Happy Halloween and welcome to terawatts. Q3 results webcast and call. My name is Katikakacson, and I'm in charge of Investor Relations here at Therveston. Today, our CFO and interim CEO, Ilklaurala, will go through the presentation and we'll follow that with the Q And A as usual. But in addition to the usual presentation, we also have special guest here today, our digital health team will give a short presentation on our new MyHealth app and digital appointments.
But without further ado, I will give over to Luc.
Good morning, on on on my behalf as well. And, as, as usually, we will go through to sort of the key achievements during the the Q3 and also the financial result for the Q3. Q3 highlights overall. We are quite pleased to have, again, a broad scale of growth, across all all customer groups, especially the private, in the private customer groups, we saw very good growth rates during the Q3, and that is partly driven by and, the new processes that we have been able to establish during, say, last 18 months. And the digital solutions that we have been able to launch during the year and, and, and, during the Q3.
And, As Kathy mentioned, we will also call slightly more deeper on that and and, so that you can see what it does it actually mean? The own health solution that we are so much talk about. Our profitability, the EBITDA margin has also improved, thanks to especially strong sales in in private and corporate customer groups, which again, sort of solves the operating leverage model of of the business and, which applies to sort of the fee for service type of business that we are doing in the corporate and private And obviously, if the strong cash flow, we are happy with the strong cash flow from the operating activities and we continue our rather high level on the digital type of investments and those most likely will continue to grow as well. As mentioned, clearly higher growth rates, than 10 during the last, last quarters, I would say, 10.4% in the corporate segment, 21% in private segment, without a 10 doll, public segment growth was 18.5 And on top of that, obviously, the Attendo impact is that roughly SEK 50,000,000. But should we take into account when taking a look at these numbers is that, that there was one work working day more having rough impact of that one point 5%, positive effect for the revenue.
And obviously, the impact of the attendals private dental business have also impact on the private growth. But despite of that, the growth compared to earlier quarters this year was clearly higher in the private segment. Versus year ago. What else should be taken into account when taking a look at these numbers is that that if we go back to the last year's quarters where we always compare our numbers is that, that we had a sort of weaker performance in Q2. Last year, we had a slightly improving performance in Q3 last year, which still gives us sort of the, sort of the easier comparison period and, but we had a had an had an excellent or acute sort of performance already during the Q4 last year.
Which makes the sort of the comparison period for Q4, tougher than in Q3. Here are the year to date growth numbers. Here also you can see that the growth has as the growth rates have been higher now in Q3 than 10 during the earlier quarters. Overall, the pie chart here shows that that, the private and public business from the top line perspective are now, basically completely evenly balanced, with the corporate segment still creating 42% of the total revenue. Numbers y number wise, it means that the adjusted EBITDA before the IFRS 16 impact grew from from EUR 14,800,000 to EUR 24,000,000, the margin improved from EUR 9.2 10.2 and where we will take a closer look on that as well, shortly.
The profit for the net profit for the period declined from $60,000,000 to $10,400,000. The key reason for the decline, obviously, is that For the comparison period, we had a, had a capital gain from selling one of our businesses in, in, in Latvia at the time, and that there were also some other sort of nonrecurring capital gains related to sort of the comparison period. This is the sort of the, the way that we are trying to sort of open the logic that, that where we are and we are, we are saying that we are in the middle of the transformation within our company, and, and also in the health care sector in general, this is sort of the, our sort of what we try to solve here is that if you think about traditionally how the private health care in Finland has has operated is that that that the historically, the customer has entered to to doctor appointment and doctor has sent, through the referrals to, to pay the customer to the labs to the imaging or to the to it. Now with the what we have done and what we tried to do is, is that for the last year and a half, is that we try to sort of open the bottleneck for the doctor appointments, which is having a very high utilization rates, which we have reported I would say since the Q2 twenty eighteen is that we have developed both sort of if you want to call it, the unallurgical processes as well as the new digital tools so that that the customers can Pipass, the bottleneck for the doctor appointment call directly to the different kind of, or to the different sort of health professional appointments or co directly to the lab, having, having a sort of referral or free laps, etcetera, etcetera.
