both upstream, downstream and supply total solutions to the customers. And this is going to be part of our engineering process business unit. So this is a few of the key things that we are working on in pharma. And then the last topic that we mentioned was industrial flow. And this is a new business for us. Today, we are not in industrial flow, not at all. but it has a fantastic potential. And when we talk about industrial flow, we look at products that are used in industrial food segments, but also products that are used in the wastewater applications. And you can see here some of the growth patterns and the market size. On the left side, you see the market size of pumps only in the industrial food market, where we are today, every day selling our heat exchangers, selling our separators. And if you would have an industrial pump or flow equipment, we could just sell it with it. The same for the wastewater industry. Here, you see this is a huge market when you look at the pumps and valves market, the industrial flow in wastewater, it's as close as SEK 70 billion market. We are there with our separation technology, both decanters and Ashbrook portfolio. If you have a flow portfolio, you can just sell it with it because it's in the same vicinity of the process. So how do we get there? This is, of course, a journey, as I said, this is new business we are starting. And the way to get there is to start building on our existing hygienic flow handling portfolio. We have a fantastic portfolio in this. This is a business today of close to EUR 700 million in our division on hygienic flow products, pumps, valves, mixers, tank equipment. A lot of that product can be converted into industrial flow. A lot of the fundamentals are the same. If you compare industrial and hygienic, it's about basically the hygienic is higher in demand from surface -- rough surfaceness or cleanability, while the industrial flow has less demand on that side, but a bit more higher demands on durability because it's a rougher materials, you kind of push through the flow equipment. But the product -- the base product is the same. And we have a fantastic R&D organization for this. We have a manufacturing setup to produce this. So we are going to now work on converting our hygienic flow into an industrial flow line. That's the first bullet. Then, of course, we also need people that drive this, and we -- and this is a new team we are creating, and we have decided to cluster it with the water business and with our industrial heat transfer business and create one new business unit driving those 3 technologies, which goes very well hand-in-hand with developing an industrial flow business going forward. Then, of course, service is crucial here. And this business, as I said, is even more wear-intense than the hygienic flow. So this is also a very attractive part from a service perspective. And the great thing is that we are already there. We are serving our industrial heat exchangers. We are servicing in our separation water technology. So we already have the infrastructure, the people on site to do this service today. So it would be very complementary also from a service perspective, not only from a capital sales perspective. And then last, but not least, this is definitely an area for acquisitions. There are quite a lot of interesting companies out there that we would like to have part of our family. So let's say like that. And also this is going to be one of our focus areas to see how we can put some interesting flow companies in the group. So this is how we're going to drive the flow. So we have discussed the growth drivers. We have discussed that we are running through business units. Then we have discussed the industry dimension, how we're going to, on top of the BU product-focused approach, adding an industry approach. And then last, but not least, the stepping into a new market like industrial flow. And as was mentioned also by Tom, we have looked at the new structure, both the scaling for future, exercise that we have been running, together with our new strategy, and when we revisit our strategy, also look at what are now the best ways to grow our business in the best possible way in a sustainable way. We have decided to have a new structure where we reduced from 6 business units to 4. And the first one is the one that is focusing on the hygienic food, we call hygienic food handling, and heat transfer. And they are specialists also in channel management. This is a market where we approach the market through channels a lot. Distributors and integrated management is a crucial skill set that you need. And with now, the well-aligned structure of BUs and sales companies having a similar setup, we can very well align our modus operandi going forward. And you can see here some of the key growth markets for this business unit is definitely dairy, beverages for sure, and of course, also pharma is quite important for them. Then we have now created a business unit we call separation technology. Today, you have seen the high-speed separation that's here. We have also the temper-centric features, which is another type of separation technology. And we have also membrane technologies. Before they were in different business units, now we have combined it into one business unit, making sure that we can offer our customers, whenever we can contact our company, the best possible separation solution, both as an individual or as a package. So this is really going to help us a lot. And they are active in both hygienic and industrial food markets and also in the pharma, as you have seen today. Then the third one is, which I already mentioned, this is going to be the unit that is taking care of the industrial flow development, but they are also responsible for further developing the water technologies and our industrial food-heat exchanger solutions. And last but not least, we have created a business unit Process Engineering Solutions. This is a business unit that is specialized in what we call engineered-to-order solutions with a lot of process know-how, and where you have -- we need to have people that are excellent in selling large project sales. Of course, it's a lot about contract management, negotiation skills, but also, of course, a lot of knowledge about the process solutions that you're offering. This is also a unit that has the expertise to execute large projects in a very efficient way. So -- and you can see their growth market is oils and fats, beverages, proteins for sure, but also prepared food. So this is the new business unit structure. And on top of that, you will -- we have the 2 industries, the pharma and the protein, where we will have dedicated industry managers and then dedicated industry people within the BUs. So they will be still docked into the BUs, but we will drive it as an industry approach. So that comes to our last -- my last slide for today and that you have seen and that has been announced, of course, that we have changed our name from Food & Water to Food & Pharma to reflect our commitment to the pharma industry, to reflect towards the market that we will be a very trusted pharma player to our -- to the industry. At the same time, we don't lose the focus on water because it remains part of our DNA, but it's now also a business unit responsible for water development. So it even gets a stronger identity by creating our business unit, Water and Industrial Flow and Heat Exchangers. So with that, I hope I have given you a little bit of a feeling on what our new strategic direction is for the division and how we plan to contribute to Alfa Laval as a group to become a SEK 100 billion company by 2030 or earlier. And with that, I have the pleasure to hand over to my dear colleague, Thomas Moller.

