Thank you. Good morning. Welcome to Fingerprint Cards Earnings Call following the release of the year end report this morning.
My name is Stefan Paterson. I'll be
the moderator today. And we'll begin the call with a presentation of the report by our CEO, Kristian Fredriksson and thereafter by our CFO, Pason Christ. Following this, we'll have a Q and A session. And if you're following the conference call on the web, You can post questions throughout the call. And for those of you participating on the phone, instructions on how to ask questions will be given by the operator before we get into the session.
And with that, I now hand over
to our CEO, Kristian Fredriksson.
Yes. Thank you, Stefan, And good morning, everyone, and welcome to the call, which will focus on Fingerprints' progress and performance in the 4th quarter. Let me start with the financials here. I'm pleased with the 26% revenue increase compared to last quarter. In this quarter, the revenue was minus 3% year over year.
But in constant currency term, we also increased our revenue to Q4 2019 by 17% by 7%, excuse me. Our gross margin improved to 24%. As you will know, if you have been following our reporting, we have suffered from insufficient access to production capacity at semiconductor fabs. The background is that the geopolitical situation has led to increased demand for chips from the domestic Chinese smartphone makers, while global demand for chip is also increasing in general, as I suppose everybody knows by This quarter, our access to production capacity improved somewhat, which explains also why it could increase the revenues As demand for our product remains strong, I'm very pleased with the demand, but obviously, it is painful that we are not able to to provide products accordingly. Our limiting factor is the supply chain constraints, and we see continued challenges as we enter 2021.
Investments in new capacity have increased, but it takes time to build new production lines. We are also working on securing additional capacity both in Mainland China as well as outside, and we continue with this with Full force, we have added people. We have added capabilities to expand into more foundries, and we are making progress. We had a more favorable product mix this quarter with a greater proportion of new products, which also contributed to improving our gross margins. Next slide, please.
Now let me go through a bit on this noncash write down. So obviously, our result was impacted by noncash write downs amounting to SEK 340,600,000, of which $267,700,000 is attributable to the goodwill from the acquisition of Delta ID, the iris technology in 2017. We are also writing down patents and some R and D project in the under display area. We have and I emphasize, we have a positive view of the potential in Iris recognition, and that is unchanged. At the same time, we made the prudent assessment that future cash flows may be somewhat delayed, partly due to corona effects related to the corona pandemic, but also due to some project being delayed.
This is the reason for the adjustment of Goodwill value on the balance sheet. If we then consider the under display area, the situation here is that we have been delayed in our project and the average selling prices on the market for 100 display sensors have decreased quite significantly. This is the reason for the adjustments in this area. Apart from the fact that market prices have decreased, Our positive view of the potential in the under display market is unchanged, and we continue our development work in this area and are making progress, Even as I said, we have been delayed in the project. Our underlying operating profit Adjusted for Brightbounds in the quarter was positive and amounted to SEK 14,000,000.
Our liquidity is good with net cash holdings at SEK354,000,000 and we had a good quarter on generating cash of SEK 47,000,000. Next slide, please. We are making good progress against our strategic priorities. We have reinforced our market leading position in capacitive sensors for smartphones with a very attractive product portfolio. There is a strong trend towards side mounted sensors and our curved ultrathin sensor, which we launched in Q4, is the latest addition to our offering in this product set.
We will continue to invest in driving innovation Still in the mobile capacity market. If you look at other new areas outside of mobile, We had a really eventful quarter as well. Let me start by highlighting the PC era, which is developing very nicely. As I have said before, we expect this segment to grow quite significantly in the coming years. In the quarter, we announced the design win with Top tier global PC maker.
And in January, we could announce the 1st major purchase order for a new PC solution several 100,000 sensors. As you probably know, payment is another area in which Biometric is starting to make serious syndromes. We recently announced a new volume order in this area as well. Let me get back to discussing our progress in this area in a while. Edna also mentioned a smart door by Inotherm, Europe's largest manufacturers of aluminum doors, which includes our technology now.