In addition to those, we have developed those digital tools, which enables, customers first of all, sort of, sort of, easier access to our services. And on the other hand, it will sort of even out that the supply and demand, sold that from as an example, from the remote areas, you can take the digital appointment, although you're not physically, close to the physical doctor, and or the health care center. And that those sort of dozens of different kind of activities and tools that we have developed, starts to sort of even though that the absolute numbers and the absolute revenue from these different sources are quite small, it starts to sort of the open, the bottleneck of 40.40 doctor appointments and improves the patient, the customer's availability. To access to and access to our sort of, health care services. Market outlook, even though that we see if anyone sort of follows, Finnish newspapers or news, you can see that the, all the economists are taking sort of a more negative view on the coming economic development.
We still see that within the corporate customers to sort of the, demand will remain rather stable. And, and especially to preventative services, relatively speaking, is will continue to increase. And, and that it's spread to sort of emphasize that, the slight legislation says for the corporate customers related to that Kala reimbursement that the corporate customers are receiving from from using occupational health care services. For the private customers, we see continuing trend for the comprehensive well-being, which will further create, create strong demand or stronger and broad demand, for different kind of sort of services overall, and we continue our work and development of those comprehensive well-being services within our organization and work on that will continue, in the future as well. In the public segment, event though that the reform has been delayed, like like we all know, we see, especially when it comes to the public sector occupational health care customers, we see increase in demand for auto services as well as the Dispress Healthcare Services, for the, for the, for the public sector customers.
Then like Kathy already said, the thought that it would make sense to sort of, we talk so much on the digital appointment, even though that is not having, yet, that significant impact from the revenue perspective TV thought that it might, might make sense to have a sort of short demo here and, and, to show you what kind of tool there is. And, for all those things that have not yet used it, you can actually see it. And especially those sort of international, listeners that you can, you can at least see what kind of tool that we are, we are, talking about. And with that, I will sort of invite allowance out of order, our development manager from the digital team to sort of show how it actually works.
Thank you, Iilco. Good day, everyone. My name is Laures Adewari. I work as a development manager for our eHealth services here in Terwerstalo. And now I will give you a brief demo about our new OMA Theravo's app.
So basically, my health And just to make things happen, I will do some video checks first. So here, actually, I'm going to show you our app straight from our production environment. So this is the app that you can all already download from App Store or Google Play. This is from my actually personal app, but you won't be seeing any personal health data here. So here, straight from my phone, I have our new thermostatoma Terbers, so my health app, which can use face ID fingerprints, etcetera.
Of course, you need to, when your first time, taking the app into use, you need to use your strong, strong authentication methods, for example, bank credentials. But when you come into the app, firstly, you see the home screen. This is now in finish, but I will guide you through it. Basically, what you could see here is your lab results, your appointments, your coming appointments, your your vaccinations, etcetera. So here you would have a full home screen with your history and your future appointments.
Here. Actually, you can see just now that there's a payment, for example. So it is possible with that of us dollars. You actually pay all your visits to our doctors through the app And then what else do we have here? Well, we don't yet have actually possibility to make the appointment straight from the app, but that is coming.
Then we have our own health plan, almost only don't mind finish where you can make your personal health plans with your doctors or other professionals, and then you can have your goals you can communicate But the thing that we wanted to demonstrate the most is our remote services. So there has been a lot of talk about different remote services. And here, you can actually now see that we have a lot of different chats here. For example, for your occupational health, or your private help. Here, actually, just for your information, currently our chat levels are about 3000 chats per week, and they're growing.
Here, we also have the opportunity for offline messaging with your own own occupational health team for those matters that are not so urgent. But what I wanted to show you is the our new newest developments or video appointments We currently have already the possibility to go for a video appointment already without queuing. So on weekdays, we have this ule Stack and video was done up to which is basically an MD answering for your questions through video. And I'm now going to show you how it works. So here we have some more information on when it's open, how much it costs, etcetera.