Sammy. And as you have all noticed, I have 2 new divisional peers around me. And they are very creative and suddenly, new names are flying left and right. But we also need some stability in this company, right? So Energy is not changing the name. But maybe it's going overboard to call Energy Stable because it's everything else. It's, as you all can follow in the news, in the business, in industrial peers, to Alfa Laval, it is very dynamic. And it is very much as a roller coaster in a number of areas. And if we just look at the last couple of years, we have had the heat pump market where people were picking up the brazed heat exchangers where there was still warmth coming out of the furnace to that we don't have to run the furnaces at all for a while. We have had the CleanTech business that with the European Green Deal, the Inflation Reduction Act, et cetera, quickly went from nothing to 6%, 7% of our business and now with a lot of headwinds. We have had the tariffs kicking in beginning of this year, where large projects have suddenly another FID process. So we have seen a number of delays in cost overruns in especially the mega projects. So a number of areas where there has been a lot of turbulence that has hit us. Then you could say, why have we not then seen a decline in our business? Because there's also been roller coasters the other way. So we have data centers, which is actually one of the fastest-growing industries that has driven our business to a very high degree. We have also the service business that has grown very nicely. And we have also the whole fossil fuel where there has been a lot of activities, especially on the gas side. And if you look at coal, oil and gas, gas is where we have most technology fit, where there are a lot -- most positions in this entire up and downstream. And then we also start to see HVAC coming back, including the heat pump during the last months. So this is the nature of the Energy business, and that is our reality, and that is what we are living in. We are, as Tom mentioned, heavily investing in R&D in the division, and we are running a massive CapEx program. And we are doing these 2 things to be ready for the energy transition when it really starts to kick in. And still, even though we are doing those longer-term investments, we are still running a bottom line that is at or just above the group level. So then what I will do now, I will start with the market and say what are the market drivers for our business. We'll come into that. And then I got a lot of questions during the morning here, which was highlighted around a number of our growth opportunities, and I've selected 3. And according to the questions this morning, they fit quite well with that. And then I will also come into the structural change for the division. If we look at the Energy division, we have 2 main drivers for our business. It's the energy demand and it's the energy transition. And the energy demand is going up. As we speak, it has been going up the recent years, and it will continue to do so. Over the next 20 years, this will be a 50% increase or potentially even more. That's the development you have from the left to the 2050 scenario. And then if we don't change the mix at all, then the planet will simply not be able to cope with this. So that's why the energy transition starts to kick in. How quickly that will happen is, of course, a question mark. Tom was clear with the 2050, but these 3 areas will kick in, and they are also starting to kick in, but very different from region to region, which I will also come back to. The first thing we need to drive is energy efficiency. If Europe -- let's take Europe as an example, if Europe would not have worked with energy efficiency, we would consume 27% more energy today than 20 years ago. And then we have the double or the double-down scenario that was signed by 115 countries 2 years ago. We doubled down on energy efficiency going from 2% to 4%. And how much is 1%? 1% is equal for Europe import of gas of 2.6%. So if we do the 4%, then Europe alone can reduce the gas import with 10%. And that is why we say energy efficiency is not only to drive competitiveness, it's also a way to drive energy security. And that we need to work much more on so we get the energy demand down. Then we need to electrify everything we can. We are living more and more in an electrified society, and it is taking place. It's happening. And that whole electrification needs to be powered with renewable power or clean power like nuclear also. And then finally, there are areas that we cannot electrify. This is the so-called hard-to-abate sector. And that is steel, cement, plastic industry, where we need clean molecules and clean fuels. And this is also kicking in, and that is where hydrogen plays a role as one example. Exactly how these 3 plays out, still difficult to say. And one year is different than another one, but we are very active in all 3. So that is energy demand going up and the energy transition happening, then we have a growth journey ahead of us going forward as well. Then if we start to look at the -- if we start with the energy demand and we talk about electricity demand, instead of energy in total, that's what you have on the left side. So the electricity consumption will go up with 28%. That's the latest projection from '25 to 2030. What is driving this electrification? We all talk about and can read about data centers. Data centers is actually only 10% of this total electricity consumption increase over the next 5 years. For some regions, if you take some states in the U.S., some areas in China, it's all about data centers. They will drive 100% of the electricity demand in that region, but globally, it's 10%; EVs, 15%. We have heating and cooling, living standards, temperature rises that is driving a lot of heating and cooling. And then the biggest chunk is the industrial sector. This is where we have industrial growth. We have also electrification of processes in the industry, for example, industrial heat pumps replacing oil and gas-fired boilers. So it's not standing or falling with data centers. There's a lot of areas driving the electrification over the next 5 years. Then on the right side, that's where we see enormous shifts in the regional mix. Tom was talking a bit about this. If we don't have to go that many years back where fossil fuel, the investments every year was higher than the clean energy side, $1.2 trillion, and that's still the investments in the fossil fuel side. What is really kicking in and where all the growth is happening is in the clean energy. That is 2/3 of the investments projected for this year. So a total of $3.3 trillion, where some years ago, it was $2.2-something trillion. So