Atlas Copco Interim report at June 30, 2007

(unaudited)

Strong growth and record margins boost profit

· Double-digit growth continued in all regions.
- 17% organic order growth.
- 21st consecutive quarter with organic growth.
· Revenues reached MSEK 15 985 (12 444), organic growth 20%.
· Operating profit was MSEK 3 037 (2 337), a margin of 19.0% (18.8).
· Profit before tax increased 46% to MSEK 3 215 (2 200).
- Capital gain of MSEK 134 related to divestment of shares in RSC
Holdings.
· Profit for the period was MSEK 2 377 (2 298).
- Profit from continuing operations increased 53% to MSEK 2 377
(1 555).
· Basic and diluted earnings per share were SEK 1.94 (1.82).
- Earnings per share from continuing operations were SEK 1.94 (1.23).
· Operating cash flow for continuing operations was MSEK 1 232 (964).
· Acquisitions of ABAC and Dynapac finalized during the quarter.
· Increased investments in production capacity decided.


April – June January - June
MSEK 2007 2006 % 2007 2006 %
Orders
received 16 735 13 562 +23 32 855 27 261 +21
Revenues 15 985 12 444 +28 29 375 24 392 +20
Operating
profit 3 037 2 337 +30 5 578 4 433 +26
– as a
percentage
of revenues 19.0 18.8 19.0 18.2
Profit
before tax 3 215 2 200 +46 5 692 4 232 +34
– as a
percentage
of revenues 20.1 17.7 19.4 17.3
Profit from
continuing
operations 2 377 1 555 +53 4 150 3 018 +38
Profit from
discontinued
operations,
net of tax - 743 53 1 066
Profit for
the period
1) 2 377 2 298 4 203 4 084
Basic
earnings per
share
from
continuing
operations,
SEK 1.94 1.23 +58 3.39 2.39 +42
Basic
earnings per
share, SEK
1) 1.94 1.82 3.43 3.24
Diluted
earnings per
share, SEK
1) 1.94 1.82 3.43 3.23

1)Including discontinued operations.


For further information
Atlas Copco AB
SE-105 23 Stockholm, Sweden
Phone: +46 8 743 8000, Fax: +46 8 644 9045
Internet: www.atlascopco.com
Corp. id. no: 556014-2720


Analysts

Ingrid Andersson, Investor Relations,
Phone: +46 8 743 8290 or +46 70 497 8290 ir@se.atlascopco.com


Media

Daniel Frykholm, Media Relations Manager, Corporate Communications,
Phone: +46 8 743 8060 or +46 70 865 8060


Conference call

A conference call to comment on the results will be held at 3:00 PM CEST
/ 9:00 AM EDT, on July 16.
The dial-in number is +44 (0)20 7806 1966
To help ensure that the conference call begins in a timely manner,
please dial in 5-10 minutes prior to the scheduled start time.
The conference call will be broadcasted live via the Internet. Please
see the Investor Relations section of our website for link, presentation
material, and further details: www.atlascopco.com/ir
A recording of the conference call will be available for 2 days on +44
(0)20 7806 1970 with access code 4602855#.