Hello, and welcome to this presentation with Embracer Group, which is today presenting a major acquisition that is based in Cyprus. I will start with the presentation of the company from the management. I think Lars Wingefors, the CEO and founder of Embracer, will brief you through the transaction. Then I will come back for the Q&A a bit later. Please go ahead, Easybrain.
Yeah. Thank you, Oscar. Before you start hearing it from Cyprus gentlemen, I will also say a few words from Karlstad here. I am really glad and excited today. Just to correct you, Oscar, it is not an acquisition. We define it as a merger, as you see in the headline here. It has been a very long night together with the gentlemen and the army of advisors, not only for this deal, but for two other deals as well. The time that this deal was signed, 6:48 A.M., so quite tight. But I am glad to finally be here today with the three founders. It has been a quite long process, and it was very nice visiting Cyprus a while ago, a bit more sunny than [audio distortion]. Regardless, I think from a business perspective, we have shown an increased confidence from our side regarding their business.
I am super excited to have Easybrain within the Embracer Group. Without further ado, I would like to welcome Oleg, the CEO of Easybrain.
Thank you very much. First of all, it is an honor to be here to join this Embracer family. Yeah, we have prepared a small presentation we will talk you through, and share our experience and results. I will take control over the slides and start with introduction. My name is Oleg, I am CEO and co-founder of Easybrain. Today I am here with my partners, and passing word to them so they could say hi and present themselves.
Hello, everyone. Peter Skoromnyi here, Chief Strategy Officer for Easybrain.
Hello, everybody. My name is Matvey Timoshenko. I am Chief Operating Officer.
Yes. So it is going to be three of us who will tell about Easybrain and also will answer questions in case needed. As a company overview, Easybrain was founded as a puzzle and logic game developer back in mid-2016. Right now we have 15 titles in operation and employ 230 people across two offices. One is based in Limassol, the other one is in Minsk. On the right of this slide, you can see movement of our installs. We shipped over 750 million up to date, together with icons of apps we released for worldwide. On the bottom, it is our headcount broken down per years. Talking about Easybrain formula. First of all, we try to select right concept in brain puzzle category, where we see potential to be number one among direct competitors.
Those apps should be free to download and play, so we could monetize it through ads, as ads is prime source of monetization of our business. Company is process-led, so everything we repeat, we try to standardize and optimize to make it as effective and efficient as possible. For that reason, we have playbooks in most of areas, just for not to reinvent the wheel twice. Also, we developed number of internal tools, such as BI and number of reusable modules that support operation of these titles and being operated through one change, scaled for the rest. It all helps us to run business data-driven approach. All decisions are taken based on data. That results in long-lasting titles, where we have really strong retention and engagement rates, and that helps us to monetize it through ads.
On this slide, you can see icons of the apps that we released for worldwide together with respective dates. It should be said that we have quite unique and specific design of our apps, where it is sometimes even hard to say whether it is a game or an app. That is done by purpose, so we could attract both gamers and non-gamers alike. Apart from a brain puzzle category, as a part of diversification, we also [audio distortion] the coloring apps, where we have some subscription streams, but still majority comes from ads within the business. Yes, so that's kind of example of our universal system, and as I said, it looks like an app, so a n ewspaper layout we are applying. It looks simple, but it is a lot of hard work, and we did many A/B tests to prove the right concept.
All the apps are natively understandable for the users and follow guidelines of human interface of both iOS and [inaudible]. As a case study, our Sudoku.com app. It took us nine months to release first version for our internal standards and requirements. Over the years, we have had 30 product A/B tests that helped us to increase significantly. We introduced LiveOps and constantly do improvements. We also acquired Sudoku.com domain. That was mainly for branding purposes, just to kind of [inaudible] our Sudoku from the rest, but also to convert some of web traffic into mobile. Despite this app is for years with us now, we still have own backlog of ideas to try. Overall, we are focused on increasing our portfolio of existing titles, and we do it through constant product updates verified through A/B test, content release, LiveOps, and testing new ideas and game modes.
Not only developing and scaling our existing portfolio, but we also release new titles regularly. Sometimes it is titles with significantly different experience and mechanics, but sometimes it is also sequels to our existing titles. In 2020, we released sequels to Sudoku and Nonogram, named Killer Sudoku and Nonogram Color. That brings us different experience that deserves to be a separate app rather than just a mode within a game. But to launch new products and find new shining stars, we separated R&D team within the company that is supported by overall infrastructure and focused on testing new ideas and finding new shining stars. Speaking about technology, as I said, we have number of reusable modules internally developed, and that helps us to run the business. This includes interrupts such as ad module, GDPR, ratings, and many other.
