Good morning, everyone. A warm welcome to Bonava's Presentation of the Q3 2020. Speaking is Louise Tjeder, head of investor relations. With me today and also presenting the quarter highlights is CEO Joachim Hallengren and CFO Ann-Sofi Danielsson. After the presentation, we will, as usual, open up for questions. A short reminder is that you can ask your questions on the web or on the teleconference via the operator. With this, I will hand over the word to you, Joachim.
Thank you very much. Good morning all to the Q3 Presentation from us at Bonava. A strong pickup in sold and started units is the headline for quarter three. We have been able to hold the level of sold units at a stable level. I will dare to say that I actually think it's a very good level, taking into consideration the pandemic that raged across Europe, also affecting partly this quarter. Another important thing is the consumer starts. They are higher in both Germany and Sweden, our main markets. The EBIT margins are slightly lower, but if you take away gains from sale of land, they're actually stronger. It's supported by improved gross margins in handed units in the projects in Sweden. It's also supported from the Nordics, slowly but definitely surely improving the performance with Finland in their turnaround phase.
They are delivering very well, as planned, and what we are seeing this quarter is that they will hand over the last of the poor-performing projects. The earnings and the margin is also supported by a lower SG&A. Moving over to year-to-date. Early in the year, when we saw the first signs of the pandemic, we decided to play a bit safe. That's an option that we have at Bonava, so we decided to focus a bit more on the investor sales. We predicted that the consumer sales would be hard to forecast and committed to a lot of uncertainty going forward, and that has really paid off. We have been able to sell and start more units to investors so far. We have a very stable, and I would argue, very strong and good performance in our sold units or sales to consumers.
We have a historically high sales rate of 81%. 81% of our total portfolio is now safe and sold. The EBIT margin is lower. We have talked about this in the first two quarters because it's those who are mainly affecting the EBIT margin. The Nordics with their low-performing, well-known bad projects, and Germany also had some poor-performing projects that were finalized in the second and Q3s. We already in the second quarter report communicated that the margins in Germany will improve, and that's clear in these numbers, and they will continue to improve in the Q4 and coming back to more normal level in 2021. I think it's also fair to point out that the comparison from last year was boosted by a high volume of recognized, very high-margin units from our St. Petersburg operations. Key figures.
Starting with the Q3, the net sales is slightly down compared to last year. As I said, the EBIT, excluding items affecting comparability, is down SEK 125 compared to SEK 162. However, if you exclude sales of land, the EBIT is SEK 135 compared to SEK 131, and the net profit is substantially higher. We need to remember that in the Q3 last year, we had an item affecting comparability in terms of an old claim in our German business that cost us EUR 10 million. Looking at the numbers year-to-date, the net sales is slightly up. The EBIT, excluding items affecting comparability, is SEK 211 compared to SEK 509. A more fair comparison, the EBIT comparison without sales of land, lands us at SEK 221 versus SEK 417. Net profit, SEK 93 versus SEK 247. Units in production is down. It's 8,962 compared to 10,301.
We have already early communicated that the planning for starts this year is really back-loaded, and we expect to start a lot of new units in the Q4. That difference will change a bit. We will take back some of the difference. The value of sold units, however, is not affected that much. It's only SEK 300 million down, SEK 21.9 billion compared to SEK 22.2 billion. The sales ratio, as I said, an impressive 81%. Looking at the sold and started units, starting with sold units in the quarter to consumers. We were on par with last year, and I think that's a really strong sign from the organization and from the market, which is very well-performing in all our business units.
Year to date, we are only trailing behind with approximately 75 units, which I think is extremely impressive, taking into consideration the pandemic, which caused many of Bonava's market into total lockdown for six weeks. Started units slightly behind Q3 next year. As I said, we knew already from the beginning, and the plans to start units is really backloaded this year. Year to date, we are trailing behind 180 to 190 units compared to last year, mainly affected by the pandemic and the lockdowns that delayed us. It also delayed the building permit process and other kinds of permits from authorities. Again, we will see a lot of new starts coming up now in Q4. Investors, as I said so many times, the distribution is not even. One should not pay too much attention to any individual quarter.
