We are joined by you, CEO Kasper Gjedsted. It's the Q3 training update you sent out yesterday. It's not a full report, so I think the presentation will also be quite shortly. So we will go through maybe a little bit more details through the question and answer. As always, ask questions in the box down below, do it in Danish, do it in English. I will try and translate to the best of my ability. But for now, I think I'll hand the word over to you, Kasper.
Thank you, Michael. Yeah, let's get straight to it and cut to the chase after this disclaimer here so the Q3 for GreenMobility was a good quarter. It was our second consecutive quarter of profit here and then, as you can see, our revenue has also increased quite significantly. I think what I'm really thrilled about is the development of this company after we have turned it around, so to speak. You saw Q1 with a revenue of DKK 24 million. You see Q2 with a revenue of DKK 33 million and you see now a Q3 with a revenue of DKK 36 million and that has an effect on our bottom line. We started out the year where we hadn't done the entire turnaround of the company, which was the lowest quarter of the year with a minus of -DKK 2.8 million.
And then in the second quarter, Q2, we made plus 1.8. And that upward tendency in profitability has continued into Q3. So I think what we see here is an accelerated growth in revenue and an accelerated growth in profitability. And it is a quite spectacular growth that we have been looking at throughout the year up until now, and especially for Q3 here. Comparing to Q3 in 2023, we see a 92% increase in the revenue from our continuing operations. That's a 92% increase. And if you see at our operating profit and loss from our continuing operations here, it's a 53% increase or improvement. So all in all, we have an improvement of DKK 7.9 million in the net profit here. We still have a quarter to go.
But with the data that we have at hand now, we are continuing to have this financial guidance that we adjusted upwards on the 8th of August. So we're maintaining that in the level of DKK 120-130 million in revenue and between DKK 2 million and DKK 12 million in net profit from the continued operations. And there are many things to be confident about around this. And there are many things that I think we have achieved. One of the major milestones that we also set for ourselves here was also to become profitable on the whole group. And as you can see here from the numbers here, for Q3, we were actually profitable for the whole group for the first time with DKK 0.8 million again.
It's a major, major milestone to achieve in a company that, for some of you who remember, was a very loss-making company ever since it was born. So I'm satisfied with the Q3 results. I'm looking forward to Q4 and also to next year, where we will have a full year of a company which has turned around. If we look at the average monthly revenue per car in Copenhagen, we are up 8% versus Q3 2023. Now, this might not seem as impressive, but please mind that we have more than doubled our fleet. We have more than doubled our fleet. So even with that doubling of the fleet, we have increased the revenue per car in Copenhagen with 8% versus the same quarter last year. And if we look at Aarhus, which comes from a lower level, we see a 21% increase in the monthly revenue per car.
Aarhus is, compared to Copenhagen, relatively cheaper to operate. That's also why, not why, but it's actually interesting to see the profitability of Aarhus when we get to talk about that. But DKK 6,300 in average monthly revenue per car in Aarhus is up 25% versus 2023. So it's a very good upwards tendency in that city as well. And we remain confident in reaching our revenue targets and achieving this profitability for the continued operations in 2024 that we promised the financial markets already last year. So the closing of these international markets, which was one of the major cornerstones in the turnaround and the new strategy for the company, that has had significant cost and has led to a negative equity position at the end of the first half. And even though the result for the Q3 is positive, the equity remains negative.
I'm happy to say that we are now expecting that the equity can be restored through the operational performance to the strong operational performance that we have in the company now. And then, as a standard phrase, and I've said it a couple of times before, the board and management are continuously looking to strengthen the balance sheet and cash position to ensure a more comfortable financial cushion. And yeah, I think that's it for me. We are keeping our expectations for 2024 on the continuing business, DKK 120-130 million in group revenue, and a profit before tax between DKK 2 million and DKK 12 million. That was the quick and dirty for this time.
Yeah, perfect. It's how much you can take out of a trading statement, of course. We will look forward to the full report later this year or next year. Let's jump to some questions. Have you observed any changes to the competitive situation in Copenhagen? And do you actually track how many cars your competitors have? And if you do, then I'm a little bit curious how you do that. Are you out in the street counting them or?
Okay, let me take the second question first then. So Copenhagen Municipality, they're allocating special spots for our competitors. Okay, so let me first explain. We have two types of car-sharing company in Copenhagen, broadly speaking. We have the fixed base companies, which are our competitors in that space. Fixed base is where you have to pick up the car from position A and return it to the same position where you picked up the car. And then you have the free flow model, which we represent. The free flow model is where you can pick up a car from anywhere within the zone and return it to anywhere within the zone. There are various advantages to the two models and disadvantages as well. But we are currently the only one with a free float model.
