Good morning and hello, everybody, and welcome to Spinnova's 2024 Result Webcast. My name is Sophie Chollet. I'm the moderator today, and I'm also Interim Head of IR and Communication at Spinnova. Today, presenting here with me is Tuomas Oijala, CEO, and Ben Selby, CFO. I hope you enjoy the presentation. It will take approximately 20 to 30 minutes. After that, we have a chat function down below where you can put your questions, and we are happy to answer those after the presentation. I think that's all about the logistics, and I will turn to Tuomas and say, please, shall you talk us through 2024? What happened in Spinnova? Thank you.
Sounds good. Thank you very much. Good morning, everyone, from my behalf as well. Thanks, Sophie, for the introduction. Good to have you with us again. It's been a very interesting and exciting year, 2024, at Spinnova. We are on a journey to make a big shift in the fiber market. We made a lot of progress in many areas. We also have many areas where we can do better, and we actually also, as a highlight, hit the guidance that we had in terms of our financial results. It's also my first full year, and I'd like to thank our employees for the hard work that they've been putting in. Incredible people with a lot of knowledge and expertise, but also our partners, both in the industry, in the textile industry, the brands on the technology side, for helping make this year possible.
Now, we've been working on this new strategy for nearly a year now, and although today is mainly about 2024 results, we also want to take time to talk about our strategy and what it's going to mean for the year 2025. That's basically the contents of my part of the presentation. Highlighting the year quickly, talking about our strategy, a few deep dives into important focus areas, and then talking about what's going to be going on this year. After that, Ben will walk us through the financial results, and as Sophie said, then we'll have time for Q&A. We are on a journey, and we had big things that we set out to do in 2024, and we wanted to go through and see out of those five focus areas that we had, where did we make the progress we want?
Where do we still have room to improve? That will also lead into what we're working on going forward. The first area was getting our fiber and doing fiber development to getting it to an industrial level so that we've got validation from the brands, the supply chain partners, that this is a good fiber, this works. We were very happy with the progress there, so we were able to finally get good results with fiber quality produced from Suzano MFC. This was done at Woodspin, and we've also been able to use that fiber to get validation from important supply chain partners during the second half of the year. We have the stamp of approval now to say that we've gotten to that first level that we need to be at so that this fiber works in the market.
The second focus area was to ensure sufficient industry adoption for the fiber. We're very happy with the product launches that we had to highlight, for example, the very large quantity one with Jack & Jones. We got a lot of feedback from these different product launches, which is, of course, very important. Again, highlighting that our strategy of being able to be the natural fiber and helping with the cotton challenge of the world is not just our own idea, but it's something that we're getting resonance from the market with. Last but not least, at the end of the year, we were able to publish the letter of intent with Puma. We did have ambitions to do even more than this, and this is, of course, going to set our priorities for 2025 as well, which I'll talk about later.
The third focus area was to get our first technology sale outside the existing JV facilities, and the letter of intent with Suzano in March 2024 was really the big achievement there. It helped us clarify the roles and responsibilities with our partner and also set some of the targets that we need to work for. Now, unfortunately, we were not able to reach the targets in terms of validating the end-to-end process efficiency metrics to move to that next phase. This is really about the cost competitiveness of the production technology, and that's very important now going forward. The fourth area was the development of the non-wood technology projects or technology sales projects. We were able to get the LOI with ECCO that we published in August.
have demonstrated fiber production from non-wood materials, including textile waste, at our pilot, and we made investments into our own MFC refining capability that we will talk about a little bit later. Finally, we have now really been building our technology sales team with some key recruitment, and we are really focusing on expanding our reach to different feedstocks, to different partners, and also looking at different applications even beyond the apparel sector. Last but not least, we also set out to embark on a cost savings program where we had to make tough decisions related to our organization. We also made changes related to external expenses, and we are happy to say that we reached our targets there, but we will continue, of course, to take care of investing into our people, into leadership, and making sure that we have a strong expert organization as well.
