Zinzino B — Call Transcript 2026

Good afternoon, everyone. Welcome to this live video interview with Zinzino following the Q4 2025 report. My name is Niklas Elmhammer from Carlsquare Equity Research. We're very pleased to be joined once again by the CEO, Dag Bergheim Pettersen. As usual, we welcome questions from the audience. Don't hesitate to submit your questions on the chat function. We will try to address as many as possible. Let's turn to you, Dag. Welcome. Great to have you with us. Thank you. Thank you so much. You released your Q4 2025 report last week, so we'll discuss some of the main points. Firstly, growth. 45%, almost as strong as the previous quarter and well above your targets. Solid contributions from acquisitions and organic growth. Could you please comment on the organic growth in the quarter? It's a good summary. Thank you for that. I would say that the organic growth is much stronger than you might anticipate. Over the last years, we have done a lot of acquisitions. I don't know if we have an exact number on how you're calculating the organic growth per se, but I am very pleased with a lot of markets, like Germany is crazy good, and that region has been, like, super strong. All of the Germany and Austria and Switzerland have done, like, extremely well over the last years. We have significant growth in U.S., although that is probably the market I've had the highest amount of acquisitions that have contributed to the growth in the U.S. It's the second-largest market, while I would say that Germany is more or less only organic growth. If we move over to Europe in general, strong contribution. Same in Latin America. Asia is more or less on its own growth structure, although we've acquired two companies that contributes in Japan and Korea. Taiwan is the strongest market, and we acquired a company, I would say, seven years ago. How can you evaluate? Is that organic growth, or is it new growth? That would be the hard thing to say. I feel it's, like, organic growth. Okay. Thank you. You mentioned Central Europe. It's one of your core markets, and at least from the outside, it seemed to be one of the best performing with, I believe 66% growth in the quarter. What are the success factors? Oh, so maybe a step back could be smart to do. All of the listeners here or viewers who's watching this and knows Zinzino, for those of you, I apologize pre-handed on, in explaining. Zinzino is a global brand. We're established in the Scandinavian. We have our headquarter in Gothenburg, Sweden. You can find the reports from the last 10 years or maybe more than that, at our webpage. We are more or less selling test-based nutrition, preventative health, and very often you can see that what we have done in the core markets like the Scandinavian markets are duplicated into the other markets. There is a connection between the Scandinavians and the Europeans and what we're doing in the markets of U.S. None, none of the markets are standing alone, as you can say. Of course, what we have done over the last years and the growth that we have done in Germany is not a surprise because it's a little bit about what is the market potential. Germany has 80 million people. If you combine with Switzerland and Austria, it's 5x larger than the Scandinavian markets. We would probably be 10x larger if we did the same revenue all across the world in all our markets, if you times that with the percentage of sales that we have here in Scandinavia. Extraordinary happy with the results and the growth that we've had over the last years in Germany and the markets around Germany. It comes from our long-term ambition and the plans that we have created. I'm not sure if I answered your question other than saying that we're really happy to see that kind of growth, and we will push through to do good growth all across the world. Okay. Thank you. We have a question from the audience about subscription. Your model relies on recurring subscription revenue to a large extent. How has the subscriber base developed in Q4? What are the retention rates? That's an important question to say. We are measuring our customer base, so we have around 1 million customers who are buying frequently at this very moment. What do I mean by that? Parts of that are on subscribing or out to orders, buying one or two products. Part of that are customers who are buying, like, half a year or maybe even yearly. The point is that 80% of the revenue comes directly from customers that are buying within the last six to 12 months. What do I do with those numbers? I'm steering the activity, the inventory, forecasts, how to spend money and all that. When it comes to the second question of that question, that was the retention. It differs a lot, depending if it's on, if it's on an old market or a new market. Zinzino is 20 years old. Of course in Scandinavia we have a very loyal customer base. In Europe in general, we have a good and loyal customer base. In, in the U.S., I would say since we've been there for 10 years, we have a pretty good and loyal customer base. In all new markets, it takes a little bit time for the subscription model to really breathe in into the culture of how people are buying. Okay. We have one more question regarding numbers, so to speak. What is the total number of distributors globally? Yeah. We define them in active and non-inactive. I think it's around 40,000 more or less active distributors or field members who are selling the product all across the world. Okay. Thank you. Regarding M&A, you have been active in 2025 and 2026, and you acquired It Works! recently. Yes. With, what does the integration timeline look like, and what are the sort of, key synergies you expect? I have a lot of internal questions in regards to this. I hope my staff is watching as well. They are sometimes tired of me and us acquiring a lot of companies. You said that we have been buying some. If you look at the last year, it has been a crazy development on that. I will repeat myself in general terms before I'm going into It Works!, and this is more like a reminder for everyone who's watching who understands Zinzino, but also the new ones. We have an ambition of being the number one direct sales company on this planet, which is crazy ambitious. We strongly believe that we're gonna grow and do extraordinary good over the next years. A part of our strategy is acquiring companies, and why do we do that? Well, it is to have increased distribution base. It's also maybe turning into new markets. It could be because we wanna have new products or ingredients, or it could be all of those above. Of course, in many of the cases that we are going into, we find synergies in the, on the tech side, more or less, the Mexican companies now implemented totally into Zinzino. We established ourselves in Peru and are soon gonna go into Colombia as well, and we got new products. All of their customer base and their partner base are in our technical system, meaning that what they spent on money on IT is now not a part of our cost structure. Secondly, they had customer care. We are saving money on that. Marketing and branding, we