INTERIM REPORT FOR THE PERIOD JANUARY-JUNE 2005 HiQ INTERNATIONAL AB

HiQ – growing by 53%, 20% operating margin • Net sales increase to SEK 356.6 (233.4) million, an increase of 53 percent • Operating profit (EBIT) increases to SEK 71.3 (23.6) million, corresponding to an operating margin of 20.0 (10.1) percent • Pre-tax profit increases to SEK 72.1 (24.7) million • Profit after tax increases to SEK 52.2 (17.7) million • Earnings per share increase to SEK 1.06 (0.38) • In February HiQ announced a new order from the Swedish Defence Materiel Administration (FMV) for the development of simulators for training fighter pilots for the JAS 39A Gripen. The order amounts to SEK 21.1 million • In March HiQ announced cooperation with GTECH Corporation in respect of the development of a new gaming platform for Veikkaus in Finland. The order is worth around SEK 160 million over three years • In May HiQ announced a new development order from Land Systems Hägglunds in respect of simulation equipment for combat vehicles • The AGM approved a dividend of SEK 1.30 per share, totalling around SEK 64 million, which was paid out in May

2005 in brief HiQ is enjoying strong development with good growth and profitability in all its regions. During 2005 130 new employees were recruited, 71 of these in the second quarter. Growth during the period was 53 percent and the operating margin for the period was 20.0 percent. The positive development that we saw at the beginning of the year continued in the second quarter. Demand for the services that HiQ offers is very good and today we are experiencing a stronger market than in 2004. At the same time, the market is characterised by fierce competition and high quality demands from clients. When demand increases, the balance between demand and supply improves, providing opportunity for better prices. HiQ holds a strong position with a specialised offering. Our ambition is to grow together with satisfied and demanding clients. This combined with high efficiency and a high level of quality awareness enables us to show very strong results. HiQ works within technology-intensive industries in which there is increasing demand from clients for specialist expertise in communications, software development and simulation. We experience strong growth in sectors such as gaming & entertainment, the automotive industry, finance and telecoms, and during the period we are exhibiting good growth in security and defence. The telecoms sector sets the tone when it comes to technological development, and both operators and manufacturers have continued to invest in new development. HiQ has top-level expertise and ten years’ experience of developing advanced interactive gaming platforms for lotteries in a number of countries, and thus holds a unique position within the gaming & entertainment sector. The cooperation agreement with the US Corporation GTECH further strengthens HiQ’s offering within gaming & entertainment and creates new opportunities in a growing and exciting industry.

About Us

HiQ helps to make the world a better place by making people’s lives simpler through technology, design and communication. We are the perfect partner for everyone eager to achieve results that make a difference in a digital world. Founded in 1995, HiQ has over 1,600 specialists in five countries and is listed on the Nasdaq Stockholm Mid Cap list. For more information and inspiration, please visit www.hiq.se.

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