All this work in such a way that we have so-called champions who are on the edge of changes and deeply understand the specific area, and they drive changes within the modules that are scaled for the rest of portfolio. Also our BI system that we see a single point to answer all data needs. That is in-house tool that is being maintained and improved by a dedicated team of professionals. It is all reconciled and fitted through different sources of data, but answers so many questions for different teams. Our major features include long-term LTV prediction, which is not an easy task in ads business due to a number of things. But we use machine learning to assist us, so we get prompt and accurate predictions.
Also, BI system helps our UA team to assess the performance, to assess effectiveness of waterfalls for ad monetization, and present all necessary metrics in cohort view and supports our business with number of [audio distortion] dashboards. Speaking about user acquisition, that is a broad team that covers UA marketing and motion design. They operate producing high-end creatives and available LTV predictions together with allocated organics. They are able to scale campaign, maintaining strong margins. They constantly test new sources, new setup of campaigns, new ideas, et cetera, just to grow our portfolio as much as possible, but find an optimal point of spend where our efforts result in highest projected profits and current results. Our ad monetization team is split in two departments.
One is kind of product ad monetization team, and the other one is ad tech, which work closely with each other. We manage our ads through internal developed module that helps us to increase efficiency, but also to get granular data for our prediction models. Within our apps, we have all major ad formats such as banners, interstitials, rewarded video. Right now we are testing native ads, and we also run a number of A/B tests to constantly look for better placements or timing to improve experience and increase efficiency of ads. We also recently implemented pre-bid and post-bid request outside of core waterfall. Talking about upcoming IDFA possible negative effect, that's a hot topic for ad-driven business. First of all, we should say that there are a number of expectations that we as a team have for upcoming change.
First of all, we expect that most users won't opt in for IDFA access, and that will result in negative for targeting and attribution. What in turn will lower significantly, and we expect that a higher drop will occur within first month and then some recovery will happen going forward. All that will affect UA spend and install volume to some extent. But in our conservative predictions, we factored these changes and still our business is expected to grow. That's because of number of factors. First of all, it's a sticky audience and daily active users that we accumulated as a business already. Then, organic and paid search traffic that won't stop, whatever happens, cross-promotion, and also adaptive risk strategy that we're going to exercise. We're also working on potential attribution solutions, how to match it with our existing infrastructure.
We will definitely launch new products and improve existing titles through [LiveOps] and product updates. We expect business will grow both in terms of profits and revenue. Talking about the team, our headquarters is based in Limassol, Cyprus. That's where we are right now. We have 50 professionals working here, while R&D center is located in Minsk, Belarus. Our plan is to grow both offices going forward, attracting best talents wherever we can with aim to scale business, but not to dilute our internal culture. That's the example of our business organizational chart. It looks [audio distortion], but in fact it's quite flat. Our business is run by three of us together with head of departments who are supported by leads. We intentionally keep it as light as possible, so all the decisions are done fast and effective. That's probably the last slide.
Why we decided to merge with Embracer, that's a number of reasons behind that. First of all, we see Embracer as a unique opportunity to get access to a group of successful entrepreneurs with strong game dev experience and expertise, so we could share industry knowledge with them. Also, given the track record of Embracer growth, both organic and inorganic, that makes us confident to exercise our ambitious targets for coming years focusing on organic growth. Also, we really liked Lars as a leader for sure, and that he exercise a combination of decentralized decision-making together with opportunities for collaboration. We believe that our business, ad monetized driven mobile business, will bring new facets to the industry as well. Yeah. That's pretty much it from my end. I'm passing word to Lars, and we'll get back at Q&A session.
Do you hear me? Great. Thank you very much, Oleg. You have built a fantastic business. I am a bit new into mobile, but you have [audio distortion] of the, I call it, machinery. It is a bit different from making games, but it is very impressive. You are true entrepreneurs, and being that, I think you fit very well into the overall Embracer Group. I am really glad that you chose to join Embracer. I know you had other alternatives as all successful companies have, but you chose to become part of Embracer. Actually talking about the transaction and the merger, you decided to take everything in [audio distortion]. You actually became the third-biggest , or you will become when the deal is closing, the third biggest jointly, the three of you, shareholder. That obviously gives further confidence in building something together.