are saving money on that. The scale of the business is also somewhere where we are saving a lot of, I would say, money, which is more or less in technical terms, financial terms, synergies. You can see the same thing for It Works!. In It Works!, we are now this week, next week, putting all the customers and the partners into our system, meaning that we will close down It Works!' system in the end of March, more or less, maybe April. Let's see. We have a lot of synergies on the financial part, customer care, marketing, branding, logistics. There is a lot of good synergies in that acquisition as well. In another point is scale of the business. Why do we have the profits in Q4 and Q3 as we had? Well, it's because we are scaling the business, meaning that we get more revenue per use of cost. That is kind of the bottom line of why we are doing acquisitions and also how we look at this acquisition in itself. Although it's not easy to do these kind of acquisitions, but we've been pulling that through pretty well over the last years. Okay, thank you. Regarding margins, as you mentioned, the gross margin was increased in a nice way in the quarter. Mm. From a weaker U.S. dollar and lower input costs, for example. How sustainable is that going forward, and how is that the growth margin being affected by the spree of acquisitions? I'm not sure if we have calculated that, and it's a little bit. You need to do some definitions on where are you gonna say that this was an acquisition that. We have seen in many of the acquisition is that when they come into our system, they're able to grow business from where they, from where we acquired them. That has been a great synergy in itself. On the profit, on the growth side, you were asking could we sustain a 45% growth? Is that the question? Actually, the question was about the growth margin, which has fluctuated. Ah. Over the years. Is this level sustainable now? I think I'm gonna answer the same way I did a year ago, and that is that if we wanted to sustain that and just focusing on that, it wouldn't be too hard. Remember, we are investing in new technology and products, in new markets and in people and systems and technologies. We are having what we call sustainable growth as one of those, and profitable growth as one of those leaders. What we have, you can say lowballing goal is that we're gonna increase the margins a little bit. That's our promise, and we're saying that we're gonna have 20% growth over the next sequence of the next three years, and then we are promising that the EBITDA margin will be above 11%. It wouldn't be a problem for us to have those profits if we wanted to. We are having a bigger goal, and over the next years we would like to grow the markets, invest, and building a much more bigger company than what we have today. That needs investments. We are gonna have profit. We're gonna have sustainable profitable growth, we are promising everyone what we're promising on page six, and that is above 20% and above 11% EBITDA. Okay. Yeah, that's what was actually my question regarding the margin target, given that you already achieved it through your... 2025. I do understand the question because it's much lower than what we accomplished 2025, so it's a little bit boring maybe and lowballing or you can call it whatever you like. We are investing, so my thinking is like this. This is what we promise. This is what we would like to really over-deliver on. That's where we are aim, have our aims. Okay. The 20% growth target could also perhaps be a bit conservative given that you already have made acquisitions for example, including It Works!. Yeah, you're right. It might be on the low end, you cannot take anything for granted. It's just like to see what is happening now in Iran, it impacts us shortly. You have a lot of outstanding things that could happen to us as a company, I am pretty sure that we will be above 20% with It Works!. It's a lot of work implementing a company like that, it's the largest acquisitions that we've done by far. My hope is that we will be on 25% or even 30% growth this year. Let's see. It's a little bit early to say. Okay. Okay, do you have any comments on trading so far in 2026? I mean, you released your January sales report at 20%, I believe, growth. I don't. It's one of those things that you shouldn't do too much of a comment on are the stock trading and all that. I think one of the things that we're hit by last year was short sellers. I'm thinking like this, that we will always get the right kind of price and the right kind of trading when we're performing well. My idea is to concentrate our work on doing our job perfectly, improvement constantly, and expanding, growing, showing positive return on that, all the investments that we're doing, scaling the business and be a very consistent growth player for every shareholder. What I'm extremely happy about is that we've had 13 years of paying out dividend, and at the same time being able to build the business like we are doing. Despite that we are giving out a lot of the money and working capital, we've never had a better financial situation than what we are in at the moment. I am quite pleased with what things are. What's happening. I think that we will get the fair trading and fair amount of trading as well. Okay. Another question regarding expansion acquisition. With acquisition largely funded through share issuance, can you commit that future M&A will be consistently EPS accretive? What does that mean? that you will be able to increase EPS even though you issue new shares to sellers. Guarantees. Well, that's a difficult word maybe. It's quite brilliant. It's quite geniusly what we're doing because what we are buying the companies for, if you look at, if you look at how we're doing the acquisitions and you look at what growth you can see, it's brilliant for us to have a tool like that. We are buying the companies with our shares. Most of those companies have a much lower price per sales than Zinzino. If we are succeeding with It Works!, we bought them for $30 million, we're expecting $60 million in revenue. If you just take, like, a very easy math on that, is that's gonna be price per sales, you know, 0.5, while Zinzino is trading on 1.5. If you look at those kind of ways of how we're building and doing the acquisitions, I'm almost surprised that people are not asking us for advice on how to acquire companies through issues of the shares. If I'm gonna give you a guarantee here, well, I'm guaranteeing you that I would say every one of the 13, 14 acquisitions that we've done, I would say that 90% of them have been really successful, and they have been really, really good for Zinzino business. If we're gonna have, like, that kind of hit rate moving forward, who knows? We put a lot of effort in evaluating and doing due diligence before we are acquiring companies. Okay. Thank you. That's a good answer, I believe. Also. It's a long answer. Unfortunately, I think we have to wrap it up. We're running out of time. Thank you, Dag, for a terrific interview, as always. Thank you. It's a pleasure being here, and thank you all for-