We have sold a few units less this quarter than last year, but the more important figure is the year-to-date number, where we sold substantially more, thanks to an increased focus and a strategic decision to, during the pandemic's early phases, boost this business. This is a table that shows our latest assessment of expected completions and sales rate to consumers. I would like to highlight a few changes from the Q2 report. We were a bit cautious in the second quarter when it comes to our ability to finalize projects with the precision that we are used to. That gave a few more handed over units in Q3 than we expected. Of course, those units are now taking out all the Q4 numbers. The Q4 numbers this year are lower due to the fact that we recognized them already in Q3 this year.
As you can see on the graph, the distribution for completion next year, with the exception of the first quarter, is pretty even. We will not be that backloaded as we normally are in 2021 when it comes to consumers. We have been able to start 200 new units that are expected to be completed in 2021. The backlog for 2022 and beyond is increased with 450 units. We're building a strong and solid future for Bonava to be recognized in the future. Looking at the investors, there are not that many shifts. We have been able to recognize a few projects earlier already this quarter than we expected in Q2. Otherwise, the differences between the completions 2021 and 2022 is around 80 to 90 units per year. Also here we are building a solid pipeline for the future.
I would like to add that compared to the forecast or estimation done in the second quarter, we feel that the visibility now for our projects is much better, and we feel more confident in these numbers. We were a bit cautious due to the COVID-19 situation. As we now see a second wave rolling out over Europe, there might be increased uncertainties going ahead, but for the time being, the markets remain strong and all our projects are up and running without any major disturbances. With that introduction, I would like to hand the word over to our CFO, Ann-Sofi Danielsson.
Thank you very much, Joachim. I go straight to the income statement that you have here. I would like to start with net sales here, where you see that we are somewhat down compared to Q 3 last year. The reason for that is that we have fewer units recognized for profit handed over to our customers during this quarter. I will dig a little bit deeper into in what segments this is the case. I also want to point out here that we have a good gross profit on these handed over units, and I will also come back to that where in what segments you can see that. Selling and admin expenses are down, especially if you look for the whole period, SEK 619 compared to SEK 668.
That is, as Joachim pointed out in the beginning, that today that we have been cautious and looked over our costs and really taken care of all the actions that we are doing, to reduce the selling and admin expenses as much as we can in this COVID-19 situation. An EBIT of SEK 125 compared to SEK 162. Last year, we also had this claim, this settlement in Germany of EUR 10 million or SEK 100 million. If you deduct that and take that into consideration, SEK 125 compared to SEK 62. Again, as Joachim stated, we also have effects coming from sales of land. If you take that into consideration, we are actually at a higher EBIT this year than last year, also without this item affecting comparability.
The third thing that I want to point out here, is that we have net financial items on par with last year for the Q3. That needs an explanation. We have a lower net debt. I will come back to that soon, and show you where we are and the cash flow that we've had during this quarter. Net financial items, the same. The main reason for that is that we've had some costs when we have established new financial possibilities for us. That is the main reason why, even though we have lower net debt, we have the same net financial items as last year. After a tax rate of 26% for the period, we are at GBP 72 million compared to GBP 27 last year. Just to give an overview of the EBIT, where it comes from, which segments.
There are two things I want to point out here, and that is that we have better margins in Sweden. I will come back to that soon and show you why that is. Even though the Nordics segment still have a negative result. If you look at the gross margin coming from the Nordics, we have improvements compared to last year and also compared to the first two quarters of 2020. The reason for that is that we now, as Joachim pointed out, see results from the actions that we took last year in Finland, and also that the development in Copenhagen is going in the right direction, and also a good contribution from Norway. If we then continue looking at our different segments, starting with Germany then. The headline here, lower gross margins in handed over units.
That is when you compare with last year, as you see here, EBIT margin of 8.9% compared to 12.5%. A rather small quarter. One thing that is important to point out here is that if you compare with the first two quarters in Germany, where we had projects that we handed over with quite low margins. We are improving in Germany. That is also, as Joachim said, what you can expect going forward, that we will come back with the better margins in Germany going forward. To be back almost on the level that we've had in previous years. 344 units handed over to consumers in this Q3 with this margin, as you see here. One other thing also I want to point out here that you see here also in Germany, that we have reduced selling and admin expenses.
Thanks to that we've been cautious with what we are doing, and really looking into what we need to do and what we can wait with and what we can avoid. That has given result also on this line here, selling and admin expenses. What we also want to point out is that we've had good level of started units to consumers. Start to investors can be more stochastic. Just in this specific quarter, only 48 compared to 232 last year, but that is more stochastic. The good sign here is that we have started many units to consumers, both in the quarter, but also for the whole year. That is also what we want to point out. We see a very good demand for our products in Germany.