massive investments, especially in the clean energy. And what is happening in the regions, you will clearly see China is taking a massive lead in the clean energy side. China is driving the energy transition at the moment. We have Europe. There was big expectations, big plans on the European Green Deal. Now there are a lot of other agenda points that also needs to be driven in Europe, challenging the green deal. We have the Inflation Reduction Act changing with the new administration in the U.S. That is leaving space for someone to take the energy transition lead, and right now, China is stepping up on that. And that is also why we need to step up our activities. We have a very good footprint in China, but we also need to be further developing our presence and activity level in China. So we have seen China on solar panels, batteries, now EVs, what will happen with hydrogen, carbon capture, bioplastics. At least now the demonstrations plants, the full-scale plants is being built in China. China is putting the finance into it, and they are doing the demand activation, and we want to be part of that learning journey for this year and the coming years. So massive changes in the different regions, but it's not like we can say the energy transition is not happening. It's just happening with very different speeds in the different regions. Then I've selected 3 areas -- 3 growth areas. And I would like to start with the most important one for us, that is energy efficiency. This is about 80% of our business today is about energy efficiency. This is where our heat transfer technologies comes in, securing lower emissions, but they are also business cases from a pure cost perspective. And here, the challenge is the awareness. Many talk about the importance of energy efficiency, but people are not aware of the solutions and technologies we have, and a lot of companies have these technologies that is needed to drive down energy or improve the energy efficiency. We just have to deploy them at bigger scale and lift the awareness. That is why we now, 1.5 a year ago, we created the Energy Efficiency Movement and Association that came live April in 2024. We have now 600 industrial companies who have signed up for this. They are driving their own energy efficiency agenda, but also creating a much stronger industrial voice around energy efficiency. This is 600 companies where 1/3 is in Asia, 1/3 in Europe and 1/3 in the U.S. So it's really a global association, and it makes a much stronger voice around this and also means like, for example, International Energy Agency, they finally have easy access to the industries and driving that dialogue with what is needed to collect the industry together with policymakers. So we hosted the IEA conference around energy efficiency. That was the 10th year anniversary. It was in Brussels, and we co-hosted that with the European Union or the European Commission. And now through the energy efficiency movement, we are, together with a lot of policymakers, now making energy efficiency policies that can really drive the implementation of the energy efficiency and of course, also drive our business and the technologies we already have for this. Then we have -- internally to drive our business, we have an energy hunter program. We announced this a couple of years ago. This is where we go out and with our process customers, do audits, do lifting awareness, share best practices, best cases, and then turn energy efficiency opportunities into business cases for them. The same we do on the equipment side, data center, HVAC business, tons of opportunities. And it's also a great opportunity for service. 2.5% of the world's CO2 emissions could be reduced if the heat exchangers in the world were operating under the ideal conditions. It has a massive impact, and we need to turn those cases into business cases for customers, and then the choice is so obvious. So let's just hear what one customer is saying about this. And this is Ms. Lao Liao that we have been working with for a very long time, that now feels she has met a new company. [Presentation]

I have seen this more than once. I loved it. But we have many customers saying like this. And Dao, we are working with Dao globally on this now. And every site, we find opportunities. Every place we turn energy efficiency into business cases, both from a return on investment, but also from a carbon emission perspective. Just in Belgium, we have one absorption stripping system where we are replacing a couple of old heat exchangers with our newest range. And then suddenly, they save EUR 1.4 million per year. We have service agreements where we do audits, and they say EUR 150,000, EUR 200,000 per year just in a medium-sized plant. So these things really matters, and more and more customers are realizing this. So that is good. Then data centers. I got 1, maybe 2 or maybe 10 questions about this, this morning. So data centers, we talked about this for the ones who are here in San Bonifacio last year. Data centers is a massive opportunity for us, and it's also materializing. We have our offerings where we have the traditional heat rejection. This is where we have data centers that is air cooled. Then for most of them, you still have outside the data centers, gasket heat exchangers that then reject the heat away from the system. What is kicking in with the AI or the liquid cooling, more demanding chips where the energy intensity is much higher, then we start to have liquid cooling. And that's when we start to have a lot of heat exchangers, brazed heat exchangers inside the white space. So our potential per data center at least double up. The third opportunity, which still has not really started yet. There are some great examples here and there, but not on a structural way, is the heat reuse. And we say a lot of the data center -- in general, we say they consume so much electricity, but the only thing they do is they take 100% of the electricity they consume and turn 99% of it into heat. So they are energy centers. And if we can utilize that heat and put it into district heating systems, for example, so obvious in Europe, then we have a triple opportunity. And of course, the data centers becomes much more sustainable. But that is still to come. Then the outlook. I mean, you all have tons of outlook statements on this, I know. This is from Andrea, where you can see massive growth, but you can also see a tremendous shift in the ratio between AI or liquid cooling and air cooled. So almost 50% of the data centers are supposed to be liquid cooled in 4, 5 years from now. And that is why we can say that if you look at the graph for the last 2 years, the investments in data centers has doubled, our business has