And now I'm just going to join the queue, and this is our live production environment. Now let's see when our professional picks me up. Okay. So now our professional has picked me up. The conversation has started.
Here you can see our doctor is answering. Oh, she's already asking if I want to video And now the doctor has me if I want to join the video conversation, and there she is. You cannot actually hear the sound now, but it's because of the audio set up here, but of course, you can then hear the sound when you're having the discussion. And here you also have the possibility to, attach different attachments, do the chat as well. And then you can always, of course, you can just put the video off and continue the chat as well.
So it's that easy, and this is already in production. And you can also do this pipe by appointment. And I'm just going to She closed it already. And then we have our customer feedback And that was it. We're actually this app has been released about a month ago.
And during the last month, about 40,000 people have registered for it. That's growing day by day. And we're all the time developing more, more features into the app, basically every 2 weeks where we're publishing a new version. So here's the demo. Now I'll give the floor back to Ioka.
Thank you.
Thank you. That was an excellent demo without any either, even. And I think that the sort of the key takeaway also is that nowadays, these or it is kind of tools and catches these are really easy to use. So that enables us sort of to use those by the wider audience it's not just our digital teams that kind of use it, you don't have to be an engineer to be able to use those, but sort of that the easiness and the convenience to use those kinds of services is all the time improving. Then a few words still on the financial performance on Q3.
Here are the adjusted EBITDA picture that we have shown on every quarter. Now you can see if you take a look at the right hand side of the picture. You can see the adjusted EBITDA margin has developed if during the Q1 and Q2, we were still on a lower level versus the year ago because we acquired the Octendo business with significantly lower margin levels. During the Q3, we were able to sort of even improve our margin level part of the Attendo integration from that 9.2 to that, that 10.2 level. Which is in my books an excellent result when it comes to the Q3 performance.
And operating leverage shows the operating leverage of the business and the FSNC improvements that we have been able to carry out. The same table that we have saw in every quarter is here so that that you can see that if the top line again has increased at 46%, most of the cost line items is not growing as as fast as the top line, in the materials and the services, the growth has been significantly lower than than the, than in the revenue line. And, that also applies to the operating expenses. Which has increased that 32% versus 46% topline growth. One thing to sort of note on that is that, of course, when the, when the sort of, digital investments are growing All the time, obviously, the IT expenses are also growing and, and, tariffs are sort of the would say, the biggest cost line item in there that is obviously growing within the other operating expenses.
From the balance sheet side, to sort of the strengthening of the balance sheet further continues, the net debt amount at the moment without the IFRS 16 impact is that 1,000,000 And, and, the IFRS 16 impact is that, 1000000 and, 1,000,000 roughly. The development, you can see here so that, that we are now sort of at the level of our financial target, which is that 3 times leverage, before the IFRS 16 impact And, and obviously, if and when the cash flow from the operating activities continues to develop favorably, we expect that our, our balance sheet will further deleverage going forward. On the working capital, positive trend, further continues as, as, during the the earlier quarters this year as well, which also shows the operational efficiency development and the fact that we don't have any major problems and major issues when it comes to the basic processes within our sort of environment. On the investments, the development, you can see here, the trend further continues as set, meant was that EUR 14,000,000. Now it's that EUR 16,000,000 and versus when it was in Q11 2018, the LTM level was at 1,000,000 under an earlier quarters, but it was 1,000,000 or 1,000,000, So we have more than doubled our investments in LTM numbers, for the development of the digital and other IT solutions and, as evident from the picture when it has grown from 10,000,000 to to CHF 16,000,000 this year, the trend will further further obviously continue into near future as well.
An asset, strong operating cash flow has continued. And, And, and we don't expect to have any sort of, based on the historical fact that we have within our hands, we don't expect to have any negative developments in the rest of it. One more thing to highlight is that the corporate responsibility has, I would say, even almost always has been one of the strategic focus areas for us. And we have we are pleased to pleased to see that that the, that, investor interest on those teams are also increasing that's definitely positive thing. And we also sort of, improve our performance here.
