Nefab continues to grow

Nefab again presents an improvement in invoicing and earnings in its interim report released today. Invoicing rose 17%. At translation with unchanged exchange rates, invoicing increased 20% compared with a year earlier. Profit after financial items rose SEK 16 M to SEK 91 M, up 22%.

Six months in summary
- Invoicing amounted SEK 1,059 M (903), an increase of 17%

- Profit after financial items rose 22% to SEK 91 M (75)

- Earnings per share amounted to SEK 2.49 (2.05)

- Continued strong growth in China

- Acquisition in Germany

- Price increases for input materials result in higher prices to customers as of July 1

- It is assessed that Nefab’s profit after financial items for the full-year will be in the interval SEK 180 – 200 M

”The second quarter continued strongly, precisely as during the early part of the year," says Lars-Åke Rydh, President and CEO of Nefab. "China continues to show a positive development. The plant in Beijing is now in operation and the expanded facility in southern China will be placed in operation in the fourth quarter,” continues Rydh.

"Price increases for input materials forced us to raise prices to our customers. We assess that as of July 1 we have been able to largely offset the impact of the materials price increases in absolute figures. However, in a short-term perspective, margins could be affected adversely,” says Rydh.

“After having sought suitable acquisition candidates in southern Germany for some time, we have now created a platform through Günther Verpackungen for continued growth in the region,” concludes Rydh.

A teleconference will be held today (August 16) at 1:30 pm in which the company’s CEO and CFO will comment on the report and respond to questions. To participate in the conference, dial +46 (0)8 600 53 81 and provide the code 38 75 02.

For further information, contact: President Lars-Åke Rydh, +46-70-592 45 70,
e-mail lars-ake.rydh@nefab.se, or CFO Anna Stålenbring, +46-70-814 23 44,
e-mail anna.stalenbring@nefab.se

Jönköping, August 16, 2007


Lars-Åke Rydh
President and CEO