Welcome to our call today. This morning we've released our annual report as well as the sustainability report.

I hope that you all received it and already had a first look at it. What is positive?

We confirmed the numbers that we had already announced, preliminary numbers on the 21st of November. We've confirmed our outlook, and what else did we confirm?

That we are very well established in the market. Revenue declined slightly by 2%, but the advantage is that was in a very challenging environment.

What is even more positive is that with the cloud subscription business and the commissions, we are now nearly compensating the reduction of the licenses business. What else is remarkable?

Very solid dividend policy, payout ratio 52% is suggested to the Annual General Meeting. We've improved our ESG KPIs, women in leadership and CO2 emissions, and we are very strong cash generating company.

If you're now interested in more, which means our numbers, figures, the details, and especially the outlook that we've got, why are we strong and why are we confident that we are very well established in the markets, Michael Zitz, our CEO, and Stefan Land, our CFO, will give you some more insights. Now let me welcome Michael Zitz.

Thank you.

Nicole, thank you. Ladies and gentlemen, welcome to our presentation.

We divided the presentation in two parts. First, I will start with a business overview for those of you who don't know us so well, and the second part will be done by my colleague Stefan Land, our CFO, with a deep dive to our figures of our last fiscal year.

Now let's start with who we are. All for One is an international IT consulting and service provider with regard to the SAP ERP transformation into the cloud.

We are the number one SAP partner in Middle and Eastern Europe, and we are the number one in doing conversions. That means we have done the most transformation of customers from the old ERP version, ERP ECC, to the new one, to the cloud, to the S/4HANA RISE and GROW offering of SAP.

We are proud of our more than 4,000 customers. We have approximately 2,700 employees in 41 locations and in 8 countries.

Our main countries are Austria, Germany, Switzerland, and Poland, and we have two nearshore centers in Egypt and Turkey. In the last fiscal year, we did the revenue of €504 million, but the most important KPI of the figures of the last fiscal year is our share of the recurring revenues.

More than 53% of our revenue is recurring, and there you will find cloud subscription, maintenance, application services, business services. Later on more to the figures from my colleague Stefan.

We are industry specialists. We are focused on our key industries, for instance manufacturing, life science, or we also fit with the aerospace and defense industry, which is really important for us for the future.

We deliver our offering globally, and therefore we are member and founding member of the United VARs network. That network contains more than 10,000 consultants worldwide, and so we are able to do our rollouts and to deliver our services globally with our partners around the globe.

We deliver end-to-end, and that means that we did our transformation successfully in the last two to three years. We transformed our business from an German-speaking system house, license reseller, to an international IT consulting and service provider.

That means we deliver the software, the cloud software, the project, the services, and also sovereign managed cloud service offering to our customers. As I mentioned before on the previous slide, we deliver our offering around the globe with our United VARs network.

Let's look a little bit deeper in our portfolio. 95% or more than 90% of our portfolio is SAP related, and therefore we are very proud of this offering because SAP is the leading provider of business software in our markets.

We have a strong footprint to this portfolio, and we adapt this portfolio with our industry competency, with artificial intelligence, and with services around this portfolio. The core of this portfolio is the ERP, the most important solution for every company in the world.

SAP has a strong focus to deliver cloud ERP in the private or public cloud, and we build with our offering around this core this end-to-end processes, which helps our customers to become more competitive in their markets. Our main markets are the German-speaking region, Austria, Switzerland, and Germany, and Poland.

As you see on this slide, there are many figures. This market is the most important and the market with the highest potential in Europe.

There one figure is very essential for us, the €50 billion potential for SAP cloud software in the next years. Now let's look a little bit deeper on a typical customer example, a customer who decides to switch their on-prem software landscape to an cloud landscape.

At the beginning, you see the on-premise revenue stream with maintenance, some licenses, and consulting, and with the orange curve we start the transformation project. We deliver consulting, we deliver projects which help our customers to transform from the old version ECC to the new version S/4HANA in the private cloud or in the public cloud.