What you can expect also in the Q4 is that we will continue to start more in Germany. You also see that when you look at the number of sold units in Germany in the quarter. That is what we see underlying, a very good demand on the market in Germany. Just to point out what we've said many times, though, we still see some troubles when it comes to how the authorities are working with the building permits. We still see that we have delays there. That goes both for Bonava, but also for our peers on the German market. That is still a bottleneck that we see. Otherwise, good demand, good possibilities to start more in Germany. Sweden, then. A good project mix in the Q3 here.
That is what you see here, a good gross profit for those units that we've handed over. Even though they are fewer in numbers, but with good margins, better margins than last year, since we have another project mix in Sweden than we've had last year. Also lower selling and admin expenses. All in all, that has given us a good development in the quarter and also an improved EBIT margin if you compare to what we've had one year ago. Also in Sweden, as in Germany, we see a good interest for our products. We have both started and sold at good levels also in Sweden as in Germany. Again, this is also the case in Sweden as in Germany, that we will continue to start more in Sweden since we see a good demand for our housing units also in Sweden.
Nordics. Yes, still negative. However, improving from the first and second quarter 2020. Finland delivers as we said and as we've planned, that gives result. We've also had a good, more positive development in Denmark. Here, I just want to stress here or point out that we have somewhat higher selling and admin expenses. I've said that we've been cautious in all Bonava, but here we actually have increased selling and admin expenses. The reason for that is that we acquired the business in Oslo in the Q4 last year, and that gives us somewhat higher selling and admin expenses in the Nordics segment. If we look then at the sales and started units, I think it's important to say here that we have sold quite well in especially Finland and Denmark. The very positive thing is that we have sold from stock.
Not newly started units, but actually units that were completed and been on our balance sheet. We have sold some of them, and that is a very positive sign for us that we can do that. Good for the cash flow and also good for our activity in Finland and in Denmark. We've also had good development in Norway with good sales number if we compare with how it was one year ago. Saint Petersburg, Baltics. A good development, even though maybe not that high in numbers, but we have handed over more units than last year, and we also have had slightly higher improved gross margins. Even though small numbers, but a positive and good development also in this segment.
One thing to point out here when it comes to Saint Petersburg and the Baltics, we have started in the Q3 here, somewhat more units than last, and also sold some units, but that is for the quarter. If you look at the whole period, January to September, you see that we are on a quite lower level than last year. I just want to point out that we will start more in Saint Petersburg during the coming quarters. Since those projects are quite big, many units are started at the same time. This can be rather stochastic, that when we start a project, the number of started units will be quite high. That is what we actually have in the pipeline, especially for Saint Petersburg then. Many good projects that we will be able to start the coming quarters.
Our balance sheet. We have total assets of SEK 25 billion. There are some things that I want to say here. One thing is that we have reduced, if you compare to the end of 2019 and also the previous quarters, we have reduced the value of unsold completed units, and that is positive. The other thing is, as you, Joachim, said, we have almost 9,000 units in production. That's the value of a little bit more than SEK 12 billion, 81% of that is sold. That's a very strong position, I would say. We are also very close to our financial target for the equity to assets ratio, 29.4%. Our target is 30%, since we have high activities during the second and the Q3, we normally are a little bit lower than 30% at the end of this quarter.
This is also a very strong balance sheet and also a very strong ratio for this period. We have also been able to reduce our net debt. As I said when I talked about our financial items, we are down at SEK 5.2 billion. We've had a good cash flow both in the quarter but also for the whole year. I will come back to that soon. Our capital employed, and the return on that, we have had a low EBIT, and that has affected the return on the capital employed, even though We have been able to reduce the capital employed as such, but we still, as you see here, have some things to do to increase the return on the capital employed. That's a very important target going forward for Bonava.
Good cash flow, as I said, both for the quarter but also for the period. Maybe that is more important to talk about the period. If I start with the quarter, SEK 817 compared to SEK -90 last year. A very good development for the cash flow during the Q3. You could say that is because you haven't invested so much in new housing projects. If you look at the whole period, we are actually on par with last year. That could be the case, stochastic, that we have this development during a specific quarter. We have been able to start a lot. We've also been successful in handling our working capital. Very strong for the whole period, if you see here, other changes in working capital.
