INTERIM REPORT FOR THE PERIOD JANUARY-MARCH 2008

HiQ – strong growth, strong cash flow and market expansion

2008 has started well for HiQ. Net sales increased to SEK 286.1 (235.6) million. Operating profit (EBIT) is SEK 45.7 (50.6) million, giving an operating margin of 16.0 percent. Pre-tax profit is SEK 46.5 (50.9) million. Cash flow from the operations is 42.4 (17.3) million. HiQ has acquired Ace Simulation in Linköping and continues to increase its business with new clients and new employees.

“The year has started well for HiQ. Net sales increased by SEK 50.4 million to SEK 286.1 million. Cash flow increased by SEK 25.2 million, amounting to SEK 42.4 million. I am pleased with the quarter, which contained less available chargeable time and more holiday periods compared to previous year,” says Lars Stugemo, President and CEO of HiQ.

“We are continuing to broaden our geographical coverage with the acquisition of Ace in Linköping. In addition we are deepening our specialisation and expanding our partnerships with existing customers within our chosen niches, comments Stugemo.

HiQ has a strong brand in the labour market and recruitment remained good during the quarter. The number of employees is now approaching 1,100. During the quarter HiQ was named as one of Sweden’s best employers in the independent survey conducted annually by Universum.

“Our projects are about helping our clients to use communication as a way to develop, improve and become more streamlined. HiQ is at the centre of this development and we are contributing in various ways to the development of communications. We are seeing continued good demand for our services,” says Lars Stugemo

HiQ develops solutions in the areas of communications, software development and simulation. Our clients include leading players in a number of sectors such as telecoms, gaming & entertainment, the automotive industry, finance, defence, etc. During the quarter new agreements were signed with clients such as PTS (the Swedish National Post and Telecom Agency) and Veikkaus (the Finnish state lottery).


HiQ’s President and CEO Lars Stugemo presents the report at 9.00 a.m. today, Tuesday 29 April, at HiQ’s 9th floor offices at Mäster Samuelsgatan 17 in Stockholm.

The report can be ordered on +46 (0)8-588 90 000 or downloaded from www.hiq.se