Speaker 2: Good afternoon, everyone. Welcome to this live video interview with Zinzino following the Q4 2025 report. My name is Niklas Elmhammer from Carlsquare Equity Research. We're very pleased to be joined once again by the CEO, Dag Bergheim Pettersen. As usual, we welcome questions from the audience. Don't hesitate to submit your questions on the chat function. We will try to address as many as possible. Let's turn to you, Dag. Welcome. Great to have you with us. Good afternoon, everyone. good afternoon everyone Welcome to this live video interview with Zinzino following the Q4 2025 report. welcome to this live video interview with zinzino following the q4 2025 report My name is Niklas Elmhammer from Carlsquare Equity Research. my name is niklas elmhammer from carlsquare equity research We're very pleased to be joined once again by the CEO, Dag Bergheim Pettersen. we're very pleased to be joined once again by the ceo dag bergheim pettersen As usual, we welcome questions from the audience. as usual we welcome questions from the audience Don't hesitate to submit your questions on the chat function. don't hesitate to submit your questions on the chat function We will try to address as many as possible. we will try to address as many as possible Let's turn to you, Dag. let's turn to you dag Welcome. welcome Great to have you with us. great to have you with us

Speaker 1: Thank you. Thank you so much. Thank you. thank you Thank you so much. thank you so much

Speaker 2: You released your Q4 2025 report last week, so we'll discuss some of the main points. Firstly, growth. 45%, almost as strong as the previous quarter and well above your targets. Solid contributions from acquisitions and organic growth. Could you please comment on the organic growth in the quarter? You released your Q4 2025 report last week, so we'll discuss some of the main points. you released your q4 2025 report last week so we'll discuss some of the main points Firstly, growth. 45%, almost as strong as the previous quarter and well above your targets. firstly growth 45% almost as strong as the previous quarter and well above your targets Solid contributions from acquisitions and organic growth. solid contributions from acquisitions and organic growth Could you please comment on the organic growth in the quarter? could you please comment on the organic growth in the quarter

Speaker 1: It's a good summary. Thank you for that. I would say that the organic growth is much stronger than you might anticipate. Over the last years, we have done a lot of acquisitions. I don't know if we have an exact number on how you're calculating the organic growth per se, but I am very pleased with a lot of markets, like Germany is crazy good, and that region has been, like, super strong. All of the Germany and Austria and Switzerland have done, like, extremely well over the last years. We have significant growth in U.S., although that is probably the market I've had the highest amount of acquisitions that have contributed to the growth in the U.S. It's a good summary. it's a good summary Thank you for that. thank you for that I would say that the organic growth is much stronger than you might anticipate. i would say that the organic growth is much stronger than you might anticipate Over the last years, we have done a lot of acquisitions. over the last years we have done a lot of acquisitions I don't know if we have an exact number on how you're calculating the organic growth per se, but I am very pleased with a lot of markets, like Germany is crazy good, and that region has been, like, super strong. i don't know if we have an exact number on how you're calculating the organic growth per se but i am very pleased with a lot of markets like germany is crazy good and that region has been like super strong All of the Germany and Austria and Switzerland have done, like, extremely well over the last years. all of the germany and austria and switzerland have done like extremely well over the last years We have significant growth in U.S., although that is probably the market I've had the highest amount of acquisitions that have contributed to the growth in the U.S. we have significant growth in u.s although that is probably the market i've had the highest amount of acquisitions that have contributed to the growth in the u.s It's the second-largest market, while I would say that Germany is more or less only organic growth. If we move over to Europe in general, strong contribution. Same in Latin America. Asia is more or less on its own growth structure, although we've acquired two companies that contributes in Japan and Korea. Taiwan is the strongest market, and we acquired a company, I would say, seven years ago. How can you evaluate? Is that organic growth, or is it new growth? That would be the hard thing to say. I feel it's, like, organic growth. It's the second-largest market, while I would say that Germany is more or less only organic growth. it's the second-largest market while i would say that germany is more or less only organic growth If we move over to Europe in general, strong contribution. if we move over to europe in general strong contribution Same in Latin America. same in latin america Asia is more or less on its own growth structure, although we've acquired two companies that contributes in Japan and Korea. asia is more or less on its own growth structure although we've acquired two companies that contributes in japan and korea Taiwan is the strongest market, and we acquired a company, I would say, seven years ago. taiwan is the strongest market and we acquired a company i would say seven years ago How can you evaluate? how can you evaluate Is that organic growth, or is it new growth? is that organic growth or is it new growth That would be the hard thing to say. that would be the hard thing to say I feel it's, like, organic growth. i feel it's like organic growth

Speaker 2: Okay. Thank you. You mentioned Central Europe. It's one of your core markets, and at least from the outside, it seemed to be one of the best performing with, I believe 66% growth in the quarter. What are the success factors? Okay. okay Thank you. thank you You mentioned Central Europe. you mentioned central europe It's one of your core markets, and at least from the outside, it seemed to be one of the best performing with, I believe 66% growth in the quarter. it's one of your core markets and at least from the outside it seemed to be one of the best performing with i believe 66% growth in the quarter What are the success factors? what are the success factors