tripled. Will we triple again? Yes, I'm pretty convinced we are. Will we do it in 2 years? That is the question mark. Of course, now this becomes a much bigger part of the division already today. We are now a double-digit percentage of the Energy division is data center business, and this will definitely grow faster than the rest of the Energy division. So that share, I can only see going up. Will this just explode and there are no limits? Well, there are definitely some good things talking for it. We have the magnificent 7s or the hyperscalers that are having the cash flow. They can pull through the investments, and they have a race at the moment. So of course, that is -- they don't need any subsidies or public funding. And you have also many countries. Right now, 50% of the total IT load in the world sits in the U.S., 30% in Asia, 20% in EMEA. How will that picture look like? Asia or especially China is not happy to be #2 in the world. So we see a lot of -- we talk a lot about U.S., but China is also having massive investment lined up, but they also need power. They need grid connections. They need other stuff than heat exchangers. You can just look at the lead time on turbines at the moment, diesel generators. There are a number of constraints in the entire supply chain to just say this will be 5, 10x higher within record time. There will be constraints. And then, of course, it's also -- how does the return on investment look like for AI? That is still to be proven. So some pros and cons, but definitely, data center is a massive opportunity for us. Exactly how it will play out, don't give me questions about what percentages we believe in and so on because it's plus and minuses, and exactly how this play out, yes. But we are ready for it, and we have contacts with all the hyperscalers because this is also about capacity planning and being early involved in the dialogues, and we are. Then third area, business unit Cryogenic. Isn't this a beauty? I'm thinking about the -- starting on the left side. So we are so happy with this acquisition. And just to put it into some perspective, where we have a very strong portfolio is on the liquid to liquid or gas to liquids. So ambient or down to refrigerant temperatures and upwards. And we are putting a lot of our own R&D spendings into higher pressures, higher temperatures, newer material, because that is what the energy transition needs. But the energy transition also needs cryo area because we talk about liquefaction of a number of gases, and that we have now that portfolio makes us really as the very full range of heat exchangers or heat transfer technologies that the energy transition needs short term and long term as well. Brazed aluminum heat exchangers, that is what is used in the cryo area. These units can be 8x -- 8 meters long, a couple of meters high, 1 meter wide, 20 tonnes. Then they can be put into a cold box. As I say, on the left side, we produce around roughly 700 units per year. In the cold box, that's where you have a couple of these or 4, 5 in that box with all the piping, all necessary needed, so it's just plug and play. This can be up to 1,000 tonnes. So this is not small stuff. And on the cold boxes 30, 40 projects per year. And then we're also making a first, a small step, but still a step into industrial flow with the cryogenic pumps. That is roughly 20% of that business unit turnover and some 400 pumps per year. And this is engineered-to-order business, both on heat exchangers and on the pump side. And where Cryogenic is selling, they are in air and industrial gases. So they take ambient air and then they can pull out the oxygen, the nitrogen, the CO2 from that by working with cryo temperatures and then condensate these gases. They're also into the natural gas. So they are right after the weld, taking the natural gas, breaking that into butane, methane, ethane, et cetera, and also in the whole LNG stream. And then they are also in CleanTech. So carbon capture, energy storage with liquid air, hydrogen, liquefaction of hydrogen, which is so close to the minimum or the lowest freezing temperature, they have technologies for this. Of course, the first 2 ones are like 98% of their business today, but very much like the rest of our portfolio, enormous potential when the energy transition starts to kick in. So very, very happy with this. And then we have mainly heat exchangers upstream and pumps are more downstream. And this is around SEK 2 billion turnover for us today, but definitely a growth area as well. So we are on a growth journey. We have added around SEK 6 billion, and we have a growth looking forward as well. And we have 4 pillars in our strategy. We have innovation. We are doubling up our innovation levels, activities within 3 years. We are 2 years into that, and we will continue doing so. Presence is both physical presence, like Sammy spoke about, but also the whole digital presence to give customers easy access to us, find the relevant information, and have an end-to-end business experience digitally. Service, I spoke about that last year, massive investments in Service. Last 5 years, 10% CAGR, and we have seen no reason why that should not be possible going forward as well. And then we have CleanTech, which is today 6%, 7% of our turnover, but have probably the highest growth potential over the next 5 years. So we have the strategy in place, and then also from a business unit perspective, the structure to set this to the 2030 perspective. We have now a change. So BU brazed and fusion bonded, no change there. That is our standard business, millions of units. Then we have BU gasket plate heat exchangers, no change either. That is where we counted in 10,000s or hundred thousands of units, configured business. And then we are combining BU welded heat exchangers with the circular separation technologies into one, and that is more engineered-to-order business. So all these 3 goes through sales companies mainly, and they have a starting point of SEK 5 billion or more, and each of them have the potential to double up, exactly how that will play out, but they all have -- they can see the SEK 10 billion that Tom also highlighted. Then we have the new BU Cryogenic Technologies that today do business direct, and we are only, what is it, 5 months into the integration project. And then we have BU Electrolyzer and Fuel Cell Technologies, which is more -- which will be from 1st of January, a portfolio unit because that's where we are developing a portfolio where there's no turnover today, but we certainly see that, that will come. So with this, we have the strategy, we have the market, we have the structure to become above SEK 3 billion division by 2030. With that, I'm handing over to Martijn.

