Interim report January - June 2008

• Net sales in the second quarter amounted to 121.3 MSEK (131.1) and to 235.3 MSEK (250.0) in the period January – June 2008. At comparable exchange rates net sales were unchanged in the second quarter and increased by 1 percent in the first six months.

• The operating result for the second quarter amounted to 8.9 MSEK (11.1). The operating result for the first six months 2008 amounted to 17.8 MSEK (18.3).

• The result after tax amounted to 8.0 MSEK (38.1) in the second quarter and to 21.2 MSEK (45.3) in the period January – June. In the second quarter 2007 capitalization of deferred income taxes recoverable was made to the amount of 27.6 MSEK.

• Earnings per share amounted to 0.09 SEK (0.43) in the second quarter and to 0.24 SEK (0.51) the first six months.

• The cash flow from operating activities amounted to 2.5 MSEK (-14.9) in the second quarter and to 17.9 MSEK (-0.6) the first six months 2008.



Comments from CEO Torben Jörgensen
The strategic evaluation work has resulted in a numerous of projects and the last phase of these projects has been begun. The evaluation is expected to be finalized before the publishing of Biotages next interim report as per September 30, 2008.

In the Biosystems business area sales continue to develop positively, with a 12 percent increase at comparable exchange rates. The launch of the new PyroMark™Q24 instrument has been successful and we sold nine instruments in the second quarter. We expect that the demand for and interest in the Pyrosequencing® technology and its products continues to be high and sales continue to grow strongly.

Discovery Chemistry is much affected by the restructuring within the major pharma companies which resulted in a reduction of sales income with 3 percent at comparable exchange rates.
The business area has carried out a number of successful introductions of new products and new product launches. The launch of a new purification system, Isolera, has been successful and sales accelerated towards the end of the quarter. The new SNAP product area continues to develop favorable and has had strongly growing sales. The sales of microwave equipment have had a changed product mix and therefore lower sales income in Swedish currency.

Direct sales in Europe have decreased in second quarter due to a weaker demand from the largest Pharma industry companies. Sales in Asia continue to progress well.

For further information, please contact:

Torben Jörgensen, President and CEO, phone: +46 707 49 05 84
Mats-Olof Wallin, CFO, phone: +46 705 93 52 73