Biometric door locks are still much more common in Asia and for example in Europe and North America. So there's clearly an interesting growth potential in this segment as Well, there are many other application areas now in the access segment, for example, in healthcare. Our Iris Recognition technology is used in an access control system in a South Korean hospital. I expect to see further implementations of Touch is by Meprisex in the health care sector. At this form of access control helps to prevent the spread of the disease.
It's a really convenient means to secure entry to buildings and busy hygiene conscious environments such as hospitals. Another natural application area for touch cell biometrics is AR and BR headsets, and we are working with manufacturers in this area as well to get Iris technology into the product. Iris is also has been an ease in use in payment devices in India with Aadhaar. And of course, The automotive industry is a very interesting application area where we continue with our partnership with Gentex. Next slide, please.
As you know, mobile applications account for the bulk of our revenue today. This is now a mature and well established market for biometrics with over 80% of smartphones having some sort of biometric sensor. You will find our solutions in devices from 9 out of the top 10 global Android brands. We recently announced that the Sky 500 smartphone with our technology has been launched. The capacitive fingerprint sensor is a proven and popular technology in the mobile industry.
Our capacitive sensors are reliable, they perform well and are cost efficient. And we have continued to innovate in this segment. Our side mounted sensors are particularly popular, and I have great expectations here. They work well with the most recent smartphone models such as foldable devices and mobiles with borderless fronts. The fact is that some of our customers once again have a preference for capacity sensors opposed to under display.
In fact, capacitive fingerprint sensors continue to be the most popular modality also in going into 2021. If we look at 2020, 62% of announced phones by top 10 Android brands are using a capacity fingerprint sensor. This is up by 6 percentage points from 56% in 2019. This very positive trend for the CapEx technology is in large part due to the innovation created by our own teams, embodied in our new Ultra It is also nice to see that the underlying operating profit for this quarter was positive. This is due to an improved product mix with a larger portion of the new products.
Next slide, please. Let me also talk about the payments area a bit, which, as you know, represents a very large potential market for our solution. It's important to know that we now have the world's first biometric payment card, which is certified by both Mastercard and Visa. This is a fairly recent development Visa certified card in September 2020, following an earlier certification by Mastercard. Before these certifications took place, it was not possible for card issuers to plan for broad commercial rollouts.
Another significant development is that the coronavirus outbreak has led to a sharp upswing in contactless payments in many countries as consumers want to avoid touching the POS terminal. And in fact, we see an increased consumer demand for biometric cards. Let me get back to some interesting findings about this on the next slide. As you may know, BNP Paribas in France has begun and rolling out biometric cards to its customers. This is the Mastercard and Visa certified card for Thales, which incorporates our T Shape sensor module.
A couple of weeks ago, Thales representative Shared information on the launch by BNP Paribas. The quote you see on the slide here is from a newspaper article Wade Palace says that the launch so far has been a great success and that the Biometric card will be offered now to all DNB customers. After trying having tried the card, the consumers were even more positive towards using their fingerprint to pay contactless. Thales also mentioned that they are preparing biometric card launches with a number of other issuers. So I think we can expect to See more positive news in the near future.
In fact, another French bank, Credit Agricole is also starting to offer biometric cards to customers. I'm also pleased that the 1st Nordic Bank, Rocker, has announced the BiometricGuard pilot in Sweden during Q1. Nice to see also movements in the home market. We also made progress in Asia in the payments area, announcing a partnership with Indian firm Emtek Innovations with the objective of launching contactless biometric in the Indian market. And the 2nd generation T shaped passed the accuracy and security test performed by bank card test center in China.
Next slide, please. Let me just share you a few comments from a recently conducted survey by Kantar with some findings. So you get a view of how some consumers are looking at the contactless as well as the biometric cards. During the pandemic, consumers have turned to card payments and especially contactless cars like never before. PodlackEx payments are very fast and easy, and you don't have to touch the PEO's terminal to enter your PIN, obviously.