Good afternoon. My name is Martijn Bergink. Today, I'm excited to then announce the new name for our division. Although it was mentioned now many times, but I'm still very excited. We are going now with the Ocean division. So did we change the name just for changing the name of it? No, we didn't. We want to expand our horizon. We want to look forward into 2030, 2035. The Ocean is not just seawater. It's enormous amount of opportunities that are in the ocean: decarbonization, shipping, powering the energy through offshore, and, of course, our aquaculture opportunities. So we think the Ocean is the future, and there's a lot of opportunities for us to gain there. So welcome to the Ocean division. It is common and a small tradition to introduce myself in this -- I'm the new guy on the block. So I've been with the company for more than 27 years. I started in Alfa Laval The Netherlands. It was a long time ago. Actually, I was working together with Sammy, who was an MD at that time when it became to the Benelux. My first job after graduating as a chemist was to develop the heat exchanger portfolio, the plate heat exchangers. At that time, we were very good at liquid-to-liquid and wanted to sell these heat exchangers into condensers, evaporators, into the chemical, petrochemical and offshore industry. So that was my first exciting job. And since then, I've moved into 2012, '11 into the scrubber business, did that. That was a very exciting journey going up before I took my first BU President job in 2017, Boilers and Gas Systems. And since 2019, I was very proud to take the lead into the Framo business, BU pumping systems until I landed in this job. And I must say, I'm very proud and very humbled to have this job. And when I walked throughout today and you saw all our colleagues presenting, I mean, there's going to be a lot of new talents coming up flowing into this because I can just remember the first day when I started in Lund, my first course and the CEO at that time stood there and you think maybe one day I stand there, it's unbelievable. So I'm ready for this journey. Let's start with the business. This is important. For the ones that have been last year here, you have seen this graph before, this is the outlook of Clarkson over the next 5 years. Clarkson looks at all the ships above 2,000 deadweight, and now we're talking about all the large merchant vessels that are in Korea, China and Japan. What you see is the orange dotted line, which is the contracted long-term average. So what Clarkson is predicting is that they see that we're going into this long-term average. And that is a good and decent level, we're happy with that. For the ones that have noticed compared to last year, there have something I've added, and that is the number of tankers contracted. The ratio of number of contracted tankers is important to us, because our potential of orders in that particular segment is much higher with the Framo pumping systems and the big boilers. So this percentage is also going up compared to the past. So we're happy with the level of contracting that we foresee, and we're also happy with the percentage of tankers in that split. Then there's the question, of course, will this ever happen? The only thing we know, Clarkson is always wrong, but we cannot do it much better than they do. But overall, if you look backwards, they're quite okay when you look at a 3-, 4-year average. There will be bad quarters, there will be good quarters, there will be geopolitical decisions making so that suddenly contracting stops and then starts again. Suddenly, there will be a good year in tankers and a bad year in containers. I don't know, but we're agile. We have dealt with this. We have dealt with the highs, we dealt with the lows, so we can deal with that. You already asked me. Some of you asked me the question about IMO. This is important. So what is our perspective on the delay of IMO when you look at these pictures? We think the IMO effect is absolutely there when you talk about efficiency of ships. So when a ship is efficient, and it runs on less fuel, and you can have an opportunity of selling an equipment that helps with that efficiency, a delay on IMO would be a delay for that particular product, but most of our products go now into the transition of the new fuels. Most of our owners have been looking for this for the last 5 years, and most of the OEMs had got ready with either a methanol engine, an ammonia engine or a fuel treatment system. And that will not stop. It will continue because, today, an owner has to decide on the transition. He has to decide in 2035 or 2040, will he be allowed to run on a fuel. Can he take the risk of saying, no, I don't think this is going to be delayed. I'm going to go for MGO. Oh, no, I'm sure it's going to be methanol. I'm just going to go on methanol. No, they will not. This is about the transition. And in this transition of the next 10, 15 years, most people will go multi-fuel. They will go dual fuel. They will choose 2 fuels. Why is that important? You've seen today the methanol treatment kit that was down there. And a lot of people, of course, try to fiddle what's the value of it and how does that compare? That's the story. So if the market in the next coming 5 to 10 years will go from single fuel to multi-fuel, what does that mean for us as a group? I took in this slide a crude tanker, a gas carrier and a bulk carrier on average. I took the 4 core components: heat exchangers, high-speed, fuel treatment systems, and boilers. If you put these 4 together on a ship and you compare a multi-fuel against a single fuel, you will see that for a crude tanker and gas carrier, the order value doubles. For a boiler, it's a little bit less. For ammonia fuel treatment system, it's more. So what is very, very important is to think about this slide. Will this now happen? Will this journey start? Will the delay of IMO hinder this graph? Again, these are the projections of Clarkson. Will LNG go to 20% or 25%, but the direction is clear. This is going to go up, and this is going to go forward year after year after year. Methanol, small little dip, but it's definitely going up. The big container liners are making a mix between LNG and methanol. And then, of course, ammonia will be right behind it. So we see these 3 fuels, including biodiesel as the opportunities for the 4 fuels that we see in the shipping industry. And again, then we have debates, will there be enough methanol? Will