This is something that was very important to allow us to reach our strategic targets in the future. In sum, I think I would basically highlight this as we have good progress when it comes to the fiber in the market. Obviously, there's a lot more work to do still. Now the focus is going to be very much on getting the technology to the point where we can show the cost competitiveness of it, and that's going to enable the next big moves to happen. Ben will talk more about the financials, but I wanted to highlight a few key points here. First of all, of course, a company in our situation, sometimes we need to explain the numbers a little bit, and I will do that.
Our sales in 2023 and before that have been very much driven by the sales to our JV facilities, mainly Woodspin, and that continued to be the case in 2024. The bulk of the sales came from technology sales and delivery to Respin and Woodspin. Obviously, the reason that that came down is because most of the delivery was already complete during 2023. We were also able to, in line with our guidance, improve the operating result, but very important for us is that the net cash position is something that we've been managing. We feel that we've been doing that in line with our plans, and if you look at the burn rate, it has come down quite significantly from the 2023 levels to 2024, and that will remain to be a priority for us going forward.
Let's talk about our strategy, some key highlights, and what it means going forward. We have ambitious targets, and as I showed in the first slide, some of them we were able to deliver on fully, and some we still have work to do, but we are making advancements towards that direction, and we will continue on that path. I wanted to start with highlighting the strategy again, that this is the strategy that we published in March 2024 at our Capital Markets Day, where the focus of Spinnova's business is now selling and delivering technology for fiber production. Our job and our revenue is going to come from selling of the technology, selling of related services to our customers who are the ones investing into fiber production capability, and they're also the ones selling the fiber.
We're going to be doubling down on technology development to get our production cost and capital expenditure per ton down, and also in ensuring that we continue to improve the adoption of the fiber and its properties so that we increase the addressable market with fiber market development. Last but not least, our decisions are guided by our focus on cash generation. Whenever we are deciding where we prioritize, how we allocate our resources, we're keeping this in mind in our day-to-day decision-making. Our strategic targets remain unchanged at this point in time, and we are continuing to have two focus areas. We have cumulative technology sales, which basically means the cumulative fiber production per year of the facilities committed to be built.
The second one is our financial one, and I can confirm that in the short term, medium term, and long term, we are still aiming to go to these targets, and this is basically guiding us in all of our decision-making. Potential issue. There we go. While we look at our strategy, of course, we want to highlight that there are important tailwinds and headwinds to reaching the targets, be it regulation, be it adoption of sustainable materials. On the tailwind side, obviously, the speed of our technology development or decisions by customers can have negative impacts on us reaching our targets. We're not going to go through all of these right now, but this is to highlight that these are things that we are paying attention to in our decision-making and risk mitigation, and of course, things that everybody following us should be looking out for as well.
Let's now go into a few key topics. Starting with the Suzano partnership. First of all, it's important to remind everybody that the wood-based feedstock is a very important one for us. It's a very widely available, very competitive feedstock, and we've proven that it works. With Suzano, we have Woodspin. We have an industrial-scale facility, which, of course, now we have been using and will continue to use for demonstration, for tests, but also for producing fiber from Suzano's wood-based MFC for the brands. This is very important now because we've got some first LOIs. We've got positive traction. We want to be able to continue to provide fiber quantities for these players so that they can do small launches, they can scale up, they can gain even more confidence in our product. We believe we have a strong partner with Suzano and their strategy.
We're very happy about the partnership that we have, and we're very happy about the LOI that we're able to sign with them, which clarifies the roles and responsibilities and the targets that we have to go to the next phase. As we announced towards the end of last year, we were unfortunately not able to prove or validate the end-to-end process efficiency metrics to move to the next phase. I want to reiterate that this is about basically showing that the OpEx and the CapEx of the production facility can meet the targets that are required, and that will be our focus area going forward as well. The partnership with Valmet is something very important for us. As we talked about last year when this was announced, Valmet has played a big role in development of the technology and in supporting us until now.
Valmet had a big role in delivering Woodspin's facilities and, of course, learning from that and developing the technology. The partnership agreement that we signed with Valmet last year solidified that partnership, sets our joint ambition for improving the technology and its competitiveness, and, of course, gives Valmet a very important role in the delivery of the next facilities. We continue to see Respin and protein-based fibers as an exciting opportunity. We have very, very positive feedback from some of the market players that we're discussing with that this can be interesting.
