Investor AB (publ) (INVEA) Earnings Call Transcript & Summary

Hello, and welcome to Investors' Q3 presentation. As usual, our CEO, Johan Forssell; and our CFO, Helena Saxon, will present our results. The presentation will be followed by a Q&A session. And also, as usual, you can follow our presentation either through the web or over the phone. So once again, welcome.

All right. Also a warm welcome from me. We all know that we are living in a turbulent world out there. And -- but I think that in this environment, we delivered a strong third quarter. We actually had net asset value growth in all our 3 business areas. And most gratifying, I think, is that we had a very strong operational performance within Patricia Industries and our subsidiaries, and I will come back to that later on. If we look forward, of course, there are a number of positive aspects. Many of our companies have strong order books. And we are seeing some easing on the supply chains even though many challenges actually remain. And for us, at Investor, of course, we also have a resilient portfolio with about 1/3 of our total assets being within MedTech and pharma side, which, of course, is more resilient normally in a downturn. Having said all that, there are a number of consumer headwinds that we all can read about in the media. And it is likely -- so far, we only see it or have mainly see it, I should say, among the companies with direct exposure to the consumer. But gradually, when we go into next year, of course, it is likely that we will start to see a more broader impact of that. But I think that we are well positioned for that. We have a portfolio of strong companies, they have market-leading positions. They have very high profitability and cash flow. And also, we, at investor, we have a strong financial position. So I think we are ready. And we are also working very actively, of course, with our companies to prepare should we enter tougher times when it comes to contingency planning, but also, of course, a lot of focus on making sure that we will continue to invest in priorities areas that will be absolutely crucial to actually beat competition long term. If we then look on the results or the figures for the third quarter, you can see that the stock market was down 4% in the third quarter. Our total share of the return was down 3%, so more or less in line with the market. But our net asset value actually grew by 3%, and that is a combination of the strong operational performance within Patricia, but also a significant outperformance in our listed portfolio compared to the market. And if you look on the year-to-date figure, you can see that while our TSR is down almost in line with the market, a little bit better, but the net asset value is only down 16% or about half of the stock market. A few words about the listed company. In the third quarter, the total return was 2% compared to the stock market being down 4%. And also for the listed companies, it's about half of the downturn in the market being down 16% year-to-date compared to the stock market being down 31%. In the quarter, we invested SEK 0.5 billion in Atlas Copco, a company that we have strong belief in. We believe it has a very good exposure to growth trends out there, both when it comes to the climate improvements and also when it comes to digitalization and so forth. ABB also completed the spin of Accelleron, ,and working with the business portfolio management is important for all our companies to create long-term value. We could also see for these 2 companies that the 3Q results that they presented, Atlas Cope yesterday and ABB this morning. that they continue to deliver very strong results in the third quarter. And these companies are, of course, very important for us being the largest and second largest portfolio in our listed companies. As I said before, it's all about making sure we are prepared should we enter tougher times while at the same time investing to be in long term. You need to do both, and that is the critical part. And for some companies, that is not super easy right now because you might have strong order books you want to deliver. At the same time, you know that it might become tougher going into next year. So it's -- you need to balance all these different aspects, but I think our companies are well on it. Patricia Industries has grown into a nice company. Today, we have, on a rolling 12 months basis, revenues of more than SEK 50 billion. And the EBITDA amounts to about SEK 11.5 billion. This is rolling 12 months figures. If we look on the 3Q results isolated, the corresponding figure was SEK 14.4 billion on revenue and SEK 3.4 billion on profit. So we are right at the current level running at a higher level than this. You can also see that this portfolio consists of very strong companies, 80% within Medtech and then also exposure to industrial technologies and infrastructure. And here, you can see the development over a longer period of time since Patricia was created. And here, you see the profit per quarter and also the rolling 12-month figures. And I should stress that these are the reported profit levels, including all transaction costs. But the important part is not the details, it's the long-term development. And secondly, you can also see that in the third quarter, it was a record profit. And for that matter, it was a record sales also. Moving then over to Patricia Industries. The total return was 5% in the quarter, and that leads to a total return of about 2% year-to-date. The sales growth amounted to 32% in the quarter of which 10% was organic growth in constant currency. And we had a good profit development, as you can see, being up 34% in the quarter. The focus for Patricia is to make sure we integrate the recent add-on acquisitions made. And the development is very encouraging. It's a good development on the acquired companies. Also to continue to work with efficiency improvements, including price management, and it's gratifying to see that we are now seeing price increases filtering through in a number of our companies in a good way. And then finally, continue to make sure that we capture all the growth opportunities. Our companies have a number of tailwinds, and we need to make sure to capture it. whether it's new products, innovation or expanding in new customer groups and geographical markets. I will not go through all the companies on this list, but I will, of course, come back to Mölnlycke later on. But let me answer a few words about some of the companies that might need a little bit of explanation. If I start with Laborie, in terms of value, our second largest company in Patricia, they had an organic growth of 20% in the quarter, and we see a strong underlying demand for Laborie, and it's actually a really good performance because Laborie continued to see supply chain challenges