Looking at the actual transaction, the day one purchase price equals enterprise value of $640 million, and it is all paid on newly issued Embracer B shares at the VWAP 20 price, SEK 197.58. SEK 197.57, sorry . Furthermore, we have a six years alignment through an earn-out of up to $125 million. That is targeting EBIT targets and thresholds year three and year six. In order to achieve the full additional consideration, let us call it additional consideration rather than earn-out, you actually need to exceed a cumulative EBIT of more than $600 million over six years. You will become the eighth vertical looking at the post-deal infrastructure. The holding company has directly been acquired from a Swedish entity owned by Embracer. As you all saw in the presentation, you had a very impressive growth the past years.
Looking at your IFRS for 2019, you had a revenue of $111 million and an EBIT of $17 million. Last year, the calendar year 2020, you had $210 million in revenues with a $70 million in EBIT. Just a few closing remarks. Again, you will become the eighth operating group within Embracer. I am very confident you have the right setup to become an operating group. We have seen a very good structure in your processes, also from accounting-wise. I know you have, including you, Oleg, you have background in the Big 4 accounting firms, so you are very well-structured as a company. That also has been impressing us during the due diligence process. So we are confident you are able to report according to our standards. Your business is a process-driven business with repeatable success.
You had a few releases during the process we had with you. Those games actually have start performing very well. You have a scalable overhead and, again, a very well-functioning corporate structure. What is the golden thing in many or most mobile games companies is obviously a leading capability within user acquisition and general technology. Your business has a very strong, or I don't like to use the word very, but you have a strong free cash flow conversion from your EBIT. You have clearly been stating that you obviously will become part of the group, and we will work together somehow, but you will be focusing on building organically your business further rather than a bit opposite to other verticals we have, doing M&A. So you will be very [audio distortion] focusing, and I have all the respect for that.
We have many other operating groups that for sure spend a lot of more time on M&A. I think we need to be clear that there is change. There is always change that is coming to businesses. You touched on this IDFA change that will occur soon, and that will impact the business. You also proven that you have a conservative view on this that is included in the forecasts. To conclude, again, you decided to, w hile I offered you cash and lots of cash, you decided to take all $765 million in all equity. So, very welcome to the group. We are now colleagues.
Thank you very much. So many good words, that is all I have to say. So wanted to say thank you, and we put a lot of trust in Embracer, and just happy to be part of the family.
Thank you. We have Oscar Erixon, which is the Equity Research Analyst from Carnegie on this call. I am sure he has questions, he normally does. So I will leave over to you, Oscar, to fire off some questions to us.
Thank you, Lars. I will start a few questions from myself, and then also go through questions from the audience listening in. I believe you can ask questions in the webcast. Details should be in the press release in the invitation. I will start with a few questions from myself to Oleg about the business. First of all, it is very obvious here that you have been able to recreate your success with new titles. Is there any one thing that you would point out that you perhaps do a bit differently to competition?
Well, it's really hard to point out just one thing. Maybe I would say the [inaudible] approach is core, but our business is a combination of efforts from different departments, and we try to run extra mile in each department. So, having extra effort for 10% cumulative effect is way more. So yeah, we just try to do our best in all we can. So inside the product development, product design, UA, ad monetization, et cetera, we just do the best, and the cumulative effect gives us advantage to secure number one position and enjoy organics there. So it's a combination of factors.
Great. Can you also talk a little bit about the genres that you focus on, why you focus on those genres? Have you always been in those genres? And what are the dynamics that you try to use in those genres?
Yeah. Peter, maybe you want to take this.
Yeah. We are primarily focused on creating logic puzzle games. We love this category because it's popular among gamers and non-gamers alike. And many titles in this category show high retention numbers. So we're about creating titles with a long shelf life and a long lifetime. And we also tried some secondary categories, namely coloring space and music space. But a long-term focus for us is logic puzzle games space.
Excellent. Also, if you could discuss the key titles that you have and perhaps some numbers on concentration of sales between the key titles, if possible.
Yeah. It's a number of titles we have. So Sudoku.com, Nonogram, Jigsaw Puzzles, Blockudoku. We have some apps that earn less or has lower retention rates. But yeah, overall, we try to operate the business in a way we work with titles where we see potential to be number one. Being number one, we try to find optimal spend in time where we maximize our projected profits and current returns. So despite the fact that some apps may be not the most revenue-generating, they still be leaders among their competitors.