The main reason for that is that we've had good cash flow coming in from prepayments from our customers. All in all, a very strong cash flow. That gives us a good position going forward. As I said, we want to start more, we will start more, and we have the financing for that. That is also when you look at the financing, if you exclude project financing. This is the picture. We have capabilities of SEK 8.4 billion.
We have used SEK 4 billion out of that. We still have another SEK 4.3 billion to use going forward. All in all, with this strong balance sheet, the net debt situation, and also the financing that we have to be used, our financial position is strong going forward, giving us the opportunity to start a lot of units since we see that the markets are so strong. With that, I hand over to you, Joachim, to say some final words regarding this quarter.
Thank you, Ann-Sofi. I think that even this is a quarter with a low volume and small numbers in terms of profit and earnings. I think there are some really important signals here to guide us for the future. Pick up in sold units from a low level spring and early summer, the sales is really strong, and we're performing really well, taking into consideration the COVID situation. There is a good level of start in Germany and Sweden. The gross margins in Germany is improving. As we said and communicated earlier, they will continue to improve and be more normalized next year. I'm really proud of the hard work in Finland with the turnaround. It's going according to plan, and this quarter we will see the last of the projects going out of our balance sheet. More started units to be expected going forward.
If I should be a bit more specific, we will start at least in line with what we did last year. We have earlier given guidance when it comes to the consumer starts in Germany in a range between 1,200 to 1,300. I confirm that going forward. Then as Ann-Sofi also so well put it, we have a very strong financial situation with a strong cash flow. We have a debt situation which is on a really favorable level, which gives us at Bonava very good opportunities for future business. With that said, I would like to hand the word over to Louise Tjeder to moderate the Q&A.
Thank you. Thank you, Joachim, and thank you, Ann-Sofi. We will now open up for questions. Please, operator.
Thank you. Ladies and gentlemen, if you have a question for the speaker, please press zero one on your telephone keypad, and you will enter a queue. After you're announced, please ask your question. I repeat, if you have a question for the speaker, please press zero one on your telephone keypad, and you will enter a queue. After you're announced, please ask your question. We have the first question from Fredrik Cyon from Carnegie. Please go ahead, Fredrik.
Good morning, Joachim, Ann-Sofi, and Louise. A few questions from my side. Thanks for specifying the started units for Q4. I heard that you aim to have at least the same number of units that you had in the Q4 of 2019. Going into 2021, at the peak, you had almost 3,000 units started in Germany. We're quite far from that level, and you acknowledged the problem with planning processes. When can we expect a substantial improvement in started units and closing in to that level?
I think that we have to divide that a bit because I foresee that we will have a challenge keeping up the volumes to investors in Germany. It's not even wanted for us. The competition for land is pretty tough in Germany, which means that if we would keep that volume, we will lose margins because those developing projects for consumers can pay much more. Of course, we will also see a bigger impact of social housing, which is demanded by the authorities. When it comes to consumers, these sales will continue to grow, but there are bottlenecks.
We still struggle with building permits and as I said a few times, unfortunately, the digitalization in German authorities is not on the level that we are used to here in the Nordics. As soon as there is a lockdown or as soon as there is mobile work, the pace goes down. The volume is picking up for consumers. 2021, we will see one step, but somewhere there in 2022, hopefully we will have stable volumes into consumers again.
Thank you, Joachim. Moving over to gross margins. They have been improving in Germany and Sweden, but I think they're still far from the level you would aim for going into Q4 considering the mix. Is there anything you want to highlight?
Yes. What I can say, what we said. When we have more units to recognize, the margin will be up. That goes especially for Germany, where we've had, especially in the first two quarters 2020, a fairly low level when it comes to both gross margin but also EBIT margin. What you can expect is that the margin there will go up, both due to the fact that we have more units to recognize, but also another mix when it comes to what projects we recognize for profit. You can expect the German margins to come up. Sweden is not that strong as Germany, but you will see improvement also there. That is what we can say about the margins in Sweden and in Germany.
My final question on SG&A costs. I understand a few of the reasons for them being in decline. Should we expect this kind of level to be the new normal, or do you think this is of temporary nature that the costs are declining?