And we are continuously working hard on that area as well. And just a few days ago, we also received the prime status from the ISS, sort of, rating agency when it comes to the ESG standards. And we will also publish, in addition to quality pork, we will also publish our 1st corporate possibility report, regarding 2019, sort of activities when we sort of will report the annual report as well. Then finally, the upcoming higher events and the financial reporting, for the next year, which have already been released, but then I think we have time for the Q And A.
Thank you. Iriska and Lorry. Do we have any questions for either Iriska or Lorry? I see somebody is having his hand up already. So over to you.
Thank you. Sam Zagomez, Northern Markets. I have a couple of questions. Can you give us a bit more flavor regarding the organic growth rates within corporate and private segments in 3rd quarter? Know that you are not reporting those anymore, but perhaps a comparison against Q2 levels would still be useful.
So if you would think about it that way that, that in Q1, when we have not yet rated our, our attend those dental services or attend those, corporate, customers the numbers, you can see here that, that, that the private customers crew crew at the time 12.6% and corporate customers, that 6.9%. Without that impact, the growth was 3.7% in private and 6% in corporate. So what it means that in the corporate segment, the append those impact is really not material. I would say, with the private customers, the impact is that roughly 9% like it is here in, in, in Q1 as well. So overall, if you do that kind of math and adjust it with with, with sort of having a one working day more having that 1.5% impact for the, for the Q3.
You will end up it's not the rocket science, you will end up having 11, 12, whatever sort of close to that level of number in Q3. Overall, including public and private and corporate.
Okay. Thanks. And then On private segment, could you open up some reasons behind the strong growth you had in the 3rd quarter?
I think the biggest reason is, is the work that has been, like I said, the work that has started, I would say, 18 months ago. With regards to that, that sort of funnel picture that I saw to you, Obviously, the 1 quarter is too short, period in health care and, and, and, I think almost in any industry to make a strong strong sort of conclusions on the development. You should take a lot of, obviously, take a take a sort of long longer trend line and, and, if you want to make a sort of projection for the future, sort of straight line basis, from 1 quarter is not sort of a fair adjustment when it comes to the, especially when it comes to the private customers. As you can see, see it from the historical trend, the private sort of sales, the fluctuation within the private sales is somewhat bigger versus the corporate segment and also versus the sort of the public sector customers, should there not be any major changes in public sector contracts?
Then your outlook statements, I think, you know, you can read them so that, you have become a bit more positive regarding private and corporate segments or maybe a bit more cautious regarding, the public segment, could you just walk us through those changes in your thinking related to those areas?
Overall, I would say actually that, that, that, that the the sort of the view is pretty much the same, I would say, as, as, during the earlier quarters. The only sort of impact is that, that is the sort of the macroeconomic environment that we are seeing and the development in there that we are seeing at the moment so that as we all know, the macroeconomic environment is, is, is a somewhat weakening trend at the moment but the sort of the positive sort of tonality, I would say, comes from, from that, that we don't at the moment, believe that the sort of the weakening macroeconomic development should have a major impact to our development relative to sort of the overall market development. And that's the sort of the sort of the I would say that, that change in the view, when it comes to the public public segment, What we see and what we have shown already during the earlier quarters is that There's most likely or there's a limited amount of major complete outsourcings, but the demand is is continues to be strong, but sort of the service mix and, within the public sector customers is somewhat different than it used to be, say, 2, 3 years ago when when it when we had a, we all had a sort of strong pipeline, and there was a lot of tender processes related to complete outsourcing.
Now it's more and more, episodes, different sort of specialty care, small or outsourcing as well as these occupational health care, sort of contracts and also outsourcing. So the top from the top line perspective, the development in the public is, is, is lower. But on the other hand, there's also a number of the active it is, obviously, is higher and that the profit pool impact is not that high as the top line sort of development in the public market because typically those, those, complete outsourcing contracts are having having sort of typically lower margin levels than the smaller contracts.