there be enough green methanol or blue methanol? But that's not really important for us. It is important for us that the customer decides on a ship, he goes for dual fuel, he needs all the equipment and he needs it now. And he will just see how he sails, and he will try to optimize with these fuels as much as he can going forward, but he will go into a transition. And what is very important in a market where customers are very unsure because these are difficult and big decisions for our customers, and we really respect that this is difficult for them, but in times when it's difficult, they will rely on us because we are a reliable partner, not only with developing the right equipment when it's ready, but also taking them forward into the service journey because when they decide on the ship, they're going to run it 20, 25 years. And they need to know for sure that, that methanol skid that you saw with all these components that somebody will be out there when they sit in the Panama Canal with a problem that we will come out there and fix it for them. So what is the contribution of the Ocean division to the journey of Alfa Laval going into SEK 100 billion? Our starting point is around SEK 23 billion LTM Q3 2025. And of course, as we take the Clarkson numbers, we take the expectation of the amount of share of tankers in it, and we take some inflationary numbers, we see that this will bring us another 30%, 40% up. Then we have this portfolio transformation, the transition of fuel, the transition of all our products that today run on oil into LNG, LPG, methanol or ammonia. Then on top of that, we have the energy saving like Oceanbird and OceanGlide. These are technologies that you choose on the business case depending on how expensive your fuel is. So the more expensive the fuel, the higher the adoption of ammonia and methanol will be, the more likely customers will buy this type of equipment. And finally, they have the new fuel equipment. Then there is, in the Ocean, there's more than just shipping, there's more than just marine, there's also the offshore side and the aquaculture side. And we've seen over the last few years that it's more and more important that you are independent on your oil and your gas. So there's a lot of FPSOs that are being built, and we see not a growth, but we see a steady building of FPSO year after year after year. This is very important for us. We have good market shares. This is a good business to have. And most important, these platforms, FPSOs, they stand out 20, 30, 40 years. There's still platforms that are 50 years old. So there's a great opportunity for us to do what we call life extensions on these. So we've been growing our offshore business a lot. These customers, they rely on us. They rely on our quality, they rely on our availability, our availability of parts. And they know what quickly to go to some other pilots. They will stay with us if we do our job right. So we see a lot of growth in the offshore service side. And finally, we have sustainable aquaculture, sustainable fishing. Today, we focus a lot on the salmon business. We see this is also a market that has been in transition, accepting that the way they were doing farming is not accepted anymore by the customers, and that you need to transfer into a complete sustainable market. For that, a lot of pumps are needed, and we think we're quite in the right position to go into that market as well. So all in all, that is our contribution to the journey of Alfa Laval into the SEK 100 billion. In the last quarterly report and presentation that you did, Tom, you mentioned an investment of about SEK 4 billion into the Framo footprint. And there were a lot of questions about that. So we thought it was a good opportunity for me to explain that a little bit. With the high contracting in '23 and '24 into the cargo tanks in Framo, it was logical for us to start investing inside the factory Fusa, where we make the marine cargo pumping systems. This facility, which is quite big, has about 500, 600 people working there, was built around 2004, '05, '06, '07. This was just before the boom. We had the capacity. That was not the issue. But most of the machinery was outdated. Today, if you're competing in the global market, you need to be automated, you need to have the highest quality, you need to have the agility to meet this maritime market, which is kind of special with this high roller coaster going up and down. So we're doing a lot of changes of taking old equipment out and putting completely new automated systems in that can run 24/7, 365 days, and meeting that agile profile that we need and that we have, which makes us competitive. Then the other investment that we have decided on is to build at a site called Halsnøy, where we have 220,000 square meters of land that we own. We built 2 new halls, each of them 10,000 square meter. One hall will be filled with a dedicated production line for our aquacultural pumps, and the other factory will be filled with a dedicated production line for pipe stacks for seawater lift pumps and cargo pumps. Again, automation, automation, automation. You need to increase your productivity, and bring your hour rate down and make sure that you deliver on time. These customers in a product tanker space or in an FPSO space, they cannot take quality problems at all. It needs to be perfect delivery. And that's what these factories will ensure. Then on 220,000 square meters, there's a lot of other space that we can use. Our Flatra site, which is our offshore factory will develop by taking out the products that we now build in these factories. This factory will also start to optimize its footprint much better, but in '28, we can then take a decision on the rest of the investment and where it will go. I take one example out, which is then the liquefied gas pump. We decided to design our first liquefied gas pump. Now we're talking about LNG, LPG, ammonia, even CO2 pumps, which are dedicated for the same markets that we focus on, and we have decided to make our first LNG fuel pump. We're already making the methanol fuel pump, but that's not a liquefied gas pump, but the ammonia and the LNG fuel pumps are. So the LNG fuel pump is now up with a customer. It's going. We're very satisfied with it. So the next expansion at the sites will be going into products like these. So this will be the next generation into the 2028, 2032 period. And then finally, my last slide is the new setup, not only a