in the quarter, and despite that, actually delivered the 20% growth. The profit margin expanded quite a lot, as you can see. And that was despite, for this company, negative currency effect, significant investments in R&D and also large investments behind the product launch of Optilume within Urethral Strictures. I should also say that it's great to see the development of Permobil in the quarter, growing organically at 12%, actually very broad-based development, both when it comes to the different product categories and also when it comes to the different geographies. And also here, we saw a good margin expansion, and that was driven both operational leverage, price management and currency, even though there is still elevated costs for Permobil. I think I should also say a few words about Advanced Instrument. You see the organic growth was lower than we have reported previously at 3%, and the main reason is weaker sales of instruments to the biopharma in the quarter. When it comes to the margin, it looks like we had a very good margin expansion. But actually, if we adjust for the transaction cost to Solentim in the previous period, the margin was down. And there are 2 main reasons for it. One is just more mathematically. Solentim and advanced and tell that we have acquired, these companies have lower margins than the legacy business within Osmolality Testing. So it's just a pure mix effect. That is 1 part of this. The other part is a combination of the fact that Instruments sales were lower. And at the same time, as we are investing heavily into this company, both on the commercial side and within R&D. Finally, I should say a few words about Sarnova, the company that actually didn't report organic growth in the quarter. And the main reason here is that within the acute segment, the previous year was extraordinarily strong due to high sales related to the delta variant of COVID-19. And also this year, the flu season has started later compared to last year. So these are the 2 main explanation when it comes to Sarnova. The cardiac business, I should say, had a very good development in the quarter. Moving then over to Mölnlycke, you can see very strong development, with reported sales amounting to 16%, of which 9% organic. All 3 large business areas actually grew nicely. Antiseptics was down, but that's a small part of Mölnlycke, as you know. Mölnlycke was driven by strong underlying demand, but also a very good commercial execution by the company. And here, we can see over the last 1.5, 2 years, that Mölnlycke has been gaining market position within Wound Care. On the ORS side, we saw a healthy growth of 10% in the quarter. And here, we see that elective surgeries are now coming back after the pandemic. And then finally -- but I should say that continued for this business, one of the challenges is that there is actually a shortage of nurses out there. So we see elective surgeries coming back, but there is also a limitation because of the shortages of nurses in some areas. But overall, a good development. For Gloves, we have seen a number of quarters going back that have been quite challenging, as you know, due to low production capacity, but also due to challenges in the global supply chains. We are now seeing that the production capacity is up and running fully after the challenges related to pandemic previously, and we can also see it in the global supply chains, and here, we saw a very good growth of 15% in the quarter. And I will come back also to further investment in this area to capture the very strong demand that the company is seeing in this area. The profit was up 24%, with a margin improvement of almost 2 percentage points. This was driven by the fact that even though raw material and logistics remain elevated, the impact is now less pronounced. Partly, this is due to price increases coming through. The organic growth, the operating leverage is, of course, one additional explanation. And then in addition to that, also positive currency effects. We have seen a number of quarters and that goes from Mölnlycke, but also for other companies in our portfolio, where we have seen that the cash flow has been, call it, below normal levels. In this quarter, we started to see a more normal level of cash flow generation. And the key reason is that the working capital stabilized and mainly that inventory now is reaching a more stable level. And then finally, [indiscernible] has succeeded. He's going to broke a share for this company, but he knows the company well because he has a Board been a Board member since 2018.. This investment is -- was done or inaugurated actually just a few weeks ago. It's a big investment, EUR 50 million investment in surgical gloves in a factory in Malaysia. There are 2 main reasons for it. One is capacity and one is sustainability. On the capacity side, this investment will increase the capacity by about 20%. There are a number of improvements when it comes to sustainability, one is that it will give a much better carbon footprint; secondly, the wastewater handling has -- will significantly improve. And very important, of course, also the employee conditions is significantly better in this compared to the old plant. Moving from Patricia then over to EQT. The value change was up 2% in the quarter, driven by the listed company EQT that was up 5% during the quarter. The funds were down slightly in the quarter. Cash flow has continued to be strong, almost SEK 1 billion, leaving the year-to-date to some SEK 4.5 billion to investor. Just a few days ago, they announced that they have now completed and closed the acquisition of Baring Private Equity Asia. And EQT, as you might know, have some 90-plus billion in asset under management. If you combine that with the SEK 22 billion under assets under management in BPA it will give a very large size on the asset under management being SEK 114 billion together. Importantly, this will position them well in the Asian region, which is a good growth region in this business. So to summarize, I think we are well positioned if we now would enter in tougher times. I don't have a crystal ball, but what I hear, of course, is that there is a clear risk that the headwinds facing the consumer will gradually filter through also to a broader decline in the economy. And perhaps the biggest risk relates to Europe. But time we tell if it will be, call it, a little bit milder downturn or a more severe. But if it happens, I think we are really ready. The companies are prepared. They have contingency plans in place. We have companies with very strong market positions, high profitability and good cash flow. And we have really prepared refinancing our balance sheet during a number of years. So we had SEK 24 billion in cash and we are ready should actual opportunities arise. So with that, I hand over to Helena.