We are, as said, committed to scaling up operations, but at this point in time, we think that it's unlikely that there will be a product launch in the first quarter of 2025, as we previously expected. We will be updating the market by the end of the quarter on the next steps with how we scale up Respin. We come to the brand part, and this is very important again. Of course, Spinnova's new strategy means we are not a fiber producer. We are not the ones selling the fiber. We are perhaps not even the ones setting the market price for the fiber, but being able to show that the fiber works and there's good demand and that it works in different applications is important. Working with brands allows us to see the demand. It allows us to understand where this fits.
It has given us a lot of important feedback. Again, here to highlight that we are helping the industry solve the problem with natural fibers, and this feedback solidifies our confidence that this is the right path to take. The important things to highlight here are all on the slide, but I want to pick out a few. The partnership with Bestseller and Jack & Jones has been very important to show that we can get volume products to the market and get good feedback on them. The partnership with Puma sets out our commitment to give them fiber in the short term from Woodspin, but also in the long term for future facilities. This is very exciting, of course, that we are getting the traction that we need, and we will be coming up with more LOI announcements very soon.
Before talking about our 2025 priorities, we thought that it would be good to take a moment to also explain what is it that we're actually building here. What are the things that we're investing in? What capabilities and assets are we developing? We have confidence that beyond the wood-based ventures, we also have opportunities in other feedstocks. Just having a technology capability that gives our future technology customers confidence to invest, this will be a positive business case for them. What we've been doing, of course, and will continue to do, is to build our capability to demonstrate our technology bale-to-bale. Taking in a bale of pulp, sending out a bale of fiber. Starting from the left, when we talk about feedstocks, we've been able to test wood, agri waste, textile, and leather waste at pilot scale.
We are, of course, as we said, very happy that we have been producing wood pulp-based fiber at Woodspin. We have a very strong position there. When it comes to our core processes and our technology, we have our pilot production environment, which already opened in 2019. Now we have Woodspin, and during last year, the important milestone was that we were able to produce good quality fiber with Suzano MFC. We are also investing in our own MFC production pilot, and that should be opening very soon or starting ramping up tests very soon. This, of course, is very important so that we can really show for the other raw materials that we are able to start from a pulp and get to a fiber so that we are able to solve the problems of those producers that have a feedstock and would like other use cases for that.
Last but not least is, of course, that we are not just stopping at the staple fiber. We are also making sure that as the fiber gets sent into the industry to yarn spinners, to fabric makers, that we understand how it behaves. The R&D spinning line that we have at Tearfil allows us to do quick tests to get feedback, but we also have strong partnerships with textile companies in Asia to support strong end-to-end testing. This means that we are able to see how the fiber behaves, what the production yields are like, what the end products are like, and take that feedback into our fiber development and technology development.
All of this is supported by our state-of-the-art lab facilities for testing the feedstocks, testing MFC, testing fiber, and even testing garments with different washes and dyeing tests and things like that, because it's our job to be able to show that our technology works end-to-end. That is what we've been building, and that actually sets out what is going to be the priorities in 2025. Again, we will have five focus areas, and I'd like to go through each one of them and highlight what we are aiming for and what to look for. The first one is going to be that we want to demonstrate that our technology works at a competitive fiber cost level. We already talked at our capital markets day that there are some leaps in technology development that we want to make to cut down CapEx and OpEx per ton.
We want to be able to make those technology leaps during this year and show that they work. The second is that we want to be able to demonstrate the process efficiency metrics needed to enable the next big technology sale. This is, of course, very much related to what we're working on with Suzano to find the best and fastest way to demonstrate that we can show this so that we can move to the next phase. The second focus area is implementing a fast, lean, and future-proof piloting process and capability. What we mean by that is what I was talking about on the previous page. Completing our own MFC environment and really ramping up our own pulp-to-fiber or bale-to-bale testing process for various technology customers.
We want to be able to show different feedstocks, operating partners have opportunities, and of course, also that we can try different end application segments. We want to level up our ability to give our technology customers confidence in selling the fiber. This means that we're going to build on our recent success with brands to get more LOIs and market traction. As said, more are coming soon. We want to continue to improve the fiber properties to increase the addressable market. Last year's milestone on producing good quality fiber means we're at a base level. It's good enough so that we can get a certain volume, but we also know that there are opportunities to increase the addressable market. This can be in apparel, can also be outside of apparel.
