Pierer Mobility Aktie

Good day, ladies and gentlemen, and a warm welcome to today's earnings call of the Bajaj Mobility AG following the publication of the preliminary financial figures of 2025. I'm delighted to welcome CEO, Gottfried Neumeister; and CFO, Petra Preining. So they will guide us through the presentation and the results shortly. And following the presentation, we will be happy to take your questions.

And having said that, let's start.

[Presentation]

So good morning, good afternoon and good evening to the world. This is Gottfried Neumeister. I'm really excited and pleased to be able to speak to all of you. Thank you for your interest and joining us for the preliminary key figures of 2025, which we are about to disclose to you.

I would like to lead your attention to the presentation, which we are sharing and which will also be then shared and published on our homepage. We have, in the usual way, staggered it with a presentation by the Management Board followed by a Q&A session afterwards.

So first, I would like to give you an overview of where we are, what has happened during the last year. And we will go through it. First, the value proposition, then the ownership and the new set up. Thirdly, the turnaround, what has happened. Of course, also our motorsport is a very important part of it. And then we will go through the achievements, the units. And lastly, the preliminary financials.

Coming to the value proposition and what we -- how we stand today, we try to summarize in 4 bullet points. Number one is clearly, the same focus as ever with a very clear positioning of all our brands that we want to complete in the pinnacle of all motorcycle companies. So definitely, the positioning of our group has not changed. We are focusing on premium motorcycles. We have, during the last 12 months, sharply refocused our portfolio. We have streamlined our portfolio and the turnaround is really in full swing and full progress.

We have significantly reduced our inventory, which was one of the main factors of the crisis we have been through. And this is really an important one. It is not some romantic feelings of the past. We have had the most successful year in the history of our group in the racing segment, we won 29 titles.

We are not a branded house. We're a house of brands. You see, all 3 remaining brands, I will in a second explain you how we've sharpened the portfolio. Those 3 are the remaining ones on the top KTM, READY TO RACE is our -- not only our slogan, it's part of our DNA. It is exactly what others cannot deliver that you can take our motorcycles out of any dealership and you're able to race with them. And you're not only able to race, you're also able to win as we've just seen in the recent weeks.

Husqvarna for pioneers is very dynamic, pure design, a different atmosphere, but nevertheless, especially in the offroad, Husq is a very, very strong brand in the U.S. and also in Australia. And then GASGAS, our young, vibrant brand, touching on really the youngsters.

The strategic pillars going forward. I think this is really important, and I've said it before, it is not about making volumes. First, we want to really make this company profitable again before we really start growing it. The premium focus, as mentioned, more than ever, we try to really take a different approach. Happy to answer any question you might have also in terms of recalls. This is a very clear offensive strategy that we will, other than in the past, really proactively deal with anything quality related. We want to build up the trust and therefore, we are proactively acting. Service, our excellence. This is something which we want to embed in the future and really increase the standing of the service elements, the customer service, the customer support as a key differentiator.

I think we will face in the future even more competition from different parts of the world. I think the one thing which most times money cannot buy for is an attitude thing. Others will be able to really sell cheaper motorcycles. But if you get the spare parts, if someone is answering the phone when you have an issue and how truly you're dealing with your customers and the service element will clearly be fostered in the future. And as I said in the beginning, for us, we focus on profitability and value creation, and then we look for the volumes.

A little bit about our ownership and the new setup. We have luckily really for us in May, received an aid through Bajaj EUR 800 million to pay off on one hand, our old existing debt. We used EUR 600 million of the EUR 800 million to pay off our debt and we were able to get EUR 200 million more to really recover and start the production of our company again. And this really followed in November by the best possible outcome, having Bajaj Auto as our new main majority shareholder going up to 74.9% in November. As a result, the company was also renamed at the beginning of this year to Bajaj Mobility AG. I think this is one of the greatest commitments to also have Bajaj in the holding company, the name of a company which is listed itself in India and which we will touch upon in a second.

For me, it's about stability and continuation of a very successful long partnership, which is there since 18 years. And this means continuity and as said, a very welcome outcome out of this difficult situation we've been in. Bajaj itself is the #1 3-wheeler maker in the world. They have a leadership in more than 40 countries and being present in more than 100 largest electric vehicle company. I mean, there are so many superlatives to Bajaj. And we also are showing some of the revenues that you get a feeling for those of you who are not as familiar with the company, Bajaj Auto is selling more than 4.7 million vehicles a year, has an incredible industry-leading margin of 20%. And you see it yourself, an annual revenue of EUR 4.5 billion with an EBITDA of close to EUR 1 billion. So a very strong partner, which has teamed up with us, a debt-free partner who is really giving us the necessary help to survive and who is giving us now the backup, which we need to really even recover faster than we have anticipated.

A little bit about the turnaround, what's happening. So the headline for the turnaround is simplification and focus. We have, throughout the year, yes, got rid of several past businesses. Number one, the X-BOW, which was a car manufacturing, but we sold only 17 cars, and we clearly decided to focus on our core segment on the motorcycles. Therefore, we got rid of X-BOW. We got rid of MV Agusta. We sold or wind down the complete bicycle business, which costed us more than EUR 400 million in the past. So also very successfully done. And we have stopped to sell CFMOTO within Europe. We had the distribution for CFMOTO in Europe, but to focus on our 3 brands, it was absolutely necessary to cut away any distraction, anything which is not core and those were very important steps during the last 12 months. We have resumed our production in July '25. It was July 29.

So really in the middle of the summer, after being closed for more than 6 months, and yes, it went well. It was a very bumpy road because we have started our year with almost all suppliers asking for prepayments. So managing the working capital throughout the year, managing the reduction of the inventory levels, which have declined was a very, very important task. Also, the spare parts availability as we were coming out of the insolvency to really provide the necessary cash is one thing, but to really place those orders and get those deliveries in was clearly another one. But those were, as said, really big achievements, which gave us the confidence. And the biggest confidence came from the second half of the year, where -- and you will see it later, where our sales levels have increased by 60%. So really, the demand is strong and it's coming back. But as said, I will touch upon it in a second.

If we go to the next slide, you see the development of our employees over the last couple of years, reaching peak times, more than 6,000. At the end of 2025, we had 3,782 employees. We have, at the beginning of January, announced another restructuring program. And we have announced that we are reducing our workforce by another 500 white collar employees around the world. And this is something which has already started, and this is part of our Phoenix restructuring program.

As I told you, for me, the most important one and for the company is how well our products are received. We have really an incredible lineup of new motorcycles, which we started once we resume production. The first motorcycle, new motorcycle was only launched in November.

