Hi, welcome to today's presentation, where we have the pleasure to present GreenMobility. To help us through today, we are joined by CFO, Anders Wall. Today's presentation will cover the Q2 or, or half year results, 2023, fresh off the press from this morning. You have some guidance change, but I think the main message was that the strategy changes is on the way, and that, of course, means on the way to profitability in 2024 and as the main headline. As always, you're very welcome to ask questions in the box down below, do it during the presentation, I will see you fill in or after, do it in Danish or in English, and if you do it in Danish, I will try and translate it to the best of my ability.
For now, I think, I think I will hand the call over to you, Anders.
Thank you, Michael. Welcome, everyone. As, as Michael introduced, yes, it is our half year report. I think all say, at a satisfactory level, we've seen some good effects of, of the movement, of course, but also some, some challenges in that, which of course, I will go through in, in the presentation. As per usual, just a small overview. I'll get back into the numbers, but also to sort of clearly say that we have definitively closed our Swedish and German markets and are present in 4 countries with a total of 7 cities, so Finland, Denmark, Belgium, and Netherlands. I'll come back to the, to the individual markets later on in, in the presentation.
Just to have an overview on our location. The fleet, as the only figure from here, I'll touch on this slide, is also unchanged. It has been, as we've announced, a matter of moving cars between markets, the total fleet is still at the same level. If we jump to some of the figures, the highlights, I'm not going to go through all of the PNL figures and balance sheet. If you have questions, you are, of course, welcome to post them, but otherwise, focus on the main areas for GreenMobility. Second half delivered a growth compared to last year of 29%, and an overall satisfactory.
We've seen a continuous growth, in, in all our markets, of course, with some challenges, in, in the various markets. We are very diligent on our clear goal of making the company profitable in 2024. That's, that's been the basis of the 2 markets that we closed early in the year, but also all the activities that we've carried out in during Q2, and then, which is sort of summed up in, in this report. Of course, it also goes very much into the activities prepared and planned for, for the second half of the year. We remain very focused on, on, on this new strategy, core markets and, and bringing the company to, to a profitable level. As mentioned before, we've relocated cars from the 2 closed markets during the first quarter.
They are firmly in place and have taken up revenue in, in, sort of in different levels. I'll come back to that in a minute as well. During the last part of Q, actually, in, during June, we decided to carry out a cost reduction across the company, realizing that there are things that we can do more effectively, but of course, also by consolidating the entire company into fewer markets, also gave some opportunities of reprioritizing task both at our head office, but also in individual markets. These cost reductions have both a combination of team members who've left the company, but also on other operational cost levels, so that we see across the board.
All, as you see, we've, we've improved the business foundation, we've lowered our cost, and we continue to build up revenue, and of course, all in, in line with the strategy we've set. First half of 2023 generated a result, a negative loss of DKK 27.7 million, which is roughly so 19% better compared to last year. You also have to factor in, as we reported during Q1, that in this cost, we've also included one-offs in a level of DKK 6 million that has been tied to the closing of markets and, of course, moving of cars as well. The real result should actually be even better than what we have here.
Customer intake continues across the board in all markets, and of course, also, we see a continuous increase in trips of fleet. Of course, the cities have gone down compared to last year. We see a stronger Q2. We also expect a continued growth in the coming quarters as the cars are now settling in their individual markets. One of the things that we've also announced this morning is an adjustment of our guidance. I'll give you a little background on that. As mentioned, the cars have been moved.
They are fully operational in all markets, but it's also been clear during, especially second quarter, that the expectations we had for, for the rate of, of uptake of revenue in, in new markets have been slower than expected. Some of it, of course, due to introducing a lot of cars in a very short amount of time, but the reality is that it is still taking up revenue. They are growing, but the pace has been a bit slower than expected. Looking at that going forward, that's, that's reason, one of the reasons why we've adjusted the guidance, at least on top line.