We also want to now really start to build and execute on the pipeline of technology sales. Our team that has been now set up is out there. They're building a pipeline. We're going to have much more clear views on the funnel and getting projects to evaluation stage, including textile waste projects. This is something we're going to be focusing on, and we also really target to generate our first revenues from technology sales this year. Last but not least, we will target to end our year with a strong cash position. This has been important for us in the past, and we will continue with the cost control culture that we've been building with the processes that we built to benefit from all the hard work that our teams have taken in 2024. This sets us up for delivering on our strategy going forward.
Again, highlighting what I said on the first page, that we've got great traction in the market. We're going to be pushing that. We're going to be getting out there with other technology customers and showing the first steps there. Very importantly is that we're going to be focusing on the cost competitiveness of our technology, making it happen as fast as possible and working with Suzano as well, of course, so that we make the next big scaling step possible as soon as possible. With that, I would like to hand over to Ben, who will talk a little bit more about our financial results, and then we'll take the Q&A at the end.
Thanks, Tuomas. Good morning, everybody. Let's take a look at the financial highlights of 2024.
On the revenue side, we decreased our revenues in 2024 to EUR 762,000 compared to EUR 10.6 million in 2023. This was in line with our financial guidance for the year. The main reason behind that was that the significant technology sales that we made towards Woodspin for the project delivery in 2023 means that the comparison year number is higher. For the revenues for 2024, these were predominantly made of technology services to both Woodspin and Respin, and then some other revenues related to, for example, joint development agreements with brands. The operating loss improved again in line with our guidance. In 2024, we had EUR -18.3 million operating result compared to EUR -20.9 million in 2023.
The decrease was driven mainly by having a smaller number of employees and also a lower cost impact from stock options, as during 2023, there was a significant number of stock options programs implemented. In 2024, we switched to an alternative LTI share-based format. Of course, the cost savings program, which Tuomas commented on, resulted also in savings during 2024, although the majority of those are coming through in the run rate now in 2025. On the investment side, we continue to invest into our own R&D and into the joint ventures. The total was lower in 2024 than in 2023, so EUR 5.8 million compared to almost EUR 9 million in 2023.
The main reason for the difference is that in 2023, in addition to the JV investments and our own R&D investments, we also invested into the R&D spinning machinery, which accounts for the majority of that difference between the years. The cash position remains strong, net cash of around EUR 40.9 million at the end of 2024 compared to EUR 54.4 million at the end of 2023. As Tuomas commented, we have been slowing the rate at which we are using cash. It is obviously very important from our financial management perspective that we continue to prioritize the strong cash position. If I go a little bit deeper into some of these numbers, we already talked about the revenue side and the overall operating loss. Important on the income side, we had an increase in the other operating income from around EUR 750,000 to EUR 1.1 million.
The majority of that other operating income comes from grants that we received from Business Finland for much of our or some of our R&D projects. Depreciation naturally also increased from 2023 to 2024, to EUR 2.7 million in 2024. This is, as we have naturally been growing, our fixed assets that are now being depreciated. On the sort of headline level, our other operating expenses did increase from EUR 5.8 million to EUR 6 million, but the underlying actually has kind of reduced as a result of our external cost savings program. It's important to highlight here that in the EUR 6 million that we have for 2024, this includes EUR 1.6 million related to testing services that's been overpurchased from Woodspin to support our R&D activities, an environment in which to test some of our new technology developments.
That, of course, improves the result at Woodspin, which then reduces all Woodspin's need for cash funding. This is, let's say, from a cash perspective, a relatively neutral move for us. We talked a bit about the cost saving program, but again, to highlight, of course, when we updated the strategy, it was important that we aligned the organization with that, and that unfortunately resulted in some changes to the personnel with a reduction of eight positions agreed in those negotiations, and additionally, some changes to the management team. This resulted in run rate savings of EUR 1.6 million, which was the target that we had, and we did achieve that, and those run rate savings are now effective from the beginning of 2025. As Tuomas commented, we will continue to be prudent with our external spending going forward as well.