The first one, it's the KTM 990 RC R. In the meantime, we have now won numerous tests even against Ducati Panigale V2 or the Yamaha R9. So our new motorcycles are well received in the market. It's not only the 990, also the 990 DUKE R has just recently won against 4 contenders, but also the SUPER ADVENTURE, the 390 ADVENTURE R and the 390 ENDURO R, which are coming from India are incredibly well received. We are entering a new class with them, which we haven't had and therefore, really good and great to see that despite the noise, we really have managed to keep really the trust of our loyal customers and also the dealers. And this slide should just give you a reflection of how those motorcycles are received.

I've mentioned before, the motorsport we have last year, and please allow us because it's really about emotions and you need to feel it other than just see it on a slide. As I said before, we had the most successful season in the history of our group in 2025, winning 29 championship titles in all those classes, which you see below.

[Presentation]

So racing is our DNA. And luckily, it's not only 2025. If you have followed the news of 2026 and what we have achieved now in January, only the first couple of weeks, we won the first 2 Supercross races in front of 75,000 people in the stadium in Anaheim and San Diego, and we were also able to win the Dakar Rally now for the 20th time. There is no one who has been more successful than KTM in the Dakar Rally.

So coming back a little bit to numbers and our performance. We're showing you here our market development. Of course, this is a little bit -- not a little bit, but heavily influenced by the insolvency and us being away from the market and being away from production for almost 9 months in total. If we take the last quarter of 2024, our relevant market in that time grew by 7.8%. We're very transparently showing how we have performed, KTM Group minus 27.4%, KTM minus 28%, Husqvarna minus 27% and GASGAS minus 19%. As said, a reflection of our previous year.

Here, you see a breakdown where we sold our motorcycles. And I think this is, again, a big achievement that we have managed to keep the retail at an incredible high level. 272,000 motorcycles were sold to end customers last year. If you look to wholesale, 209,000. This was intentionally because we said part of the restructuring is that we need to have the patience and we need to be brave enough not to sell in to allow the market to recover, and we have managed to clear out really substantial inventories, which I will show you in the last slide, but -- or in one of the next couple of slides, but this shows you, as said, our wholesale and retail and how they have spread across the globe.

Here, you see the development because we wanted to give you really a deeper insight how it's developed, what I told you before, first half of the year and second half of the year, global sales are the ones which we are making out of Mattighofen. We have also our sales out of India, which then total up to the 209,000. But if you look to the global sales of 50,000 units in the first half year and 80,000 in the second half year, so 60% more. There is a clear positive momentum. And the recovery, as said, then leading up to 130,000 in total. And we have managed to reach -- I mean, normally, I would never mention it because with revenue, you cannot buy something. But despite really all these negative noises, despite all the obstacles and being closed for such a long time, reaching EUR 1 billion of revenue is still also an achievement of our sales team.

Here, you see an overview where we produced the units which we have sold. So 48,000 of those units were produced in Mattighofen. And we have roughly 120,000 have been produced in India, 8,700 in China. We had also up until October production in Spain. So that was also one of the restructuring measures to close down the production in Spain and shift it to Austria and the production in Italy was at that time for a couple of months MV Agusta, which was, as said, part of the company at the beginning of the year, leading up to a total of close to 180,000 vehicles.

As said, most importantly was to keep it below the retails to allow the market to recover. And this is what we see here on the next slide, a little bit historic explanation why we came to that crisis. If you look to the dark orange, these are the wholesales. So what we are selling to our dealers and the retail is the amount which the dealers are selling to end customer. And if you look to '19 and '20 and '21, the retails, especially during corona, they picked up. There was more demand, and we had adjusted our production and accordingly, the wholesales.

But in 2021, for the first time, retails were lower than the wholesales. This continued to be in 2022, drastically -- a drastic drop and also in 2023 and wholesales were kept stable in 2022 and 2023 for 2 years, and this led to the really high inventory of 270,000 motorcycles in peak times, which we had ahead of us. We immediately jumped on the brakes in the last quarter of 2024 before going into the insolvency proceeding. This is what you see in the bars of 2024 that wholesales were then stopped, where luckily, and this was really the important thing, retails continue to be at a high level. And in 2025, we managed to really keep the retails at still a high level, as I just showed you, but substantially reduced the inventory by dropping the wholesale.

So this is how we have developed so far. And this led to a total stock reduction of more than 100,000 units. So out of the 248,000, which we had at the end of 2024, not everything was a bad stock because we need to have a certain stock levels to operate in Australia, in the U.S. because there will be always motorcycles on ships, in transit or at dealers. But I would say roughly 140,000 was a bad stock, which we had at the beginning of 2025. And out of this 140,000, we managed to reduce now roughly 101,000.

We are planning to reduce that in Q1 of 2026 by another 26,000. So we are really back on track to recover. There is, of course, a lot still to do, and we will touch upon it for sure later also in the Q&A, but we are really clearly going into the right direction.

Just important questions, which we assumed or received even before, how did it affect our dealers?

Our dealers is one of our most important assets, which we have compared to other competitors around the world. You see 4,794 dealers was the number at the end of 2024. This had roughly 220 CFMOTO dealers and 200 MV Agusta dealers. So if I take this number out, you can see that really the number of dealers which either we terminated or which terminated with us was a relatively small number. So the big fear which was out there in 2025 that there would be a lot of dealers resigning and not believing in us has luckily, and I need to knock on wood, not happened, and this remains really a very strong asset of our group.

So I would now hand over to Petra to lead you through the key financials. We will issue our audited financial statements in a couple of weeks. So it is limited key figures, but Petra will guide you through them now.

Thank you very much, Gottfried, and a very warm welcome also from my side. As you might have read, I'm the new kid on the block. I've started with KTM in September 2025. And I'm very proud and pleased to present the preliminary financials of 2025 to you today. As Gottfried has said, it was a very difficult year for KTM, doubtless without any doubt. Nevertheless, a little bit above EUR 1 billion in revenues is a big success. We have -- on the graph, you can see we've splitted it into half year 1 and half year 2. You also see the increase we have been able to achieve in the second half.

One distraction throughout all the numbers, which I present to you today is, of course, the restructuring gain of roughly EUR 1.2 billion, to be precise, EUR 1.193 billion, which you can see, of course, in the P&L, in the cash flow, in the balance sheet. So it's all over the place. And therefore, we have also decided to show you how we have been doing operationally without the EUR 1.193 billion of restructuring gain. With that restructuring gain, the company has achieved an EBITDA of EUR 874 million, an EBIT of EUR 748 million and a profit before tax of EUR 663 million, leading into a net profit of a little shy of EUR 600 million.