And finally, you're talking about, Kayla reimbursement changes next year, becoming a tailwind for the corporate business What kind of impact are we talking about?
Yeah, it, it applies to, 1st of all, it applies to the corporate customers. And the change in, in that is that that, that, during the this year, this, this has been, sort of the, a roof for reimbursement both in KELA-one and KELA-two, meaning the sickness care and the preventive care. For the next year, the the rules are changing in that way that you can use basically the whole compensation level can be directed to preventative services, meaning CalA-one services. So it, it, that the total compensation level as such is not changing, but but what is changing that changing that, that it will most likely have a slightly, increase in impact on the continuing trend when the preventive and building services are So it will sort of enhance that development, but it will not have a dramatic impact either way. Because the actual sort of the amount and the actual sort of compensation or the reimbursement levels are not changing.
It's more steered to preventive work than earlier.
I think we have other questions from the room, but I think we'll take a couple of questions through the phone lines in between if that's okay. Do we have any questions from the phone lines at the moment?
We have a question from the line of Anur Laitanaki from Dutch and Mike. Please go ahead.
Yes, thank you. I would have a couple of questions. Firstly, on the very good growth in the corporate segment, could you kind of specify where it came from given that we are not having that many new employees in Finland, and you already have a very high market share. So was it really kind of more, more willing per customer or how do you see that and how sustainable is this kind of a growth rate going forward?
Yeah. It's it's the it's it's it's more, like, I think we have said that the the sort of tech The we have already seen during this year and during the earlier seasons that, that the sort of the historic car correlation for in the corporate segment development when it was quite you were able to quite nicely tie the corporate, develop corporate sales development with the, with the sort of the end user amount. That is actually the correlation is actually weakening. And what we see is that the, the, the customers the change in behavior within the customers when it comes to the spend level, how much they use to acquire health care and preventive services. That sort of is widening the scope of different kind of services.
And that is where the sort of the growth is coming from so that we have been able to sort of, support the existing demand, for, for the preventive services as well as those well-being services so that the average spend per customer has actually developed, positively. And that is where it comes from.
All right. Thank you. And then on the cash flow, which was very good in the 1st 9 months. Is there something in the Q4 that we should expect to reverse in terms of working capital or is this kind of a trend that we should look for the full year?
Historically speaking, in this sort of the old tariffs teller side, the there is not gonna be any any sort of, unusual changes expected. The only sort of factual change in, in a factual sense in the working capital has been the sort the pension related payment, and the, the, the payment cycle of the 12 pensions is is not quarterly based in Finland anymore, but it's on a monthly basis. So that will, but that impact you can see already in in Q1, Q2 and Q3 result, but that's the only sort of difference when you compare last year numbers. Then it, when it comes to the up and those sort of working capital, and the and sort of the impact of data and integrations. That is somewhat more difficult to say at the moment, obviously, because because we haven't owned the business during the last year, Q4.
And, but we would not expect to have that have any sort of major impact for the, for the complete, or the total working capital development.
All right. Thank you. My final question is on the acquisitions. What is your acquisition strategy going forward? Now you have kind of Either credit attack after direct position and and that is coming down a bit.
So are you looking for any larger ones, or is it small bolt ons or or or what are you thinking?
Yeah. Regarding Upendal acquisition, the integrations integration calls as as planned. And, the sort of technical takeover will take place at the year end so that that, the sort of the TSA contract will end during the first quarter 2020. And, then it will be, sort of, from the technical perspective, it will be integrated within our sort of technical environment, people keeping and period poor beta HR services. And then we get obviously better sort of or we are able to build a better sort of transparency and the visibility for those operators when we, when we have the numbers and the bookkeeping and the HR HR processes within our sort of infrastructure When it comes to the to the M and A, you have seen that we have done, during this year, Unfortunately, can't remember.