Got it. Let's move on to some questions from the audience here. Tom Singlehurst with the first and second question, actually. First, congrats on the deal. Looks like a great structure for both sides. Would be interested in the Easybrain team's view on the risks around IDFA. Will this make customer acquisition more challenging or expensive? You discussed this quite a bit, which is good, but if you could perhaps delve a little bit deeper and discuss the dynamics, how you think it will impact growth, how you think it will impact margins, and how long-term the effects will be.
Oleg, you don't have to answer all questions. It's really what you feel confident with answering those same questions.
Sure. Just some high-level comments on this is, as I said, given that most of users won't opt in for IDFA access, this will ultimately hit at least for the first time, attribution exercise and targeting campaigns. Where we see targeting campaigns mostly around in-app business, rather than ad-driven business where it's more user acquisition, it will result in lowering CPMs and lowering LTVs ultimately. The thing is that it's really hard to predict what will happen with CPIs, but we expect that install volumes will decrease to a certain level until the industry will figure out how to work in the new reality.
Great. I suspect this is something that you've been working on for over a year, probably. Is that right? What have you taken with the marketing mix, and how is the industry coming to terms with these changes?
Yeah. Right now we are working on a number of attribution solutions that will be incorporated in our existing infrastructure. But it's really complicated, and I think no one really could say exact impact. So we decided to take safe position and incorporated conservative approach in our forecast.
Understood. We have another question from the web here, from [Veiko Silvestri]. How is the revenue distributed through the game portfolio? Is there one or two large games that bring in a majority of revenue, or is it more diversified?
I would say it's more diversified. As I said, we don't put aim for a game to earn a certain amount irrespective of position in ranks and et cetera. We put aim to be number one where we will enjoy organic downloads, we will be able to scale user acquisition and still safeguard ourselves from direct competitors. So it really depends, and that results in well-spread revenue numbers across portfolio.
Understood. Great. We have another question from Tom Singlehurst. Why is Easybrain alone rather than being integrated with DECA? Surely DECA benefits from access to Easybrain's machinery. I think this is a question for both Lars and for Oleg and his team. I'll let you go first, perhaps, Lars, and then Oleg perhaps as well.
There is nothing to say that companies they do cooperate across the group, and obviously DECA and Ken has been very helpful and been part of the due diligence and understanding the business in a good way. At the same time, Oleg and the founders are very strong entrepreneurs with a very sizable business, and they have a clear vision and want to take it further. And I think they make up the perfect platform to create their own operating group. It doesn't limit opportunities about potential synergies in the future.
But I think also it's fairly very clear what they would like to do and not to do. And sometimes you can appreciate that. So, I don't think you should see too much into that. Ken and DECA are having their own strategy and forming that strategy within that vertical. And I'm sure you will hear a lot about them in the future as well, and I'm sure you will see a lot of opportunities between the groups. I don't know, Oleg, if you have anything more to add.
No, you're pretty much covered all. I just want to add that during due diligence we met and, really impressed with DECA business, so we are positive that there's some soft synergies. And yeah, [audio distortion] it's set up for those.
Oscar. Thank you, Oleg. There might be a few more questions for Easybrain, but actually right before this conference call, we had a press release summarizing all three deals this morning. I would like to take you through a presentation of the three deals, what they mean financially and for the group. Then I would suggest that Oscar, perhaps you can follow up with a bit more questions on that and potentially more questions for Easybrain. Does this sound okay?
I think I'm still controlling slides. Yes, I wanted to go on, okay.
We prepared a presentation here that is summarizing the three transactions from this morning. We made three transformative transactions. First, at 6:00 A.M. or a bit over 6:00 A.M., we had the Gearbox Entertainment, and we had a conference call later on at 1:30 P.M. Swedish time with the management and led by Randy. Then we had the acquisition of Aspyr, also based in Texas. Then finally, obviously, Easybrain that we just got introduced to here. Looking at the combined group post-closing of these transactions. This transaction itself, several for closing, and that could take up to three months, but it varies of company. Counting the number of studios, we will, post-closing, have 63 internal development studios across the group, and furthermore, 73 external studios. The number of IPs are close now to 250.