The margins, I think we can disregard because, as said, they are distorted by the restructuring gain. We have managed to achieve those numbers with a significant reduced headcount of roughly 30%, leading to 3,782 headcounts worldwide. Adjusted, however, if you compare apples-to-apples, if you like, then an EBITDA and adjusted EBITDA of EUR 319 million are comparable to EUR 481 million in the year 2024. So we -- you can see that the company has significantly, also being very humble because the number is negative, been able to improve the situation. Please take count of that this has been achieved even though the top line has been reduced by 46%. And therefore, a lot has been done on restructuring and getting cost out. And as Gottfried has already elaborated to you, coming back to what our DNA is, we design, we produce and we sell motorcycles.

Over the page. Just for reference, the BMAG Group in 2025 had as a business segment, motorcycles, the bicycles, which is, as you can see from the number, in the wind-down phase already. And then, of course, also others that are basically the holding of BMAG itself. Coming to the balance sheet. What we see is a significant reduction in the balance sheet itself, roughly 34% coming down from EUR 2.396 billion to EUR 1.586 billion, so a reduction of EUR 810 million, basically coming out of the debt side, which is -- doesn't come as a surprise to you as we have been in solvency and we spoke about the restructuring gain already.

In a nutshell, the debt has been -- sorry, [indiscernible], in a nutshell, the debt has -- we have managed to reduce based on the back of the [ quota ] by half. So from EUR 1.6 billion to a little shy of EUR 800 million is our net debt. And that has, as a consequence, based on the very high EBITDA and net debt of 0.9x and an equity ratio of 24.3%. So on the very important KPIs, we have managed the turnaround very, very nicely and will do so forward-looking.

Lastly, I also want to share a glimpse on the free cash flow, where you can see the net profit of EUR 590 million coming down to a free cash flow of minus EUR 34 million. Again, being very humble, the second half being way better than the first half, leading to a plus/minus -- or EUR 4 million plus, so almost black 0. This is clearly our main focus area for the year 2026 to regain profitability and to regain liquidity in the sense of free cash flow. We are working very hard. As you might have read recently, we have announced that we will let go of 500 colleagues. This is not coming out of the restructuring, but this is a consequence of geopolitical and macroeconomic situation of the world. We want to have KTM positioned very resilient, forward-looking to be prepared, firstly, for a profitable future, but also to be prepared for any potential headwinds ahead of us.

With that, I come to an end of my part of the presentation, and I would hand back to the operator to take your Q&A.

[Operator Instructions]

And we received the first question from Mr. Hesse. So he would like to know. I'd like to understand the retail levels have been normalized and what kind of growth we should anticipate for the next couple of years. When can we expect volumes to return to 2023 level?

So thank you, Mr. Hesse, for your question. As I said before, we don't put the growth target in first place. For us, it is really gaining and coming back to profitability in first place. So the overall goal for 2026 is to have a very strong and positive free cash flow. We are fighting hard to really get our cost under control. We -- and this is what we have also said in the ad hoc statement. We have said that we are planning to significantly increase our sales and consequently also the revenues. This is what we have stated at the moment coming out of insolvency, we're not able to give really a guidance yet.

Let's see how the next quarters are performing. Hopefully, you can hear that we are confident, and this is why I said before, for me, the most important one was that the retail levels really were kept at a very high level despite not being able to have new products on the market. This had really an incredible effect because you cannot always incentivize someone with a discount to buy an old motorcycle. So we clearly lost potential not having new motorcycles available and on the market. And only we started at the end of July. So some of them were only available in November when it started to get foggy and where it's misty and now cold since a couple of months in large parts of the world.

And therefore, achieving those retails and now having new products on the market, which are well received, which now dealers are calling and say, "Gottfried, for the first time, we're selling without a discount. We're selling at sticker price." Those are, for me, the most important news. Yes, we had to work with discounts to work off the large inventory. But KTM -- neither KTM, Husqvarna or GASGAS have ever been a discount brand. It was always a premium brand where we were selling through performance rather than through price. And this is what we want to keep.

So intentionally also in 2026, we're keeping our volumes lower than retail levels. We, of course, will closely follow the retail trend. And as much as we can increase then our production, we will do so to follow it. But we are -- as said, we are optimistic despite the global recession fears, everything what's going on with tariffs in the market. We've seen our low levels in 2025, and we are definitely planning to outperform the market growth. So the market growth rate is for us not a reference because that was also affected by our reduction. So definitely, we have the ambition to grow faster than the global motorcycling market in 2026. And this is unfortunately as much as I can tell you and guide you and give you a feeling of how we will really develop during the next year.

Another question. And on the profitability, when can we expect the company to return to its historically 8% to 10% EBIT margin?

Similar question. We said -- or I said also in previous statements that 2026 will not be possible as I just said we keep still a 1-shift production here in Austria. We're still eyeing those wholesales and as said, being patient and brave enough not to sell in more. For 2027, we said for the first time, I think we can expect to see another big improvement in terms of profitability and the years to come should definitely have the ambition to meet the historic margins, if not better and higher ones. I tried to show you how really streamlined the company is already today. We are really focusing on our core. We're getting rid of unnecessary external warehouses, everything. If you see 15 years of growth, that's very normal that you're, of course, building up, but I can tell you that we are now really reshaping and resizing the company to a different level. And therefore, both Petra and myself are very ambitious to also then drive future profitability.

The next question. Lastly, on cash. Is the company happy with the current cash levels to navigate the current restructuring? Or is there risk of further capital raises?

To have really a different play, I would hand over this question to Petra.

Thank you very much, Gottfried. Indeed, a very good question because, as I said, profitability and liquidity, so EBIT and free cash flow are the 2 KPIs we very, very closely monitor to see at least what we have been managed, and this gives you a bit of a translation of our situation. We have been managed to set up our factoring line. Again, we have managed to get a working capital line up and running. So we are now on a good path, on a solid path forward-looking these -- there is another -- as you will know for sure, there's another big ticket coming ahead of us to be refinanced latest in May. We make very good progress on this one as well. And I'm confident that we can share with you in the upcoming weeks and months also good news on that end.

So asking me, of course, more cash is always better. Are we well equipped? Absolutely, yes.

All right. And then Bajaj now holds around 75% of the shares. Is there a plan or expectation of a placing at some point to improve liquidity?

This is a question which only Bajaj could really answer. I can tell you that there is nothing on the table at the moment or off the table because really the main focus is to restructure the company at a fast pace to show how strong we are, how strong our brands are performing. And then, as said, that's the first priority. There is nothing planned.