On average, 1 in 2 are using their contactless card as the main method when paying in stores, and the majority of consumers, 63%, think They will use contactless cards even more in the future. At the same time, the contactless card is not perfect. People are increasingly concerned about anyone being able to use their card if they lose it. There is also an issue with the payment cap and confusion related to when on when not to use the PIN. And of course, The hygienic concern adds to the friction.
Consumers need a reason to trust contactless both from security and usability, And biometric removes the need for PIN and increases security. Over half of the respondents that are interested in biometric Those who are most interested in biometric cards are also the ones with the highest income according to the survey. If we consider the respondents that use their contactless costs regularly, 62% want it to be biometric And almost half would be willing to pay for it. It is clear that the demand for Hermes card has increased even more with the pandemic. We can see this behavioral shift, and it has happened quickly, and adoption of contact with card has boomed.
While also shining a spotlight on the current issues and constraints of contactless card that have now become real consumer pain points. We believe that by offering biometric payment cards, bank cannot only innovate and show that they care for existing customers, they can also attract new ones. Next slide, please. Let me get to the summary of the quarter. So We made a non cash write down of SEK340 1,000,000, which is related to But our positive view of the potential in both of these areas is unchanged, although we can see some delays in the cash flow And ASP in under display has decreased quite strong.
In our operations and in our business, We see and we continue to see very healthy demand in mobile, in PC and in access business. And we see very good momentum in all of those areas, also in PC from the first volume order. While our access to production capacity has improved somewhat with a positive effect on our revenue, However, we foresee continued challenges related to supply chain limitations. This is painful for us. We have much more demand than what we can get products for.
We are making progress in our work to And very important. The more favorable product mix in the quarter had a positive effect also on our gross margin. Our new thin side mounted sensors have done extremely well in the market, and we continue to drive new innovation in this area with the launch of FPC1542 in the Q4. Also, We had positive news in payments, announcing a new volume order and seeing large banks moving ahead with their launching of biometric payment cards. 2021 has the good potential to be the year when Biomate makes serious inroads into payment markets, And we already know that it is prevailing that in BC.
We are now having a very strong position as we go into this year despite the challenges in the supply chain. Thank you. And with that, let me hand over to Per Sundqvisten.
Thank you, Christian, and good morning to you, everyone. Let's move to the first slide of financial results section. Starting then with our revenue. We reported a 3% drop in relation to the corresponding quarter last year. However, in constant currency terms, revenue actually increased by 7%.
We had a negative currency impact As the U. S. Dollar weakened against the SEK, we also increased revenue compared to the previous quarter by a full 26%. We continue to experience strong demand for our sensors, as Christian mentioned, while our access to production capacity with the large semiconductor fabs improved somewhat in the quarter. Our gross margin increased by a percentage point compared to the same quarter last year.
And this is, as mentioned before, driven by a favorable product mix change. This meant that the operating profit And the net income this quarter were impacted by impairments of goodwill, R and D projects and patents amounting to SEK 340,600,000 and that was discussed earlier by Christian as well. The underlying operating profit, however, net of the write downs we reported this quarter were A positive SEK 14,000,000, which reflects the positive trend in mobile with the improved product mix. Next slide, please. This slide shows the development of revenue and gross margin on a 12 month rolling basis.
Previously communicated, the decrease in revenue we have seen in the last few quarters is due to the impact of the supply chain limitation. We have not been able to secure adequate access to production capacity. Again, this situation has eased a bit this quarter, although we expect continued challenges. Our gross margin benefited from a more advantageous product mix, As I just mentioned, our newest sensors have done very well in the market. We continue our efforts, of course, to improve profitability, both by continuously increase our efficiency and by diversifying our business into new customer segments and application areas.