new name, also a new setup. We created one large new BU Marine Solutions. What is in that business unit? That's all the core products of Alfa Laval going into this business. We have about 20-plus different product groups that we deliver to the Marine business. And we have, over the past years, made it ourselves quite difficult by adding all kinds of joint ventures and other products and noncore start-ups into these units that we were trying to manage. So the solution is we take out the complexity and we focus on the core. And why do we do that? The shipping industry, the yards, they need agility. They need people to react on it when they. This is project business. It goes quick, it goes fast. And on the spare parts on the service business, we're going to make one large service unit because service is crucial for us. This is the differentiator between any new start-up that has a new idea is that we can deliver service of our equipment across the world in the next 20 years. So the service business is about parts, it's about speed, it's about digital infrastructure. So all these things can be arranged in one big BU. BU pumping system, so-called Framo, no changes to that. Then we have the StormGeo part, the digital part, which is still a very high focus inside the division and also in the group. This is where we can connect our hardware into our digital space. StormGeo is developing very well, and we still haven't cracked the nut to crack the solution here, but we think we're going to get very close, and this is a very high attention area to expand our digital solutions. And then finally, all the complexity that I talked about are very exciting new journeys, exciting new opportunities that we see, and we put them into a portfolio unit. These portfolio units will develop a little bit independent from the heavy sort of P&L-related big business units. So the market goes up and down, you have to act on that, but of course, when you're a start-up, you cannot wait for these things. You have to make decisions. Am I go? Am I going to do a new pilot? Am I going to take it? Yes or no. So we're going to take that into the portfolio unit. And with that, I conclude my presentation.

So good afternoon. I get the pleasure of wrapping up at least the presentation part of this. And what -- at least for me, I've been 27 years with the company. If you don't know who I am, I'm Fredrik Ekstrom, I'm the CFO. And I'm going to give you a little bit of a wrap-up of the day with some numbers, and you're ready for numbers, right? Everybody loves numbers, good. When you visit a site like this one today, and you see what we have done with the building, what we have done with how our colleagues come to work every day, and how we see the innovation center, and you see the innovations, you really get a sense about how we are investing our hard-earned cash flow. We will talk about that, too. But I think any number that I will show you today won't make justice for what you saw out there. So take the 2 things and put them into context with each other, and I think you'll get much more meaning out of this presentation. We've spoken a lot about growth. And I think that's a good departure point. And I'd like to take a little bit of a small retrospective on growth. We started triggering organic growth when we reorganized back in 2017, and we did that by putting the product front and center, making it a BU structure that was organized under divisions with a singular purpose of increasing our depth around the product with our customers. It also meant that when we started having that dialogue, we also started developing products that our customers were actually asking for. That triggered the first wave of organic growth that you see there between 2017 and 2019. And I think we all know what happened in 2019. I think it's pretty fresh in everybody's memory, COVID hit. And of course, that was accompanied with a period of some contraction until we came to quarter 1 of 2021. At SEK 38 billion, at that point in time, we have now grown to SEK 68 billion in a very short period of time, 5 years from SEK 38 billion to SEK 68 billion. That represented a total growth per year of 10%. And to frame that, 8% of that was organic. To manage that organic growth, of course, we had a large capital allocation towards capacity, in other words, investment, towards automation and towards product development. And it's been a fairly profitable growth, and I'll come to that in a second. Just to stay one more second on the inorganic growth, which is also part of our growth target. We have acquired 9 companies during the last 5 years, the last one in July of this year, and that was the Cryogenics business. So we're investing equally much or not equally much, we're investing in our organic growth, and we're investing in our inorganic growth. We have also been profitable in that investment. Our return on capital employed for the last 10 years has been spot on our target. It's basically 20.4% if you take the average over the last 10 years, not bad. Right now, we are at 24.2%. And part of that is inflated because we have rather low amortizations of step-up values from acquisitions at this moment in time. That's also part of the reason why we've left that target intact moving forward so that we have that freedom to have those amortizations, but 24.2% represents, I think, and I hope you agree, a confirmation that we have made the right decisions when it comes to investments. We'll come back to investments. We've also set a new target for our profitability. We have set a target of 17% adjusted EBITDA. And as you've seen, that 17% represents a pretty good representation of the median that we have been on for the last 10 years. In quarter 3, on an LTM basis, we hit 17.5%, not bad. We're happy with that. That represents a good mix of service business around 30%, a good mix of transactional business and a good mix of project business. This is a good mix. 17.5% is a good level. What I think is more impressive and also worth of note is that the EBITDA, not the adjusted EBITDA, the EBITDA has almost doubled since 2015, going from SEK 6.8 billion to SEK 12 million -- SEK 12 billion. Net income has more than doubled from SEK 3.9 billion to SEK 8.4 billion. If we look at our shareholders, what have our shareholders experienced from this profitability from this growth? Well, the EPS has gone from SEK 9.15 to SEK 20.18, and more than a doubling in the same period of time. And last