And by now, there is the last question from Mr. Hesse. [Operator Instructions] What restructuring measures, processes are being put into place to better align products, wholesales and retail sales in order to handle a similar outcome to what happened in 2024?

So we have not only weekly, but most importantly, monthly business meetings, we call it S&OP, where sales, production and marketing were together in one room, looking at the retail levels. As said, we have set the production levels in first place for this year lower than what we expect retails not to even run behind, and we are able to really adjust it if needed. The good thing is, and this is what I've mentioned before, it's not only us here in Austria. We have really a super strong partner in India. We have also a joint venture in China.

So if the market would recover even faster, then we're able to breathe with our 2 international production partners. For here in Austria, we definitely are planning to keep a 1-shift model to have it very efficient, not to go in a more expensive second shift, but squeeze out as much as possible out of this 1 shift. This will be the highest number the company has ever produced in 1 shift out of Austria. So that's said. And if we can really increase, then we would only do so if the retail levels are really picking up more than anticipated.

As said, we watch them, and we are clearly setting ourselves and keeping that goal to leave wholesales below retail for 2026. In 2027, of course, and '28 going forward, those 2 should be aligned and there should not be a big difference between them, but that's definitely a lesson learned from the past.

Thank you so much for answering. Now we have not received further virtual hand, but we received a question in the Q&A section from Mr. [indiscernible]. Are there any one-off costs needed for the reduction of 500 staff in 2026?

Yes, there will be one-off costs. We are -- at the moment, we have really a good dialogue with our union partners and the authorities because we have done this exercise a year ago. And I can only say it's a very constructive dialogue. We will be soon hopefully able in the next couple of days already announce the outcome, but we have factored it in, in our budget, and there will be one-offs, but we don't expect them to -- yes, so they are factored in and let's wait up until we can really communicate how much it will be.

So...

[ Ms. Mala, ] if I can just ask you, are we sure that we are receiving all the questions, not only the virtual, which are written? Usually, we expect that someone would also ask during -- over the phone. So please make sure that we are capturing the whole audience.

Absolutely. [Operator Instructions] But by now, it seems we are at the end.

Okay. So then really, Petra and I would like to say, again, thank you for joining. Thank you for your interest. We will, for sure, keep you posted with more positive news flow in the upcoming months and keep you posted about the progress which we're doing. Happy to hear you and see you also in the coming months, maybe at one or the other Investor Relations conference or at a call.

As always, you can have reach out to our IR at Bajaj Mobility e-mail address or the phone number if you want to have a one-on-one session or a detailed one, we're happy to pencil them in. So again, thank you very much, and goodbye. Good night.

Thank you very much.

The conference has ended. If this was unexpected, you may try reconnecting by dialing in again. Thank you.

Ladies and gentlemen, welcome to the PIERER Mobility AG Half Year Results 2025 Conference Call and Live Webcast. I am Sandra, the Chorus Call operator.

[Operator Instructions] The conference is being recorded. [Operator Instructions] The conference must not be recorded for publication or broadcast.

At this time, it's my pleasure to hand over to Gottfried Neumeister, CEO. Please go ahead, sir.

Good morning, U.S., and good afternoon, Europe. It's a pleasure for me to speak to you today for the first time. I've been the CEO of the company only since January. So it's the first result presentation. There is maybe a quick introduction of my side. I worked 15 years together with Niki Lauda, founding an airline from scratch and leading it for more than nine years. All in all, I worked 15 years together with Niki Lauda.

The last 12.5 years before I joined DO & CO I worked -- before I joined PIERER Mobility, I worked for DO & CO, a global catering company with more than 16,000 employees in 33 locations around the world, a company that made EUR 300 million of revenues when I joined and EUR 2 billion when I left being the co-CEO. That's ensured a little bit an introduction about myself.

As said, I started one year ago as co-CEO next to Stefan Pierer both co-CEO in PIERER Mobility AG and also KTM AG. And since January, I am CEO of both companies. And I said, happy to speak to you and hopefully, able to answer all your questions, which you might have.

So we have prepared an Investor Relations presentation for you, which I will share with you in a second. And then it will be followed by a proper Q&A session to leave enough room and time for all your questions.

Let's move to the presentation and the first slide where we tried to summarize, in essence, the key effects of our first half year. So EUR 425 million of revenues. We'll see them later in the P&L in detail, and EBITDA of EUR 1 billion, which is positively affected by the restructuring profit of around EUR 1.2 billion.

We sold 85,000 motorcycles. So we are talking about wholesales compared to the retails, which are the sales to the end customers. And on the 30th of June, we had 4,303 employees in our group.

We've -- the major headlines are, of course, the successful restructuring of the group, which happened latest on 23rd of May. There was a first success in between the 25th of February, where we reached an agreement with the court. Ever since, we have worked very hard to really not only keep the company alive but also set up a structure, which is future-proof. We have cut out low-hanging fruits in terms of restructuring.

We managed to sell MV Agusta, the stake, which we only acquired last year in April. We are -- we have also now signed, just two days ago, an agreement to sell KTM Sports car, so the X-Bow, the car business, which is also being sold, and we are in the process of winding down our bicycle business, which is really working well better than planned, and that's something which should happen up until the end of the year.

In parallel, we have initiated a big company-wide project, which is called Project Phoenix, which is an efficiency program to work on really -- the -- on efficiencies and restructuring and reduction of our cost base.

In a nutshell, we have just lined up the important dates, which I just mentioned to you. So on February 25, we managed that the creditors committee had accepted a 30% quarter. So the EUR 1.2 billion, which is the extraordinary restructuring gain, is resulting of that 70%, which fell away or we had been given three months to finance these funds and the needs up until May 23.

We've managed through our long-standing partner, Bajaj Auto to receive sufficient funds to pay off old debt and get enough funds to really revive the company in totality, we are talking about EUR 800 million where EUR 600 million were used to pay off all the existing debt and EUR 200 million as said are here for the company for the continuation of our businesses.

So latest by that date, we had to bring up the necessary funds in order to close the insolvency proceeding. Since that day, also the administrator is not part of us anymore, and we are completely free again. And on June 16, the quarter was paid and everything became legally binding.

I've touched upon some of the topics we have already addressed and the other way it were also reasons for the insolvency. So to summarize, and I'm happy then to ask specific questions where three really main reasons. One was the investment into MV Agusta as said very late time and cash-wise it costed us EUR 220 million of liquidity the PIERER New Mobility, the bicycle business consumed more than EUR 400 million. So this, all in all, is EUR 620 million.

In totality, we had because of previous years, we had a tremendous inventory of motorcycles ahead of us. When I arrived and joined the company or shortly before an insolvency, we're talking about 270,000 motorcycles which were either with dealers and importers or in our own stock, 200,000 of this 270,000 were with dealers and importers, 70,000 in our own stock.