Speaker 1: Oh, so maybe a step back could be smart to do. All of the listeners here or viewers who's watching this and knows Zinzino, for those of you, I apologize pre-handed on, in explaining. Zinzino is a global brand. We're established in the Scandinavian. We have our headquarter in Gothenburg, Sweden. You can find the reports from the last 10 years or maybe more than that, at our webpage. We are more or less selling test-based nutrition, preventative health, and very often you can see that what we have done in the core markets like the Scandinavian markets are duplicated into the other markets. There is a connection between the Scandinavians and the Europeans and what we're doing in the markets of U.S. Oh, so maybe a step back could be smart to do. oh so maybe a step back could be smart to do All of the listeners here or viewers who's watching this and knows Zinzino, for those of you, I apologize pre-handed on, in explaining. all of the listeners here or viewers who's watching this and knows zinzino for those of you i apologize pre-handed on in explaining Zinzino is a global brand. zinzino is a global brand We're established in the Scandinavian. we're established in the scandinavian We have our headquarter in Gothenburg, Sweden. we have our headquarter in gothenburg sweden You can find the reports from the last 10 years or maybe more than that, at our webpage. you can find the reports from the last 10 years or maybe more than that at our webpage We are more or less selling test-based nutrition, preventative health, and very often you can see that what we have done in the core markets like the Scandinavian markets are duplicated into the other markets. we are more or less selling test-based nutrition preventative health and very often you can see that what we have done in the core markets like the scandinavian markets are duplicated into the other markets There is a connection between the Scandinavians and the Europeans and what we're doing in the markets of U.S. there is a connection between the scandinavians and the europeans and what we're doing in the markets of u.s None, none of the markets are standing alone, as you can say. Of course, what we have done over the last years and the growth that we have done in Germany is not a surprise because it's a little bit about what is the market potential. Germany has 80 million people. If you combine with Switzerland and Austria, it's 5x larger than the Scandinavian markets. We would probably be 10x larger if we did the same revenue all across the world in all our markets, if you times that with the percentage of sales that we have here in Scandinavia. None, none of the markets are standing alone, as you can say. none none of the markets are standing alone as you can say Of course, what we have done over the last years and the growth that we have done in Germany is not a surprise because it's a little bit about what is the market potential. of course what we have done over the last years and the growth that we have done in germany is not a surprise because it's a little bit about what is the market potential Germany has 80 million people. germany has 80 million people If you combine with Switzerland and Austria, it's 5 x larger than the Scandinavian markets. if you combine with switzerland and austria it's 5 x larger than the scandinavian markets We would probably be 10 x larger if we did the same revenue all across the world in all our markets, if you times that with the percentage of sales that we have here in Scandinavia. we would probably be 10 x larger if we did the same revenue all across the world in all our markets if you times that with the percentage of sales that we have here in scandinavia Extraordinary happy with the results and the growth that we've had over the last years in Germany and the markets around Germany. It comes from our long-term ambition and the plans that we have created. I'm not sure if I answered your question other than saying that we're really happy to see that kind of growth, and we will push through to do good growth all across the world. Extraordinary happy with the results and the growth that we've had over the last years in Germany and the markets around Germany. extraordinary happy with the results and the growth that we've had over the last years in germany and the markets around germany It comes from our long-term ambition and the plans that we have created. it comes from our long-term ambition and the plans that we have created I'm not sure if I answered your question other than saying that we're really happy to see that kind of growth, and we will push through to do good growth all across the world. i'm not sure if i answered your question other than saying that we're really happy to see that kind of growth and we will push through to do good growth all across the world

Speaker 2: Okay. Thank you. We have a question from the audience about subscription. Your model relies on recurring subscription revenue to a large extent. How has the subscriber base developed in Q4? What are the retention rates? Okay. okay Thank you. thank you We have a question from the audience about subscription. we have a question from the audience about subscription Your model relies on recurring subscription revenue to a large extent. your model relies on recurring subscription revenue to a large extent How has the subscriber base developed in Q4? how has the subscriber base developed in q4 What are the retention rates? what are the retention rates

Speaker 1: That's an important question to say. We are measuring our customer base, so we have around 1 million customers who are buying frequently at this very moment. What do I mean by that? Parts of that are on subscribing or out to orders, buying one or two products. Part of that are customers who are buying, like, half a year or maybe even yearly. The point is that 80% of the revenue comes directly from customers that are buying within the last six to 12 months. What do I do with those numbers? I'm steering the activity, the inventory, forecasts, how to spend money and all that. When it comes to the second question of that question, that was the retention. That's an important question to say. that's an important question to say We are measuring our customer base, so we have around 1 million customers who are buying frequently at this very moment. we are measuring our customer base so we have around 1 million customers who are buying frequently at this very moment What do I mean by that? what do i mean by that Parts of that are on subscribing or out to orders, buying one or two products. parts of that are on subscribing or out to orders buying one or two products Part of that are customers who are buying, like, half a year or maybe even yearly. part of that are customers who are buying like half a year or maybe even yearly The point is that 80% of the revenue comes directly from customers that are buying within the last six to 12 months. the point is that 80% of the revenue comes directly from customers that are buying within the last six to 12 months What do I do with those numbers? what do i do with those numbers I'm steering the activity, the inventory, forecasts, how to spend money and all that. i'm steering the activity the inventory forecasts how to spend money and all that When it comes to the second question of that question, that was the retention. when it comes to the second question of that question that was the retention It differs a lot, depending if it's on, if it's on an old market or a new market. Zinzino is 20 years old. Of course in Scandinavia we have a very loyal customer base. In Europe in general, we have a good and loyal customer base. In, in the U.S., I would say since we've been there for 10 years, we have a pretty good and loyal customer base. In all new markets, it takes a little bit time for the subscription model to really breathe in into the culture of how people are buying. It differs a lot, depending if it's on, if it's on an old market or a new market. it differs a lot depending if it's on if it's on an old market or a new market Zinzino is 20 years old. zinzino is 20 years old Of course in Scandinavia we have a very loyal customer base. of course in scandinavia we have a very loyal customer base In Europe in general, we have a good and loyal customer base. in europe in general we have a good and loyal customer base In, in the U.S., I would say since we've been there for 10 years, we have a pretty good and loyal customer base. in in the u.s i would say since we've been there for 10 years we have a pretty good and loyal customer base In all new markets, it takes a little bit time for the subscription model to really breathe in into the culture of how people are buying. in all new markets it takes a little bit time for the subscription model to really breathe in into the culture of how people are buying