Those were the financial highlights. I will now just comment on the financial guidance for 2025. As we have communicated at the end of last year, and as Tuomas commented, one of the critical things that is under work continues to be the ongoing planning with Suzano on the fastest way to validate the end-to-end process efficiency metrics of the Spinnova technology, which is needed in order to move forward to the next phase of the scale-up of the wood-based Spinnova fiber production. Whilst that planning is ongoing, we have decided that at this time, it does not make sense to provide financial guidance for 2025, as that will be such a key component in the outlook. Our aim is to update the financial guidance for 2025 in the coming months, so we will revert to that as soon as possible to the market.
To wrap up the results highlights and where we stand and how we see the world, of course, there are all sorts of kind of macro uncertainties and so on in the world, but I think where we stand and how we see the outlook for the demand for new fibers is that the long-term demand continues to be there. Brands still have commitments to increase the proportions of new materials they are using by 2030, and they need to take actions towards that. We see that there is still a very strong market and demand for new sustainable fibers. That is also demonstrated by the brand partnerships and the LOIs that we announced, for example, with Puma this year. As Tuomas said, more of those are on the way. The end market demand is still there, and certainly the long-term trend is still there.
If we translate that into technology sales and technology customers, we continue to see a very high level of interest from customers, including Suzano, who we are working very closely with on the planning of the next steps. What is critical from Spinnova's perspective is that we focus on our own technology development targets to make scaling possible by bringing down the CapEx and OpEx costs of fiber production per ton in order to continue to make our technology competitive versus alternative fibers in the market. Thirdly, which is, I think, if we compare, for example, to others in the industry doing these types of innovations, I think we can say that we are financially well positioned to deliver on our strategy.
We have a strong cash position, and we continue to operate with financial prudence and prioritizing that when we make financial decisions, it is in a way that prioritizes cash flow over other metrics. We are set to deliver, and that is, I think, a good summary of where we stand at our results presentation. With that, I will wrap up, and we will move to Q&A.
Thank you, Ben. We are getting questions in. Thank you for those. Suomenkielisille kuuntelijoille vielä kerron näin, että suomenkielinen esitys on löydettävissä Spinnovan kotisivulta. Jos olette kiinnostuneita, niin voitte sieltä sen hakea ja katsoa tarkemmin. Questions. Suzano, that's maybe the biggest theme, and quite a lot of questions. Some clarification is still needed, and the interest is huge. I will try to gather these questions in a way that we...
Yeah, let's see if we start by first question being still some color or details to why the delay happened. What were the metrics? You talked about some of the metrics, but still maybe even a bit simplified, what was the key problem of the delay?
Yeah, we can remind basically kind of what the criteria were actually that we set out in the letter of intent that we signed with Suzano in the beginning of the year where there was kind of criteria on showing that there's enough demand and that the fiber works, and we were actually able to do those. It was that we're able to show that the core technology concept works, and as we've highlighted, that has also been done, and we produced good quality fiber.
The one where we still have work to do is really that we take those technology concepts that are the most efficient, enable the cheapest production, enable the highest efficiency for utilizing the machines, which is basically getting CapEx down and showing that that works in real life. That is where we aim to be by the end of the year, but we did not achieve, and that is of course why the delay happened. That is what we said will happen, and what we are working on is of course for that part of the open items. Basically, we are looking at what is the best way to show that it works. It is all about making sure that we demonstrate the best technology concept and basically make it a solid investment case for our customer. This applies to Suzano and applies to other customers as well.
It is very in line with our strategy.
Okay, thank you. There is a question about the timetable. Very difficult to answer. You are in the middle of an assessment, but what is the process? You are negotiating with Suzano, you are talking about responsibilities. Is there something you can elaborate around this, or do we have to wait still?
Maybe Ben can kind of, you answered this or you talked about the financial guidance. I think it is very much linked to that. Do you want to comment on that there?
Sure, yeah. I mean, I think at this stage, as you rightly said, Sophie, it is very difficult to put a specific timeline on it.
Of course, we understand that this is kind of what investors want to be updated on, and of course, it's also our own top priority, so we come back to it as soon as we can. At this stage, no specific timeline that we can give.