So that was literally before we entered into the insolvency proceeding. This is also why part of the restructuring, we decided that it's absolutely necessary to be brave enough not to sell, which is an awkward thing because if you tell the sales guys not to sell, they don't understand it, but we had to give the market in our delisted time to absorb the high inventory levels. They have had before the crisis.

So that's something which I said was absolutely one of the main three reasons. And therefore, we reduced already in November from two shifts to one shift. When we entered into the insolvency proceeding. We laid off through the insolvency proceeding and that was is a fairly easy process in Austria. And it was part of this insolvency proceeding where the state would then step in to pay notice periods and to come up for accrued benefits.

So we have restructured the company dramatically already back in November. In totality compared to 2023, we have laid off more than 1,700 people and had a complete standstill up until the end of February. We then restarted operation, but unfortunately, as during the insolvency proceeding, we were not allowed to make any commitments into the future because that's what the insolvency administrator did not allow if it's not certain that we would continue to place orders with other vendors.

We lost really very important and critical time when, we restarted because of the very sudden insolvency proceeding, we had a lot of material still in-house from November, so did our suppliers and they were happy to deliver those to us because they've been waiting literally for months. And then we said, okay, we are even paying for those materials. So they're very happily delivered them to us.

Unfortunately, those were only good for 4,200 motorcycles. So for 6 weeks, we were able to bring back and ramp up the production. But unfortunately, none of these suppliers had made commitments, and we -- absolutely, we have no bad feelings, it's absolutely understandable. If you don't know whether and -- whether it continues or not, but really most of them have not made any commitments.

They waited whether we are going through successfully or not. And therefore, when we called up and said, "listen, we want new components." And they said, "fine." But some of them said, "I've given all my capacity of 2025 to other manufacturers." Then yes, you can -- all of the chair, but we had really established good relationships and said we'll go for it, we'll do it a second shift and we'll make it happen, but I need to order raw materials, which will take up at least six weeks, then we need to produce it for two weeks.

So before 8 weeks, 9 weeks, there is no chance that we can provide any materials to you. This is why after this six weeks of production, we had to stop again and make another break up until July 28. The company stood together, the orange family. There was one option to lay off 1,200 people because we simply didn't have anything to do for three months.

But we stood together, everybody accepted to have a pay cut of 20%. If everybody would do so, we were able to keep the 1,200 people on our payroll, and yes, our colleagues on board and that has happened throughout May, June and July.

And as you've seen from the headlines, we successfully restarted production on July 28. And yes, are -- I need to knock on wood -- are producing ever since. So yes, let's talk about those topics then also in more detail.

I mentioned the winding down of the bicycle business is working very well. We started with close to 70,000 bicycles at the year-end 2024 and we really managed to substantially reduce them the last bicycle in Europe will sell in September, and I think in U.S. latest by the end of the year.

So also, yes, the focus of the whole restructuring is simplicity, reducing and focus to the core what really made the PIERER Mobility AG and the whole group and especially KTM so successful for so many years and get rid of anything which distracts us from our core business.

And as said, we are really on a very good way to achieve this. We are showing you the motorcycle retail market environment of our first half year because it is a challenging environment. Europe lost also by itself the total market, 15%. The times are uncertain. There is inflation fear.

The tariff situation, for sure, some questions will be addressed to. We tried to summarize how the markets developed in the certain segments and how our market shares are looking. Just keep in mind, we intentionally and proactively decided not to sell in as many motorcycles to allow the dealers and importers to come down to really normal and more healthy levels.

You see for the first half year, 85,000 wholesales where -- and that's the important number, 50,000 are coming from PIERER Mobility here out of Mattighofen 34,000, almost 35,000 units are coming through our partner, Bajaj. So we had also in the press release 100,000 retail. So if we talk about 100,000 retails, we're talking about all the retails happening except for India.

So we need to compare those two numbers, the 50,000 units, which we were selling in as wholesale compared to 100,000 retails means that we were able to reduce the stock levels by 50,000 units. You see the breakdown over the regions and brands. I think also important to mention also CFMOTO is mentioned here.

So in the first half year, we were still selling CFMOTO. That was also a proactive decision, but a joint decision. Together with our partner, CFMOTO, we have also still our joint venture for production, the CKM operation in Hangzhou where we are producing, but we said running around with five different brands as a salesperson KTM, Husqvarna, GasGas, MV and CFMOTO is simply too much. And as I said, we said we need to focus on our core brands. Therefore, we have decided to end the distribution agreement. So we are not anymore selling CFMOTO motorcycles in Europe. This ended, as said, end of June.

But in the first half year, you see that stake, and you will see it also throughout the year because this stake will simply shrink in sales, but it's part of our overall yearly performance.

The retail figures compared over the last years. And here, we are showing you the first half year. The two important lines to look at is the black one and the light gray one, the -- so the black one is 2025. This is our existing year, where you see also already at the beginning with the peak spike, which is then offsetting the lower weeks.

Before end of June, is our current business year, and we are comparing it alongside with 2019. Why 2019? That was the year before corona before we could argue that there was maybe extraordinary demand, and that's exactly also the target number, which we are aiming at for the year-end. So we had managed to sell 100,000 retails for the first half of the year.

If we are staying close to that line, this, as said, we're monitoring on a weekly basis, then we will be able to reach 200,000 for the full year, which, as said, would be a huge success, and that's the important and encouraging part for you as investors is that despite all the noise or the negative news, the retail are really, really very strong, and we have a very loyal customer base because retails are -- we are able to keep them at a high level.

This allows us to reduce our own KTM Group stock. The own KTM Group stock started. So you see in light gray, the last year's inventory numbers, how they piled up and the 66,000 which we had at the year-end. So already in January, we managed to get the 66,000 down to 62,000.

And you see how these stock levels really continued to fall throughout the year. So that's also what we have mentioned proactively as a real success of the first half year that we are converting our existing stock into cash, and we are freeing up this cash position.

Similarly, we were able -- because retail is kept at a high level, and we did not push as many new motorcycles into the dealers, this is the 50,000 we were talking about. So you see 182,000 was the level last year. So again, the light gray bold line at the top, which shows the inventory levels throughout 2024. So 182,000 was the stock level at the end of December, and we managed to bring down the 182,000 now to 132,000 end of June.

And I can also tell you that both figures are going down and continue to go down also in the future. So here, we are really right on track with exactly the mission which we have. That's, as said, part of -- and the essential part of our restructuring is to get these stock levels down.