On the other hand, where, where we see the effects from our cost reductions, of course, also including the one-off we had in the beginning of the year, we see that the full effects we will have from cost reduction during Q4. Looking at all this together, we actually expect an improvement on our result. While we've reduced our top line, we've also improved our result. All in all, we now expect a revenue, a top line of between DKK 120 million and DKK 130 million, lowered roughly DKK 15 million, and then a result, an improved result by DKK 3 million. Now between DKK 32 million and DKK 42 million, of course, still a loss, although better.
To me, the important part is actually what we see in between. While we do expect a lower revenue, it hasn't had a negative. Actually, it, it, it ends up having a positive effect on our result. The business that we operate has become much more effective, and improved on across several areas. All in all, we look forward, and we can see very clearly that the actions we've made, to bring the company into profitability are working and improving month by month.
I know it can be hard to, to, to do this, which part, but is it you underestimated the cannibalization effect of bringing new cars, or, or is it that the consumer or weather are related? Do you, you have any idea why, you know, you were surprised by that? Was it the cannibalization effect you underestimated, or is it on the consumer side that, that, there has been some hiccups or still a little bit hesitancy to, to, to spend in, by the consumer in, in this second quarter?
We actually, I mean, from the consumer perspective, we, we see that there is a continuous uptake. More and more customers are using car sharing. It's also being supported more and more, market by market. While, of course, there will always be changes in, in consumers, I think that we, we have to realize that the main effect is that we've been maybe too optimistic on how quickly we would, we would have this uptake. The uptake has been based on previously when we've either moved or introduced more cars in our fleet, which we have done previously in, in, in various markets. It, it hasn't been just a wild guess, but we also have to realize that clearly it's, it's taking a bit, it's gonna take a little longer.
Yes.
But here we, as I said, we, we feel quite comfortable, and I think, to us, that the main part is also this is we are tracking according to our strategy, according to our very clear goals set for next year. Another important part, of course, is, is what we see in, in the coming months, second half, and also how that affects our, our liquidity position. Of course, there's been a lot of focus, a lot of work, especially from our operational team, in handling this movement, especially in the start of the year. Now it's very much focused on the commercial aspects ahead of us. One of the things we are also working very much on at the moment is the renewal of our fleet.
As you, as you may know, we have quite a few Renault Zoes. Some of them are sort of a bit older now, so there's a natural renewal of the fleet. So we are slowly selling off parts of the fleet and readjusting that. Some of this will be changed into more premium cars. To be clear, in our mind, premium, of course, still electric cars, but premium cars are not for the luxury segment, but it's what you would normally view as middle segment. We already operate Polestar in Copenhagen. We have Renault Megane in Amsterdam, and this level, we see the possibility and also uptake from additional customer groups. We can expand into other types of customers.
There are lots of customers who do like car sharing, but for various reasons, would prefer another car than the Zoe. It could be for business perspective or for longer travel distances and so on. We will definitely still keep and a part of the fleet as a smaller car like the Zoe, but introduce more and more premium electric cars. We are also working very much on reducing the holding cost we have on the cars. The financing and the depreciation of the cars, and it's a big balance of what price do we buy the cars at, and what can we sell them at, potentially also in a shorter amount of time.
There's a lot of, of gains to be made here, especially because we now see a completely different electric car market than we did two, three, four years ago, when we bought a lot of the Zoes that we have today. So that has a big, big effect. Looking into second half, with the adjusted guidance we have, it's also clear it means that we have to generate a revenue between DKK 65 million and DKK 75 million to reach DKK 120 million to DKK 130 million. We, as mentioned, we've reduced our cost level, and we have these off, one-offs.
Then in addition, based on the cars that we are planning to sell, we have an expectation that, that we can generate a profit of, of between DKK 5 million and DKK 10 million, sorry, between DKK 5 million and DKK 10 million on these, due to that, to the current low book value we have on our cars. All of that put together, of course, is a, they are important factors when we look at our liquidity, which at the end of the first half was at DKK 12.2 million. Which also means that with the activities and the business plans we have, we don't see an immediate need for, for adding capital. At the same time, we also realize that things may happen.