Thank you, Johan. Let's have a look at the adjusted net asset value development in the quarter. So at the end of September, we landed at [ SEK 626 billion ], and this means that the average annual growth with dividend added back amounts to 13%, which compares favorably to SIXRX 7%. So the total return or the total adjusted NAV growth, and this slide shows that all business areas are contributing to this growth, 5%, 2% and 2% for Patricia listed companies and EQT, respectively. And going into the listed companies part, 2/3 of the portfolio or SEK 424 billion at the end of the quarter. We can see that it's a mixed performance between the companies that Atlas Copco, Nasdaq, ABB and SEB contributed significantly to NAV growth with strong returns, while Husqvarna, Sobi, Electrolux Professionals and Ericsson had a tougher quarter, and the overall performance of this business area, of course, strong at 2% compared to SIXRX minus 4%. Going over to Patricia Industries, SEK 150 billion almost and 1/4 of our portfolio. We usually show this growth with the estimated market values development since the second quarter. And as a general theme, one can say that increased earnings and currency compensated for general multiple contraction. But we can also see in this picture that all subsidiaries, except for Piab, and also 3 Scandinavia contributed to the growth in the quarter. Looking at the major drivers, we can see that SEK 2.3 billion of estimated market value change was generated by Laborie because of higher earnings, currency impacting positively, and unfortunately, then lower multiples impacting negatively. Mölnlycke also had lower multiples in the quarter, but earnings currency and cash flow contributed to the value increase of SEK 1.5 billion. Advanced Instruments value increased by SEK 1 billion, and this was due to currency that impacted positively. Permobil had higher earnings, but again lower multiples had a negative impact. And Three, a little bit unique this quarter, had higher multiples and earnings impacting positively and generating SEK 0.8 billion of estimated market value in the quarter. Investor still has a strong balance sheet and no maturities until 2029. The average maturity of the total debt portfolio is over 12 years. And the leverage remained around 2% in the third quarter at the lower end of our target range of 0% to 10%. Finally, a slide on the average annual total shareholder return. Of course, the last year has been weaker even though we have outperformed. Looking at the longer term, 5, 10 and 20 years, we can see that we have not only outperformed SIXRX, but also achieved well over our internal return requirement of 8% to 9%. And with that, I would like to hand over to Viveka who will take care of the Q&A session.

Yes. Thank you, Johan, and thank you, Helena. We will now start our Q&A session. And as usual, you can raise your questions on the phone, and we will have our facilitator, Ariana, handling that, and you can also raise questions over the web. We will start with the questions over the phone.

[Operator Instructions] The first question is from Joachim Gunell with DNB Markets.