They will not continuously fall because now we resume production, and therefore, we're also, again, starting out to send new motorcycles. If you have read already the outlook, we said that also in 2026, we will have lower unit sales. What is meant by lower unit sales, it's compared to 2024.

As I mentioned, we had 270,000 motorcycles ahead of us, one year of retail volume, historic retail volumes. So normally, you would say, okay, you can close down the factory even for a year's time, which is not feasible because, of course, you would lose all the skill levels on one hand and on the other hand, you cannot incentivize every customer to buy an old motorcycles. You need new products because some people are eager to get the latest version and the new technologies.

So it's absolutely essential and was essential to resume production. And therefore, also in 2026, we will continue with a very efficient one shift model, which for the second half of the year, we projected 50,000 motorcycles to be produced.

Here in Austria, this number, if you have a full year production, so we're only talking about five months because we started at the end of July. If you then multiply it and take it for a full year, this is an equivalent of roughly 110,000 motorcycles, which we can produce in one shift here in Austria. In historic times in two shifts, we reached 220,000 units as yearly output levels.

But, as said, the explanation for that outlook is that also in 2026, we need to allow ourselves some time because you cannot cure it in one year or especially six months now up until the end of the year. Therefore, these stock levels are continuing to go down. But, as said, it's very reassuring that it works very well.

If we now come to the results. First of all, the overall revenue split. 47% of our revenues are done in Europe, 32% in North America and 21% in rest of the world. You again see the EUR 425 million of revenues, which I've mentioned before. We see the impairment and restructuring profit of EUR 1.187 million, which leads to both a positive EBITDA and a positive EBIT.

The financial result is slightly negative because, of course, we are already paying interest rates. So it leads to a result before taxes of EUR 896 million. Taking off the income taxes leads then to a result for the period of EUR 739 million.

On the next page, the balance sheet and some key points to look out for. Number one, the goodwill. You see that we have used the crisis and the restructuring to write-off completely the goodwill. And this is something which, as said, is not existing anymore in our balance sheet.

Then we pointed out a couple of things. You see the inventory levels going down from EUR 618 million to EUR 394 million, so close to EUR 400 million. We reduced them by EUR 223 million. Trade receivables down by EUR 135 million. So of course, because of the lower volume, these numbers are going down, but we also collected very successfully, money.

Receivables and other assets, if they're -- just to readvance any question, this increase is happening because once we restarted and we had to place orders in May, June, we had to prepay our vendors. So that's the reason why we have a counter effect.

If we look to the working capital. You see assets held for sale because as of end of June, we have not had concluded the sales of Pierer & Maxcom Mobility, MV Agusta and the X-BOW operation, which I said has happened in July. So they were reclassified in assets held for sale and those are the EUR 170 million.

The equity turned positive. EUR 532 million of equity, the EUR 800 million, which we received, which I mentioned before, from Bajaj, leads to the financial liabilities of EUR 892 million. So those are the long-term one. And of course, because of IFRS 16, we have also other financial liabilities.

Yes, so that's in a nutshell, everything for the balance sheet.

Segment results. Again, a summary of the motorcycle or breakdown of the EUR 425 million into the motorcycle and the bicycle segments. You see EUR 372 million of external revenue. The majority of that or the restructuring happening in the motorcycle segment. And therefore, you see the extraordinary restructuring gain also reflected there, whereas the bicycle is with minus EUR 11 million EBITDA and EBIT. Yes, somehow stable asset, it really works out well.

The Motorcycle segment accounts for 88% of our total revenues -- and on the lower bottom, you see a breakdown how the money was provided, so EUR 350 million were given to the stock listed entity PIERER Mobility, and EUR 450 million were given to KTM AG. Together with other lease liabilities, which I've mentioned before, it's a total debt of EUR 917 million, deducting our cash at hand, EUR 161 million, we have a net debt -- or we're driving at a net debt of EUR 756 million.

Employees. The development over the last couple of years, reaching almost 6,200 in the peak of 2023. We saw how this number has come down dramatically up until end of June, and it continues to go down. I would say, another 200 to 300 people I'm expecting to, yes, to have less at year-end. Let's phrase it this way, 25% of our employees are female.

The shareholder structure. So here, you see the summary of the shareholding structure. Just as a reminder, for the PIERER Mobility AG, let's start from the bottom. So the stock listed entity, 25%, a little bit less than 25% is free float. The rest or the remainder is held by Pierer Bajaj AG, which is then has a dual shareholding. One is Pierer Industry AG with 50.1% and 49.9% for Bajaj Auto International Holdings which is owned 100% by Bajaj Auto Limited and Pierer Industry AG is 100% owned by Pierer Konzern.

Yes, so that's a summary of the current shareholder structure. I'm assuming there will be also some question how this continues in the future? We've put in the information on the right, that Bajaj Auto International Holdings has a call option to acquire all shares of Pierer Industry AG in Pierer Bajaj AG. This call option can be exercised up until the end of May.

But most importantly, this is what needs to be filed in between. This is subject to all regulatory approvals, such as takeover commission, antitrust, merger control, FDI. We have really a great team and who has already filed and submitted all those necessary documents. We're waiting for those approvals. And we, I think, compared to other countries can expect a fairly quick outcome.

We only had to file in six countries. I would say four of them are already here. And the rest, we are very optimistic that in the near future couple of weeks, 1 to 2 months, we will hopefully hear back from the remaining ones.

So a little bit to outlook, which I've mentioned before, and I try to explain why now positive then negative and then again positive. As said, so 2025, the positive result is purely attributable to the extraordinary gain of EUR 1.2 billion. So we also, for the full year, we'll expect a positive result.

Beyond 2025, in year 2026, as I told you, we are still only running with one shift model producing 100,000 or 110,000 instead of 220,000 motorcycles, which is still half of the contribution towards fixed cost towards all the operation. But the most important thing is that we are breaking-even already in 2025, but more importantly, also continue to be cash positive in 2026.

How do we achieve this? This is by, again, converting existing stock into cash. And then in 2027, we expect a positive not only EBITDA, but then also a positive EBIT. The good news is maybe contrary to other insolving companies, there is no rain dripping down of the roof. We have no investment backlog. We had really made significant investments over the last couple of years, and therefore, we are confident that we -- without spending CapEx that we can really grow back this company to its original strength and size over the next couple of years.

Yes, I think that was it from my side through the presentation. As said, I would like to leave enough time to allow questions from your side. Maybe the operator can take over and start the Q&A session and maybe disconnect also the presentation that everybody can see me answering the questions which you might have.

[Operator Instructions] Our first question comes from Constantin Hesse from Jefferies.

I actually have quite a few, so I'll just try to go for three, and then I'll come back to the queue.