We saw last year, increase in interest, electric prices, electricity prices going up, and a lot of other things impacting the environment. There are things that, regardless of how well we run the business, may impact us. Which is also why we said we are, we are in the process of looking into ways of having additional cash available to create a sort of a bit more of a cushion. If there are any sort of changes in the coming months, we can adapt that. This can be done in various ways, whether it's loans or capital raise or other ways, that's not set. I think it's also important to stress that we're not talking about huge sums.
It, it will be a, a smaller amount, but it's, it's purely to support our operation on the liquidity side. If there are any bumps along the way, then we can absorb that without any problems.
Perfect. Anders, maybe we should take for the because there are some questions surrounding the guidance, you know. There, there is one in general, whether you can bridge how you are coming from lowering revenue guidance, DKK 15 million and raising earnings guidance, so they beat the guidance DKK 3 million. There's a question here also, maybe to kick off: is it because of this sales, is the improvement in the guidance partly a result of you realizing some gains on the sale of the cars?
I would actually add that as an additional gain. If you look at it and you say, look, the, the, the, the, the cost side that we had in the first half of year, we check out the one-offs, and then we also include the planned upside in from our cost reductions, and then compare that to the revenue level for the second half. It's a, it's a simple calculation, but, but that also supports the guidance level that we have. Of course, having the possibility of selling these cars will generate additional upside for the company.
That's not included in the new guidance? If, if you realize that, then, the result may even be better, or the cash flow may even be better than-
May be better, yeah.
Good
Let's stay let's stay where we are for the moment.
Yeah, yeah. Yeah, yeah, but, but it's just to understand whether this one helps you or this will come on top of it. Perfect. Yeah, I think that was.
We have, we have, cars we haven't sold. It's still... It's an expectation, right?
It's an expectation, yeah.
Things, things may change. We're guiding on the, the, the parts that we know. We have realized a lower cost base, and of course, the revenue will continue to, to develop market by market.
Is that an indication-- is that something you think will continue, that, that, the book value, or you might say, the, the rate that you depreciate your cars will actually, is, is better than, than expected, in, in the rest of the fleet? Or is that some special circumstances on, on some cars you bought at, at a certain time?
I, I would almost say if, if I could answer you precisely on that, I should probably switch industry.
Ah, okay, that's okay.
No, I think I, I wouldn't presume that to happen because that has gone up and down. It also. Of course, it ties very much into the current prices on EVs compared to the ones we bought them at, and then again, the remarketing market, where that is currently. It might be a scenario in 2 years, but it might, might also be the opposite.
That's fair. That's fair.
So I, I don't wanna, I don't wanna put too many guarantees, I guess.
That's okay, Anders.
I think also, I think it's important to stress, of course, that, that the business of GreenMobility is to run our service. We've never built a business, and that's not the plan, to build it on, on buying or selling cars. That's. We may have a gain, but it could also be the case that in two years we'll have a loss on it. I think our normal priority would always be to be as close at the, to the market level as possible.
Perfect.
Did you have more questions?
No, no, I, let's continue then.
All right.
We will take the rest in the end.
We'll take the next one. A few other things, maybe slightly less, but still something that certainly has an impact on the business as well. They may not be as, as, as crucial as liquidity and guidance, but I think for us, it's at least some of the positive things when we look into daily operation. Our energy fee, we've finally been able to remove that. It's something that we've been looking forward to. As you may know, we introduced it in the fall when electricity and charging costs more than doubled and was simply a necessity. Of course, it's never been something that we were fond of, and we've also said clearly that once market prices dropped again, we would remove it.
Finally, they have dropped in, in Denmark as well. Charging has been late in reducing in Denmark. We saw electricity prices in, in private household going down already around March, but charging has, has waited a little longer, but now it's, it's done, and we've, we've taken it away from, from all markets. I think it's, it makes it much more transparent to our customers as well. Hopefully, we'll never have to do that again, and we'll see electricity prices being at, at least a bit more predictable. I also included a little bit on, on our Green Saver. It's, it's a subscription product that we've had for some time, and something that we see a, a strong growth in.
