Atlas Copco Interim report on Q4 and full-year 2007 summary

(unaudited)

Record quarter – growth accelerated
• Solid market conditions and improved market position.
• 33% order growth of which 20% organic; double-digit growth in all regions.
• Revenues reached a record MSEK 17 549 (13 582), organic growth 18%.
• Record operating profit, up 36% to MSEK 3 361, a margin of 19.2%.
• MSEK 864 non-cash charge in financial items from write-down of right to notes.
• Profit before tax was MSEK 2 134 (2 382).
• Profit for the period was MSEK 1 376 (9 172, incl. discontinued operations).
• Basic earnings per share were SEK 1.12 (7.37).
- Earnings per share from continuing operations and excluding the non-cash charge of MSEK 864 were SEK 1.83 (1.42).
• Operating cash flow for continuing operations was MSEK 926 (474).
• The Board proposes a dividend of SEK 3.00 per share and a share buy-back program.

October - December January – December
MSEK 2007 2006 % 2007 2006 %
Orders
received 18 816 14 131 +33 69 059 55 239 +25
Revenues 17 549 13 582 +29 63 355 50 512 +25
Operating
profit 3 361 2 464 +36 12 066 9 203 +31
– as a
percentage
of revenues 19.2 18.1 19.0 18.2
Profit
before tax 2 134 2 382 -10 10 534 8 695 +21
– as a
percentage
of revenues 12.2 17.5 16.6 17.2
Profit from
continuing
operations 1 376 1 767 -22 7 416 6 260 +18
Profit from
discontinued
operations,
net of tax - 7 405 53 9 113
Profit for
the period 1) 1 376 9 172 7 469 15 373
Basic
earnings per
share
from
continuing
operations,
SEK 1.12 1.42 -21 6.05 4.98 +21
Basic
earnings per
share, SEK 1) 1.12 7.37 6.09 12.24
Diluted
earnings per
share, SEK 1) 1.12 7.36 6.09 12.22

1)Including discontinued operations.

Near-term demand outlook
The demand for Atlas Copco’s products and services from most customer segments and regions is expected to remain at the current high level.

The positive outlook includes the main part of the construction segment, while construction related to housing is expected to remain weak, primarily in North America.

For further information
Atlas Copco AB
SE-105 23 Stockholm, Sweden
Phone: +46 8 743 8000, Fax: +46 8 643 3718
Internet: www.atlascopco.com
Corp. id. no: 556014-2720

Analysts
Ingrid Andersson, Investor Relations Manager,
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

The full report is available on www.waymaker.com