The exact number was at 7 or 8 acquisitions that we have done during this year. Those are mostly smaller bolt on acquisitions, but, but, as I said earlier also that, that, will continue to look all opportunities in the market and, and, we don't close the window for the larger acquisitions, but not obviously not no detail for the smaller acquisition and most likely will continue to do, to, both whenever the sort of the situation and opportunities arise. But as you can see from the smaller sort of acquisitions is that the sort of what kind of acquisitions we are doing is slightly different from versus the earlier years. There's a There's more sort of, sort of the public sector related, these occupational health care related, which are provided, the municipality owned public sector, the municipality owned occupation, our health care service providers. And there's a, there's more sort of, technological driven and the competence driven, services that we have acquired, latest one being that Evolvo just, during during this month.
And those are the type of type of the sort of acquisitions that we believe that will further continue. And obviously, on the well-being side as well, We have a quiet handful of, of, physiotherapy service providers and hopefully continue to to do so in the future as well.
Alright. That's all for me. Thank you.
And the next question comes from the line of Alex Gibson from Morgan Stanley.
Two questions. I know it's difficult for you to determine what the organic underlying growth of the business is, but if we go forward 12 months when are not a major contributor. What levels of growth should we expect be expecting across each of the customer groups? And if you can talk about that, compared to market growth rates as well, that would be helpful. And then my second question is just on synergies updates.
I didn't see anything highlighted in the release, but if you could let us know what the impact of synergies was in the quarter, that would be helpful. Thank you.
When it comes to the sort of the revenue development for the different different sort of customer groups, like reported earlier in the public sector, There's a couple of larger all complete outsourcing contracts which are ending at the year end. I think the total impact of those is some $30,000,000 to $40,000,000 or so, obviously, there's also a new contract sort of sort of the net impact is not that high, but inevitably that will have an impact for the public sector development for the corporate and, and, and the private segment. Like I said earlier, we believe that, that, sort of, BC market developed quite positively. And we see that we are able to increase our market share relative to market growth rates what then would be the market growth rates. We don't expect the market grow, that fast but, but, that, that it has been historically because of the fact that weakening environment, but we believe that our relative performance to the market will continue to overperform And now because I don't have a pen and paper, I'll already forget the second and we feel Alex can repeat that.
Okay. Yeah. I'll do the second and then I have a couple of follow ups on what you just said, but the second one was on synergies. In the quarter for the Attendar acquisition. I think you're talking about 5,000,000 for the full year.
Was it 5,000,000 in the quarter?
So $5,000,000 is the run rate impact starting from the, from the 2020 start from the 2020. So that's the, that's the run rate impact. So that's not the financial impact for, for, for, for, 2019, of those synergies, all sort of activities have been already covered out, Andy, and, and implemented with the exception of that transition service agreement, which is, which is still in place with the Attendo, which relates mainly to bookkeeping, financial reporting and HR services and some, some other sort of support services. So so, so, so I would say that clearly the biggest proportion of the, of these synergies you can, you can already see between the numbers.
Okay, great. And just following up on what you said earlier. So is it should we assume that public customer group declines next year because of the ending of those 2 larger outsourcing contracts. And then for corporate and private, you say you don't expect the market to grow fast, should we be thinking that means 2% to 3% and you're doing a bit better than that, or is it higher?
In the public sector, we like like said, the sort of the impact of those 2 or outsourcing or handful of larger outsourcing contractors is that $30,000,000 to $40,000,000. Obviously, there's still we are in the middle of the year, and there's a tender processes ongoing all the time. So even though that we would publish it, we don't know it yet, not yet, because quite typically, those sort of initial start of those new services will only, be the year end or, or at the start, start from the, from the 2020. So for that, we don't actually have, yet the sort of the sort of the information, for the corporate and private market development like typically in health care, the movements are not that fast, I would say, if historically, the development of the market growth has been that roughly between 3.5% to 4% I don't believe at the moment that it will dramatically, be lower, but somewhat lower I don't have obviously the exact number for the, for that, but, because of the macro economic development, it will be most likely somewhat lower, but how much then that will then then some third party service providers that can provide the market growth estimates, that is something that needs to be discussed with them.