Next slide, please. Excluding the write downs, our operating expenses for the Q1 were SEK 79,000,000 versus SEK 105,000,000 in Q4 last year. And of that, development costs of SEK 32,000,000 were capitalized during the 2nd quarter, which is to be compared to SEK 16,000,000 in Q4 last year and an equal SEK 32,000,000 in the last quarter. We will, of Of course, maintain our strong focus on cost and efficiency improvements going forward. Next slide, please.
Our core working capital, that is, in this case, accounts receivable plus the inventory less the amounts Payable was SEK 132,000,000 at the end of the quarter, which is to be compared to SEK 216,000,000 in the same quarter last year and SEK161,000,000 last quarter. And as you can see, we continue to work very actively to manage our working capital. Next slide, please. In essence then, our cash flow from operating activities was a positive SEK 47,000,000 compared to SEK 82,000,000 in Q4 last year. And our cash position still stood at SEK377,000,000 versus SEK 5 in the same quarter last year and SEK 453,000,000 at the end of Q3 2020.
However, Oren shares were bought back in a total of 72,000,000 in Q4, and we continue to focus on working capital And effective cost control in addition to our gross margin during the quarter, which contributed combined to the strong cash flow. Cash flow from investing activities, capitalized development expenditures was SEK 33,000,000 compared to SEK 19,000,000 last year. Thank you, everyone. And we are now ready to take questions.
Thank you. We will now begin the question and answer session. You have one question coming through on the line, and it's from Francoise Bouvignies Of UBS, please go ahead and ask your question.
Thank you very much and good morning gentlemen. I have a couple of Question, the first one is on the supply chain. I just would like to understand a bit more When you said that you are making good progress to, for example, additional suppliers in Mainland China and Outside China, I was just wondering how what exactly you are talking about, Because if we look at this quarter, I mean, your revenue were up 25% quarter on quarter. It doesn't seem that we see an impact at least significantly on your supply capability, but I was just wondering What is going on behind the scene? If you could give more color would be great, Monet?
Yes, yes. Hi, Francois, and Sure. Yes. I think that what you're right. There was from the last quarter, right, a 25% increase And typically, Q3 is, of course, the biggest quarter for us.
So that shows that we are improving in terms of getting capacity. So in a way, you had two questions there, right? So one is that We have fundamentally clearly more demand. So we are not able to respond to the demand, and that's what I mean with the supply challenges. We were able to grow and we grew 7% even when you take the currency effect into Counts, right, even on year on year.
But we are not my pain and our pain comes from the fact that we cannot supply to the demand. And that's what I mean with this one. Even if we are now growing in the numbers, it's, of course, Annoying, painful for us that we are not able to fully supply. Now we have had a lot of actions then on your second question on the actions. So we are expanding.
I suppose you could see that our suppliers are expanding their capacity and their lines, And that takes time. You have shorter actions and longer action, right? And some of them are big investments, some are smaller. That is going on with the existing base. Now then we have also expanding ourselves.
So we are expanding the foundries. We are going both inside China and outside China to more foundries. So that and we China to more foundries so that and we basically are then getting ourselves more access to capacity. That means more also investment for us, for example, in teams that are able to do multiple projects In terms of adapting to different foundries, so we have done those and we have teams working now in parallel. So that is kind of the things we are doing.
And I can see that it is improving. And but we, of course, would like it to improve Much faster and that's the work we have at ahead of us and still going. I hope that clarified a bit.
Yes, yes. Thank you. Just when are you qualified to other foundries? Or are you in the process of qualification?
Both. So we have qualified to other foundries and we are qualifying to other foundries. So the expansion continues. We are going. That's so the answer is both is yes.
Okay. And can you share the other foundries that you qualified or is it?
No, we haven't come out actually with Demreit and but it's a good question that if how much will we share actually on the names of the foundries. And but so far, we haven't I will take the action, Francois, for us to look at that. What can we actually share in terms of the names And that
Yes, it would be helpful.
