Report January to February 1999

Report January - February 1999 *Sales for January to February up by 16.8% to SEK 102.1 m (87.4) compared to 1998 *Profit before tax declined to a loss of SEK -1.8 m (+7.2) compared to corresponding month 1998, this includes a translation loss on consolidation of SEK -2.9 m January to February in brief The consolidated sales for the period increased by 16.8 per cent to SEK 102.1 m (87.4). The growth rate is lower than normal due to a weaker demand during the end of 1998 and the beginning of this year. The strong order inflow for the first half of March indicates that the growth rate now is on level with the long-term goals. HL Display participated on the Euro Shop Fair, which take place every third year. This resulted in several new business opportunities. The cost of approximately 2 MSEK was charged against profit for the month. Operating profit amounted to SEK 1.8 m (7.4). The weak performance is primarily explained by the low capacity utilisation within the production units due to the low inflow of orders during the end of last year and the beginning of this year. Profit before tax for January to February amounted to SEK -1.8 m (+7.2). This includes a translation loss on consolidation of SEK -2.9 m (0.0). This is explained by the strengthening of the Swedish Krona primarily to the Euro since the beginning of this year. The profit for February was SEK 2.7 m (2.9) compared to a loss for January of SEK -4.5 m (+4.3). Capital expenditures in fixed assets amounted to SEK 12.3 m (9.7). Additional investment in shares in subsidiaries of SEK 3.7 m are reported as goodwill. The investment program for increased capacity that was initiated in 1998 is now completed and the increase in investments will be reduced for the remaining of 1999. Stockholm 18/03/99 Anders Remius Managing Director Contact persons: Anders Remius, President and Kent Hertzell, Financial Director Telephone: +46 (0)8-683 73 00 Internet: www.hl-display.com HL Display's business concept is to offer the retail trade and its suppliers customer-adapted display systems, which with a high degree of flexibility, short response time and in a cost-efficient manner will provide price and product information to the ultimate customer at the point of sale. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/03/18/19990318BIT00260/bit0001.doc http://www.bit.se/bitonline/1999/03/18/19990318BIT00260/bit0002.pdf