Looking at the game development projects, we will be up to 193 games under development, engaging around 4,200 internal developers and furthermore 1,400 external developers. This is not accounting for the non-developers across the group. I would like to come back to the entrepreneurship and the legacies of the companies we are bringing together within Embracer. Many of these companies I have been doing business with in many, many years, one being Aspyr, that were founded, for example, 1996 and obviously Gearbox, founded 1999. I think the overall Embracer heritage is a fantastic part of the industry. Easybrain being more new into this map, but I am sure you will be here for many years to come. I think this slide shows the take on Embracer, founded by entrepreneurs and run by entrepreneurs. This is a clear differentiator, obviously, for Embracer compared to many of our peers.
Here is the organization overview post-transaction. We will continue, obviously, running this decentralized structure and Easybrain becoming the eighth operating unit, Gearbox becoming the seventh, and Aspyr becomes the largest acquisition with North America at Saber Interactive. Looking at the combined numbers from this morning. The aggregated day one purchase price for the transaction was approximately SEK 9.2 billion on the cash- and debt-free basis. Of that, approximately SEK 2 billion will be paid in cash, and furthermore, SEK 7.2 billion will be paid with newly issued Embracer shares. Then we have additional considerations and the maximum additional consideration amounting up to SEK 12.7 billion, which is subject to fulfillment of agreed milestones, both operational and financial. Operation could be, for example, to release a certain number of games or IPs, or that certain people or people staying on board.
Financial targets is quite natural that in general are targets relating to the similar accounting as operational EBIT. In Gearbox, for example, we have adjusted EBITDA, which is more U.S. GAAP-based profit level. Those [audio distortion] are up to, well, in the case of Easybrain, six years. With Gearbox it is six years, and with Aspyr it is up to seven years. The maximum additional consideration paid in cash is SEK 6.7 billion . Another approximately SEK 6 billion in Embracer shares. Those are given as of the same volume-weighted average price 20 days prior to signing, meaning as of yesterday. To earn the aggregate maximum total consideration of the three transactions, that is close to SEK 22 billion , the acquired businesses must generate accumulated operational EBIT in excess of SEK 23 billion the next six to seven years.
We also put out a forecast in terms of sales and operational EBIT for the next five years. This is based on transactions closing latest 1st of April. Obviously, that date could vary. It could be a bit later, it could be a bit earlier. We need to come back to that. The estimated net sales from the three businesses combined during the next financial year are estimated to be in the range from SEK 3.6 billion -SEK 4.6 billion . The estimated operational EBIT from the three businesses combined are estimated to be between SEK 1 billion and SEK 1.5 billion . Just to revisit our capital structure. Our capital allocation strategy is essential for continued growth. We reiterate the ambition to maintain a strong balance sheet, and strive to maintain a net cash position to maintain a maximum strategic flexibility.
For the right inorganic growth opportunity, the financial leverage could temporarily exceed 1x operational EBIT to net debt, where operational EBIT is measured as management expectations for the coming 12 months. We still have a solid net cash position after closing of these deals. We estimate at the time of closing the deals that the cash at hand and available credit facilities are approximately SEK 10 billion . We still have a considerable amount of available funds for further acquisitions or organic growth investments into our businesses. I do not know if you have any further questions on this.
Thank you, Lars. I have a lot of questions, as I'm sure you can imagine. I will come back to questions again regarding the here with Easybrain. But for now, just a few questions on this slide package. I mean, first of all, three major acquisitions today. How long have these M&A discussions been ongoing? Can you discuss also a bit about the competitive situation, given that these are interesting companies, major companies, also with some very interesting IPs? Thinking both about really about all the three acquisitions. Thank you.
I think I would like to forward that questions to the companies. I think Aspyr and Gearbox should answer those questions separately. Why don't we forward those questions to Oleg? Why did you choose Embracer, and was there a competitive process, and how long has that been ongoing?
Yeah. Over the last few years, we were getting a lot of interest from leading companies within the industry. We knew that at some point it will grow to the stage where it may become part of something bigger. I'm not sure about exact timing. When we first spoke to Lars, it was probably October when we met virtually. But the deal itself was so quick, resulting in a couple of sleepless nights, including the last one. But yeah, it was very quick. But we spoke same language. We were focused to achieve result, and we were very transparent throughout it. As a competitive advantage, as I said, we really like what is built within Embracer Group of entrepreneurs. It's very well-balanced decision-making, decentralized and available opportunities to leverage group help.
All in combination made us believe that that's the company we should be part of. That's the reason why we decided to put all in shares. We see it as a merger, as something where our efforts will significantly contribute to the group, and we will grow together long-term.
Because you had some other companies around interested at the time, I remember.