As, as also mentioned here, a little more than 80% since last year. Today, actually, almost a quarter of our trips are done by one of our subscription members. To me, of course, it shows very clear that we have, we have a strong core customer base who use our cars quite often, and, and they do take a lot of trips. This is a figure that we see growing across all markets. Amsterdam is the latest city, market where we introduced it, so, so they are a little behind, but across all our markets, this is a, this is a strong usage of our cars.
It's a program where we get a fixed monthly fee, then as a customer, you get a reduction on the prices and other fees that we have in the business. If you're a regular and a regular customer and users of our service frequently, then it's definitely an advantage to have that membership. Hopefully we'll see that go up. It's, it's definitely something that we also spend a lot of time working on with our marketing team and so on. I'm not going to spend too much time. Of course, as we continue to grow, this also has a clear impact on the environmental effect that we have in the cities that we operate in.
From here into the individual markets that we operate in, Copenhagen, as you can see, it's almost the graph is getting too big. In the second quarter, Copenhagen realized an average revenue of DKK 9,000 per car. Of course, it's a little bit less than what we saw last year, but you also have to factor in this part that the fleet in Copenhagen was increased by roughly 30% during the first quarter, which is also one of the reasons why it dropped a little bit in first quarter. But now, the cars are taking up revenue quite nicely. Of course, Copenhagen still being our biggest and oldest market.
I think here we see it quite comfortable. Moving on to Aarhus, as the second city in Denmark. Here, we also increased the fleet, and like Copenhagen, roughly with 30%, which, of course, has an impact. It is a smaller city, but the advantage of us increasing the fleet is also that we can increase the zone that we operate in. Aarhus, there are various areas, so, in the outskirts or near Aarhus, where we have either big schools or big industrial shopping areas that we're now able to include. We've expanded the zone in where you can find GreenMobility, added new hotspots, and also started some new commercial partnerships in Aarhus.
All, of course, to, to support a continued development in the usage of, of our cars in Aarhus. If we jump to the next, we have Belgium. Belgium, we have under Belgium, is actually three cities, so Ghent, Antwerp, and Brussels. It's very clear that when you look at last year and past, the traction was very positive, going only one way, from the start of this year, there's a big drop. In all fairness, we actually doubled the fleet, going from around 190 cars to now 390 cars. Of course, that takes a little time to absorb.
Also what we've seen, it's gone a little slower in Q2 than expected. Not Brussels, sorry, Belgium, is still among our strongest markets. Our expectations are, I would say unchanged. We do see a good uptake. We've also seen new competitors enter the market, and I think that at least for now, still, just it, it supports increased usage of the fleet. We do expect that this will, the revenue per car will increase as we go into the second half. Of course, just to be clear, that the total revenue in Belgium has, of course, gone up, has of course gone up, because there are, there are that many more cars now.
We have the Netherlands or Amsterdam, which is, is the only city we're in in Netherlands. I think here, we also increased the fleet, actually several times. We had last year, at the summer, we had around 110 cars. By, by start of first quarter, we had 150 cars, and then by start of second quarter, we have 250 cars. Of course, the, the, the graph, when we look at revenue per car, is a little unfair. At the same time, it's also clear that this is one of-- this is a market that needs to grow and grow faster.
Because Amsterdam is a big city, it's probably, well, one, if not the city in Europe, that has the biggest support from the city in terms of, of changing mobility, changing parking, changing charging, all that into sustainable ways. Here there are, there are essentially no excuses. We have to increase the revenue and revenue per car as well. Of course, a, a big focus for us. This I think one of the, the unique parts of Amsterdam is that they are now, they start in June, they are starting to regularly measure the effects of, of shared cars, versus owned cars. They are continuously supporting it. So I think there are no boundaries from, from the city in that sense, no infrastructural boundaries.
This is purely a matter of, of the, of getting more trips, and working diligently on, on that on our side. Last, we have Finland. Finland has also seen some development during the first half. We haven't changed the fleet, so the fleet in Finland is as we did in June, July last year, we increased the fleet from 60 to 150 cars. That's still the case in Finland. Really a matter of, of growing the business now. First quarter was slow, which is usually the case also in Finland. They do have a bit more tough windows than we see in, in other markets. We've spent the time also here, increasing the zone.