Yes. Yes. I will take the action on that one. And also because we will have many more foundries coming for us.
Okay. And so in summary, in theory, can you increase your revenues from this level? Or When you say you are supply constrained, it's going to be difficult to go further just to make sure if you have extra capacity at least for the next two quarters. I'm not talking about the long term, but
Yes. I suppose we're not going to give forecast, but I can say that we are now Fully dependent on capacity for our growth. And that is the thing that we need to we will fix it, and we are working on it. And it takes But it takes time, and we are still limited. And I can't give you how much so because we long give forecast, but it is the single thing that Stops us from growing further right now.
That's why even if we grew now, we, of course, want to that's the action that we have on us to fix.
And with the qualification of the new foundries, I mean, do you have like an idea of With all this work, when it's going to ease on your side, like 6 months, 1 year?
Well, I think that the this will be this is work that is going to be coming out during this year, right? But we don't give anything more On what it is, but and it comes in waves, right, because we have several actions going on there, right? But it happens during this year. But in the short term, we are still supply limited now.
Okay. Okay. That's very clear. Thank you, Christian. The second area I want Discuss it on the under display.
Again, can you give a bit more details? Is it like optical and ultrasound, Full display, I mean, just or just one of them, just what is kind of project because you had Many different projects of R and D in this area?
Yes. We have had quite many different projects, And we kind of used the word under display because it is many parallel projects. And that's how you're working R and D, right? You have always many, many opportunities and you look at many several things. At least you try to see which ways you go And what you can develop in technical terms.
We don't give out now which parts of these, but some of them clearly and of course, the main track, which is for the optical was part of this SEK73 1,000,000 where we see that it is, of course, Especially when you talk about ASP, because that is the only business that is kind of more in mainstream, if
you want to look at is the optical business right now and
in the optical business. Trem, if you want to look at is the optical business right now. And in the optical business, we have as you know, we have been delayed in our access The market is now getting into the market. We continue working on it. We are making progress.
I believe we have a good product now, But we still have to, of course, get through with that. And until you get through, you haven't gotten through. But the The write down for the underdisplay here was, of course, when it comes to the ASP decline, it relates to the optical Optical business and the work that we have out there. The ASP decline has been quite substantial in the optical business actually. That's why we kind of saw that the cash flow for that business case has changed a bit.
Makes sense. And maybe it's a common discussion in the industry, but how do you see the inventory At your customers in the supply chain, with all the moving parts, it's quite difficult to say between market share of Huawei, Supply constraint, what's your view on this current situation in the markets on the mobile side
I think that it's you're right that there are many moving parts. I think that when it comes to Our main products, we have with all our volume products, with all our volume product, Our kind of new products, all that inventory is non existent. We basically have air in the inventory, right? We have nothing. So everything that we get goes out.
And when it comes to the old inventory, this also has decreased substantially and continues to go down substantially with a good speed. So for us, there is no inventory issue at all. Actually, I would love to get some inventory in the high runners, But we are not able to get anything at the moment. Everything goes out as you are in this situation. And when it comes to our closest partners, they are also in the same situation.
I think that when it comes to the mobile phone OEMs, there is a lot of market share shifts that has happened, right? And you have seen, of course, with all the geopolitical issues that Has hit very hard on Huawei, and they even sold out part of their business, The HONOR business. So obviously, they have been hit hard. Xiaomi doing very well. The other Chinese Vivo is doing very well.
And I suppose Samsung and Apple have also been gainers in this one. So a big market share shift with the OEMs. We don't see any inventory buildup here with anybody close to us in the supply chain right now. So everything There goes out,
right. Makes sense. And the last one for me is on the you mentioned your own inventory, which is True, seems very low. I mean, if we look at the past, it's at I mean, it's very close, right? I mean, and if we want to reconcile You know with the demand that you see in the coming few quarters or years, my question is as you expect the market take off in payment cards, Are you I mean, will you be able if it takes off really to meet this demand?