Some of it is of course of temporary status since, for instance, we haven't started so many initiatives within the administration. Well, it could be anything. I also think that this goes not only for Bonava but for many businesses, that this is an opportunity to look over what you are doing and what cost you will have going forward. I think some of it will remain on a fairly low level, for instance, travel costs, since I wouldn't say that has been high cost for Bonava in the past. Still, we have operations in eight countries, and it means that we travel a lot, we have traveled a bit.
Thanks to COVID-19, we have been able to use more digitalized ways of working. Of course, that will affect these kind of costs going further. It's not the big thing here. My perception is that some of it will be cost savings forever. Of course, we need to start up new initiatives also so that we can invest into the future. That's my overall answer. You can expect somewhat lower, but maybe not as low as it has been during the last six months.
Thank you for taking my question.
Thank you, Fredrik. Next question, please.
The next question is from Jan Ihrfelt from Kepler Cheuvreux. Welcome to go ahead, sir.
Okay, thanks for that. My first question really regards German and the margins in Germany. You were talking about the normalized margin. Could you please quantify that?
Around 12%.
Okay.
For 2021. We will not reach that, Jan, in 2020. That is what we have communicated earlier as you perceive it, as a normalized.
No, I know. My question was really regarding next year. Okay.
Yeah.
Great. Also question on margins. When can we expect double-digit margins in the Swedish business?
That will not happen next year. It will happen in 2022. It's very much volume-driven, as you know.
Yeah, of course. What kind of starts are you heading for next year in Sweden? Could you give any rough figure there?
Well, we said that we want to climb over 500, 600 units to consumer starts. This year we are a bit skewed to investors, so we would like to see that at least, and then taking it up to 800 and eventually 1,000, 1,200 units in consumers. How fast that will go is very much dependent on zoning, especially in Sweden, as you know, it's a very complicated and a long-term process.
This 1,000 units is the three-year plan or what horizon?
Yeah, raw two and a half to three-year plan. I think that's pretty fair.
Okay. That was all my questions. Thanks.
Thank you.
Thank you, Jan. We will take some questions on the web here. The first question is Simen Mortensen. How did land sales impact EBIT in Q3?
As I think you can see that if you look at what numbers we are talking about, we had a small loss in Germany, around EUR 1 million that impacted the EBIT in Germany and also for the whole group. That was the total effect of sales of land in quarter three.
Yes, we have another question from Simen who asks about if we can elaborate on the split on unsold units, 467. What we can say there and what is said in the report as well is that this is mainly related to St. Petersburg and Baltics if you compare year-on-year.
Yes. That's correct. As I said, the units in St. Petersburg and in the Baltics, they are small, so the value is not that high. If you look at it all in all, I would say that it's of low values in those countries. Many units, low value. As I said, what we have successfully been doing during the Q3 is to sell out some of the more expensive or of higher value units that we've had in Finland and in Denmark. That has been the positive thing during the Q3. Otherwise, when it comes to if you look at the numbers, your number of units of unsold, they are most frequent in St. Petersburg and the Baltics, where the value per unit is fairly low.
Yes, now we take the next question. Please, operator. Operator, please.
The next question comes in. Sorry. The next question comes in from Mr. David Flemmich of Nordea. Please go ahead.
Thank you. I have a follow-up question on the margins in Germany. You mentioned, Joachim, 12% for 2021, and I guess that was the EBIT margin. Can you elaborate a bit on the split between the consumer segment and investor segment in terms of the gross margins?
Yes, I can do that. It's not 12.0, it's 12-ish, but that's sort of a normal level that we've been talking about going forward in Germany. Not the 13.8, which was really good. I think that we are expecting to see gross margin. With that, I do mean project margin, right? Project margins somewhere around 18%-20% going forward. The B2B, the investor margin should hopefully be somewhere around 15%. Some projects will be slightly lower, some will be slightly higher. That is, I would argue, after many years in the real estate sector, that's really good reward for a B2B project where we have earlier indicated a span between 10%-15%. Somewhere in that range, 18%, 19% on consumer, somewhere around 15% to investors in Germany.
Yeah. You mentioned that you don't expect to see the same volumes in the investor segment in Germany going forward, but the 15% margin seems like a very good reward, as you mentioned, compared with 18%-20% in the consumer segment. Why don't you want to increase the volume in the investor segment?