Starting off with we can once again stick with Patricia Industries, but are you seeing any signs of that, say, order books are, to a certain degree, not to only real demand where they have, so to say, been more inventory adjustment and building them up, so to say? And are you seeing any sign sort of calculations into Q3?

I don't know if I got your question correctly, Joachim. When it comes to the order intake and the order book, what exactly is the question?

Whether you've seen any signs sequentially if there are not necessarily air, but if order books have been boosted throughout the year, driven by more inventory related or are you seeing any signs of confirmations?

Yes. I think overall, when it comes to Patricia, that the effect on orders versus sales and order books are much less than many other companies. On the listed companies, we have a number of companies that sell more broader -- large capital equipment, where there has been clear challenges in the supply chain. And here, we have seen extraordinary strong order intake in a couple of areas. And on that part, I think that some of this has been that you have preordered because you want to have a certain place in the order book. On that side, I must say that I'm not hearing anything about -- yet about cancellation. So I think that overall, that preordering in some cases, yes; but cancellations, no. That's what I hear. In Patricia, we have -- a lot of the business is actually related to consumables, and that's more of a daily flow. So I think the most important question for that is to what extent there could be excess inventory in the customer segment. And that can always be customer adjustments on the inventory, and that is sometimes tricky to know, but I haven't had any clear signals in either direction on that.

And since parts of your listed portfolio seems to be trading below share levels, which seems to basically go below your assessment of the fair value given where you have built positions historically. Can you comment anything about you see the most potent opportunities, whether it's building a Patricia platform or in the listed environment as doing right now?

No, I will actually repeat what I said before that we will try to find opportunities in both these areas. In this particular -- in the previous quarters, we have actually made most of the investment, as you have seen, within Patricia with a lot of add-on acquisitions that actually performed really well. In the latest quarter, we invested SEK 0.5 billion in Atlas Copco. We will always act like that used opportunities we see. A comment on the listed side that I think I mentioned that some previous occasion is that there can be a number of reasons why we can or cannot invest in different companies. It can be related to the size of our ownership, it can be related to restrictions, et cetera, et cetera. But when we find great opportunities and we believe that it's in line with where we want to focus, we will, of course, try to use them.

And just finally, a more, call it, general question with regards to the earnings are somewhat boosted by FX across the portfolio. Can you say anything about where productivity levels are in the underlying portfolio in relation to your ambitions? .

Yes. I think that it differs between the companies. As I said, one should remember that if you -- if you look on our subsidiaries, we have 4 subsidiaries that are actually U.S. companies, and they face a quite different situation than some of the Swedish companies. So that's one thing. So it differs between the companies. Generally, we have benefited from the currency. But if we strip out the currency effect, add-on acquisitions and others, we can see that we have a healthy margin contribution on the additional organic sales in the quarter.

The next question is from Oskar Lindstrom with Danske Bank.

Two questions from my side. The first one is on Mölnlycke. I mean could you perhaps tell us a little bit more about the contract structures and pricing outlook for Mölnlycke? Are there more price increases ahead and -- if you can provide more detail on that? And also there, you talked about you said easing raw material cost pressure or something to that effect. Could you also describe a little more in detail what is happening with the raw material costs here? And what raw materials are you referring to? So that was my first question. And I can take the second question maybe as well, if that's all right. I mean, it's coming back to this issue of capital allocation. So public prices have come down more than the private loans in your portfolio as generally -- your listed portfolio has generally done better than the overall index. I mean does that mean that you would be looking at making investments in new listed companies? Is this -- do you think this is an attractive price point to make that? So that was my second question.

Okay. Thank you for those questions. It's actually quite tricky to answer because it differs between different geographic regions, different business lines and so forth. But the case is that some of the cost on raw material, of course, filter through quicker than price increases because you have contracts on the price side. And that has affected Mölnlycke. We are now seeing, in some cases, that the price increases are starting to get through. The other comment I can give you is that, of course, you know that Wound Care has a very good profitability and also Gloves have good profitability. The ORS business, we need to improve profitability and the -- or the company needs to improve profitability. So here, they have also been more tactical, increasing prices to improve profitability, and that has been a cautious decision on that side to gradually filter through price increases and also prioritize what to sell. When it comes to the cost increases, what we can see is that freight costs are gradually coming down. So that is the one area where we see some improvement. But then, of course, if raw material prices, even if they stabilize and you gradually get through some price increases, of course, that will start to benefit you. Moving then over to the Listed Companies. I think we -- our priority remains. We have a number of really good company. We bought more in one in the third quarter. The priority remains to continue to invest in selected a number of the companies we have in the Listed Companies rather than going for new ones, and then invest within Patricia Industries and, of course, continue to invest in some prioritized funds within EQT. That is the basic strategy. But of course, I will never say never. If there would be a fantastic opportunity, we would, of course, look at it even if it's on the listed side.