So starting a bit more with questions around the short term. So just to really understand how the second half is going to move. So production-wise, you said you're running one shift, five months, 50,000 new units being produced in the second half. Can you just give us a rough idea of how we should think about sales in the second half?

And how we should think -- so I just want to understand the next 1.5 years, basically, right? So production-wise, 50,000 in the second half, 110,000 next year. Just give us the gist of it or the numbers again of the current inventory that is outstanding just to have an understanding of how we should think about this growth curve?

Because one thing that you said last -- you said you want to bring the company back to its original size in the next two years, which sounds, I mean, obviously, growth-wise, it would be quite significant. So I'm just wondering how we should think about this growth curve. If you can put it into numbers, that would be quite interesting.

Yes. I mean, original size we need to say which was the right one. I need to be more careful with this because we have laid out a very conservative business plan over the next five years, which -- but I'm talking to be really north of 200,000 units. In the peak times, we reached 326,000. So that's something which, again, I would not say in two years' time, but -- so getting closer to the 300s will -- or we are allowing ourselves at least to be conservative five years to reach back to those levels.

But coming back to a normal, maybe also, better utilization for production, as said, is at least being north of the 200,000. So second half of the year, those 50,000, which we are producing, we are very optimistic to also have at least wholesales of 50,000 also in the second half of the year.

This should be higher, but always like to leave some room for positive surprises. So that's the bare minimum to achieve. As said, I'm expecting or I'm confident with the new products that not only the new products, but we're also selling in existing stock, so the number should be around 120,000 to potentially also 140,000. So there is room for improvement, but that's -- that would be the bear minimum.

The 132,000 stock level, which you saw on the importers, these are revenues which we already made. So this is not improving ours situation, but we are watching this curve carefully because this is the indicator which takes us how much more inventory am I able to sell in, yes? Not all of that inventory is bad inventory.

So the 82,000 or the 200,000, which we saw in the peak times, yes, it was for sure too much, but you always need a certain inventory size depending on your revenues because you will have motorcycles on ships, in containers, 90 days transit in Australia, for example. So without inventory, you cannot do it.

And therefore, not all the 270,000 was necessary bad inventory. And that's something which, as said, gradually should come down. The winding off of that inventory, which you see here, the dealer and importer, as said, is not revenues for us. It's only giving and helping with retail incentives that the end customer is taking up those motorcycles.

And once they take the motorcycles, we are able to sell in and make our whole sales. So for us, our -- the inventory we need to work off is our own group stock inventory, that's the one which I showed you. That was also what we freed up. So reducing from 66,000 to 36,000 those, 30,000 motorcycles helped to free up the cash.

There was also because we were not producing at all, how can we then make those wholesales of 55,000 or 85,000, if you don't produce, the answer is because we were working off our own stock and also getting joint products from India.

Understood. Okay. Then maybe we can go into more detail offline. But then second question would be just on cash. So do you -- I mean EUR 161 million today, EUR 750 million net debt. Do you -- based on the conservative plan that you have, do you believe you have enough cash to cover the ramp and production and obviously, the respective working capital ramp, cover the restructuring costs without having to go to market over the next two years?

Yes. So that's something which the whole restructuring plan was based on that premises that we don't need to go out for another case, which, however, we have now been granted loans by Bajaj. This does not mean that we would not go out to the market. And once we have the security and the trust from the market, I mean we have three insolvent companies and there were some -- a lot of funds interested to give us money.

Again, it was [ 70 ]%, which was really not only ridiculous expensive, but so expensive that it's not sustainable. So that's something which certainly I think will be one of the things where we will seek a refinancing for one of those loans, additional cash. As said we are very confident that we don't need to reach out, especially to the capital market, to anybody else for additional cash. We are targeting to bring up the EUR 161 million or keeping them at least until the end of the year.

We have our own internal goal, which is called Mission 200, which is not the Mission200, but the mission to 200. So the Mission 200 means to target EUR 200 million of cash up until the end of the year. You have to bear in mind, currently, we don't have an ABS program in Europe. So all our receivables are unpledged, completely free.

We have stopped all those progress. Everything was paid back and that's also a big effort. So you need to imagine the efforts, which we take in the first half year, not only paying back the old frozen existing debt, but all -- everything, all the reverse factoring lines, the factoring lines, everything was paid back in full, 100%.

And we still have EUR 161 million. So once we're now -- and of course, in June, you will also see, and that's what I mentioned why we have a EUR 100 million -- let's maybe jump back to the balance sheet quickly. That's why we see also an increase because we have prepaid the materials, and we had to, again, totally understandable if the trust is gone and the suppliers don't know whether it's continuing to asking either for prepayment or prompt payment.

We carefully in our cash flow projections for this year have said 100% will be on prepayment. I can tell you now we have already achieved 30%, we have already payment terms because ever since Bajaj helped us out and we started ordering and the normal production cycle starts, a lot of companies are gaining trust again.

So that's also one of the big targets which we're trying to improve for in the second half of the year is to bring down that rate of prepayment or prompt payment to a healthy or healthier normalized levels. This will also help in -- with the working capital, again, freeing up our existing inventory will create cash. So to answer -- a long answer to your short question, I think that cash-wise, we should be comfortable.

Sounds good. Then just on the overall operational structure of the business. So historically, production capacity, a small one in Spain; obviously, Mattighofen and then, of course, production in -- with Bajaj in India and production with CFMOTO in China. Will these -- I mean, Mattighofen, of course, stays in place, one shift. In terms of the structure with Bajaj and CFMOTO that will remain in place?

So the one shift again, does not need to remain in place. This depends on the demand. I think the good thing and a positive thing is that we have two long-standing partnerships where if the demand grows for the next two years, we want to keep those efficient one-shift model and not to pay expensive second shift additions and whatsoever.

We can breathe with our international partners if the demand would be higher without going into an expensive half shift over time. I think that's really an advantage. I think independent of our shareholder structure, we need to -- as a European industrial manufacturer, we need to always ask ourselves where to produce, how to produce and this is a large part of our restructuring and efficiency program is to really source also internationally.

So the labor cost here in Austria for assembling is only 6% to 8%. So that's not the biggest burden. The biggest burden lies in really the material cost, and we source more than 72% around. We always say around our [Foreign Language] as you're German, but around the new area and here in Europe, and that's something where, yes, we have really dramatic savings potential.

That's also not to look what went wrong in the past. It was simply coming out of 2022, all our competitors or some of them were struggling, a lot of them were closed, especially the Chinese were closed for a very long time. So it was only about where do I get the materials, how much can I produce and who is the fastest, the quickest who's simply making the deal and making the money?