There are areas outside Helsinki that has the potential for much more revenue. At the same time, also working with new hotspots, making it easier for our customers and thus also increasing the trips. So far, we see a good uptake on that, a good reaction from our customers in Finland. We're confident that we will continue building that market as well. I think that was the last part for me.
Perfect. Perfect. We have some questions if we should run through them.
Of course.
There's a question here: Which of your core markets are performing the best, and have seen any changes to those, what, what have been performing best? I guess also here, you, you, you talked a little bit about the competitive situation. We've seen a little bit in Copenhagen. I know it's a fixed, parking, competitive that has come in with, with some cars. Can you see which are the best-performing markets, and, and maybe touch a little bit upon whether you're seeing, market condition changing in any of the, in, in the markets?
Well, I, I think it's, it, it's pretty clear, obvious that, that Copenhagen is our best market, but the answer is a little bit more complicated than that, because Copenhagen is a market where we've been, been for seven years. It's also where we have the largest part of the fleet. Probably it wouldn't, it wouldn't help if we put 600 cars in, in Finland, but the point is that there's an element of time as well. I've actually tried to sort of stack the individual markets versus time. If we go back to when after two years in Copenhagen, what level were we at? Using that as a measure, then I would say we are actually quite good off in, in most markets.
Of course, also each market is independent. There are, as you say, there are competitors, there are local infrastructure, there's a, there's a number of things that may impact our business. Competition is, is still... We still see that competition actually helps all of us. It helps the market to develop. Of course, at one point, you will reach a saturated market, and there will be too many cars. That, of course, also is, is very market independent, because if we are were to say that, okay, Copenhagen could have a maximum of 2,000 shared cars, that may be the case right now, but not in two years. As more and more customers are using car sharing, then the, the limit moves as well. Customers is one part.
We've also seen a new competitor in Copenhagen, and they do more station-based, so typically longer trips. I think that's fundamentally is good. Would we prefer to be the, the only one? I think that's, that's, that's a, it's a simple question, overall, the trends, the underlying trends support, are good in all markets. Now I've forgotten all the, all the elements of your question, so.
No, I, I think you actually covered Copenhagen and then the competitive situation that, I know it's market by market, and, as you said, it, it's, it's lifting everything. It was more to see if there was some markets where, you know, suddenly some competitors have moved a lot of cars in or, or started investing again. I guess, you know, we, as you, everybody has been consolidating themselves a little bit in this space. It was more to get the feel on whether someone is, again, starting to, to really expand or grow aggressively, and, and I don't think I got that feeling from, from your answer, Anders.
Okay, cool.
There's a, "Do you expect to raise more cash, or do you expect to be able to get to profit with any equity raise?" I know you answered it quite, but if I should understand you, you could actually go there, according to your plans, without any equity case, but you are putting in a buffer. Is that correct, for if you don't follow your plans exactly?
That's, that's, that's the key focus from us, that, that, you always want to have a little, or, or at least a certain amount of buffer, to withstand any, any changes in the market. So, so for us, for me, that, if, if we are to raise, capital, it will be, to, to have that buffer, and then continue the path towards profitability, which we are well on the way.
This question here: "Have you considered only having Danish cities? Revenue seems to be highest in Denmark, or is that too limited for your business model to work to only target Denmark?
Well, I think it's, it's. It's, you can go either way, probably. We've made a very clear ambition what we want. We wanna create a cash-in company, a sustainable cash-in company that spans all of Europe. There's still some way to go. I fully understand when you look at the numbers, okay, Denmark is the biggest, okay, we could fast-track a lot. I think ultimately we will end up with, with a, a small company, that probably is not that interesting, at least not to have on the stock market, then, then it becomes a different type of company.
Mm.
What it will certainly do also, it will limit our possibilities to, for further growth, because there will be a level of, of growth we can make in Denmark. There, there are, maybe there's one more city than Copenhagen and Aarhus, I'm not even sure. It becomes, if we were to go to Odense or Aalborg, it would be more difficult, because you don't have the same mobility during the day. For us to grow as a company, we need the international market as well. So I, I understand the question. I don't see it as a, as a way for us.