Yeah. Decision-making was based on a number of factors. Price was not the only factor. It was a number of other factors, and combination of those made us believe that Embracer Group is the way to go.
One of the key factors was that we saw a CEO who is also an entrepreneur, and who is around day and night and is available. That was very important for us.
Yeah, because we signed a letter of intent, but that was in December, wasn't it? And I'm visiting you in Cyprus.
Yeah. It was a strong move as well. Lars flew all the way to Cyprus just to sit and talk, despite all these COVID bans, traveling restrictions. And he was very open, just sharing his vision and that, again, it's a critical meeting for us at that moment.
From our standpoint, we've been running, from our perspective, not very speedy, but I think a truly thorough due diligence process with Baker McKenzie and EY and I think that is good for the future, and I'm confident we have made the right decision anyhow.
And the follow-up here. It's very clear from what you said, and from the presentation slides, that you are focusing mainly on the organic side. Could you discuss a little bit about the organic growth prospects that you have, and also why you perhaps are not interested in M&A in this first stage, at least?
Yeah. It's a good question because we have some experience working with internal studios, and that's a positive experience. And at a certain point of time, we positioned ourself as boutique publisher where we select companies to work with. But controlling growth process and culture, et cetera, in our view, just makes us more effective. And we do what we know and how we know to do it, and that results in great results. We could start doing M&A, but we are afraid it will defocus our main efforts, and it's just we should apply our effort to biggest opportunities. And right now we see it's in-house growth.
Great. You also mentioned sharing industry knowledge as a key point for joining the group. Is that the whole group you are referring to with the more wide sort of footprint, PC, console, and mobile? Or have you looked more at DECA and what they do? If you could discuss that just briefly. Thank you.
In our understanding, it's a whole group, and we will find soft synergies and good ideas to share and good experience to share. Just hard to say at this stage what will be better. DECA definitely is obvious choice, but other companies definitely will share expertise as well.
Perfect. I have another question from the web [audio distortion] here from Fredrik Olsson . "Hi, and congrats to both you, Easybrain, and Embracer. Two quick questions. Firstly, what is your target audience in terms of gender, age, and can you give some color on what the ARPU, average revenue per user is?" Let's start with that question first and I'll come back with the second one.
I'm sorry, was it ARPDAU?
It was ARPU.
Yeah. I don't think we should disclose these numbers on this call. As for the target audience, I'll pass to Peter.
We have a widespread audience, starting from, let's say, 20 years old people and to very senior ones. It's peaking somewhere at 35 years. For the products, female users dominate the audience.
Very clear. Thank you. The second question, could you specify on the performance over the course of the pandemic in terms of ARPU margins as well as net inflows? I mean, no absolute numbers, but perhaps just the dynamics of how it has moved in Q1, Q2, and then in the second half of the year, what you see perhaps at the start of this year, if we're allowed by law to discuss that.
Don't disclose anything, Oleg, that you think that gives your competitor too much or to make the analyst too bullish. I think you've given them a forecast.
It's just the thing that what we saw during the start of pandemic, I'm sure that's pretty much what all industry players experienced, is just a huge additional inventory in user acquisition. So keeping the same CPIs or even lowering, we were able to acquire more users, and it was just a significant change. But then also we saw some negative effect on CPMs, because the businesses were getting used to new reality. But, since then, I think we stabilized in terms of user acquisition and monetization, and overall COVID is now just new normal. We see some differences in terms of seasonality and year compared to prior years, and we believe it's because of new style of living. But it's just new normal, so we don't expect that situation will significantly change in near future.
Osc ar, I think the time is now two minutes to 10:00 A.M., and perhaps we could have our last questions from [the other]. But I would like to just clarify one thing. We have given a financial forecast for the next financial year today, and these earn-out targets ranging, if you read the press releases, is not a financial forecast. It's the agreed additional consideration or earn-outs with the sellers of the companies. I think that is important to point out. Obviously, there is sometimes a low case and a high case. So with that said, Oscar, do you have any final question for us today?
No, I think that's it from me and from the web, actually. I think I'll leave it over to you for some closing remarks. We'll discuss the other acquisitions, I guess, a bit later.
Yes. Before saying thank you, I would like to say that we have our quarterly reporting on February 18 coming up. Today, we have another conference call at 12:00 P.M. with Aspyr, and at 1:30 European time, we have Gearbox. With that said, I would like to again welcome you to the group, and thank you for listening in. Thank you, Oscar.