For the ones with the fixed base, the competitors with the fixed base model, we know exactly what kind of how many cars they have and where they're located because the municipality are the ones that are giving access to the parking lots for the fixed base cars. So I think we have that very well monitored with some good data on that one. And I think just the finding from that, we have been growing tremendously, as you can see from the numbers, tremendous growth that we have had here. And we can see from the competitors with the fixed base that they're not growing at all that much. We know that because the last parking lots that were given by the municipality were not utilized by our competitors. So there were actually vacant parking slots that they did not ask for, even though they could be given.
So, I think that's interesting in the development. And I think it also shows a little bit about the strength of our model here.
Perfect. Then can you provide some insights into the utilization of cars in Copenhagen? What are the limitations that are out there? Where do you see the limitations and how much revenue per car you can grow it to? So a little bit about the utilization rate, where it is about now. What are the obstacles or why are you not going higher up and how far you can grow it to?
Yeah. So there's a natural operational limitation towards how much a car can be utilized for what we call the short-term driving. Okay, and the short-term driving is very often the commuter driving or you go from point A to point B and it takes around 45 minutes to go there. So the operational obstacle to that is that the cars need to charge. And that takes some time. But we tend to make the customers charge the cars for us. And we also tend to charge them at night when there's not so much traffic. But there's an operational upper limit to that because the charging time for, let's say, just a Renault Toyota on a normal charger is around six hours from zero to 100. There's an actual limit for that. But there's no doubt that we can utilize our fleet much better than we have now.
And there's a lot of options for utilizing the existing equipment that we have and get a high revenue per car. There's also another way of utilizing the fleet, and that is by putting the cars on longer rentals. We haven't traditionally been strong in longer rentals. This is what I've been doing for a very big part of my career. I've been CEO for Avis. I've been CEO for Sixt here in Denmark, in Sweden as well for Avis. And that was the longer rentals that we had there. And as soon as you put the cars on a longer rental, every day it's on a longer rental, you have 100% utilization of that car, but at a lower revenue per day, so to speak. But it's something we're looking into now. We have the fall vacation starting today for the kids at school.
I mean, that's where we see a lot of the long-term rentals. If you look at the map of our cars, you'll see them spread all over Copenhagen, Zealand, Jutland, Southern Sweden. And that's also what we saw this summer. And it's something that we haven't utilized before, but it's something that we are definitely looking more into.
Yeah, there's also a question. How is the business of subscription and packages doing? I don't know whether you would say the long-term is a package, but I guess it kind of goes in that direction, you know, and higher utilization and also the subscription business that might put a floor on, you might say, a more stabilization revenue.
Yeah, just for the ones who are viewing and who don't know what a package is with us, that is actually where you buy a one-day, two-day, seven-day, two-week package instead of just going into the car and paying a minute rate. So you drive with our cars where you pay a minute price or you can buy a package in order to utilize the longer rentals there. And that is actually what I tapped into before. We are focusing much more, have many more efforts towards this. I think we have a superior product to what I call the old-fashioned car rental companies like the Avis and the Hertz and the Europcar and what have you, the ones that I've been leading myself. And one of the great advantages that we have is that it's much more flexible, right?
From a customer perspective, this is a much, much more flexible product. You don't have to have the car for 24 hours if you only need it for five hours, right? The old-fashioned car rental companies, you see that they are pushing with very confirmed old-fashioned 24-hour rentals. This is not what we do. If you want to have the car for five hours, you pay for five hours. The second thing is, if you don't have a car, how do you go to a rental car office, right? So we have a better proposition in terms of picking up the car. You don't have to go to a rental office and fill out many forms and contracts, have someone trying to sell you insurances, GPS, all the things that I teach the people at the old car rental industry, right? You don't have to do that.
So I think we have, from a customer or product perspective, we have a much, much better product. Again, it's really a place where we can grow a lot.
I might put you in a pickle because I don't know how much you follow it, but maybe to get a feeling of this, do you know how many rental cars are in Denmark? You have a fleet of 1,400. Let's just play a little bit with it. And I know we are playing with it, but around the number, and you don't need to give me the exact number, but what are the size of the rental fleet in Denmark in about size? I don't know whether you still follow that data.