Speaker 2: Okay. We have one more question regarding numbers, so to speak. What is the total number of distributors globally? Yeah. Okay. okay We have one more question regarding numbers, so to speak. we have one more question regarding numbers so to speak What is the total number of distributors globally? what is the total number of distributors globally Yeah. yeah

Speaker 1: We define them in active and non-inactive. I think it's around 40,000 more or less active distributors or field members who are selling the product all across the world. We define them in active and non-inactive. we define them in active and non-inactive I think it's around 40,000 more or less active distributors or field members who are selling the product all across the world. i think it's around 40,000 more or less active distributors or field members who are selling the product all across the world

Speaker 2: Okay. Thank you. Regarding M&A, you have been active in 2025 and 2026, and you acquired It Works! recently. Okay. okay Thank you. thank you Regarding M&A, you have been active in 2025 and 2026, and you acquired It Works! recently. regarding m&a you have been active in 2025 and 2026 and you acquired it works recently

Speaker 1: Yes. Yes. yes

Speaker 2: With, what does the integration timeline look like, and what are the sort of, key synergies you expect? With, what does the integration timeline look like, and what are the sort of, key synergies you expect? with what does the integration timeline look like and what are the sort of key synergies you expect

Speaker 1: I have a lot of internal questions in regards to this. I hope my staff is watching as well. They are sometimes tired of me and us acquiring a lot of companies. You said that we have been buying some. If you look at the last year, it has been a crazy development on that. I will repeat myself in general terms before I'm going into It Works!, and this is more like a reminder for everyone who's watching who understands Zinzino, but also the new ones. We have an ambition of being the number one direct sales company on this planet, which is crazy ambitious. We strongly believe that we're gonna grow and do extraordinary good over the next years. A part of our strategy is acquiring companies, and why do we do that? I have a lot of internal questions in regards to this. i have a lot of internal questions in regards to this I hope my staff is watching as well. i hope my staff is watching as well They are sometimes tired of me and us acquiring a lot of companies. they are sometimes tired of me and us acquiring a lot of companies You said that we have been buying some. you said that we have been buying some If you look at the last year, it has been a crazy development on that. if you look at the last year it has been a crazy development on that I will repeat myself in general terms before I'm going into It Works!, and this is more like a reminder for everyone who's watching who understands Zinzino, but also the new ones. i will repeat myself in general terms before i'm going into it works and this is more like a reminder for everyone who's watching who understands zinzino but also the new ones We have an ambition of being the number one direct sales company on this planet, which is crazy ambitious. we have an ambition of being the number one direct sales company on this planet which is crazy ambitious We strongly believe that we're gonna grow and do extraordinary good over the next years. we strongly believe that we're gonna grow and do extraordinary good over the next years A part of our strategy is acquiring companies, and why do we do that? a part of our strategy is acquiring companies and why do we do that Well, it is to have increased distribution base. It's also maybe turning into new markets. It could be because we wanna have new products or ingredients, or it could be all of those above. Of course, in many of the cases that we are going into, we find synergies in the, on the tech side, more or less, the Mexican companies now implemented totally into Zinzino. We established ourselves in Peru and are soon gonna go into Colombia as well, and we got new products. All of their customer base and their partner base are in our technical system, meaning that what they spent on money on IT is now not a part of our cost structure. Secondly, they had customer care. We are saving money on that. Well, it is to have increased distribution base. well it is to have increased distribution base It's also maybe turning into new markets. it's also maybe turning into new markets It could be because we wanna have new products or ingredients, or it could be all of those above. it could be because we wanna have new products or ingredients or it could be all of those above Of course, in many of the cases that we are going into, we find synergies in the, on the tech side, more or less, the Mexican companies now implemented totally into Zinzino. of course in many of the cases that we are going into we find synergies in the on the tech side more or less the mexican companies now implemented totally into zinzino We established ourselves in Peru and are soon gonna go into Colombia as well, and we got new products. we established ourselves in peru and are soon gonna go into colombia as well and we got new products All of their customer base and their partner base are in our technical system, meaning that what they spent on money on IT is now not a part of our cost structure. all of their customer base and their partner base are in our technical system meaning that what they spent on money on it is now not a part of our cost structure Secondly, they had customer care. secondly they had customer care We are saving money on that. we are saving money on that Marketing and branding, we are saving money on that. The scale of the business is also somewhere where we are saving a lot of, I would say, money, which is more or less in technical terms, financial terms, synergies. You can see the same thing for It Works!. In It Works!, we are now this week, next week, putting all the customers and the partners into our system, meaning that we will close down It Works!' system in the end of March, more or less, maybe April. Let's see. We have a lot of synergies on the financial part, customer care, marketing, branding, logistics. There is a lot of good synergies in that acquisition as well. In another point is scale of the business. Why do we have the profits in Q4 and Q3 as we had? Marketing and branding, we are saving money on that. marketing and branding we are saving money on that The scale of the business is also somewhere where we are saving a lot of, I would say, money, which is more or less in technical terms, financial terms, synergies. the scale of the business is also somewhere where we are saving a lot of i would say money which is more or less in technical terms financial terms synergies You can see the same thing for It Works!. you can see the same thing for it works In It Works!, we are now this week, next week, putting all the customers and the partners into our system, meaning that we will close down It Works!' system in the end of March, more or less, maybe April. in it works we are now this week next week putting all the customers and the partners into our system meaning that we will close down it works!' system in the end of march more or less maybe april Let's see. let's see We have a lot of synergies on the financial part, customer care, marketing, branding, logistics. we have a lot of synergies on the financial part customer care marketing branding logistics There is a lot of good synergies in that acquisition as well. there is a lot of good synergies in that acquisition as well In another point is scale of the business. in another point is scale of the business Why do we have the profits in Q4 and Q3 as we had? why do we have the profits in q4 and q3 as we had Well, it's because we are scaling the business, meaning that we get more revenue per use of cost. That is kind of the bottom line of why we are doing acquisitions and also how we look at this acquisition in itself. Although it's not easy to do these kind of acquisitions, but we've been pulling that through pretty well over the last years. Well, it's because we are scaling the business, meaning that we get more revenue per use of cost. well it's because we are scaling the business meaning that we get more revenue per use of cost That is kind of the bottom line of why we are doing acquisitions and also how we look at this acquisition in itself. that is kind of the bottom line of why we are doing acquisitions and also how we look at this acquisition in itself Although it's not easy to do these kind of acquisitions, but we've been pulling that through pretty well over the last years. although it's not easy to do these kind of acquisitions but we've been pulling that through pretty well over the last years

