Hiq interim report for january-september 2002

HiQ - INTERIM REPORT FOR JANUARY - SEPTEMBER 2002 HiQ is an IT and management consultancy that focuses on high-tech solutions in the fields of communication and simulation technology. The company is a leader in these fields and the Nordic region is its domestic market. HiQ employs 450 people at offices in Sweden, Finland, Denmark and Norway. HiQ is listed on Stockholmsbörsen (the Stockholm Exchange). For more information, please visit www.hiq.se. Interim report for HiQ International AB (publ), corporate identity no. 556529-3205. HiQ - stabilisation in a tough market ·Net sales of SEK 304.5 (378.0) million. ·Profit before goodwill (EBITA) of SEK 11.5 (53.8) million, equivalent to a margin before goodwill amortization of 3.8 %. ·Maintained positive cash flow from operations. ·In September HiQ was commissioned by De Lotto (Dutch National Lottery) to integrate Veikkaus's OnNet gaming platform. ·HiQ lab is launched in August for interoperability testing of products for mobile communication. ·In June HiQ received an order from the Swedish Defence Material Administration (FMV) worth SEK 40 million for training simulators for JAS 39 Gripen, adding to an order placed in March worth SEK 24 million. ·Acquisition in April of Softplan, a profitable Finnish IT consultancy with 50 employees in Helsinki. ·New framework agreement signed in April with Nokia Mobile Phones in Denmark. ·New framework agreement as preferred supplier within research and development, IS/IT and technical documentation signed with Ericsson in April. Market development The market in general continues to be tough with signs of stabilisation. Customers are prioritising quick cost savings, profitability and efficiency. The reduction in the number of players in the consulting sector has provided HiQ with new business opportunities and a chance to increase our share of the market. We have a well-established brand, strong client relations and financial position, making us a player with the potential to further increase our market share in the future. HiQ is continuing to focus on business opportunities and on improving efficiency within the company. These efforts are increasing our potential for considerable profitability in the current market situation. HiQ is continuing to expand its operations, both geographically and in different market sectors reducing dependence of single client segments. The distribution of HiQ's sales during the period is as follows: Telecoms 48 per cent (64), Defence 20 per cent (15) and other sectors 32 per cent (21). During the period HiQ forged new agreements with, among others, AstraZeneca, the Swedish National Rail Administration, De Lotto, Emergency Center of Helsinki, Ericsson, the Swedish Defence Material Administration, Hi3G, the Swedish Emergency Management Agency, Nokia, Nordea, Novo Nordisk Engineering, Orange Global, the Swedish National Police Board, Saab Avionics, Sony Ericsson, Swedish Match, Telia and Vodafone. Regions There are continued differences in the market situation between the regions where HiQ International is active. In Finland, Denmark and Skåne (the southern part of Sweden) demand is still strong. Our new companies in Skåne and Finland are developing well and according to plan. A high concentration of consultants is evident in Stockholm and Gothenburg, but has decreased during the period. HiQ Väst AB, one of HiQ´s two subsidiaries in Gothenburg, has new management since the middle of October. The Board of Directors of HiQ International AB This report has not been reviewed by the company's auditors. For further information, please contact: Lars Stugemo, President and CEO HiQ International AB, tel. +46(0)8 588 90 000 Anna Svensson, CIO HiQ International AB, tel. +46 (0)8 588 90 015, +46 (0)704 200 103 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/10/23/20021023BIT00120/wkr0001.doc The full report http://www.waymaker.net/bitonline/2002/10/23/20021023BIT00120/wkr0002.pdf The full report