With this transformation, we build the foundation for our customer and for us to grow. We did more than 180 projects in the last years where we helped customers to transform from the old version to the new version.

The most important point for us is what we see is that we gain more revenue in a cloud environment. On this foundation, on this private and public cloud foundation, we build our services, our own IP, our products, security and compliance solutions, and also the lines of business like customer experience with CRM or with shop solutions, analytics solutions, or HR solutions as an example.

Now let's look to GEBHARDT Fördertechnik, a typical customer for us in the upper midmarket segment. We have a long-lasting relationship to GEBHARDT, and we transformed GEBHARDT from the old version, from the on-premise landscape to the new version, to the new technology platform into the cloud with the RISE with SAP.

On this foundation, we build our services step-by-step to help our customers to become more competitive. As an example, we build services to help GEBHARDT to get an higher proximity to their clients as an example.

The most important point is the service offering after the go-live with the new version, because with this service offering, we help our customers to handle updates, to handle innovations which they automatically gets from the cloud offering of SAP. Every customer gets new features, new updates every 3 to 6 months.

Our customers need a trusted advisor, need a partner to handle these challenges, to get out more of the solution which they subscribe every month with SAP and All for One. That means for us that we gain more recurring revenues with our services.

We get more margins out of this services, and we build a higher proximity to our customers. We get deeper and deeper in every process, and that is a strong differentiation to the competitors in our market.

SAP has a strong, clear core strategy. That means industry-specific requirements are built by partners, and therefore we offer our own products, our own IP, to our customers.

We do that with an own brand, with an own company, it's called bluesource, and with this offering, we provide our solutions not only to our customers, also to other partners for their customers on the SAP Store and also with our partner network, which we developed in the last months. Really important is to say that every solution is built on a modern platform, on the SAP Business Technology Platform, and it's the public cloud solutions and it's ready for GROW.

To sum up, we see a lot of tailwinds in the market for us. It's clear SAP brings the whole portfolio from the on-premise technology into the cloud.

Second, every customer has to digitize their offering to become or to remain competitive in their markets. The third one, really special for our offering in context of the ERP offering because with end of 2027 the maintenance of the old version of the SAP ECC will end.

The customer will have the option to continue for 3 years, but there is a little pressure on the architecture landscape of our customers. We will help our customers to go safe and quickly to this new version, to the new S/4HANA offering of SAP.

That is the reason why we see a massive opportunity for All for One, because we have a unique position with our portfolio, with our end-to-end offering, and with our industry competency. The most important point, we have the right portfolio for the upper midmarket, and we can deliver this portfolio globally with our more than 10,000 consultants in our United VARs network.

We are very positive and we look forward with confidence, because in the last 24 months, we fulfilled our own transformation as I mentioned at the beginning from the system house, from the license reseller, to an international cloud IT consulting and service provider. Our foundation is our scalable matrix organization, that we have the clear plan for the upcoming years, that we will conquer new markets in a first step in Europe, that we will build new nearshore and offshore centers to fulfill the requirements of the upper midmarket.

Second, we will develop new products. We will close the white spaces in the industry to offer these products to our customers and to our partner for their customers.

The third one, the most important one, is our service offering, that we remain and become the trusted advisor for our customers to help them to stay and to remain competitive in their market. Now I will hand over to Stefan, and we will get a deep dive to the figures of the last fiscal year.

Thank you.

Michael, thank you. Ladies and gentlemen, let's have a look or a deep dive, as mentioned by Michael, into the financials of the last business year.

Let's start with the key results at first. We are in a temporary phase.

This means that we have to convert our on-premise services in the past to the new cloud world. As mentioned by Michael, there's a lot to do, there's a lot of opportunity, there's a lot of tailwind which will help us to come into that services.

However, as we all know, there's a lot of uncertainty on the geopolitical situation in the world, a lot of customers do not execute projects in time. They try to delay, they try to save money in order to save their own business.

As a lot of industry relates also to the German market, especially in the automotive sector, machinery manufacturers, and the industries around. However, in total, we achieved €504 million in revenues, which was a decline of roughly 1.5-2%, but EBIT dropped by another 24% to €26 million in a total.