My forecast is based on land that we have already acquired and projects that are in production. We will see a push downwards on that if we would go out and buy land on this market. That's why it's not competitive anymore. That will be finalized in 2023, 2024. You will see those stocks.
Yeah. Long term it is.
Long term, there will be a pressure on margins if we try to keep a high volume in investors in Germany in this hot market.
Yes. Thanks. The next question relates to the volumes that you do expect to start in the coming years. It sounds like it's not reasonable to expect 800, 900 units annually in Germany, but what do you see in 2021, 2022? What do you expect?
With that number, I think you referred to investor sales, right?
Yes.
Store i nvestor. Somewhere around 500, I would argue. We have seen a growth in investors for a while now, but it's 500-ish. That is at the time. It might be 600, might be 400, but somewhere there. We will still be able to find reasonable profitability in cherry-picked projects.
Great. Thanks. The next question relates to the gross margins in the Nordics. You did report a positive gross margin in Q3. If I understand it correctly, the problem projects have now been recognized and are out of the books. What do you see going forward in terms of gross margins in the Nordics segment?
What we have said is that in the long run, you should expect double-digit 10% EBIT margin also in the Nordics. That is our objective, and what we strive for, and that is what you should expect also from the Nordics segment in the long run. However, of course, that will take some time to achieve that, but that is the long-term expectations for us on the Nordics segment.
For the projects you have in production as of now, is it reasonable to expect a double-digit project margin in those, which will, of course, land in a significantly lower EBIT margin due to low volumes, or?
Yes. All in all, I would dare to say that, but of course, that will take some time before you see them in the P&L since we still have some time to produce them. I would say that the remaining portfolio, all in all, there could be some projects with problems. All in all, most part of the project portfolio in the Nordics where we have low or very low margins are out of the books.
Great. That was all of my questions. Thank you.
Thank you.
We take one last question from Simen Mortensen on the web. How much of the starts is planned Q4 versus Q1 and versus Q3? How fast should we expect starts to jump up in line with the sales?
We don't give that kind of forecast when it comes to starts. What we've said is that we will pick up starts in Germany and in Sweden as much as we can during the Q4 if you compare to the first three quarters of 2020. To forecast the exact numbers, it's too early to do that if we should disclose an exact number of the starts.
Yes, indeed. We have communicated that Q4 is a larger.
Yes.
Quarter than the quarters in the current year. That says some at least.
Yes.
Yes. Okay. We have one more question. Operator, please.
Certainly. The final question comes in from Tobias Kantsche of ABG. Please go right ahead.
Yes. Thank you. I have a follow-up question regarding your guidance for the margin in Germany in Q4. Do you expect that to increase quarter-over-quarter from the 9%, or is the guidance year-over-year compared to the 16% in Q4 last year?
It's compared to the first three quarters of 2020. That is what we guide on.
Compared to the margin in the Q4 last year, do you think you can achieve a margin in line with that, or should we expect a lower level?
It was a very good quarter last year. Let's be back on that because I think it's too early for us to predict and give you an exact margin for the Q4, except that we expect it to be back on fairly good levels also in the Q4 for 2020.
Okay. If I look at your guides for recognized units in coming quarters, it looks like the number of recognized units 2021 will be down 18% compared to 2020. Are you able to start projects in Q4 that is completed already in 2021? Or is the current guidance plus the unsold units the maximum level to recognize next year?
It would be very hard to finalize anything 2021 that we start in the Q4. However, there is always a possibility that projects might be completed earlier. We might see one or two projects slipping in to 2021 from 2022, but that's way too early to say. This is the best forecast we can do at this point. You shouldn't expect any new project to land within 2021 at this time of the year.
Okay. Thank you. One final question regarding your cash flow. You had a very strong development from other changes in working capital, both in the Q3 and year to date. Do you expect that to continue in Q4, or is it a risk of a reversal?
Reversal. To keep it up at these high levels is rather tough for us. You shouldn't expect a reversal. To keep it up on these high levels due to high advances from customers could be rather tricky. Don't expect it to be SEK 3 billion in the Q4, but don't expect it either to be negative SEK 3 billion in the Q4. That is what I can say.
Okay. Thank you.
Thank you. It seems we have no more questions. We thank you all for listening in. Our next report will be published on 29th of January. Again, thank you and have a very nice day.