Yes, thank you. From this, are there discussions with any other potential parties than Suzano on the wood-based, or are the other partnerships, joint ventures, are they other wood or other stock that you are looking into?
That's a good question. As of now, of course, the priority for the wood-based is with Suzano.
Yes, thank you. A question about the Puma letter of intent. Any volume estimates regarding the 1,000 factory in Jyväskylä? How much of that volume comes from Woodspin and how much from the next possible factory?
Yeah, so we can't comment on the exact numbers, but basically in line with what we've talked about as Woodspin's role, that Woodspin is there to help us show that the fiber works and produce certain quantities. There is kind of a path in these LOIs, and that's the way we want to work with all of them, that we have a short-term plan, but then that leads to a much larger volume. We're talking about significant volumes in relation to the scales that we're going for in the future.
Yeah. More a detailed question. Let's see if it goes to Ben or Tuomas, but can you open up the end-to-end metrics, production level limitation, and new actions? Is there? Can you click?
Production limitations.
Yeah.
Trying to think of what would be, we're talking about the actual metrics for production.
I guess it's quite in line with any other process industry, right? I mean, we're talking about the costs of input materials, how much you use of them. It comes down to energy, the cost of materials, the cost of the input raw materials, the yield of production in each phase, and then of course it's coming to the CapEx of the equipment that's required to make that production happen. I think it's actually, I mean, anybody looking at pulp mill investments or things like that, I think that there's a lot of learning from that, which of course is because our process very much has grown up from the pulp and paper industry and a lot of the experts and technology partners are from there, but actually because the bulk of the production process is using that kind of machinery as well.
I think that gives a pretty good view into how this process is being measured as well.
Yeah, good. A question about the Woodspin factory, the use of the Jyväskylä factory. Is it going to be more increasingly production in 2025 or still continue with the development work? Very much interest here in where Woodspin stands at the moment, development versus production.
I'm going to have to give the diplomatic boring answer that it's both, but I do think that now that we have reached the kind of fiber quality parameters on a much better level during 2024, and now that we're getting traction with the letters of intent, I think that we do want to also use the factory more for kind of actually satisfying the needs in these letters of intent and kind of showing that things work.
Yeah. We have also a question regarding CapEx and OpEx and the investment need or new equipment to validate these. How about the situation for Suzano and Spinnova? The question is that do you still need investments or new equipment to validate the CapEx and OpEx level of the technology in 2025?
Do you want to take that?
I think the answer is that yes. I mean, we continue and every year we're in R&D. R&D is still very important to us, and we highlighted that in the kind of focus areas. Yes, we will need to continue to invest, but we do it in a cash-prudent way.
Yes, you talked quite a lot about the cash position, net cash position.
Correct.
Here comes in also a question about costs. How much of the costs are capitalized or do you still have? How does the balance sheet look in this respect?
We assess kind of each of the assets, obviously, and decide whether they should be capitalized or not. It really depends on, obviously, if we see the kind of future cash flow potential from those or if they are rather just kind of more expensed. Again, we do not have a kind of hard and fast rule around that. I think we did capitalize a little bit less in 2024 than we did in 2023.
Very good. You still have possibility to put more questions. I will ask one question here where we give time for our listeners to react. This is a three-point question for both of you. If you have to give only three points for 2025, which you will focus really, what you will focus on, Tuomas, what would they be?
Yeah, it's easy to answer that because we've been doing it or thinking about our priorities a lot recently. Of course, the first one is to now do what we didn't finish last year, which is to get this process efficiency metrics and the cost competitiveness proven to the sufficient level.
With Suzano?
I think it doesn't matter with Suzano or without Suzano. It's about our technology, and then of course that enables our partners and customers to make the decisions they need to make. That's very much in line with what Ben said. I mean, we are an R&D company. We're a technology company. Our job is to make the technology the best it can be. I think that's the first key point. The second one is, of course, that despite us being a technology company, we have fiber production capability.