Thanks. And then I think we have more questions from the Rubin and also through the webcast. I think Ole was next in line. Do you still have a question? Okay.
Anybody else from the route?
Yes. Iris Teemann from Carnegie. Two questions, please. Just to follow-up on your organic growth, can we expect the year to date organic growth level, which seem to be about 7% to 8% to continue in Q4? Or do you see any headwinds?
I would say like Like I said, I think the 1 or 2 quarters are too short period to take, take average number. I think you should take longer trend from 2 to 3 years in health care to be able to have a and adjust that with economic development and to be able to sort of sort of, have a better sort of view on the coming future. Like you can see from the numbers, if the Q2 last year was quite weak, and this, this quarter was, very, very good. Actually, the variations will continue that typical for the private sector that, that there is a quite big sort of variations in the growth rates between between the sort of, different quarters and that we always need to take us out of the longer trend views be able to see a big picture on the private customer development.
Okay. And then on your digital services, how would you compare those to your competitors? Are you ahead of your competitors or in line with competition?
Like I have said, that the best thing in Finland is, is that we have, good competitors in health care. That is great thing to have because that, puts a lot of effort for our dev development, and and we try to put a lot of a lot of sort of pressure to competitors that they should develop their services and, and, and their sort of IT, IT and digital tools it's it's different. I I would I would say that it's from the object perspective, it's always difficult to argue that, that who is having a best kind of, sort of solutions or tools, I think that, that, that we with our best competitors are developing our services side by side so that in 1 month, or in 1 quarter, we are improving our services. And we are better than in, in some quarter, they, they, they sort of developed their services. And we take a benchmark from their services and we continue to develop our services.
And that's the brilliance of the competition and the hope that the from the health care development services or for the general sort of how the health care in Finland should develop. We hope that, that we will continue in the future as well so that we challenge to ourself and, and, our competitors so that that we are, even further able to develop better and better services our customers.
Cars, Tayyuk Tarahikane from SEB has some questions. Firstly, were we able to take market share in the private and corporate segment or was the market growing faster than earlier in Q3? And also, we are growing significantly in the public segment, also excluding at Tendo, where we aggressive in pricing in the outsourcing tenders or what's the root cause of that?
I would say that when it comes to the corporate and private customers. Unfortunately, within this industry, we don't have the facts, for the market development. We only know the fact of how the employed persons have developed It has slightly increased versus last year, for the private segment, we only know how to private consumptions has developed, in the economic general. And we know that the KLR compensation levels are Those are the only existing data points that are available for everybody. And if you compare our performance on on those data points, obviously, we believe that we have been growing much faster than the market, but we don't have facts for that, unfortunately.
For the public segment, the main driver for for sort of the organic growth, excluding the attendees, is exactly those specialty care and occupational health care. Customer contract, not so much on the, on the Toast Larger complete outsourcing contracts With the public customers, we don't actually see that high, high pressure when it comes to the pricing. Overall, obviously, the market is tight as always, especially with with larger customers and larger corporate customers, but, but, we don't see any major changes on that environment in a, in a short term either. Even though that the competition is, of course, has been tight and will will continue to be tight.
Then we have one more follow-up question on the Attendo margin diluting, impact. Was it lower in this quarter than in the previous quarters, you guys just trying to figure out why the group EBITDA or clean margin improved? As much as it did in this quarter?
If you think it through that way, that has there been any sort of service or the sales mix changes within the attendals having an impact on the EBITDA margins there's no debt material impact coming from that. But obviously, if you compare it to, for example, in Q2, like said, We are exporting that transition service agreement. We are now sort of running full speed with opportunities of the, of the Attendo acquisition and, and, almost full speed and, that impact is included in the numbers, but, but rest on that, there's no any measures or sort of service sales are or any other sort of sales mix or mix changes versus, versus earlier quarters this year.
Thank you, Ilkka. Do we have any additional questions from the room or from the phone lines?
There are no questions on the front.
Thanks. And there are no further questions in the room. So I thank you for your time and have a good ready.
Thank you.