I mean, I guess it's difficult for you to manage this kind of timing of market takeoff, inventory, etcetera. So I'm just wondering if you if it's something you how should we think about that?
Yes, Francois, I think you're asking that is the one of the big questions that, of course, I am And our team is working extremely hard on because that is so crucial for us now as it is hindering our heavier growth. I mean, at the moment, we are doing well in mobile. We are we can't supply. We are doing well in access. Our PC is coming, right?
We assume that we get more a couple more legs here. And then payment industry is starting this year. We know the big banks are going. So I think that partially, of course, I think that obviously we have a challenge with supply. That is very clear, and we have said it many times, and your question is spot on.
I do think that there is also a blessing in disguise in all this pain, and this is painful For any organization not to be able to supply to the demand is just it hurts. And I think that there is a blessing in this pain, which is that we need to we needed to go much further, much deeper in our supply chain. We needed to Expand it. We need to do new contracts. We need to secure that capacity.
This is a massive lesson for us in how to Build capacity and get much better understanding of the supply chain, which the suppliers are, who are committed together with us to build this. So I think that without this pain, we would not have been able to build that, right? So I think that, that is the good thing that comes out of this one. So in short, that is the single one of the single biggest tasks that we have to do now, and there is demand that we build And we are putting money, we're putting resources, we're putting competencies to do that, expanding in China and outside China across the board to be able to do that, to be able to be ready to supply much better. And without I mean, obviously, without that work, and it's a lot of work, there would be no chance to do that to actually fulfill the demand.
Okay. And last one, yes. Yes. And because of this kind of mismatch of supply and demand, do you see any impact on the pricing? I mean, maybe I guess you're I mean, you're definitely not the only one impacted by this, right?
I mean, your competitors are well in the same situation. So do you see kind of maybe a pricing benefit from this situation? And similarly, on your cost production side, How your foundry partners are behaving? Because I guess many people are asking for it. So How do they react?
Yes. I think it's that's another spot on, Francois, clearly, the supply, the prices, what we buy, the procurement has gone up, and that has been Impacting us. But as you can see from our gross margin, which has gone up, that with the product mix and there is obvious I mean, there is if I look at the Fastly business front. There is no price decline anymore, right? I mean, the ASP is not it is kind of almost bouncing back.
So you're right there, right? So we have that's kind of helping us in terms of the gross margin. And it needs to help us Because we also get much more pressure on the cost when it comes to buying in the supply chain. And I think everybody I mean MCUs, cameras, wafers, everything is under pressure now right now in the industry, right? So there is obviously then in that situation market economy makes the prices go up.
They are not going down, that's for sure.
Makes sense. Thank you very much, Christian, for Francesca. Thank you.
Thank you. There are no more questions coming through on the audio, sir.
We have a few questions from the web as well. So the first one relates to the supply chain. Could you please elaborate on when you expect to be able to deliver on all your orders? That is when the supply chain limitations will ease.
Can you say again, sorry Stefan, say
When do you expect that When do you expect that the supply chain limitations will improve? So when can you start delivering on all your orders?
That's going to be stepwise for us. We have improved now and we will continue improving, but We are still quite a bit away from being able to deliver on all orders. So step by step, we will improve during the year.
Okay. Thank you. And when
do you expect to start delivering under display sensors to the market?
That has been clearly a disappointment and a rocky road for us to get there. And I don't want to give any dates. We are working on it. We have done good progress on the product side, on the technology side. But obviously, we haven't entered yet, And that's what we need to do.
So I can't give you any dates. We're working hard on getting there.
And on the PC market, could you please elaborate on your expectations for 2021?
I expect I mean, the PC market overall is growing. Biometry in the PC market is growing. Our target is Take 40% market share in biometric in the PC market, and we have gotten going. It starts small, And it is clearly it's a great market for us. And I expect this market to grow, And it will continue to grow not only in 2021, but therefore as well for us for sure.