Speaker 2: Okay, thank you. Regarding margins, as you mentioned, the gross margin was increased in a nice way in the quarter. Okay, thank you. okay thank you Regarding margins, as you mentioned, the gross margin was increased in a nice way in the quarter. regarding margins as you mentioned the gross margin was increased in a nice way in the quarter

Speaker 1: Mm. Mm. mm

Speaker 2: From a weaker U.S. dollar and lower input costs, for example. How sustainable is that going forward, and how is that the growth margin being affected by the spree of acquisitions? From a weaker U.S. dollar and lower input costs, for example. from a weaker u.s dollar and lower input costs for example How sustainable is that going forward, and how is that the growth margin being affected by the spree of acquisitions? how sustainable is that going forward and how is that the growth margin being affected by the spree of acquisitions

Speaker 1: I'm not sure if we have calculated that, and it's a little bit. You need to do some definitions on where are you gonna say that this was an acquisition that. We have seen in many of the acquisition is that when they come into our system, they're able to grow business from where they, from where we acquired them. That has been a great synergy in itself. On the profit, on the growth side, you were asking could we sustain a 45% growth? Is that the question? I'm not sure if we have calculated that, and it's a little bit. i'm not sure if we have calculated that and it's a little bit You need to do some definitions on where are you gonna say that this was an acquisition that. you need to do some definitions on where are you gonna say that this was an acquisition that We have seen in many of the acquisition is that when they come into our system, they're able to grow business from where they, from where we acquired them. we have seen in many of the acquisition is that when they come into our system they're able to grow business from where they from where we acquired them That has been a great synergy in itself. that has been a great synergy in itself On the profit, on the growth side, you were asking could we sustain a 45% growth? on the profit on the growth side you were asking could we sustain a 45% growth Is that the question? is that the question

Speaker 2: Actually, the question was about the growth margin, which has fluctuated. Actually, the question was about the growth margin, which has fluctuated. actually the question was about the growth margin which has fluctuated

Speaker 1: Ah. Ah. ah

Speaker 2: Over the years. Is this level sustainable now? Over the years. over the years Is this level sustainable now? is this level sustainable now