The next question is from Derek Laliberte with ABG.

Okay. So I was wondering on Mölnlycke, from your perspective here, what the key drivers are behind this strong global demand that you're experiencing within Wound Care specifically. Are there any sort of meaningful temporary effects to be aware about? And what you consider to be a sustainable growth over, say, the next 5 years? .

It's a great question. I think on the positive side, of course, elective surgeries are coming back. So that is one. If I look on the development, as I mentioned before, over the last years, the second thing is that Mölnlycke has gained market share. So those we kind of see. The trickiest part, of course, is to see if there are inventory changes in some areas among the customers, that is always very difficult to keep track on. That could have an effect from quarter-to-quarter.

Okay. Great. Sounds good. And I was also wondering, given your commentary here about your strong position and looking for opportunities in this environment, could you give an update on the investment pipeline, how that looks in general for the unlisted part?

We have a strong pipeline. So it's more -- and we are working on it. I think there are 2 things that we need to balance the large opportunity that really exist in that pipeline. Number one is we need to make sure we integrate the acquisitions we have done. And there is a continuous work on that, and I'm very pleased to see the development on that side, among the call it, 5, 6 large investments, add-on acquisitions we have made over the last 1 to 2 years. And in some cases, of course, we need to make sure that even though we are willing, as I said before, to pay a good price for a fantastic business, of course, we need to make sure that the price reflects also what we believe we should pay in this environment. So these are the 2 things we need to consider. But we have a good pipeline and we are working for it. And even though we take out, we are not -- we are clearly willing to move forward if we find great assets.

Okay. Great. Thanks for that clarification. And finally, from my side when it comes to Ericsson, you seem have a lot of patients here, obviously. Why aren't you or haven't ant you bought more shares in the company? Or are there any restrictions here that I'm not aware about, because I think we're quite close to the levels where you bought meaningfully in the stock before?

I will not comment the Ericsson, specifically. I can just comment that out of the reasons I normally mentioned with -- we can be restricted or we can have 2 large ownership, in some we actually 30% ownership. The latter 1 is not relevant for Ericsson since we have less than 30%. But more than that, I will not comment.

The next question is from Dominik Pross with VPBank.

I only got one and a brief one, actually. As you mentioned Accelleron at the beginning of the call, how you -- what are your plans going about potential spin-offs also in the future looking especially at the ABB who at least going to spin off another division or at least plan to in the future? Do you plan to stay in them for the long term? Do you plan to well clean your portfolio of such smaller positions? How do you want to go about it in the long run?

Okay. Thank you for the question. When it comes to Accelleron that was listed quite recently, we have a big stake in that, 14% ownership. But of course, from a total amount, in absolute amount, is a small part of Investor AB. We have said that we believe -- number one, we believe it's absolutely correct that ABB is doing this, focusing on automation and electrification. Working with the business portfolio is the right way for them. Secondly, we have said that when it comes to Accelleron specifically, that we will evaluate it over time and do what we believe create most value.

[Operator Instructions] The next question is from Kristin Dahlberg with Pareto Securities.

Considering financing costs having risen so much recently and the operating environment is characterized by problems, at the same time, we can see companies strengthening balance sheet and secure liquidity. And to be able to invest to some extent in addition to gaining more strength in the balance sheet. What is your view on timing here, considering the uncertainty? And then I also have a question regarding Mölnlycke and the further strategic development of Mölnlycke. Is organic growth, business development of the existing business or acquisitions to be preferred? And what business area do you think Mölnlycke should focus on?

Okay. I can start with Mölnlycke because that's -- I don't -- I'm not 100% I got your first question. But Helena will take it because she's much more clever than me. When it comes to Mölnlycke, I think the key focus for Mölnlycke, of course, is to continue the fantastic organic growth that we are seeing by working with innovation, R&D, moving into new geographical regions. That is, of course, the key focus of the company. But they will, of course, look at opportunities also within M&A. And preferably, of course, it will be related to some of the areas where they have a very strong position, but also good profitability. So I think that is -- it's roughly what I have to say on that. Helena?