This was also driven by the situation that SAP decided to stop the offering of Customer Experience portfolio separately and including it into the business suite of the future. Let's move into the details of the revenues.

As you can see on that slide, on the left-hand side, the cloud services improved by another 4% to €148 million. This is a very stable and robust growth, even though the uncertainty in the markets are quite big.

Software and support declined by 7%, license thereof by -20%, and support contracts dropped by another 3% to €117 million. Consulting was more or less flat, -1%.

If we deduct the impact of the Customer Experience decision of SAP, consulting was even growing by another 1% in the last fiscal year. If we have a moment and looking into our figures on a segment base, then you have the segment CORE on that slide.

Revenues dropped mainly to the decrease of the revenues in license and in support contracts, and margin was following because margin was dropping by 1.1% to 4.9%. Within that figures, there's a lot of shift coming from former on-premise services in the old SAP world—we call it ECC system—and now moving forward with the tailwind into the cloud to the S/4HANA portfolio.

However, in the total, the margin dropped by 1.1%, but if you offset the one-time expenses of €3.3 million coming from severance payments, then margin was more or less between 5% and 6% in the last year. In the segment LOB, we had a very strong decrease of revenues relating to the Customer Experience business.

If we deduct this phase, all the other units were growing quite slightly, 1% or 2% in the analytics area and also in our HR business. In the total, revenues dropped from 76% to 73%, and margin was be highly impacted negatively, margin dropped from 9.3% till 5.8%.

In a total, the profit and loss scheme you find on the left-hand side, EBIT was been influenced by two extraordinary impacts. Number one is the severance payments by €3.3 million in the personal expenses, and number two is the impairment coming from the loss of the Customer Experience business.

We had to deduct this value by €2 million. In a total, the EBIT has been influenced extraordinarily by another €5.3 million.

That's the reason why EBIT dropped by 34% to €18.9 million. If you see our operating EBIT development, the EBIT before the M&A effects, then you have to add this impairment on top of the €18.9 million again, you have to add the acquisition-related depreciations, the amortizations, and another M&A-impacted expenses of €0.1 million.

In a total, you arrive at €26 million, which is a reduction of 24% versus the last fiscal year. Free cash flow showing the robustness of this business.

Even though revenues did not grow, EBIT have been down by 24% respectively 33% 36%, cash flow from operations just reduced slightly by 3% to €39.7 million. On top of this, you can see the development of the free cash flow.

Free cash flow have been very good because we did a very good cash management, a very good working capital management on our performance. In a total, free cash flow only reduced by 11% to 23—€20.3 million in the last fiscal year.

We have a very solid balance sheet. Cash position have been up coming from €62.6 million till €67.3 million, even though we did the treasury stock improvement of another €4.6 million.

If you add this, we have been above €70 million last year. Net debt reduced by €12 million roughly to €43 million.

Equity ratio due to a lower sum of the total assets and liabilities improved from 32% to 33%. Some KPIs on employees.

We had a total of 2,653 employees in an average last year, thereof already 26% are provided by Poland, Turkey, and Egypt. Our employee retention have been very stable on 90.4%, and Health Index improved slightly to 96.8%.

Let's have a look on the long-term earnings and dividend. You see the red line of the earnings are quite stable and robust.

However, it's very clear that versus last year it declined from €3.70 per share down to €2.32 in the last fiscal year. We will continue with a very robust dividend policy.

This means we are proposing to the Annual Shareholder Meeting €1.20 as a dividend to the shareholders. Let's finally come to our outlook.

As mentioned on November 21st, we see a mixed revenue development this year because we will be influenced by the transformation to the cloud. This will hide our top line, but on mid-term and long-term perspective it will support our margin on the earnings.

We expect on the EBIT margin before M&A effects 5.5% till 6.5%. Revenues should be around €500 and €530 million in 2025/2026.

On a mid-term targets, we see a very good organic growth in the mid single percentage range again. After this transformation, we will come back and showing growth also organically.