Speaker 1: I think I'm gonna answer the same way I did a year ago, and that is that if we wanted to sustain that and just focusing on that, it wouldn't be too hard. Remember, we are investing in new technology and products, in new markets and in people and systems and technologies. We are having what we call sustainable growth as one of those, and profitable growth as one of those leaders. What we have, you can say lowballing goal is that we're gonna increase the margins a little bit. That's our promise, and we're saying that we're gonna have 20% growth over the next sequence of the next three years, and then we are promising that the EBITDA margin will be above 11%. I think I'm gonna answer the same way I did a year ago, and that is that if we wanted to sustain that and just focusing on that, it wouldn't be too hard. i think i'm gonna answer the same way i did a year ago and that is that if we wanted to sustain that and just focusing on that it wouldn't be too hard Remember, we are investing in new technology and products, in new markets and in people and systems and technologies. remember we are investing in new technology and products in new markets and in people and systems and technologies We are having what we call sustainable growth as one of those, and profitable growth as one of those leaders. we are having what we call sustainable growth as one of those and profitable growth as one of those leaders What we have, you can say lowballing goal is that we're gonna increase the margins a little bit. what we have you can say lowballing goal is that we're gonna increase the margins a little bit That's our promise, and we're saying that we're gonna have 20% growth over the next sequence of the next three years, and then we are promising that the EBITDA margin will be above 11%. that's our promise and we're saying that we're gonna have 20% growth over the next sequence of the next three years and then we are promising that the ebitda margin will be above 11% It wouldn't be a problem for us to have those profits if we wanted to. We are having a bigger goal, and over the next years we would like to grow the markets, invest, and building a much more bigger company than what we have today. That needs investments. We are gonna have profit. We're gonna have sustainable profitable growth, we are promising everyone what we're promising on page six, and that is above 20% and above 11% EBITDA. It wouldn't be a problem for us to have those profits if we wanted to. it wouldn't be a problem for us to have those profits if we wanted to We are having a bigger goal, and over the next years we would like to grow the markets, invest, and building a much more bigger company than what we have today. we are having a bigger goal and over the next years we would like to grow the markets invest and building a much more bigger company than what we have today That needs investments. that needs investments We are gonna have profit. we are gonna have profit We're gonna have sustainable profitable growth, we are promising everyone what we're promising on page six, and that is above 20% and above 11% EBITDA. we're gonna have sustainable profitable growth we are promising everyone what we're promising on page six and that is above 20% and above 11% ebitda

Speaker 2: Okay. Yeah, that's what was actually my question regarding the margin target, given that you already achieved it through your... 2025. Okay. okay Yeah, that's what was actually my question regarding the margin target, given that you already achieved it through your... 2025. yeah that's what was actually my question regarding the margin target given that you already achieved it through your 2025

Speaker 1: I do understand the question because it's much lower than what we accomplished 2025, so it's a little bit boring maybe and lowballing or you can call it whatever you like. We are investing, so my thinking is like this. This is what we promise. This is what we would like to really over-deliver on. That's where we are aim, have our aims. I do understand the question because it's much lower than what we accomplished 2025, so it's a little bit boring maybe and lowballing or you can call it whatever you like. i do understand the question because it's much lower than what we accomplished 2025 so it's a little bit boring maybe and lowballing or you can call it whatever you like We are investing, so my thinking is like this. we are investing so my thinking is like this This is what we promise. this is what we promise This is what we would like to really over-deliver on. this is what we would like to really over-deliver on That's where we are aim, have our aims. that's where we are aim have our aims

Speaker 2: Okay. The 20% growth target could also perhaps be a bit conservative given that you already have made acquisitions for example, including It Works!. Okay. okay The 20% growth target could also perhaps be a bit conservative given that you already have made acquisitions for example, including It Works!. the 20% growth target could also perhaps be a bit conservative given that you already have made acquisitions for example including it works

Speaker 1: Yeah, you're right. It might be on the low end, you cannot take anything for granted. It's just like to see what is happening now in Iran, it impacts us shortly. You have a lot of outstanding things that could happen to us as a company, I am pretty sure that we will be above 20% with It Works!. It's a lot of work implementing a company like that, it's the largest acquisitions that we've done by far. My hope is that we will be on 25% or even 30% growth this year. Let's see. It's a little bit early to say. Yeah, you're right. yeah you're right It might be on the low end, you cannot take anything for granted. it might be on the low end you cannot take anything for granted It's just like to see what is happening now in Iran, it impacts us shortly. it's just like to see what is happening now in iran it impacts us shortly You have a lot of outstanding things that could happen to us as a company, I am pretty sure that we will be above 20% with It Works!. you have a lot of outstanding things that could happen to us as a company i am pretty sure that we will be above 20% with it works It's a lot of work implementing a company like that, it's the largest acquisitions that we've done by far. it's a lot of work implementing a company like that it's the largest acquisitions that we've done by far My hope is that we will be on 25% or even 30% growth this year. my hope is that we will be on 25% or even 30% growth this year Let's see. let's see It's a little bit early to say. it's a little bit early to say

Speaker 2: Okay. Okay, do you have any comments on trading so far in 2026? I mean, you released your January sales report at 20%, I believe, growth. Okay. okay Okay, do you have any comments on trading so far in 2026? okay do you have any comments on trading so far in 2026 I mean, you released your January sales report at 20%, I believe, growth. i mean you released your january sales report at 20% i believe growth

Speaker 1: I don't. It's one of those things that you shouldn't do too much of a comment on are the stock trading and all that. I think one of the things that we're hit by last year was short sellers. I'm thinking like this, that we will always get the right kind of price and the right kind of trading when we're performing well. My idea is to concentrate our work on doing our job perfectly, improvement constantly, and expanding, growing, showing positive return on that, all the investments that we're doing, scaling the business and be a very consistent growth player for every shareholder. I don't. i don't It's one of those things that you shouldn't do too much of a comment on are the stock trading and all that. it's one of those things that you shouldn't do too much of a comment on are the stock trading and all that I think one of the things that we're hit by last year was short sellers. i think one of the things that we're hit by last year was short sellers I'm thinking like this, that we will always get the right kind of price and the right kind of trading when we're performing well. i'm thinking like this that we will always get the right kind of price and the right kind of trading when we're performing well My idea is to concentrate our work on doing our job perfectly, improvement constantly, and expanding, growing, showing positive return on that, all the investments that we're doing, scaling the business and be a very consistent growth player for every shareholder. my idea is to concentrate our work on doing our job perfectly improvement constantly and expanding growing showing positive return on that all the investments that we're doing scaling the business and be a very consistent growth player for every shareholder What I'm extremely happy about is that we've had 13 years of paying out dividend, and at the same time being able to build the business like we are doing. Despite that we are giving out a lot of the money and working capital, we've never had a better financial situation than what we are in at the moment. I am quite pleased with what things are. What's happening. I think that we will get the fair trading and fair amount of trading as well. What I'm extremely happy about is that we've had 13 years of paying out dividend, and at the same time being able to build the business like we are doing. Despite that we are giving out a lot of the money and working capital, we've never had a better financial situation than what we are in at the moment. what i'm extremely happy about is that we've had 13 years of paying out dividend and at the same time being able to build the business like we are doing. despite that we are giving out a lot of the money and working capital we've never had a better financial situation than what we are in at the moment I am quite pleased with what things are. i am quite pleased with what things are What's happening. what's happening I think that we will get the fair trading and fair amount of trading as well. i think that we will get the fair trading and fair amount of trading as well