And what is your view on the outlook for biometric cards in 2021? And perhaps also comment on your view on the U. K. Market for payment cards because you've had market trials in that country.
I think overall, this is the year when the you could say that finally biometric cards are moving. I we can't say in short term, I'm not going to give any numbers because actually We don't even know exactly because the banks are the ones who are then launching and putting it out to the consumers. We know that we have Product that works. We can manufacture it. We know that we have certified it.
We know the banks in France. BNP Paritas have launched and Credit Agricole is launching. So the big banks are now moving. We are in all of those. So we'd see that this is the year when biometric cars came to the market, came to the consumers.
And there are, of course, many pilots that during the year will turn into the market of biometric cars as well. When it comes to U. K, That's up to the banks, right? They are doing the pilots. And of course, we push and hope and are driving for that, Get as much of those bigger banks to move as ever possible now, especially with everything around the pandemic and need for contactless on capped payments.
But to give numbers, I will not give short term numbers. We believe in the potential of this. Absolutely, it will be big business. It will be good business. But to give the timing on what happens, what in what quarter when it's not in our hands, That's what we won't hear.
And considering the supply situation, Do you expect to be able to increase prices for capacitive sensors?
Well, as I was saying there when Francois was asking that In a way, the cost is going up, and you have seen our gross margin improving. So That happens with basically with product mix. I mean, there is no price decline in the capacity business. There has been quite strong price decline in the optical biometric business in the mobile area. But that was to be expected, but it has been very strong in the optical to begin with.
But then it, of course, has settled. I believe that in the capacity we haven't seen our price erosion anymore. And then of course, when we have launched new products With new technology and new innovation, then that actually increases our price levels actually. That's why you see also improved gross margin. That's the way to drive this industry.
Okay. And if you can't deliver on all your orders, Are you actually losing market share?
I think that we are not losing no, we are Losing market share because everyone is struggling and but we would be gaining market share if we could deliver and we can, And that's painful. And so that's more of it, right? We have gotten the capacity. We are getting we got up on the capacity. We have improved on capacity so that we are kind of hanging on to our market share, but I'm not happy with that.
This is, of course, painful for us that we are not able to do what we could and should be doing. We're not losing share now.
Okay. Will you have to take further write downs on Delta ID?
I believe in the business. I believe in the potential of Iris. And we have, of course, looked at this prudently. And we've taken a substantial write down now. And so of course, that's done with the view that this is the business we believe in.
And this was the cash flow impact that we had. And now we believe in this one, what we had. But nobody can promise anything ever in business. But Of course, we believe strongly what we have now in our hands.
And will you buy back more shares?
That's up to the Board to answer on that one. I'm Focusing on us doing well on the cash, and we have done well with the cash, and we will continue doing so. Then it's up to the Board on what they do. Now we have bought back some shares to also support the shareholders.
And maybe the final question on this one on Iris. When could we expect to see fingerprint sensors in sold cars?
That's still going to take a while. It will come to cars, but it's going to take a while. This is very slow. And of course, partially the car industry was impacted During last year, there was a pretty rough year for the car industry, but now it's, of course, Hasbac has bouncing back the car industry, so the projects go on. And now we look at working in to get biometry into the That's overall.
And so a lot of testing involved. It's a long process to get into the cars. That will still take some time.
Okay. Thank you. That's it for the questions.
If you have any some final words, Christian?
Thank you for joining, and thank you for the GoodRell questions. We look forward to the year, and we have a lot to do. I am very pleased with the strong demand And obviously, painfully aware of our lack of supply right now, which we are working hard on to improve and continue improving. That's how we look at this one and expanding our business into these new exciting segments. With that, Thank you very much for joining.
We will talk to you again in this forum in the next quarter, and I look forward to that. All the best. Take care of yourselves. Thank you and bye.