Year-end release 2004 – HIQ international AB

2004 – A strong year for HiQ!

•Net sales increase by 27 per cent to SEK 512.9 (403.0) million •Profit before goodwill (EBITA) increases by SEK 38.1 million to SEK 71.6 (33.5) million, equivalent to an EBITA margin of 14.0 (8.3) per cent •Pre-tax profit increases by SEK 37.1 million to SEK 51.7 (14.6) million •Profit after tax increases by SEK 25.9 million to SEK 29.9 (4.0) million •Earnings per share increase by SEK 0.54 to SEK 0.63 (0.09) •The Board’s dividend proposal to the AGM is SEK 1.30 per share •In August HiQ acquired the IT consultancy Cats, which has around 50 employees, thereby strengthening the range of services offered to clients in the finance and industry sectors •In October HiQ established a new subsidiary in Karlskrona to better meet the needs of clients in that region •In February HiQ signed a two-year framework agreement with Vodafone for system development, radio planning and project management •In June HiQ was selected as a preferred supplier to Ericsson and has signed a three-year framework agreement covering research and development •In September HiQ was selected as a full range supplier to the Swedish Defence Material Administration and Swedish Agency for Public Management in the procurement of IT services for 51 government authorities 2004 in brief 2004 was a good year for HiQ. As a result of strong growth, greatly improved profit and positive cash flows, HiQ maintained a very strong financial position. The liquid assets at the end of the year amounted to SEK 102.2 million and the Board of Directors’ dividend proposal to the AGM is SEK 1.30 per share. HiQ’s sustained efforts to specialise the company’s range of services and expand its operations into several different sectors are paying off. During the year the demand for specialist expertise in the development of advanced systems and products has gradually increased. Today, HiQ is experiencing favourable markets in all regions. HiQ’s well-defined offering has created opportunities for continued growth and profitability. HiQ recruited 161 new employees in 2004, 60 of whom were recruited in the fourth quarter. The acquisition of the IT consultancy Cats has enabled HiQ to strengthen its offering to clients in the important Stockholm market. HiQ Cats specialises in developing transaction-intensive business-critical systems for sectors such as finance and industry. In 2004, HiQ established a new subsidiary in Blekinge, based in Karlskrona. This region is home to some important clients with framework agreements with HiQ, such as Vodafone and Ericsson, as well as potential clients. Throughout the year, there has been a distinctly positive trend in the telecoms sector. Both suppliers and operators are continuing to invest in the development of new systems and terminals. HiQ, which has expert knowledge and more than ten years’ experience of working with clients in the telecoms sector, benefit from the current trend. In 2004 HiQ developed new business and thereby generated growth and increased the company’s market share in all sectors and regions where we are active. For further information, please contact: Lars Stugemo, President and CEO HiQ International, tel.: +46 (0)8 588 90 000 Annika Larsson, CIO and head of Investor Relations, HiQ International AB, tel.: +46 (0)8 588 90 015, +46 (0)704 200 103 Parent company address HiQ International AB (556529-3205) Mäster Samuelsgatan 17, 9th floor Box 7421 103 91 STOCKHOLM Tel.: +46 (0)8 588 90 000 Fax: +46 (0)8 588 90 001 www.hiq.se