Organically we are prepared to grow the business with additional acquisitions, we want to execute further markets and further portfolio elements. Therefore, we raised already fresh money in October of a total amount of net €49 million in order to be prepared for M&A execution.

Profitability shall grow. We see the opportunity to continue a growth sustainable on our operating margin year-by-year.

This is it from our side from the management perspective. We would love to get some feedback from you, the Q&A is open.

Please use the chat which is available to you, and we would be very happy, Michael and myself and Nicole, to come back on your questions.

Thank you. For those who haven't done it yet, please type your questions into the Q&A.

I would start with the first question. Michael, you have spoken about the cloud services.

Could you give us a bit more of a feel what that would mean, in addition to what you already explained basically, what it means also maybe then for the business?

Thank you, yes. Services, cloud technology is a direct relationship because it is a cornerstone in a modern cloud offering, in a modern cloud service portfolio.

Because in the old world customer had problems and they raised a service ticket, and we as All for One, we came and solved this ticket. That's not possible in the new and modern world, because customers in the cloud receive every 3 months, 6 months new features, new innovations, new AI-related processes, and so on.

Therefore, the customers need a trusted advisor, need a partner which help them to implement this new features, this new processes. That's our business, and we are very firm to do this business because we started really early with public cloud solutions.

It's many years ago, and therefore we have a lot of references and so we can do that in a proper way for our customers. With the first results, we see that is the offering which our customers wants to get and help them to do their business effectively and to become more competitive in their markets.

Okay. Stefan, you've been talking about cash flow.

What can we expect for the future?

As we have been shown the last few years, cash flow is, of course, on one hand following the profitability, the EBIT ratio, also in the future. However, there's a big difference between growth in the on-premise world of the past and growth in the future on the cloud world.

We will get a lot of recurring services into our business, which would support our cash flow also on the operating side. In a total, our DSO will decline step-by-step.

That's the assumption. We will see a very strong positive cash flow development, which will follow the EBIT ratio step-by-step.

Relating to the EBIT ratio, I've got the next question: What mid-term margin in percent do you expect?

Of course, we are not disclosing it right now. Why?

It's from our perspective a very uncertain geopolitical situation. We cannot really trust on the decision-makers on the customer side and all of our leads.

We have a very strong pipeline, we have a huge dataset in our customer experience, in our customer relationship system, but the execution rate is currently quite tricky and very, let's say, uncertain because there's a lot of problems out in the market relating to the industries we are servicing. It's not very clear what will be executed in which quarter and in which month.

Of course, customer have to take care about their own business at first. On the other hand, they know that digitalization provides efficiency and opportunity to save the business and to grow the business and get it more competitive.

That's the reason why we're currently very, let's say, conservative on our outlook. We have to be very careful, but as soon as the situation will be more clear and the foggy situation will be disappearing step-by-step, then we come out with further guidance on the mid-term margins.

Next question: How much AI does change your offering? Will AI have a positive or negative impact on your profitability?

Maybe two questions, one for you maybe how it changed our offering, and then question about profitability.

Yes, I will start with the business impact. I think, yes, AI is there, and, yes, AI will help us and will help our customers to become more effective, to become more competitive, to can better act in the markets.

I think we have to divide the impact of AI. From our point of view, there are three directions.

First, how can we use AI internally? The second, how will AI help us to develop more effective in our development department?

The third direction is: How can AI help in the processes which we deliver to our customers to help our customers to become more competitive? Yes, and in each direction, AI influence our business positively, and we are on the right way.

We are on the right position to get out more everyday with AI for us and for our customers.

Currently AI costs money for All for One, and this means margin, because we're investing heavily into the usage of AI within internal processes and systems. By the way, we are implementing ServiceNow, for instance, and using the AI technology in order to absorb all the knowledge of the past 20 20 years of ticketing in order to get AI services done automatically in the future.

This will provide efficiency to our customers and to ourselves. We have more internal projects finding out what could be done in order to use AI also in the order processing, for instance, step-by-step.

This is not that easy as everyone is telling us, of course, but it is the future. Very clear, it will provide efficiency into our business, into our process, into our services, and much more quality as well, quality will improve on top of it.