And I would -- I think it's fair to say that, that was not the biggest focus. We have now more than 510 suppliers is a huge supplier base, which we need to shrink down and try to cut it in half. So I think that's the biggest focus is how do we really get the material sourcing organized, how do we can simplify our portfolio, believe it or not only in motocross in India segment we have had at least 84 different models.

So I don't think that we get any more customers, but we've really -- we have six days. We have factory edition, we have all kind of championship edition. And there is a lot of savings potential by streamlining the product portfolio, simplifying it without changing something dramatically. And yes, therefore, that's the main focus.

Okay. Understood. And then just to understand, so the premium models will remain in Austria, midsized in China and lower CC engines still in India?

Yes. With the potential to grow. Also in India, future projects and also that's something which we need to exploit. As I said, at the moment, I think it's a big benefit to KTM to have such a strong partnership with Bajaj. For us, it was really the best fit. Since 17 years, we're working together. It's a long-standing partnership, which simply means continuity and stability for our business.

And yes, let's wait for all the approvals and then we will, for sure, exploit how we can really use the strength of both companies. But definitely, KTM will remain an independent company. And as said, where to produce in the future is something which no one can predict and now setting stone for even 5 years' time. Are you able to shift in one year's time? No. Yes, so that's something where, at the moment, as said, we're happy to have this setup, which allows us to breathe if demand changes and let's look in the future how this will continue.

[Operator Instructions] We have a follow-up question from Constantin Hesse.

Okay. All righty. So let me continue then. So a bit more medium-term strategic kind of questions. So I mean, obviously, you've set a 5-year plan to take the company closer to 300,000 volume level. So you are obviously aiming to regain market share.

Just to understand, is racing going to remain in place? In terms of the profitability of the company are we aiming to go back to that 8% to 10% EBIT level? Just give us a bit of an idea of how we should think about it over the next five years?

Definitely profit over growth. So that's what I've already said in some interviews. We're not -- that's not the main target to reach the 300,000 at any price in 2029. So I think most importantly, we need to become profitable and then we can start scaling again. Motorsport is part of our DNA. That's really, that's something which is not a question mark.

Of course, certain classes can be a question mark, but motorsport is part of the DNA of KTM. It always allowed also historically to reach those EBIT levels with the motorsport, which was in the peak times makes 4% of total spend. I think if you run efficiency programs, and that's also what also motors sport you need to do is to think whether I'm participating with three brands in one in the same championship and how many good drivers.

If every team has three drivers, then I need nine. How do I fine nine people who are really fighting for competition? So having a GasGas MotoGP team, so there even within the motorsport, there are savings potentials which we are doing and looking at in the future. There are ways to also offset cost.

And therefore -- but to answer your question, motorsport will remain part of the DNA. I 100% believe that it allows us to sell for a higher price in a premium compared to our competitors. This is what we are positioned. We are not in the commuter business. We are not in the lifestyle business. We are racing company, and we have very loyal customers who really choose that company exactly for that reason.

Others are chosen for it to be comfortable or to be durable. We are ready-to-race brand. And although we may be need to rethink that tagline for certain models like in adventure, that I said in an interview an adventure for me is like a Swiss knife, it has to be universal and you want to go to the city, you want to go up in the mountain or drive on a gravel road, so I don't immediately get why it needs to be ready to race necessarily because I don't want my bum to hurt after 500 kilometers.

So I think we don't need to do dramatic changes. But yes, we need to work and sharpen the profile, but racing will remain a very important part.

Okay. And then just on the EBIT margin, I'm assuming because it's [Audio Gap] streamlining your portfolio. You talked about simplifying R&D spend, profitability expected to be better relative to the historical level because of these initiatives?

Yes. That's the -- at least the ambition is to get back to historic levels. As said give me some room to then positively surprise, but they are certainly not out of reach.

Okay. Understood. And then just on the dealership network, is that going to be rationalized? Any color here would be great.

So I think we have a lot of -- it's an opportunity. We have -- although we are active since more than 40 years. We have also some white spots, which I don't know why Asia, if I look to Malaysia, for example, very rich country, very well known for peak bags. There's also a lot of races there. We have 0 to low presence of market share there. So there are some opportunities.

Do we need to necessarily grow the dealership? And we reached more than 3,000 dealers worldwide. I think that's one of the big assets of the company compared to some other competitors who are emerging. I think it's more the quality of the dealers and not necessarily growing the number of dealers and to see whether I can make more sales or better sales even with fewer ones, that's something which we need to see along the line.

But I think we need to not only identify the growth markets, but also look at markets who have really potential for us, for our products and then really develop them bit by bit.

Okay. Understood. And lastly, I mean, just in terms of shareholder structure, I mean I understand that Bajaj has a call option which has a deadline of next year. But I'm just wondering what is -- I mean what's their endgame here? Why not take care PIERER Mobility private? Do they want to keep it listed? I'm just trying to really understand how we should think about the development of the shareholding in the future.

Yes, unfortunately, Constantin that's something which I cannot -- that's something which you need to ask the shareholder. Everything I will tell you is now only -- would only be a guess or assumption and therefore, I don't want to. So -- there's only -- as you said, there's two ways. Once you have 75% either you try to go private.

If you -- I think this would have been an option if you want to have a partner and you're jointly holding it in both companies are anyway stock listed then you could ask yourself the question, why stay? Bajaj definitely itself is committed to the capital market.

So are we -- so the other option is then to -- if you have -- once you reach 75% at a later point in time to allow a capital increase and allow a dilution below. So that's something which then, of course, would be good for the free float. If you want to derisk and say I've injected in the top listed entity, EUR 350 million, so either I'm allowing a capital increase of a similar size and either dilute it down to 51% or even 48% if management program, 2%, 3% for the management, you could stay comfortable steer the company.

So those are two crossroads. As said, either I don't want to comment on the likeliness, I cannot comment on it. A third option would be to just remain as, in the past, simply with only 25% free float and a 75% shareholding. This is also the third solution. That's exactly what we've seen in the past, together with Mr. Pierer and Bajaj. So this could be also an option other than laying out and drawing these options, I really cannot comment to it.

Ladies and gentlemen, that was the last question. I would now like to turn the conference back over to Gottfried Neumeister for any closing remarks.

If there is no more questions, I'm really being thankful that you took the time to join us and to listen to our results. I'm looking forward to speaking to you again in the near future, up until then, just stay with us. Cross the fingers that we can continue this successful path, which we're now taking together with our -- with Bajaj our partner. And yes, we are very confident that we can turn around this company fairly quickly.

Thank you for your attention. Goodbye.