We have Woodspin, which is quite unique actually in this fiber innovator space. Not many have that size and ability to produce fiber. It is really to kind of continue to get even more traction from the industry that this is a great thing. We do want to start really accelerating the non-wood projects as well. We have got a lot of outreach and great feedback and already some things starting to move, and we are really looking forward to starting to talk about those in more concrete terms. There is one thing which is supporting all of those, which I want to highlight that we actually did not talk that much about in the presentation, but is that we have hardcore experts in this field in the company and kind of continuing to strengthen our company with the best people, with good leadership.
I think that's part of how we deliver on all of these. Sometimes it can be seen as a given, but it's not a given in our view, so.
Good, thank you. Ben, same question. Three.
I think I will keep it kind of even simpler. I mean, the key is delivering on the kind of cost competitive fiber production that our technology is capable of, and I think that's the absolute kind of key, and everything else is, of course, both supporting and then derived from that.
Very good, thank you. We got two more questions. Both are regarding Suzano. It is of interest, and of course it's very important and it's important work. Let's see. Any contract limitation to go on with other companies than Suzano? This is a roasting question from the investors.
As said, I think that first of all, kind of our key terms in the JV are actually available in some of the investment prospectus and things like that that happened before. Everybody can familiarize there. Without going into detail, kind of the simple version is, as we've said, we prioritize Suzano with the wood-based. There are, of course, mechanisms that both parties can bring new projects to the table, and those are opportunities, of course, that we continue to look at. Obviously, when it comes to non-wood, then that's something that we are driving ourselves, which is why, for example, we're investing in our own MFC capability.
Okay, thank you. The last question, again about Suzano. There seems to be a very big need of still clarifying the responsibilities in the process going forward.
What is Spinnova's responsibility and what is Suzano's responsibility, and how do you work together in taking this forward?
Yeah, and Ben, you can add, of course, but I think that the letter of intent that we signed last year, I think one of the key points of that was to clarify the responsibilities. It really sets out that the plan that we have together is that Spinnova is the technology provider. We are not building the factory. We are not investing in the factory. We are not operating the factory. We are not marketing and selling the fiber. Our job is to make sure that we bring the right technology companies to enable the factory to be engineered, to be built, to be commissioned. Of course, then the rest is up to our partners then.
Yeah, very good.
Anything else you would like to say before we end? We do not have any more questions, so I think that the webcast will soon be ended. Anything else before we start working, or we are already working in 2025? It is February, so... Ben, a few last . Last greetings.
I think we covered a few points, and I think you said it well, Sophie. I mean, it is back to work and delivering on those key points that we outlined for the 25 focus areas.
Thank you.
We have a lot of work to do. The technology has extremely high potential and is very unique in the market, and it is our job as the technology company to show that it works so that it can scale and become very big. That is what we are focusing on.
Thank you, Tuomas. Thank you, Ben.
Dear listeners, even though this webcast is now almost ending, I got some questions now popping in, so let's continue with those. Anyhow, we are having our first half results in August. That's half a year in half a year. Do contact us if you have questions. We are happy to answer those, and we are available for you also during this time until the next webcast and results release. Here comes still one question, so I will take these as they come because there is a specific question on, do you have a relationship with Siemens?
Yeah, that's a great question and something that we didn't showcase here very much, but Siemens has helped us a lot in kind of the factory automation and digital twin of the factory and things like that.
That's actually a big part of future factories that the whole system works to end to end. The data traceability is there. We've talked with our, when we talked about the value of our technology because it's a factory-produced fiber, you can have much more in the kind of data management side of that. They have been helping us with Woodspin, and of course, there's opportunities for collaboration there.
Very good, thank you. Again, one more about Suzano. Are you worried about any of the work you are doing? Do they have the right spirit and will to continue? That is coming now in some of the questions, so I think it's appropriate to take it here.
Yeah, I think we're being very transparent that the reason for the delay that we had last year was what we said it was.
It was about the technology, about the process efficiency metrics, the cost competitiveness, and that's the reason, and that's why we're 100% focused on that. As long as we can solve that, we feel that we're in good shape.
Very good, thank you. I will end this webcast with saying here is such a lovely wish, wishing high spirit and activities to everybody in Spinnova. Thank you for that, and I think we'll end with these words.
Thank you, everyone.
Thank you very much. Thank you.