Okay. Kristin, I got the question as related to when to start raising debt in this market. Is that...

Yes, maybe I can clarify a little bit. I'm just noticing financing costs going up. The operating environment is very difficult. But at the same time, companies are strengthening balance sheet, securing liquidity, both to be prepared for what can happen if we see further weakness but also to be prepared to invest. I mean order books are strong, and corporations and households, not the least in the Nordic area, are in a fairly good place. So I'm just thinking about investments from a timing point of view, what do you see ahead of you for the Listed portfolio and for Patricia in terms of investments from a timing point of view?

I mean on the debt question, as you saw from my slides, we have very little that to be concerned about as we have the next maturity of SEK 1 billion in 2029. So we actually raised quite a lot of debt in the Eurobond market the last few years at very attractive rates. And really, long term, debt as well, long tenured debt. Regarding the timing of investments...

I think we can say like this, the timing of the investments will not mainly be governed by the timing related to the financing. We have, as Helena said, over a number of years put us in a very strong position. So we have the financial resources to make significant investments. So it will more be related to where and when we find the opportunities.

Excuse me, this is the operator. There are no more questions registered at this time.

We had a few questions here on the web. The first is for you, Helena. It's about our gross cash position. Is it correct that it's EUR 23 billion? And how is it invested? Should I see it as a being invested on the bank account without any interest?

It's not on a bank account because very few banks will hold so much cash for us, and we don't want to counterparty risk either. So it's invested very securely. And historically, it was very hard to generate an interest on that. But it is improving as the interest rate is going up. But it's very liquid and very safe.

Thank you. And then we have the second question here relating to Patricia. Do you see or expect any lag on the Patricia Industries' Performance or valuations due to their private nature when compared to public investments that are valued more often.

Actually, I don't see any big difference when it comes to that because what we do when it comes to the adjusted market values, we actually use the market multiples and put them on the current earnings that they make. So we try to make an estimate of the current market price. It's basically mark-to-market.

And then we have a third and final question relating to Mölnlycke, and you have both been touching on like before. But the first one relating to Mölnlycke then, can you please provide more color on the revenue and margin going forward? The second -- well, we'll take the first one first. More color on the revenue and margin going forward.

We never give a forecast actually, and I think it's good to keep that. And one of the reason is that you actually -- you never have a crystal ball. What I can say is that I think that Mölnlycke is in a very good position. It's a strong company run by a strong management team, so we are full of confidence in both the management team and the company for the coming years. And that's what I want to say. And hopefully, we will continue to -- or the company will continue to deliver good results.

Thank you. And the second part of this question is about leverage. The current leverage from Mölnlycke is 3x. Does it give you go for higher dividends? Or you would -- would you like to maintain leverage levels towards the lower end of the target range?

I think on that side, the general view that we have is that the more stable and the more stronger the operational performance is, of course, the more leverage can you have. And of course, given the strength of Mölnlycke, one should not exclude that we -- in line with history, will -- that Mölnlycke will distribute capital if they become too strong in the balance sheet. Then it will be up to the Board and -- to make that call.

And then the very last part of this question relating to Mölnlycke. Any opportunities or plans for M&A? And how should we think of ratings in a possible scenario and a target rating you have for Mölnlycke?

As I said, [indiscernible] has come in. He has done a great job in decentralizing the organization, put a high focus on innovation, getting closer to the customer. And they are, of course, also now with the company in good shape starting to look on potential add-on acquisitions. We always want and the management team and the Board in Mölnlycke that the company should have strong enough balance sheet to be able to take the opportunities. Of course, one advantage with Mölnlycke it is that the cash flow generation is very strong. So that leaves plenty of opportunities. But we will try to balance this. I don't know if you want to add anything.

For the whole financial system of Investor, it creates another flexibility having an investment-grade rated subsidiary that can actually raise debt in the Eurobond market. So the time being, that's optimal for us.

Thank you. And by that, we have, I think, answered all the questions that have come in, either by phone or over the web. And we would like to thank you for joining us today, and we will be back with our annual accounts after year-end. Thank you.

Thank you very much.