No, I think the last number I saw from the Statistical Bureau of Denmark was around, was more than 30,000 cars were registered for rental in Denmark. So it's a special registration you have and has to comply with certain rules and insurances and so on. But around more than 30,000 cars were registered for rental. And we only have 1,400. There's a big potential here, right?
Yeah, makes sense. Then there's a congratulation with good results and whether you in the future might return to Roskilde, the city Roskilde, or maybe it's the Roskilde Festival. I don't know, but.
Yeah, maybe it's the festival because we haven't left Roskilde. We are still there, and the only thing new about Roskilde is that we have inserted what we call a Plus Zone. Plus Zone is a zone where you pay to return the car to that zone. You can pick it up in Copenhagen, but if you want to return the car to Roskilde, or leave with the car there, you have to pay a certain amount, DKK 59, I believe it is. And we want to do that because the utilization of the car is much higher in Copenhagen. The revenue per car is higher in Copenhagen, so we have to impose that extra cost to the customers who want to leave it there, but I mean, it's still a bargain, right? You can leave it for DKK 59. For Roskilde Festival, we were there last summer.
If we're going there next year, we'll see. It's a negotiation we will have with Roskilde Festival, but the feedback from them was that they were very satisfied with the cooperation that we had, and it was good for our brand and it was good for building new customer relations and having new customers in, so let's see.
And a little bit more, maybe, and now Roskilde probably gets angry, a little bit smaller cities, you know, the tier, the second tier, you know, the 60,000, the 50,000, which we have what, 10 of in Denmark or something like that. What are the obstacles? What models, what are missing in the models to you might be able to spread out to such city sizes?
Yeah, that's a good question. So in order to answer that question, we are actually running a project which is funded by the EU with Rudersdal Kommune, which is north of Copenhagen, which is a typical city like that, which is not too far from Copenhagen, but it's not Copenhagen. And that is financially supported by the Gemini Project, as they call it, with EU funds. And we will get a lot more data on that. What we can see already is that it's more popular than we thought. More cars are left in that area than we thought before we started the project. So that's interesting. But that's not a conclusion on whether or not we want to have different zones too far away. This is a big city product. So you cannot drive too far away, I think.
Okay, so it needs to be satellites, you know, satellites.
They will come with an extra cost for the customer to return the car in order to uphold our monthly revenue on the car.
Perfect. There's a question here. Will you focus more on the app development data, and I guess that's data collection, you know, and using that in your business now that you're focused solely in Denmark.
Yes. Well, where to start? There's so many things to say about that. I got to be honest with you. I think we have underinvested in our IT here. And it's one of the big things where we can really see, where I can really see a huge upside in this company by introducing a lot of new features, speaking of packages, the way we are selling packages, the way we're using the data, revenue management, active pricing instead of just passive pricing, basing it on the individual behavior of the customers. I mean, I could go on for hours about this topic because there are so many opportunities whenever we come up to speed with our development.
I'm happy to say that in the new year, I think we will have some tremendous new good features, solid features, and a very, very solid new system platform for making us even more profitable and making even more revenue.
Perfect. Yeah, but I think maybe we should discuss it when we see that then, but I think you kind of opened up for that. You will focus more on the data side and on the app side and using that, then there's some questions around the claims or the court trials about the minority shareholders in Belgium. I don't know how much detail you can give, how much you are allowed to give according to what you already claimed there, but there is, can you say, there's a question, how much is the claim? What is the process going forward, and what is the timeline? I'm not sure how much you are allowed to talk about it, but now I at least have asked the question.
Yeah, so that is. I have to refer to whatever has been, what we have communicated about that case earlier. We and our lawyers believe that we have an absolutely strong case, and we don't see it as a very big risk to us. You know, these cases take time. It's not something that I spend a lot of time on because it's just moving so slow down in Belgium. Let's see. We stick to the earlier communication about it. That's all the news I can say about that.
Timeline-wise, there is actually nothing new to inform about it. It is running its course and you don't have any dates or anything.
No, no, no.
Perfect. Then the last question, what interest rate do you pay on the cars? With falling rates, how much do you believe that you can save in cost?
I don't think that's something that we communicate directly, but if you look in some of the lines, you can see how much we have financed, and I believe it's plus DKK 100 million, so you can do the calculation. You can do the math yourself. If the interest rates are falling by 1%, you will see a direct but delayed effect on our bottom line.
Perfect. I think that was the last question, Kasper. Thank you for taking us to a short presentation of your Q2 results and answering questions. May everybody have a nice weekend.
Thank you. Same to you.