Speaker 2: Okay. Another question regarding expansion acquisition. With acquisition largely funded through share issuance, can you commit that future M&A will be consistently EPS accretive? Okay. okay Another question regarding expansion acquisition. another question regarding expansion acquisition With acquisition largely funded through share issuance, can you commit that future M&A will be consistently EPS accretive? with acquisition largely funded through share issuance can you commit that future m&a will be consistently eps accretive

Speaker 1: What does that mean? What does that mean? what does that mean

Speaker 2: that you will be able to increase EPS even though you issue new shares to sellers. that you will be able to increase EPS even though you issue new shares to sellers. that you will be able to increase eps even though you issue new shares to sellers

Speaker 1: Guarantees. Well, that's a difficult word maybe. It's quite brilliant. It's quite geniusly what we're doing because what we are buying the companies for, if you look at, if you look at how we're doing the acquisitions and you look at what growth you can see, it's brilliant for us to have a tool like that. We are buying the companies with our shares. Most of those companies have a much lower price per sales than Zinzino. If we are succeeding with It Works!, we bought them for $30 million, we're expecting $60 million in revenue. If you just take, like, a very easy math on that, is that's gonna be price per sales, you know, 0.5, while Zinzino is trading on 1.5. Guarantees. guarantees Well, that's a difficult word maybe. well that's a difficult word maybe It's quite brilliant. it's quite brilliant It's quite geniusly what we're doing because what we are buying the companies for, if you look at, if you look at how we're doing the acquisitions and you look at what growth you can see, it's brilliant for us to have a tool like that. it's quite geniusly what we're doing because what we are buying the companies for if you look at if you look at how we're doing the acquisitions and you look at what growth you can see it's brilliant for us to have a tool like that We are buying the companies with our shares. we are buying the companies with our shares Most of those companies have a much lower price per sales than Zinzino. most of those companies have a much lower price per sales than zinzino If we are succeeding with It Works!, we bought them for $30 million, we're expecting $60 million in revenue. if we are succeeding with it works we bought them for $30 million we're expecting $60 million in revenue If you just take, like, a very easy math on that, is that's gonna be price per sales, you know, 0.5, while Zinzino is trading on 1.5. if you just take like a very easy math on that is that's gonna be price per sales you know 0.5 while zinzino is trading on 1.5 If you look at those kind of ways of how we're building and doing the acquisitions, I'm almost surprised that people are not asking us for advice on how to acquire companies through issues of the shares. If I'm gonna give you a guarantee here, well, I'm guaranteeing you that I would say every one of the 13, 14 acquisitions that we've done, I would say that 90% of them have been really successful, and they have been really, really good for Zinzino business. If we're gonna have, like, that kind of hit rate moving forward, who knows? We put a lot of effort in evaluating and doing due diligence before we are acquiring companies. If you look at those kind of ways of how we're building and doing the acquisitions, I'm almost surprised that people are not asking us for advice on how to acquire companies through issues of the shares. if you look at those kind of ways of how we're building and doing the acquisitions i'm almost surprised that people are not asking us for advice on how to acquire companies through issues of the shares If I'm gonna give you a guarantee here, well, I'm guaranteeing you that I would say every one of the 13, 14 acquisitions that we've done, I would say that 90% of them have been really successful, and they have been really, really good for Zinzino business. if i'm gonna give you a guarantee here well i'm guaranteeing you that i would say every one of the 13 14 acquisitions that we've done i would say that 90% of them have been really successful and they have been really really good for zinzino business If we're gonna have, like, that kind of hit rate moving forward, who knows? if we're gonna have like that kind of hit rate moving forward who knows We put a lot of effort in evaluating and doing due diligence before we are acquiring companies. we put a lot of effort in evaluating and doing due diligence before we are acquiring companies

Speaker 2: Okay. Thank you. That's a good answer, I believe. Also. Okay. okay Thank you. thank you That's a good answer, I believe. that's a good answer i believe Also. also

Speaker 1: It's a long answer. It's a long answer. it's a long answer

Speaker 2: Unfortunately, I think we have to wrap it up. We're running out of time. Thank you, Dag, for a terrific interview, as always. Unfortunately, I think we have to wrap it up. unfortunately i think we have to wrap it up We're running out of time. we're running out of time Thank you, Dag, for a terrific interview, as always. thank you dag for a terrific interview as always

Speaker 1: Thank you. It's a pleasure being here, and thank you all for- Thank you. thank you It's a pleasure being here, and thank you all for- it's a pleasure being here and thank you all for-