Interim report January – March 2010

First quarter 2010 – Good growth and continued strong margins - Net sales increased 16 per cent (currency adjusted +30 per cent) to 750 MSEK (647). - Operating profit increased to 87 MSEK (-52), excl. items affecting comparability 87 MSEK (46). - Operating margin was 11.7 per cent (neg), excl. items affecting comparability 11.7 per cent (7.1). - Profit after tax amounted to 58 MSEK (-55), excl. items affecting comparability 58 MSEK (26). - Earnings per share increased to 2.18 SEK (-2.07), excl. items affecting comparability 2.18 SEK (0.98). - Operating cash flow totalled 62 MSEK (33). - Acquisition of the VTC TPE Group, renamed to ELASTO Group (consolidated from 1 April). President’s comments “Our first-quarter result was very strong, with a significant increase in sales volumes. However, negative currency effects impacted the sales increase, compared with the year-earlier quarter. We more than doubled our earnings per share and operating profit amounted to 87 MSEK (46*), up 89 per cent. Our operating margin for the period was 11.7 per cent (7.1*). Sales continued to improve, particularly to automotive customers and we are once again handling this volume increase in a flexible manner. We have also further strengthened our position as a leading global supplier of polymer compounding through the acquisition of ELASTO Group. The acquisition is entirely in line with our strategy to expand and strengthen our compounding business. “ Georg Brunstam, President and CEO For more information please contact: Georg Brunstam President and CEO georg.brunstam@hexpol.com +46 (0)708-55 12 51 Urban Ottosson CFO/IR urban.ottosson@hexpol.com +46 (0)767-85 51 44