The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Antti Kansanen - SEB, Research Division - Analyst
: It was a bit of the same theme as Sven already asked about regarding the cost inflation, so I guess this is predominantly a European supply-chain
thing. So could you remind -- and perhaps you can talk about -- you mentioned engines, but how much is this impacting kind of services, the spare
part portion of that? And could you talk about your exposure in general to European supply chain, and how can you kind of mitigate that by using
alternative supplies?
Question: Antti Kansanen - SEB, Research Division - Analyst
: Do you think this is more of like a price cost issue, or are you seeing kind of a lack of availability recently? I mean, I guess your suppliers' suppliers
could be kind of struggling with getting materials. Steel plants are taking downtime as (inaudible).
Question: Antti Kansanen - SEB, Research Division - Analyst
: And this was basically a new equipment thing. So spare parts, are they impacting?
Question: Antti Kansanen - SEB, Research Division - Analyst
: Sure. Okay.
And then maybe secondly, on services, on the energy side, what have you, kind of -- it's pretty extraordinary environment. So what have you seen
regarding kind of capacity utilization of your installed base, spare part demands and so forth during the quarter?
Question: Antti Kansanen - SEB, Research Division - Analyst
: Yes. I wanted to follow up on Tom's question regarding kind of the European situation. Like, wouldn't you say that they wouldn't -- would need to
be more robust kind of a capacity auction system across Europe, so that kind of your clients would be paid to have that reserve capacity? Or do
you think it's just enough that the peak prices are so high that they can compensate that, that is kind of the mechanism? That the low running
hours don't matter because the peak prices are so high?
Question: Antti Kansanen - SEB, Research Division - Analyst
: Okay. Then the second question was something you mentioned regarding the software, the GEMS, that is a real value added to your clients. So
how do you get paid? How do you monetize that value add, if you look at kind of the backlog that you have delivered and the backlog that you
have coming? What kind of revenue streams, earning pools will that generate for you over the lifetime of those batteries?
Question: Antti Kansanen - SEB, Research Division - Analyst
: Yes, but how long are you from the fact that the installed base of the software is sizable enough so that we can actually see the license payments
really coming through your, let's say, energy service numbers or energy revenues or?
Question: Antti Kansanen - SEB, Research Division - Analyst
: So is it, from your perspective, just mainly a tool for market share gains and kind of big market share on the newbuild side?
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