Then, consolidation, you know, as a way of you moving out, you know, muscle means something in this business, clearly.
Sure.
Any thoughts there? I know you can't give us details, but, maybe consolidation in a way to, to get more muscles to move, abroad. Any thoughts? Is that debated by your board or, or, or in the, in, in the management team of the company?
Well, I mean, of course, what goes on in board, I can't discuss, but,
Oh, I know.
I think, but no, but I, but what I can say, of course, that, that we've already seen some extent of consolidation in the European market, and I think we should expect that to continue. You're right that, that there are the, the, the biggest ones will have it presumably most easy, and then you will control more of the markets. It's, it's certainly something that, that always comes into play. There are opportunities, but we don't have any... I mean, to be clear, there are no active projects going on in, in, in that direction. I think if we were not following the market and not keeping our, our eyes open, we would also not be doing our job. Of course, we, we, we always look at opportunities.
That, that's, I think that's, that's natural.
There's a question here on, on the balance sheet. "How are your loans in general exposed to those increasing interest rates we are seeing around and, yeah, hearing a lot about and, and also experiencing?
The answer is clear, we are exposed to the, to the increasing interest, which is also why you can see our financial costs have gone up quite significantly compared to first half last year. This is, of course, tied to our loan. We have a loan with The Danish Green Investment Fund, but it's also tied to some of our leasing contracts.
Mm.
And that's, that's reality. And we can't... Yeah, that, so yes, the clear-
You did say it, said you, you would like the interest to, to fall again. It will be visible in your PNL if it does.
It will be very.
Fixed loan, everything. Perfect.... How many cars do you expect to sell in H2, and how many new premium cars are you targeting? Lastly, the third question there, how do you expect to finance the new premium cars?
Well, I, we haven't put a final amount on the cars, but, but with a fleet of 1,600 cars, I mean, it, it, we are talking about a significant level, also due to some of them being, being of 4 years or even older. Some of them needs to go out. It's, it's very clear. But it's also a matter, of course, that, how many... Well, no, sorry, not, but what's the level? If I were to put 1,000 cars for sale tomorrow, I wouldn't get a good price. This is, this is also something that we will do over time, and, and do it clever.
I mean, it should be very clear. But ultimately, I think, I mean, we, we have, we will have a significant part of the fleet that we will that we will renew. Some of it will definitely be in the coming month. Some of it may also be in next year. Most of it is due to sort of a normal cycle in the business. Some of it is, is based on us wanting to have new and other cars. For the premium cars, it depends. Ultimately, I think all, all new cars will depend very much on the price. If you see some of the new retail prices on cars, they are, they're very high.
We, we also see sometimes that there, there may be opportunities where we can take on cars at a, at a lower price, because there are cars that needs to, needs to move.
Yeah.
It's, it's very much about spending more active time in working with the, with the fleet and, and the possibilities that we have in, in terms of, of new cars.
Then I'll press you a little bit on, so the DKK 5 million-10 million in guidance you are giving on used car sales, you are not willing to give us a number how many cars that include? I know it's a wide range, and you can also give a wide range on the expected sales, but you're not willing to give us that number. Is that correct?
Oh, no, I mean, no, because it can vary a lot.
Yeah, that's fair enough. That's fair enough. Then, the last question, and maybe we should dig in. I'm not sure you want to give it. What's the gross profit on a per country or city basis? I don't know whether you're willing to give out the numbers, but could we maybe start talking a little bit about the... If you are, then let's take them per city, then I have done my job and asked the questions. If you are not, could we talk a little about the levels where you are expecting to see the different cities being on a gross profit level?
Yeah.
Let's take first, are you willing to give, the gross profit per country?
No, no, we at least, currently, we don't disclose that. Also why they are not in the interim report, because.
In the interim report, yeah.
... they would, they would have need to be there as well.
Yeah
for one. The way we usually look at it is that, when we look at an average city, then cost per car is somewhere between DKK 7,500 and DKK 8,000. Full operation in that city.
Yeah.