As what Michael said, if the top line will be supported as well, because customers want to use AI in order to get their own efficiency up, then it will provide additional margin, a different additional recurring opportunities also to our business model. We are very positive on that.

However, a lot of AI is driven by the big vendors, providing for instance ERP software by SAP or other vendors to the customer. For us as an IT service company, it's an opportunity to grow business jointly with the customer.

Thank you. Next question: You mentioned that you were ready to launch M&A activities.

Does this mean that you have targets in mind? Could you give us more information about these targets, estimated turnover, region, efficiency gains?

Yes, I will start. Yes, we have target in minds, and no, we can't tell any or can't tell you any insights or can say any insights to that topic.

We are on the right way, and we follow our path. In 2026, it's clear for us that we will do this next steps, as I mentioned in my part of the presentation, with new markets in Europe.

I think it's no secret if I say UK, Nordics are potential SAP markets in Europe. I think it's no secret when I say the South American region and the Asian region are potential markets for offshore center.

That is our way, because we want to serve the upper midmarket, and that are the requirements that are for this customer segment and market segment. Yes, and we will do everything to fulfill our plans in the next weeks and months, and hopefully we can say more in the next weeks and months.

Just a question to the Regie: Any more questions there? Okay.

Here we go. What are customers doing who continue to postpone their transformation at SAP, to S/4HANA, I assume?

We have been seeing this story for many years now with repeated delays, even though SAP itself and companies such as SNP are benefiting from the development. Have potential contracts also been lost to competitors?

One keeps asking why All for One of all companies is not benefiting.

Yes, it's a pity we will see the story doesn't end at the moment, because the geopolitical situation mentioned by Stefan are not changing at the moment, and we have no influence on this situation. We know with 2027 there is the end for the major part of our customers of the ERP maintenance, but there is the option to continue with more money, with a higher maintenance fee, to continue this contract to 2030.

I think that's a business decision of our customers to postpone projects, to or don't invest in any old system or in the IT. That's the situation by major part of our customers.

We cannot influence this topic, but we do everything to support our top line, to support our bottom line with other services as I presented in my part of the presentation with the service approach, and second, also to conquer new markets to stable our business for the future. That's the situation right now, but I think we handle this situation in the best way for All for One.

Looking forward, I see a huge opportunity for us together with our customers to accelerate in the next years with this business.

Maybe some additions to that is, yes, you don't see a top-line growth currently. Within our systematic of revenues, within our services, there's a dramatic change within the last 1.5 years.

However, it's compensating one to the other one. If you speak about that other partners in the market are growing, then have also a look on the margins.

We are margin-driven business currently, we would like to get more efficiency, more recurrings, and more value into our services. We're not heading for growth only, just in order to get revenues and no margin.

We're pretty sure, customer by customer, that we will finally end into a very productive and very efficient business model in the future. I know a lot of customers already and CFOs talking to me and we are talking to them, they are all sitting in the situation that they would like to start, but they delay or they start in small projects because they have time, and on the other hand, they have a lot of problems relating to their own business.

On the feedback we received already, also with our new smart services—I think around 500 customers joined us in the first sessions—we see there's a big potential on these customers. We are not losing the customers to competitors.

The thing is that we're changing revenue streams right away, and in a total it's only compensated. This will end up sooner or later, and if the uncertainty in the market will, let's say, partly disappear—it will probably not disappear at all, but step-by-step it will hopefully get better—then we will see that the execution rate is coming back and then we come into organic growth scenarios as well.

Thank you. I think no more questions in the chat.

I think it was a good, positive close-up. I wish you all Merry Christmas, relaxing days with your beloved ones, some time to just, yeah, recover, Happy New Year.

Hopefully, some good news then in the new year. I now hand over to Stefan and Michael for the last words.

Thank you.

Thank you. I just follow your words.

Thank you for joining us today. I'm handing over finally to my colleague.

Yes, thank you very much. Happy holidays, and see you next year.

Thank you. Bye-bye.

Thank you.