year or this year, last year's results dividend in this year was a record high of SEK 3.5 billion distributed back to our shareholders. So I think we have earned somewhat of the trust to continue to invest. And that's a little bit more of what I'm going to talk about now. Before I do that, I'll talk about how we're going to finance some of our growth. And of course, that's through cash flow. And we have a strong cash flow. In fact, over the last period -- 10 years, we have averaged 84% cash flow conversion. That has allowed us to invest in our business without having to take on new debt, and I think that's rather important. Particularly in the last 5 years, we have conducted our biggest CapEx program in our history, and we haven't had to borrow money to execute that. We have had some peaks and troughs when it comes to our cash flow. I think one that's worth noting is the trough that we have after the pandemic where supply chains were severely disrupted. And we took the conscious decision to say, we'll let our balance sheet carry some more capital so we can deliver to the commitment to our customers. And I think that speaks a little bit to the Alfa Laval mindset, which I think is so important. Last year, when we closed out 2024, we had 115% cash flow conversion, and that was very much dependent on the advanced payments that we received from our customers, particularly then on the cargo pumping system side. Cash flow in money terms. We can talk about percentages all we like, but at the end of the day, percentages don't finance things, money does. And we have gone from SEK 6 billion to SEK 10 billion in this period of time. And operating working capital in relation to revenue, that's normalized to just above 16%, and then net debt to adjusted EBITDA at 1.11. That 1.11 allows us quite a bit of freedom to continue to make acquisitions and further our inorganic growth. We have set a threshold of times 2 EBITDA, and that also supports that we keep our credit rating from S&P at BBB+, which is also important from a financing point of view. So we have the firepower to continue with our inorganic growth, and we have the cash flow conversion to continue to finance our organic growth. So let's talk a little bit about inorganic growth. And when it comes to inorganic growth, the opportunities or the strategies for the 3 divisions are different. The Energy division with its organic growth opportunities is looking very much at technology acquisitions and an increase in their service scope. Cryogenics that we finalized in July is a great example of a technology addition to the Energy division. For the Food and Pharma division, I said it correctly, I didn't say Water. The focus is more on a broader end markets, increasing applications, increasing exposure to certain application areas. There, the acquisition that we did in 2022 of Desmet is a really good example of that with biofuels. And then finally, we have the Ocean division where expanding the product portfolio to existing customers is really the main focus, but equally much to convert and increase service. And there, of course, when we look at service, and we look at alternative services, then weather and sale routing as StormGeo brought in a few years ago is a great example of that kind of focus. So it is a different focus for all 3 of the divisions. What is clear is that for Alfa Laval, inorganic growth remains a focus. However, it means we're going to continue to be equally selective as we have always been, and we want to make sure that we bring quality assets that combine well with our strategy and combine well with our profitability profile. The other side of the coin is, of course, investing in organic growth. And investing in organic growth is not just brick-and-mortar. Actually, it's more about machinery and equipment. And it's not only about investing in additional capacity, it's investing in automation and new manufacturing processes. And that's important to make sure that we keep a competitive product portfolio to our customers. So we will continue to remain on the same CapEx level that we've had over the last couple of years, somewhere between SEK 2.5 billion and SEK 3 billion per year. It will be fully financed through cash flow. So this part of the growth will not require additional debt. Then I'd like to end with summarizing a little bit of some of the things that have been said today, and also put it in context of our new financial targets. We have raised our growth target from 5% to 7%. I think you would agree with me after listening to the divisions that the opportunities to generate those 7% growth is certainly there. There are disruptions, and there are things that happen on a yearly basis. Therefore, 7% over a business cycle seems reasonable. We also have an inorganic growth opportunity. That's part of the 7%. And that's something that we will continue to pursue. But we will not continue -- we will not pursue inorganic growth just for the sake of top line growth. There needs to be a wider fit into the group. I think it's also fair to say that we should include -- sorry, we should raise our growth ambitions considering the amount of investments that we have done over the last couple of years. That also holds true when we look then at the adjusted EBITDA margin that was raised from 15% to 17%. Part of that is to recognize the competitiveness from the new capacity and automation that we've added. Some of it is based more on the mix profile that we have and have been sustaining over the last 3 years. And it is also about looking at what we have been performing well historically, and we have been around the 17%. So if we look at the last 3 years when it comes to growth, 11.9%, a lot of that is the elevated cycle that we had for chemical and product tankers. If we look at adjusted EBITDA, it was a level of 16.7% on average over the last 3 years. And the return on capital employed over the last 3 years has been 22.8% on average. And here, we have retained the target of 20%. Hopefully, you'll agree with me with the track record that we have, with the ambitions that we have going forward, that we have earned the trust of you and the market to continue to invest, both on inorganic and organic opportunities to get us well on our way to the $100 billion that we expect to hit in 2030 with a very similar financial profile to the one we have today. And with that, I thank you for my part of the presentation, and I ask Tom to come up for a Q&A.