Of course, some cities may be DKK 100, DKK 200 lower or DKK 100, DKK 200 higher. so when you do get it from that perspective, and then against the slides, where we take, for example, we have Copenhagen, okay, the DKK 9,000. Copenhagen is, is profitable-
Profitable
... and very clearly, the rest of the markets are not, because-
It was actually maybe to get into that. You're saying not big differences, if, if I should read your word, not big differences, DKK a couple of 100s in, in this one, in every city. We shouldn't see any city as being much more expensive for you to operate.
No.
Is that correct?
Yeah. The biggest differences, where we see differences, are typically tied to parking. Where, for example, Copenhagen has free parking for electric vehicles, but in Amsterdam, we pay for parking.
Okay.
We have a license. Of course, that has an impact, if you have... That's one of the parts, and then if you have, sort of, extraordinary damages in one market, but that's, that's more a variable cost. When we look at it from a fixed perspective and in a normalized world, where we are now, where interests are more or less the same level, sorry, not interest, electricity are back to normal, then, that's the level we see.
Mm.
Then you can sort of have that, and then hold it against the revenue lines per, per market.
and DKK 8 is going back to even if you had a very high inflationary world, actually, the, the model you gave us around 3 years ago. Is that because also bringing in more cars to the cities than maybe you expected here at the start, is bringing that cost down, or a little bit feeling on how you actually have kept that level as for, yeah, I think maybe it was DKK 7,000 or DKK 7,500 when we-
We started at DKK 7,500, and now we see it's closer, it's more like DKK 8,000. Of course, that's, that's due to inflation. If it, if it was purely inflation, then it would actually be higher.
Yeah.
We've also improved our operation along the way, and then, of course, we'll continue to do that. And also why we look at-- I mean, the car, the, the cost of the car is roughly 1/3 of the cost as in any city. If we can work with the, the cost of the car, can we bring the holding cost down just by, let's say, 10%-20%, that has a big impact on, on the operation. That's why the cost for that city. The parking, I can't... I mean, if there is a parking fee to be paid, we have to pay it, insurance-
Yeah. So, so the car actually does matter, because I also have another question for, for you, because, I know not in the premium segment, but actually with our if I should say a Renault Zoe or something like that, if we are looking a little bit abroad, away from the European producers, I don't know whether you're willing to do that. It really looks like the prices are coming down on, on that type of car. Maybe not the premium car, but on the Renault Zoe type, I would say the 200 kilometer range and, and such what. You're starting to see, what? DKK 60,000-DKK 70,000 cars, coming to markets...
Kind of.
Could that also actually change your, your model and lower it in the future, or any thoughts about that?
Absolutely. I, I think we have to find the, the best possible car at the best possible price. That, that sounds very nice, it's, it's easy to say, right? But it's, it's looking across beyond brands and looking at where do we get a reliable car, because that's also part. I mean...
Yeah.
That's not to say anything bad about Chinese cars. I don't have a problem with Chinese. I could also... I mean, we have the, the Polestar today. It, it's partly built by China, or it's owned by China. There are parts in any OEM, there are parts from China. I don't have a problem with, with the cars coming from China, not as such. We can discuss the sustainability part of it.
Yeah.
That's a different discussion. To me, can we get a good, reliable car at a lower cost? That's interesting. We can also look at, I've seen examples from, from other car shares, typically in South of Europe, where they have very cheap cars. Not necessarily Chinese, but just very cheap cars, very small cars. They don't have a lot of fancy equipment, but they're cheap.
Okay.
Would that work for us as well? It's just to sort of support the point that to me, we can, we will, and we are looking at a lot of different cars.
Yeah.
Because we can have very cheap cars that will serve one segment of our customers, and then we can have more premium cars, wherever they come from, will serve another part of our customer base. I think the conclusion, or at least what I can say for now, is that we will slowly, and this is not going to happen tomorrow, but we'll slowly move away from having only one kind of fleet.
Perfect. I think that was all the question. Thank you for, for you joining us and answering questions and presenting your results from H1. Thank you to everybody for listening.
Thank you, everyone.